If the buyer finds problems in the home that were not disclosed; contact an experienced real estate attorney before making repairs

What happens if you discover serious problems with your newly purchased home? Consider situations like these:

  • You notice a consistent foul odor in your home, and discover a 20-year-old unpermitted bathroom addition has an improperly installed sump pump vent requiring a costly repair;
  • You decide to install new carpet in your living room, and discover the old carpet covered extra padding intended to conceal a severely sloping floor; or
  • You learn your garden shed in what you thought was your backyard yard is actually on a public right of way illegally fenced by a previous owner.

    First, review the seller’s disclosure statement.

    Sellers of homes, condominiums and properties with one to four units are required by law to fully disclose all aspects of the property, including known defects. The Californian Transfer Disclosure Statement (TDS) is intended to promote transparency, and protect both buyers and sellers by reducing the potential of disputes after the sale.

    The TDS form is a comprehensive, broad-ranging opportunity for sellers to share everything they know about the property to a potential buyer. It covers structural integrity, appliance, electrical and plumbing functionality and the general condition of the home. It even requires the seller to reveal aspects of the surrounding neighborhood like airplane noise or the neighbors’ chronic barking dog. It is even required sellers disclose if there was a death in the home in the three years before the sale. The State of California Department of Real Estate offers a booklet explaining full disclosure guidelines.

    If the problem you found with your home was not disclosed by the seller, investigate.

    Sometimes sellers are unaware of problems in a home. They may have lived with issues they inherited from previous owners, and not considered them serious. Or, they might have deliberately withheld knowledge of significant problems to gain the highest possible selling price. Determining which one of these is true can be difficult.

    Home inspectors are professionals who can often spot efforts to mitigate evidence of water damage, a shifting foundation or a case of hastily painted walls hiding black mold. Sellers are not required to perform inspections of their own homes prior to selling – this is the buyer’s responsibility in California.
    A home inspection is money well spent and could save you thousands in unforeseen repairs. An accurate inspection can be a useful tool when negotiating a final sale price that reflects necessary repairs.

    When Home Defects Were Not Disclosed

    • Contact an experienced real estate attorney. An experienced real estate attorney will investigate to understand if there are problems with the home that have not yet come to light.
    • Your real estate attorney, after investigation, might reach out to the seller and ask them to fix the problem, or pay for repairs.
    • Your real estate attorney might examine the disclosures from the real estate agents involved with the sale. If the agent did not fully disclose the depth of problems with the home, they could be at fault.
    • The real estate attorney will review the home inspection report, if one was conducted. Was the problem overlooked or minimized? Or was it something nobody would have known without tearing out walls but should have known depending on the layout of the home? An inspector could be liable.

      Consult a competent real estate attorney

      Full disclosure issues and post-purchase repairs can be extremely complex. The path to. wholeness could depend on securing legal help from an attorney who is familiar with California real estate law. It is important to act quickly after you become aware of problems in your home.

      Know Your Rights. Protect Yourself.

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    Mary Catherine Wiederhold

    Real Estate Attorney
    1458 Sutter Street
    San Francisco, CA 94109

    Mary Catherine Wiederhold
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    Courtney Brown
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