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Home seller honesty?

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exhawg

exhawg

Mirror Guy
After talking to my neighbor today I found out that the air conditioner for my house doesn't work, and hasn't for a couple years. When we bought the house the former owner said that everything worked and we have this in writing. Do we have any legal recourse to get money back for the AC now? It seems shady that the SOB can say that everything works when he full well knows that it hasn't worked for 2 years.
 
You buy through a realtor or for sale by owner? I believe realtors have legal requirements for honest and full disclosure, but I am sure it varies by state. Also, did you have the home inspected by a professional company? If so, you may be able to talk to them. I'm afraid you may have no recourse against the owner. Buyer beware, unfortunately.
 
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I thought that when a person sells a house they have to disclose any potential problems. At least in Minnesota, when I sold my house, I had a set form to fill out which asked all the questions. I assume if I lied and something happened down the line, I could be liable.
It really doesn't matter what the owner SAID, it's what was written down that counts. He should just say that he told you it didn't work.
It's the same thing in medicine - if you don't document it, it didn't happen.
 
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Home inspections aren't worth the paper that the failed carpenter/electrician/exterminator/plumber wrote it on. So don't rely on that. If you have it in writing, and it was sold by a licensed realtor, then I believe that you have some recourse, if it was for sale by owner, then I don't know what you can do.
 
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exhawg said:
After talking to my neighbor today I found out that the air conditioner for my house doesn't work, and hasn't for a couple years. When we bought the house the former owner said that everything worked and we have this in writing. Do we have any legal recourse to get money back for the AC now? It seems shady that the SOB can say that everything works when he full well knows that it hasn't worked for 2 years.
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Yes, you can take legal action, even if it is FSBO. It doesnt matter if you have a realtor or not, as long as you have a sales contract, you will be ok. I will talk to our attorney in the morning and see what course of action you need to take.
 
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When buying a home you MUST have it professionally inspected by your inspector.
Even in a brand new home it's well worth the $300-$400 and your time to have it done.
It's a huge investment, what is $400 compared to $200,000? $300,000?
Every house I have bought I have had professionally inspected.
 
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exhawg said:
After talking to my neighbor today I found out that the air conditioner for my house doesn't work, and hasn't for a couple years. When we bought the house the former owner said that everything worked and we have this in writing. Do we have any legal recourse to get money back for the AC now? It seems shady that the SOB can say that everything works when he full well knows that it hasn't worked for 2 years.
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The main thing is what the purchase agreement stated. Most of the legal requirements are the place isn't a death trap (there are a few protection laws, but I don't think air conditioner is one of them). The rest comes down to the fact that you probaly signed an agreement that said "upon home inspection." Since you probably got a home inspection that was ok, and signed an agreement stating that fact you are sort of screwed. Your home inspector should have checked the a/c (yet this cannot be done in the Winter, so sorry if this is the case).

Essentially you may have little legal recourse. Even then, the legal bills will be as much as a new air conditioner, and no, you will not get your legal bills paid if they lose. My advice, in the future, get the warranty and year of all major parts (furnace, a/c, water heater etc.). Then plan on replacing them accordingly.

You may be able to get some $ on promissory estoppel if you can prove you bought the house on the letter you got. Yet even then, you are looking at lots of legal fees. Probably depends on the letter you got (did it state the a/c worked?).

Even then you will only get the worth of a used air conditioner. Not alot of $. The only other way I can think of is breach of contract and you can get out of the house if you want and get your money back for the house. That could get ugly. With that there are other remedies, but it's a crap shoot.
 
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tibor75 said:
I thought that when a person sells a house they have to disclose any potential problems. At least in Minnesota, when I sold my house, I had a set form to fill out which asked all the questions. I assume if I lied and something happened down the line, I could be liable.
It really doesn't matter what the owner SAID, it's what was written down that counts. He should just say that he told you it didn't work.
It's the same thing in medicine - if you don't document it, it didn't happen.
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Yes, there is disclosure of many problems, but if you look at the sheet a/c is not one of them. I'm not an expert in Real Estate Law, but I think most of those disclosures are for proof of habitability. A/C is not one of them.
 
