As the story goes .... I looked at a house listed as a 4 bedroom home. I put in an offer ..... it was accepted ..... I signed an agreement of sale. ( The agreement of sale, of course, does not specify the number of bedrooms.)
In the course of scheduling a home inspection, the inspector informs me it does not qualify as a 4 bedroom home .... and I verify this with local building code official.
I'm now concerned about the appraisal the bank will provide ( for my loan ) and .... the fact that there will be a loss in value between 3 and 4 bedrooms.
To appease me .... the realtor ..... provides an appraisal that the homeowner had done about 4 months ago .... that matches the sale price. But in the appraisal ... the house is listed as a 3 bedroom home.
My question is ..... even though the agreement of sale does not specify the number of bedrooms ----- isn't there some liability on the part of the seller and the realtor .... to list this home in an accurate manner ? What is my recours
2007-12-20 07:38:18 · 7 answers · asked by burlingtony 2 in Business & Finance ➔ Renting & Real Estate
Hi there, it's Jeanne again! :-)
I've done some research for you and here's a summary of what I've found: unless an error in a listing can be proved as fraud, there doesn't seem to be any liability on the broker or seller.
If you think either the seller or broker intentionally misrepresented the number of bedrooms, there's probably not much you can do. Even if you think they DID intentionally misrepresent, your legal costs to prove that will likely be more than $5,000.
I wouldn't worry about lower value because it only has 3 instead of 4 bedrooms. The value of residential property is not based on the number of bedrooms. It's mainly based on location, square footage, bathrooms, kitchen, garage, pool, and waterfrontage. Bedrooms aren't considered too much in valuation because bedrooms can be changed by adding or removing walls. The only requirement in our state is that to call a room a bedroom it must have a closet.
Hope that helps, and I hope everything works out for you!
Merry Christmas!
2007-12-20 17:26:24 · answer #1 · answered by Anonymous · 0⤊ 0⤋
You stand to lose $5,000 in earnest money if you back out of this deal. As well, you can be sued for specific performance of the contract, financial losses to the seller, or both. The advertising of the property is no guarantee that four 'legal' bedrooms exist.
Further, you viewed the property, and it should have been obvious to you what you viewed. As long as nothing was hidden from your view (it's difficult to hide a room), then you agreed to buy what you saw.
No matter how many times you ask this question, the answer will remain the same.
2007-12-20 08:00:53 · answer #2 · answered by acermill 7 · 0⤊ 0⤋
depends on the state and you need an attorney to know the answer for sure.
usually [in most states], the written contract supercedes any verbal sales talk, esp. when the answer is obvious from physical inspection of the real estate.
in some states, however, that isn't so and every bit of the sales literature is required to be as correct as the owner knows.
in this case, the owner knew [because his earlier appraisal said so] it was a 3 bedroom house. since the sales agent and RE firm are his agents, he is liable for their misrepresentations and errors.
but which case covers this depends on state law -- so either google it or hire a local real estate attorney on the matter.
2007-12-20 07:48:17 · answer #3 · answered by Spock (rhp) 7 · 0⤊ 0⤋
You need to speak with a real estate attorney. How much influence did 3 vs. 4 bedrooms have in your decision to buy this house? Can the owner or seller be held liable for misrepresenting this house? These are questions for a professional.
2007-12-20 07:43:24 · answer #4 · answered by Angie 6 · 1⤊ 0⤋
I believe you have grounds. It comes down to why the 4th bedroom isn't a bedroom (window, etc).
2007-12-20 11:02:11 · answer #5 · answered by Anonymous · 0⤊ 0⤋
even though if the contract would not specify the style of rooms, you're entitled to a 4 mattress-mattress room place. you may repudeate the contract fo9r jmisloeading information appearing the in the advert. in case you such as you may comply with a three mattress room abode.
2016-11-23 17:54:21 · answer #6 · answered by Anonymous · 0⤊ 0⤋
If the home is mirepresented, I would think you could get out with NO penalty.
2007-12-20 07:43:12 · answer #7 · answered by Anonymous · 0⤊ 0⤋