What to do if we are in the final stages of approval of purchasing a short sale home and just discovered that the central air conditioning is no longer working?

It was working fine at the time we made the offer 5 monhs ago. Our expected closing is sometime this month. We have notified the agent that the air isn’t working and that the sellers disclosure states that it is. Does the home owner have to fix the air conditioning if they are made aware of it breaking before the close of the sale?

Asked on May 28, 2012 under Real Estate Law, Texas


SJZ, Member, New York Bar / FreeAdvice Contributing Attorney

Answered 8 years ago | Contributor

If the disclosure claimed the air conditioning is working, but it is not, you should have the right to terminate the sale if you wanted; the seller could, of course, offer to fix it or give you a credit.

You could also, if the seller refuses to pay/credit/repair but you want to go ahead with the sale, sue the seller based on the disclosure; you'd have to show, however, that he knew or should have known that the A/C was not working and intentionally misrepresented it in order to recover compensation.

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