Latent Defects-True Story

QUEBEC REAL ESTATE Offering free mortgage and house protection to home buyers.

You should be aware of this VERY IMPORTANT issue, since it could save you thousands of dollars and headache later on. That`s why I strongly suggest to always hire good realtors and home inspectors.

Example of a true story from last year:

Family X sold a house in good faith following all the guidance, instructions  of the Real Estate Broker. After 3 months on the market and too many visits, they decided to reduce the price of the house by 25 000$ due to the feedback of the visitors (Asking price too high: basement needed to be renovated).

Couple of days after the price was changed, there was already a buyer making an offer. Everything went smooth EXCEPT of two major mistakes.

First: The Real Estate Broker didn`t mention in the documents that the price was reduced due to the work needed in the basement;

Second: the buyer hired a “discount inspector“.

One week after the new home owners moved to the house they discovered that one of the basement wall wasn`t isolated which lead to mould, therefor a LATENT DEFECT!

Facts: by all means any responsible inspector couldn’t miss such a big factor, especially when it was very accessible to carry on the verification.

Conclusion: Due to the omission from the realtor part, aggravated by an amateur inspector(or maybe working together with the buyers and abusing a questionable law in regards to LATENT DEFFECTS), 1 year later full of stress and  8 000$ shorter the seller finally put a closer on this case.

None the less, Buyers got a new, upgraded basement (which increase the value of the house) for less than half price (with the seller money)!

Catalin Ivan –  Real Estate Broker