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For Sale By Owner - Owner Financing

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Amedy

Junior Member
What is the name of your state? Texas

This summer my fiance and I were presented with an option to purchase our first home. Needless to say, we were completely blind to necessary steps that we should take, ie.. getting the home inspected, escrow, etc etc.. We were just so excited at the opportunity; so I suppose that's the first mistake on our part.

The seller of the home financed the house himself, and we've paid the deposit and such. We moved in back in late June or early July (it's been a hectic year)... There were some pre-existing conditions that we were aware of.. Like the roof leaks and there's been obvious water damage to the roof in various rooms. The roof wasn't really a concern for us... I asked about several other issues, plumbing, utilities, termites, and the foundation. It was all verbally expressed questions, and I was informed that other than the roof, the house was free and clear of other problems.

A week or two after we moved in, we tried to get the gas turned on. The gas man told us the house has a gas leak and he could not turn the service on. My only thoughts then were, Oh great... So now we're sitting on a bomb.... At the time, it was during a Texas summer and the only appliance that required gas was the water-heater. So my fiance and I decided to just buy an electric water heater and replace the gas one. The gas man told us it would be roughly $1500 to go under the house and replace the lines. It's now winter and without the use of gas heaters, the house is very cold, and we realize now how important having the gas on really is... I've tried to ask the seller if he can help cover the expenses of getting the gas repaired. The best he offered was letting us skip 1 lease payment.

For several months now there's also been some issues with the plumbing. I'm not sure what the exact problem is, but you can smell sewage in the far end bath room. (it's an older home, and it's obvious the "only" bathroom was added on at some point in the home's life)

I had also asked about electrical problems, which I was assured they were fine and intact... I was informed the electrical system was redone recently and it was indeed "ok" - Well with that being said, 2 weeks after we move in, the kitchen range-top stove blows up. Sending sparks and pieces of metal flying all over the kitchen... A few moments later, the wires contained underneath the range-top (It was centered on the kitchen island) were now engulfed in flames. My fiance turned the power to the house off, and we extinguished the fire...

I've also tried to find out how old the house really is... I asked the seller and he just said, "...for insurance purpose just say the house was built in 1950." I don't believe that's correct. I think the house is much older than that... but he won't give me an exact year, and now we're under a lease-contract to buy the home.

I'm a broke college student, so it's not like I can "afford" to make all these immediate repairs... I suppose my lack of experience in this field has lead to this point, but from a legal stand-point do I have any grounds to make the seller responsible for some or all of the repairs?
 


HomeGuru

Senior Member
Amedy said:
What is the name of your state? Texas

This summer my fiance and I were presented with an option to purchase our first home. Needless to say, we were completely blind to necessary steps that we should take, ie.. getting the home inspected, escrow, etc etc.. We were just so excited at the opportunity; so I suppose that's the first mistake on our part.

The seller of the home financed the house himself, and we've paid the deposit and such. We moved in back in late June or early July (it's been a hectic year)... There were some pre-existing conditions that we were aware of.. Like the roof leaks and there's been obvious water damage to the roof in various rooms. The roof wasn't really a concern for us... I asked about several other issues, plumbing, utilities, termites, and the foundation. It was all verbally expressed questions, and I was informed that other than the roof, the house was free and clear of other problems.

A week or two after we moved in, we tried to get the gas turned on. The gas man told us the house has a gas leak and he could not turn the service on. My only thoughts then were, Oh great... So now we're sitting on a bomb.... At the time, it was during a Texas summer and the only appliance that required gas was the water-heater. So my fiance and I decided to just buy an electric water heater and replace the gas one. The gas man told us it would be roughly $1500 to go under the house and replace the lines. It's now winter and without the use of gas heaters, the house is very cold, and we realize now how important having the gas on really is... I've tried to ask the seller if he can help cover the expenses of getting the gas repaired. The best he offered was letting us skip 1 lease payment.

For several months now there's also been some issues with the plumbing. I'm not sure what the exact problem is, but you can smell sewage in the far end bath room. (it's an older home, and it's obvious the "only" bathroom was added on at some point in the home's life)

I had also asked about electrical problems, which I was assured they were fine and intact... I was informed the electrical system was redone recently and it was indeed "ok" - Well with that being said, 2 weeks after we move in, the kitchen range-top stove blows up. Sending sparks and pieces of metal flying all over the kitchen... A few moments later, the wires contained underneath the range-top (It was centered on the kitchen island) were now engulfed in flames. My fiance turned the power to the house off, and we extinguished the fire...

I've also tried to find out how old the house really is... I asked the seller and he just said, "...for insurance purpose just say the house was built in 1950." I don't believe that's correct. I think the house is much older than that... but he won't give me an exact year, and now we're under a lease-contract to buy the home.

I'm a broke college student, so it's not like I can "afford" to make all these immediate repairs... I suppose my lack of experience in this field has lead to this point, but from a legal stand-point do I have any grounds to make the seller responsible for some or all of the repairs?
**A: we take it you did not have a Realtor or home inspection.
 

HomeGuru

Senior Member
Amedy said:
Yes, unfortunately that would be correct.

**A: you have a good case for rescission based on non disclosure. Either pursue this avenue or walk. You need to borrow money to hire an attorney.
 

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