When Can I Sue the Seller for Home Defects?

Defects in a home purchased by a buyer may lead to a lawsuit against the seller depending on the disclosure laws of the state and the responsibility of the seller to inform the buyer of all necessary defects that do exist. In these situations, the seller must ensure that the buyer is aware of various issues before he or she purchases the property.

Many states have laws about disclosures required by the seller to the buyer. In these laws, the seller must ensure that all known defects and suspected problems within the property are on paper through a checklist that the buyer has available. With these steps, the seller protects his or her deal and may prevent a lawsuit in the event that the defect causes damage to the house or injuries to the buyer at some point. Along with the defects, the buyer may also need to perform a survey and assessment of the land and building to acquire more information about what could go wrong on the property. This process may also demand a valuation of the home, so the buyer is aware of the actual value of the house.

Property Defects Explained

When the seller chooses to put a property on the market, he or she may know what defects exist. Many of these are fixable before the sale goes through. Other situations do not require the seller to fix anything but to ensure that the buyer is aware of the problems. Some defects occur that are not the responsibility of the seller such as rusted pipes that hold for several months before bursting. As long as the seller adheres to the state laws in disclosure, he or she may not need to provide further details. However, defects such as holes in the wall or foundation, problematic appliances and issues including termites are items the seller generally must tell the buyer before the deal pushes through.

Nondisclosures of Defects

There are several parties that often must disclose any defects in the property. These may include the agent, a broker, the seller, a real estate lawyer, a surveyor or the person involved in the valuation of the house or land. The state laws regarding this matter will specify just how much if any disclosure is necessary. However, some states do require the buyer to initiate an assessment to determine what issues exist and how complicated they are. The more the defects cost, the greater chances are that the seller
will not close the deal without making certain repairs.

Many buyers have the legal option to sue the seller or any involved party when the deal includes an instance of nondisclosure. Numerous situations where defects exist are solvable through negotiations and communication between buyer and seller. The circumstance that leads to the courtroom is normally when the seller has an obligation to disclose the defects but chooses not to do so with the buyer. The defect could cause injury or economic damage such as a stove that explodes or a beam that falls and caves in the roof. In these situations, the buyer usually has the legal option to pursue compensation through a civil suit.

Holding the Seller Responsible

Depending on the state, the buyer may have an option to hold the seller responsible for nondisclosures of defects that exist. This is even more possible if the buyer suffers an injury after buying the house that does have a defect the seller was aware of but did not disclose. Another instance that could lead to a lawsuit is if the seller engaged in fraud with the land or building. This may happen through easements on the land that cause the buyer to have little option to do anything such as build or improve the area. Another is through fraudulent titles. If the buyer is not the only owner of the property, he or she may need to hire a lawyer to litigate.