Sale of a House Without Disclosing Structural Damage — What Next?
Discovering structural damage after buying a home — especially when it wasn’t disclosed — can be alarming. What happens next depends on when the damage is discovered, what the seller knew, and how disclosure laws apply.
💡 Quick Answer
If a seller failed to disclose known structural damage, buyers may have options ranging from renegotiation or contract cancellation (before closing) to potential legal remedies (after closing). Timing and proof matter.
📌 Was the Seller Required to Disclose Structural Damage?
In most states, sellers are legally required to disclose known material defects that could affect a property’s value or safety. Structural issues often fall squarely into this category.
These obligations are typically documented in a seller’s disclosure statement, where sellers must answer questions about foundation problems, structural repairs, water intrusion, or settlement.
Failure to disclose known issues may violate the seller’s duty to disclose latent defects, especially if the problem was not easily observable by a buyer.
📌 If Structural Damage Is Discovered Before Closing
When structural damage is uncovered before closing — usually during a home inspection — buyers generally have more leverage.
- Request repairs from the seller
- Negotiate a price reduction or closing credit
- Submit an inspection repair request
- Cancel the contract under inspection contingencies
These rights are often governed by an inspection repair request clause in the purchase agreement.
📌 If Structural Damage Is Discovered After Closing
Discovering undisclosed structural damage after closing is more complicated. At this stage, the transaction is complete, and remedies depend heavily on proof and state law.
Buyers may have a claim if they can show:
- The damage existed before the sale
- The seller knew or reasonably should have known
- The issue was not disclosed
- The buyer relied on the disclosure when purchasing
Evidence such as prior repair invoices, permits, inspection reports, or contractor testimony can be critical.
⚠️ What If the Home Inspection Missed the Damage?
Home inspections are visual and non-invasive by nature. While inspectors can identify many issues, some structural problems may remain hidden.
Buyers typically pay for the inspection themselves (who pays for a home inspection), but inspectors are usually only liable if they were negligent or failed to follow professional standards.
🛠️ What Buyers Should Do Immediately
- Hire a licensed structural engineer
- Document all damage with photos and reports
- Preserve disclosure forms and inspection records
- Avoid permanent repairs until options are reviewed
- Consult a real estate attorney if nondisclosure is suspected
📌 Summary
- Sellers are often required to disclose known structural damage
- Buyers have more options before closing than after
- Proof of seller knowledge is critical for post-closing claims
- Inspections help, but they do not guarantee defect discovery
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