What can you do if a seller doesn't disclose problems in a home?

If you buy a home and later find that it has significant issues, you may be in a position to file a claim against the previous owner. Not all situations can result in a claim, though, just because you're unhappy with a property.

The main thing to look for is whether or not the seller provided full disclosure of known problems with the property. If, for some reason, you are not told about all the defects the home has, then you would likely have a case to seek compensation back from the previous owner or others who did not disclose problems with the property to you during the initial purchasing agreement.

Here's a good example. If you get a disclosure statement that says there is nothing wrong with the home, you might think you got a great deal. However, if you begin to paint and change parts of the property that same month and discover mold throughout the home behind the drywall, that would be a serious cause for concern. In that case, you might have a case against the seller, particularly if the seller knew about the problem.

If the seller knew about, but did not disclose, damage on or inside the property, then you were sold a property based on false information. You may be able to bring an action for fraud, also, which would help you seek your money back, repairs or other reparations for the damage that is in the home. Our site has more on what to expect if you find the seller did not disclose damage to a property.