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time may have cost ya.. now it's he said/she said.. previous owners will say "it worked when we sold it to him.. can't speak for what it is 2 years later" .. same would be said if you had a professional inspector... needed to find this out probably in the first 90 days max..

but I'd still give it a try.. nothing ventured, nothing gained..
 
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tyrus3 said:
Yes, you can take legal action, even if it is FSBO. It doesnt matter if you have a realtor or not, as long as you have a sales contract, you will be ok. I will talk to our attorney in the morning and see what course of action you need to take.
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If you have free legal advice this is good, especially someone that knows Real Estate Law. Yet don't expect much unless you really want to get out of the house. If you don't, then just get a new air conditioner.
 
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NJ-Buckeye said:
time may have cost ya.. now it's he said/she said.. previous owners will say "it worked when we sold it to him.. can't speak for what it is 2 years later" .. same would be said if you had a professional inspector... needed to find this out probably in the first 90 days max..

but I'd still give it a try.. nothing ventured, nothing gained..
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If the neighbor can testify it never worked prior to sale, it's not he said/she said. Yet by that point you have hit discovery and getting some serious lawyer bills. Of course, they will to. You can always threaten and settle out of court.

Disclaimer...none of my comments should be considered legal advice. Please use them as such.
 
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Didn't you buy this home in the last year? It could be covered under Homeshield or Homeguard or some sort of insurance that often is part of the sale.

That said, the disclosure form they fill out when the house goes on the market should state that all major appliances etc.. are in good working order. If the neighbor says it hasn't worked in two years, you have legal recourse in the fact that they falsified documents pertaining to a legal and binding contract/bill of sale.

One option is to contact your realtor and have hi pursue it through their realtor.
 
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devils advocate... for the defense...
"and just how, prey tell, does my neighbor know what appliances I had were working vs not.. he was my neighbor.. not my roommate..."

I do think.. a letter from an atty would do the trick... quoting the cost of a complete new system.. and a barter position...

ex/ "whole system will cost $2200.. if you agree to pay half by April 30, we would accept .. $1100... " after all, that would be fair since you'd have a brand new, energy efficient system.. for half price..
 
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Here is the common disclosure type items...


Laws typically require the seller to supply this type of information:
Do you have legal authority to sell the property?
Are there any encroachments, boundary agreements, or boundary disputes?
If the property is served by a public or community sewer main, is the house connected to the main?
Has the roof leaked?
If yes, has it been repaired?
Have there been any conversions, additions, or remodeling?
If yes, were all building permits obtained?

Further more


A disclosure form or statement isn't an inspection report on the condition of the property, nope not at all. If you need a report on the actual condition of the components that make up a house, you need an inspection and report by a Building Inspector (private or government). A building inspector is supposed to crawl all around the house, looking in every nook and cranny and making sure everything is working properly, and if it isn't, they are supposed to let you know about it. A buyer doesn't provide an inspection report, or pay for it. The buyer provides a more general disclosure about the property and what might impact the value, without looking behind every switch plate or crawling under the house. Additionally, and in almost every case I know of, the disclosure applies ONLY TO SOME, BUT NOT ALL, TYPES OF RESIDENTIAL REAL ESTATE. There are numerous exceptions to the laws and it your RESPONSIBILITY TO KNOW THE LAW IN YOUR STATE.

OK, so you can sue your inspector for a few hundred dollars. You can sue for a used a/c. You can sue for breach of contract if you have in writing that the a/c worked. Sorry to day, doesn't look good. The main thing for an inspector is to make sure the heater, water heater, a/c and the major ones work. This is why you have one.

Essentially, I hate to sound negative, but you should get a new air conditioner and learn from it. Outside of that, only lawyers will make money on your claim.

Finally, see a lawyer, yet I doubt air conditioners are covered by state law. If those things were covered why would you need a home insection?
 
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