By: Barry Stone
Dear Barry,
My daughter recently bought a condo. After moving in, she noticed that rusty water comes from some of the faucets when they are first turned on. The warranty people determined that the problem is deteriorated galvanized steel pipes. They estimated $7,000 to repipe the unit. The home inspector didn't disclose this problem, but the sellers could have run the water before the inspection, flushing the rusty water from the lines. Who knows? It just seems that the sellers must have been aware of this condition. Shouldn't they have disclosed it? - Rebecca
Dear Rebecca,
Sellers are obligated to disclose significant property defects of which they are aware. Rust-colored water at faucets is an observable and unusual condition that would arouse the interest and concern of most homeowners. Therefore, failure to divulge such conditions to buyers would constitute a breach of the responsibility to disclose. As a result, your daughter now faces an expensive repair burden that should have been resolved before purchasing the property, either by negotiation or by canceling the sale.
The first step in addressing this issue is to notify the sellers and agents regarding your concerns. If the sellers are unwilling to accept responsibility for a major portion of the repair costs, a Small Claims judge might be inclined to prompt their interest and participation. Hopefully, such procedures will not be necessary.
It would also be prudent to obtain two more bids from licensed plumbing contractors. Prices for such repairs can vary widely, and price differences don't always coincide with levels of quality. It's entirely possible that the $7,000 bid is too high. It is also possible that only some portions of the water piping warrant replacement. Clarification in this regard would be beneficial to everyone concerned.
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