Foundation Cracks After Buying a Home: Who Is Legally Responsible?

You finally closed on your new home and have been picturing fresh paint, new routines, and a new place to build your life. Then you notice cracks in the foundation. While they may have seemed minor at first, over time, they have developed into major cracks, and the worry has started to set in. Is this normal settling or a serious structural issue? Most importantly, who is legally responsible for repairs or otherwise? Let’s explore who may be responsible when you find problems with a house after buying it and how to strengthen your case.

Seller Disclosure Laws in Florida

In Florida, residential sellers must disclose known material defects that are not readily visible. This duty comes from the landmark Florida Supreme Court case Johnson v. Davis, which rejected the old “buyer beware” rule for homes.

A material defect is anything that affects the property’s value or safety. Sellers are required to disclose issues they actually know about, even if they repaired them before listing the home. Foundation problems fall under this category, and if a seller failed to disclose them, this can lead to claims of misrepresentation or fraud.

Other defects that require disclosure include structural damage, water intrusion, pest infestation, hazardous materials, mechanical failures, and zoning disputes. It’s also worth noting that an “as-is” clause doesn’t excuse the seller from disclosing known problems.

The Foundation Cracks Appeared After Closing. Now What?

Discovering foundation cracks after closing doesn’t mean you’re stuck with the repair bills. The key question is whether the defect existed before the sale and whether someone knew about it. You may have a legal claim if evidence shows the seller knew about the issue and failed to disclose it, tried to conceal it, or downplayed its seriousness. For instance, if painting or patchwork was done over a structural crack, with the primary objective of hiding it, it could support a misrepresentation claim.

Who Could Be Liable?

Depending on the facts, responsibility could fall on the following:

The Seller

If the seller failed to disclose known defects, they may be responsible.

The Seller’s Agent

Responsibility may also extend to the seller’s real estate agent if they knew about the defect or made false statements about the property’s condition.

The Home Inspector

The inspector could also be liable if a visible defect should reasonably have been identified. That said, inspection contracts often limit liability, sometimes to the amount of the inspection fee. Additionally, inspectors aren’t required to perform intensive testing, so structural issues that lead to foundation cracks may fall outside their standard supervision.

The Buyer

Sometimes, a buyer could be responsible. If the defect developed after purchase or resulted from normal aging, you may be responsible for the cost. Also, if you waived inspection or ignored recommendations for further evaluation, you may have limited recourse.

What You Should Do Immediately

To strengthen your case, proper documentation is key. This may include clear photos showing the size and location of cracks, tracking if they worsen, and a report from a licensed structural engineer. Review your purchase contract, disclosure forms, and inspection report carefully. A written notice to the seller or agent can also be helpful if you pursue legal action.

Contact Us for Legal Help

If you are dealing with a foundation problem after buying your home, contact our Davie real estate litigation attorneys today at Valero Law by calling 305-607-7011. We can evaluate your situation and help you pursue a fair resolution. We serve clients in Davie, Broward County, Coconut Grove, and Miami-Dade County.

Source:

scholar.google.com/scholar_case?case=14586619263907958570&q=Johnson+v.+Davis+(1985)&hl=en&as_sdt=4,10