What can a buyer do if they find undisclosed defects after closing?

Full question:

What recourse does a buyer have if they find a material defect with the house after closing that was not disclosed because the seller was not aware of it?

  • Category: Real Property
  • Subcategory: Seller's Disclosures
  • Date:
  • State: New Mexico

Answer:

Disclosure of defects in real estate is governed by state law, which typically requires sellers to inform buyers of all material facts about a property's condition. This includes issues with appliances, electrical systems, plumbing, roofing, structural integrity, and safety concerns. Latent defects, which are hidden issues that cannot be discovered through a normal inspection, also fall under this category. Some states define latent defects as those affecting structural or safety elements.

In New Mexico, there is no law mandating sellers to disclose defects if they are unaware of them. Therefore, a seller is generally not required to disclose a defect they do not know about. The relationship between the buyer and seller is defined by their contract, which outlines their respective rights and obligations regarding property defects. It’s important to review your real estate contract to understand your rights.

If the seller provided a disclosure form, check if it included all necessary information. If a warranty was offered by the seller, you may have grounds for a breach of warranty claim. Additionally, consider whether you had a home inspection and if it revealed any issues.

This content is for informational purposes only and is not legal advice. Legal statutes mentioned reflect the law at the time the content was written and may no longer be current. Always verify the latest version of the law before relying on it.

FAQs

In New Mexico, the statute of limitations for filing a lawsuit related to property defects typically ranges from four to six years, depending on the nature of the claim. If you believe the seller misrepresented the property or failed to disclose defects, it's crucial to act promptly. Always consult an attorney to understand your specific situation and ensure you meet any deadlines for legal action.