One common type of dispute stemming from real estate transactions is a dispute over property damage. Regarding property conditions in a real estate transaction, buyers have certain rights, and sellers have certain responsibilities under Arizona law and the purchase contract they both signed. If the parties cannot resolve their dispute amicably, they may need to seek court intervention to enforce their legal rights.
When you enter a real estate transaction, you must be fully aware of your rights and duties under the contract. Failure to understand these issues can make your transaction more likely to result in a future dispute. If you have questions or concerns about your real estate transaction, getting advice from a top Arizona real estate lawyer at Provident Law® can make all the difference. Protect your interests by calling our office today at (480) 388-3343 to schedule a real estate attorney consultation about your legal issue.
Buyer Rights Under Arizona Law
In a real estate transaction, the buyer is entitled to receive the property in the same condition the seller represented it. As part of this entitlement, buyers have the following legal rights:
- To conduct a thorough property inspection before completing the real estate transaction; and
- To receive specific disclosures from buyers about real estate, typically through the Residential Seller Disclosure Statement, including:
- Known material defects; and
- Any property damage that could affect the value or usefulness of the real estate.
Seller Responsibilities Under Arizona Law
Sellers must fulfill the obligations required by Arizona law, including specifically disclosing known material defects about the real estate. They also must disclose any damages that could affect the value or desirability of the property. Again, most real estate transactions involve using the Residential Seller Disclosure Statement, which allows sellers to disclose any problems with the roof, electrical systems, plumbing, and structural integrity, among other issues.
Undisclosed damages can result in liability for the seller. As a result, sellers should be fully aware of the conditions of the property they own through regular inspections and evaluations of any defects. This duty particularly applies to potential defects the property owner should notice easily. This practice helps prevent future litigation over property damage that was unknown or undisclosed.
Common Types of Property Damage that Lead to Disputes
While all types of property damage can lead to legal disputes following real estate transactions, some types of damage lead to such problems more commonly than others. Common types of property damage include the following:
- Structural damage, such as cracked or deteriorating foundations, leaky roofs and basements, and weakened load-bearing walls;
- Severe pest infestations, including termites or rodents;
- Water damage, whether due to leaks, flooding, or improper drainage;
- Presence of mold on walls, ceilings, and other areas;
- Cosmetic damages include damaged flooring, holes in walls, or damaged cabinets or doors.
Legal Recourse for Undisclosed Property Damage
Buyers may have various forms of legal recourse if they take possession of real estate and discover undisclosed and unexpected property damage. A buyer may have a legal claim against the seller for failure to disclose a known material defect to the seller. Through that claim, a buyer can seek compensation for the repair costs related to the undisclosed defect and/or any decrease in the property’s value due to the defect’s existence.
To support a legal claim for undisclosed property damage, buyers should meticulously document the discovered defects. They should take pictures, maintain any correspondence concerning the issue during the real estate transaction, and get repair estimates from more than one contractor. This documentation supports a claim that requires litigation, informs the seller about the problem, and opens the door to negotiating damages.
Resolution of these claims most commonly involves the seller compensating the buyer for the costs of repairing the defect or defects at issue. If the real estate transaction has not yet closed, the parties also could agree to a reduced purchase price or other financial concession to account for necessary repairs.
Let Us Assist You with Your Arizona Real Estate Case
As you can see from the above discussion, buyers should always engage the services of a qualified home inspector before agreeing to any real estate purchase. This simple step can help avoid disputes over property damage in the future. However, if a seller fails to disclose a material defect as required, they can be liable for the costs of any repairs.
Our goal is to assist you in understanding your legal rights and responsibilities whenever you are involved in an Arizona real estate transaction. Our goal is to accompany you through every step of your real estate transactions. We also will advocate for you in the event that a real estate dispute occurs. Contact the offices of Provident Law® today at (480) 388-3343 or online and schedule an appointment to speak with the best Arizona real estate attorney about your real estate transaction or dispute.