Seller Must Disclose Problems in Home to Potential Buyers

If a home inspection arranged by the seller (or the seller himself) uncovers detrimental information about the condition of a home for sale, the seller  is legally obligated in most jurisdictions to disclose any problems discovered to potential buyers.  Otherwise, the seller could be guilty of fraud.

Buyers can and should take the opportunity to ask the seller or sellers’ agent some direct and pointed questions about the condition of their home for sale before the home inspection takes place.  Buyers can then pass on information to the real estate inspector and request extra scrutiny for potential problem areas. 

Questions the Owner or Sellers Agent about Home’s Condition

Here’s what you should ask the seller or his real estate agent prior to the home inspection:

• Improvements: Have you ever remodeled or otherwise made structural changes to the home? If yes, who did the work and when? (Check the credentials of the contractor(s) who performed the work and verify that they are licensed.)

• Termites: Do you know of any termite activity or damage? Do you have an active termite protection service plan? Most homes sold today require a termite inspection and certificate. As the buyer, you are entitled to a complete history of any termite damage, treatment and/or repair.

• Topography: Do you know of any topographic anomalies such as sinkholes or earthquake fault lines that could affect the integrity of the foundation?

• Structural: Does the home have any structural problems, either existing or repaired, such as cracks in the foundation, flooring, settlement cracks in the walls, rotted joists or timbers, etc.?

• Moisture: Do you have moisture in the basement or crawl space? Are there any water leaks anywhere else?

• Roof: How old is the roof? Has the roof ever leaked? Has the roof ever required repairs?

• HVAC: How old is the heating, ventilation and air conditioning system? How old is the air conditioner compressor or heat pump (usually the outside unit)? How old is the air handler (usually the inside unit, in the attic)? How old is the furnace? How old is the ductwork? Do you have annual preventative maintenance performed on the heating and air conditioning system? Have you ever experienced problems with the heating or air conditioning system?

• Electrical: What is the condition of the electrical system? Does the electrical system adequately handle all loads, especially at peak times? Do you ever have a blown fuse or a tripped circuit breaker? Do all the outlets work? Do the lights flicker when other appliances are turned on? Have you ever altered the electrical system or added extra outlets to existing circuits?

• Plumbing: What is the condition of the plumbing system and the
  drainage system? Do the drains ever back up? Have you ever had to call a plumber and why? Is the water pressure adequate, especially if multiple taps are turned on? How old is the hot water heater? What is the capacity of the hot water heater? Is there an adequate supply of hot water for my anticipated needs? Does someone taking a shower ever get scalded if someone else flushes a toilet?

• Hazards: When was the home originally built? (Some homes built before 1978 and many homes built prior to 1960 contain or contained lead-based paint.) Do you know if the home ever had or currently has any lead-based paint or if it has ever been tested for lead paint? (Lead-based paint, especially if it is peeling, cracking or flaking, can be especially dangerous to young children and should be removed.) Does the home have any asbestos insulation? Have you had the home tested for radon?

None of these issues necessarily needs to be a deal-breaker. If you really love a home, almost anything can be fixed. But why pay the seller’s asking price and then have to shell out thousands of dollars extra to fix something nobody knew about shortly after you move in. Any problems revealed by the home inspection allow you to negotiate a mutually-acceptable price with the sellers — either they can fix the problem before the sale or they can lower the price accordingly prior to the sale and you can fix the problem after the sale is complete.

A professional home inspector will be able to answer many of the above questions, but any information that you can provide to the inspector prior to the home inspection will allow him to zero in on specific areas of concern.

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