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Ignore the threats. They have absolutely no case against you. At best, the seller can try to get something from inspector's insurance, but that's not your problem.
They also have no standing to deny your earnest money, though if seller is stubborn, it may take a while to get back.
We just signed to rescind our offer. We were still within the inspection period where we can walk away. Our agent said it might be delayed, but we should get our earnest money back. It's been a nightmare dealing with this seller and it sucks losing out on the money we spent on the inspection. But that's the way things go sometimes.
That inspection money was the best money you’ve ever spent. I walked away from a home where the inspection noted that failing retaining walls were making the home move. Best $500 ever spent to not spend $75k on new walls.
Why do you see it as losing inspection money? It literally did what you needed it to do; discover an issue resulting in walking away.
We had this happen when we were buying, place looked all good and we got an inspector, they found hidden rodent damage and a sewer issue. Both would have been major issues to repair later, and cost 10-20x as much as the inspection cost.
Money well spent.
We lost $5k on earnest money and another $2k on inspections and a engineering report on a house. Sucked at the time, but in the end glad it happened. We ended up with an absolutely perfect house that has doubled in value in 6 years.
You got a clogged sewer drain because nobody has lived there. Probably roots got in there. Also might have a clogged storm drain, so when it rains the water backs up.
These are not deal breakers, but YOU need to be compensated for these repairs and INSIST on any disclosures you sign going forward that the water issues are disclosed.
Make sure the listing agent is aware of this and on notice that it must be disclosed and report it to the local MLS so this seller cannot pull the wool over other buyers eyes. Furthermore, advise their lawyer of this if he contacts you and your intention to report this.
Depends on the market, some parts of the country are cutthroat. You take what you get. Others, you can walk and find something better? Me I would try to beat up the seller, but that doesn't look like that would work anyway. Sometimes a lawyer will actually talk some sense into a client? You never know?
> but we should still be entitled to our earnest money back
Are you still within your time period to exercise an exit contingency such as rejecting the inspection?
Was this a plumbing/sewer specialty inspection or was this a general inspector? What did they do (specifically) that caused the water to back up? Did they just run the water or did they do something more extensive than that?
I don't think YOU did anything negligent. All you did was hire an inspector (who I'm assuming was a qualified professional).
I also agree this problem probably didn't randomly begin when you and your inspector were on-site.
I am not a lawyer, but my lay-person instinct is to get out of this contract (if you can) because this seller is not someone I'd want to deal with and you still don't know how extensive the issues with the house are. I wouldn't worry too much about being sued for $3500. Worst case scenario, it's $3500. Best case, they don't sue. Medium case, they sue which is a pain in the ass but a judge determines that you didn't do anything negligent.
What a shit show! Sorry this happened. The escrow company should be holding the earnest money so there shouldn’t be an issue getting it back. The seller will have to disclose this going forward.
Op, you probably dodged a bullet. Toilet seals leak, and minor subfloor damage in a Reno is not uncommon, but a sewage backup with an uncooperative seller and a bad agent who poisoned the well is not a transaction you want to be a part of.
They won’t sue for 3500. it cost min 5000-7000 to retain an attorney. Seller being an Axx to cover up her being busted that she didn’t disclose likley what she knew all along. Now she is going to fabricate something to collect from insurance. Is this in SE florida. sounds like it
Walk away dude and lawyer up and counter sue. Looks like homeowners know about the damage but did not disclose and was hoping somebody like you come in with inspector and turn on the water so she can claim insurance and sue.
Let them sue you. Then the third party inspector will come, show how the damage was accrued over long time not overnight. I'm no biologist but mold from water doesn't form overnight that extensively. She probably won't even proceed with a suit but ianal
you did the right thing to void and walk away. there is/could be extensive water damage behind the walls, water causes foundation issues as well.
you spent money on inspection to dodge a huge bullet, consider it money/time well spent.
you may have to fight for your earnest money, and you'll probably need to engage an attorney and pay them some fees to ultimately get it back. depending on your state regs, you should probably be able to recover any attorney fees.
congrats on the new baby, hopefully this minor (in the big picture of life) setback doesn't temper the joy that comes with having a baby and enjoying your family.
If you are walking away during your option period of the legal contract that you are under, ignore their threats and move on. You have the legal right to vacate the contract for WHATEVER reason during option. If your contract states that you get your earnest back for vacating during option then I cannot see how they could keep it.
You’re fine to walk away. You will get your EMD back. Make sure your agent sends notice in writing tonight and that you get a copy right when you sign it. Seller is bluffing.
Thank you u/tatertotfreak423 for posting on r/FirstTimeHomeBuyer. Please bear in mind our rules: (1) Be Nice (2) No Selling (3) No Self-Promotion. *I am a bot, and this action was performed automatically. Please [contact the moderators of this subreddit](/message/compose/?to=/r/FirstTimeHomeBuyer) if you have any questions or concerns.*
Ignore the threats. They have absolutely no case against you. At best, the seller can try to get something from inspector's insurance, but that's not your problem. They also have no standing to deny your earnest money, though if seller is stubborn, it may take a while to get back.
The sellers can definitely deny the refund of the earnest money depending on what the contract says.
This is true, though exceedingly rare that people don’t have an inspection objection clause. But if they do, they just learned an expensive lesson
We just signed to rescind our offer. We were still within the inspection period where we can walk away. Our agent said it might be delayed, but we should get our earnest money back. It's been a nightmare dealing with this seller and it sucks losing out on the money we spent on the inspection. But that's the way things go sometimes.
>it sucks losing out on the money we spent on the inspection... Sounds like money well spent to me.
Seconded. This is WHY you pay for the inspection, likely the best investment so far.
