sellers disclosure accurate

we live in michigan and recently sold home. after closing, we began moving and discovered water damage in far corner of basement in closet area behind some boxes. we did use the closet daily, however did not look behind boxes. boxes had been there for a very long time (4 years). we did not know about damage and did not disclose it. buyer recently sent us a letter wanting $4k for its repair and referred to disclosure statement not being accurate. should we respond to letter and are we liable? buyer had a fha inspection and termite inspection of which nothing was documented to say water damage was an issue.

[faithandhope]

The reason that the inspectors did not note the damage is because they do not MOVE any items, clothes, furniture or boxes. They do not do a destructive inspection of any kind, it is all visual. Cut and dried, you knew, did not disclose and now are liable. Had you disclosed and tried to reach an agreement or repair, you might have come out better. The breach of trust has been broken, so hope they don't find anything else. Best of luck.

[HomeGuru]

faithandhope is correct. You are liable for the repair.