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Is the seller at fault here?

  • Thread starter Thread starter /u/_MS22
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/u/_MS22

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We just closed on our first home. We went through a first time homebuyers program and got down payment assistance. Our inspection came back great. The home was fully remodelled last year. Upon moving in, we noticed water coming up from the basement floor after rain. The seller claimed no knowledge of issues with the home. Meeting our new neighbors, they said the previous tenant had constant flooding in the basement. Curious, we used a water meter to measure the moisture in the wall and it was off the charts-coming from a basement window. Digging into the foundation, we noticed a crack under the soil, and then a giant chunk of foundation fell off the home. No biggie, we can fix that and put in French drain. We had a professional come out, who suggested we tear out the entire basement wall, to see what’s really going on inside there. That’s going to cost a pretty penny.

We visited the city hall to pull permit records, and no permits were pulled for any of the remodel. We’re talking electrical, drywall, an unfinished basement into a finished basement, we were told by the city we are now liable for paying the permits and getting the home up to code. The seller checked “I don’t know” under any nonpermitted work on the home.

How fucked are we? Is there anything we can do here? We don’t have the money for this, and had we known these issues, would have stayed in our perfectly fine rental.

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Is the seller at fault here?
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