Q: Is the seller of the property I just bought responsible for disclosing mold on the property?
My husband and I just purchased a home from a family trust. There were no disclosures. Inspection revealed a 60 year old furnace and a roof in need of complete replacement (sellers sort of admitted awareness of the roof condition in a round about way). Because they didn’t disclose, they covered a small portion of our closing costs. We closed and now we have found extensive mold (via professional inspection) and evidence that they tried to cover it up with paint (on both ceilings and walls.) We paid them asking price. We are now looking at a very large and costly abatement as well as being displaced from our home, with two very small children, at our own expense. Would it be prudent for us to hire an attorney to request they pay for the abatement based on evidence that there was mold and they didn’t disclose? It was an estate sale but a trustee was also living in the home up until the sale. Would a demand letter be effective?
A: Massachusetts law requires only that home sellers disclose the existence of lead paint and the presence of a septic system. Beyond this, Massachusetts is a caveat emptor state where it is up to the buyer to satisfy herself as to the condition of the property by conducting an inspection or doing whatever she feels is appropriate to determine the condition of the property. That said, the rule is somewhat stricter for brokers, and a seller cannot lie, mislead, or conceal facts about the condition of the property if the buyer asks. Of course, the seller's concealment, if any, is not a cut and dried question but depends on the circumstances. As you can see, there are a lot of moving parts, including the possibility that your P&S or closing documents may have provisions addressing the seller's liability in such situations. You should get all your paperwork together and sit down with a lawyer and get his/her thoughts.
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