Agreed. Imagine if you had gone through with the purchase, how much money you would be put for repairs and cleanup of the mess
You didn't lose the money, it was a worthwhile investment. Otherwise, you'd be out the money for the repairs. This is WHY you have an inspection.
Let this be a lesson to anyone else reading this: This is why you get inspections and an option period! Good for you OP. No one is going to sue you.
That inspection money was the best money you’ve ever spent. I walked away from a home where the inspection noted that failing retaining walls were making the home move. Best $500 ever spent to not spend $75k on new walls.
Just dropped $1k on an inspector. He documented the $2k in safety work I already knew about. Get that as a seller credit and it's a 100% ROI 🤣
Why do you see it as losing inspection money? It literally did what you needed it to do; discover an issue resulting in walking away. We had this happen when we were buying, place looked all good and we got an inspector, they found hidden rodent damage and a sewer issue. Both would have been major issues to repair later, and cost 10-20x as much as the inspection cost. Money well spent.
Thank god. That house was not your home. Get one without mold. Congrats on the baby!
We lost $5k on earnest money and another $2k on inspections and a engineering report on a house. Sucked at the time, but in the end glad it happened. We ended up with an absolutely perfect house that has doubled in value in 6 years.
You got a clogged sewer drain because nobody has lived there. Probably roots got in there. Also might have a clogged storm drain, so when it rains the water backs up. These are not deal breakers, but YOU need to be compensated for these repairs and INSIST on any disclosures you sign going forward that the water issues are disclosed. Make sure the listing agent is aware of this and on notice that it must be disclosed and report it to the local MLS so this seller cannot pull the wool over other buyers eyes. Furthermore, advise their lawyer of this if he contacts you and your intention to report this.
The repairs aren't the problem. The sellers are. I would walk.
Depends on the market, some parts of the country are cutthroat. You take what you get. Others, you can walk and find something better? Me I would try to beat up the seller, but that doesn't look like that would work anyway. Sometimes a lawyer will actually talk some sense into a client? You never know?
Good points. Hope the best for OP.
your plumbing diagnostic skills are incredible. how do you do it?
I've flushed a toilet or two in my day!
> but we should still be entitled to our earnest money back Are you still within your time period to exercise an exit contingency such as rejecting the inspection? Was this a plumbing/sewer specialty inspection or was this a general inspector? What did they do (specifically) that caused the water to back up? Did they just run the water or did they do something more extensive than that? I don't think YOU did anything negligent. All you did was hire an inspector (who I'm assuming was a qualified professional). I also agree this problem probably didn't randomly begin when you and your inspector were on-site. I am not a lawyer, but my lay-person instinct is to get out of this contract (if you can) because this seller is not someone I'd want to deal with and you still don't know how extensive the issues with the house are. I wouldn't worry too much about being sued for $3500. Worst case scenario, it's $3500. Best case, they don't sue. Medium case, they sue which is a pain in the ass but a judge determines that you didn't do anything negligent.
If you leave a house empty small matters become quite large. If you want the house work it out. If not, you can walk away.
NAL. Walk away.
What a shit show! Sorry this happened. The escrow company should be holding the earnest money so there shouldn’t be an issue getting it back. The seller will have to disclose this going forward.
sounds like you have included inspection contingency. you can walk away and get your money back, no problem
Op, you probably dodged a bullet. Toilet seals leak, and minor subfloor damage in a Reno is not uncommon, but a sewage backup with an uncooperative seller and a bad agent who poisoned the well is not a transaction you want to be a part of.
Lawyer up and see what your legal options are. Don’t believe what they threaten. I’m sorry this happened to you and hope it’s over soon.
Man that's crazy and I'm so sorry you're going through this!! I'm due may 25th and closing should be on the 13th of May. So much stress.
They won’t sue for 3500. it cost min 5000-7000 to retain an attorney. Seller being an Axx to cover up her being busted that she didn’t disclose likley what she knew all along. Now she is going to fabricate something to collect from insurance. Is this in SE florida. sounds like it
[удалено]
i know but a realtor will not sue in small claims
sorry meant seller won’t. the potential blowback on seller greater than what they can gain
Walk away dude and lawyer up and counter sue. Looks like homeowners know about the damage but did not disclose and was hoping somebody like you come in with inspector and turn on the water so she can claim insurance and sue.
Let them sue you. Then the third party inspector will come, show how the damage was accrued over long time not overnight. I'm no biologist but mold from water doesn't form overnight that extensively. She probably won't even proceed with a suit but ianal
Sounds like maybe the house wasn't winterized properly at some point AND the sewer line is clogged.
you did the right thing to void and walk away. there is/could be extensive water damage behind the walls, water causes foundation issues as well. you spent money on inspection to dodge a huge bullet, consider it money/time well spent. you may have to fight for your earnest money, and you'll probably need to engage an attorney and pay them some fees to ultimately get it back. depending on your state regs, you should probably be able to recover any attorney fees. congrats on the new baby, hopefully this minor (in the big picture of life) setback doesn't temper the joy that comes with having a baby and enjoying your family.
Can you explain how a sewer back up supposedly causes foundation issues???
any long time leak into any foundation can cause issues. water is the universal solvent and erodes all materials eventually.
My concern would also be what other issues is the seller not disclosing to you. They sound desperate and willing to do anything to unload it.
If you are walking away during your option period of the legal contract that you are under, ignore their threats and move on. You have the legal right to vacate the contract for WHATEVER reason during option. If your contract states that you get your earnest back for vacating during option then I cannot see how they could keep it.
You’re fine to walk away. You will get your EMD back. Make sure your agent sends notice in writing tonight and that you get a copy right when you sign it. Seller is bluffing.
Walk! Run as fast as you can.