What to Do If a Seller Lied on Disclosure

Purchasing a home is one of the most significant investments most people make in their lifetime. Pennsylvania law expects sellers to provide honest and complete information about the property’s condition to potential buyers. 

When a seller lies on the property disclosure form or hides known defects, buyers can suffer financial losses, unexpected repair costs, and emotional stress. A seasoned Pennsylvania construction lawyer can help you hold the seller accountable for the highest possible damages in these cases. 

Seller Disclosure Requirements in Pennsylvania

Pennsylvania law requires home sellers to provide a written seller disclosure form before the sale is finalized. This document must identify known defects affecting the property’s condition. The legally required disclosure applies to nearly all residential real property sales.

What Must Be Disclosed

The disclosure statement must include information about known defects and past repairs, including details such as:

• Water damage
• Plumbing issues
• Electrical system failures
• Structural defects
• Roof leaks and sump pump history
• Environmental hazards, such as mold or lead paint
• Pest infestations
• Drainage problems indoors or outdoors

The legal requirement applies to actual knowledge, meaning the seller does not need to guess or test for issues, but they must disclose what they reasonably know.

Good Faith Requirement

Sellers are expected to act in good faith. If a seller knew about defects, concealed them, or intentionally lied on the disclosure form, they can be held responsible for fraud or misrepresentation.

Signs the Seller Lied on the Disclosure

Buyers typically discover defects after closing when problems surface. Indicators that the seller knew about hidden issues may include:

• Evidence of freshly painted patches over water stains
• Recently replaced drywall or flooring in isolated areas
• Covers placed to hide damage during the open house
• Strong odors or air fresheners masking mold or water damage
• Past repair records found in the property
• Comments from neighbors about unresolved problems

These red flags can suggest the seller knew about material defects but failed to disclose them.

Legal Consequences for Sellers Who Hide Defects

Financial Accountability

When a seller lied about the home’s condition, they can be held responsible for repair costs, other costs associated with the defect, and sometimes significant financial penalties. In cases where the deception was intentional and serious, punitive damages may apply to punish the wrongful conduct.

Types of Claims Buyers May File

Buyers may pursue one or more legal claims depending on the facts:

• Fraud or fraudulent misrepresentation
• Breach of contract
• Negligent misrepresentation
• Violations of Pennsylvania real estate disclosure law

Each claim requires proof, and strong legal representation is important to increase the likelihood of a successful outcome.

What to Do If You Discover Undisclosed Defects

Step 1: Gather Evidence

Evidence might include photographs, videos, home inspector evaluations, repair invoices, contractor reports, statements from real estate agents, and copies of the original disclosure statement. Show how the defect contradicts the disclosure form.

Step 2: Contact Qualified Professionals

Hiring reputable professionals, such as a home inspector, mold specialist, roofing contractor, or plumber, can help confirm the scope of the issue and whether the defect existed before the purchase. Such reports can meaningfully strengthen your case.

Step 3: Speak With a Real Estate Attorney

Before confronting the seller, speak with attorneys who practice law with a dedicated focus on real estate transactions and disputes. A legal consultation helps you evaluate your options and determine how to protect your rights without weakening your evidence.

Step 4: Attempt to Resolve the Dispute Informally

Sometimes, the seller will cooperate once confronted with evidence. In some cases, buyers and sellers reach agreements outside of litigation regarding reimbursement for repairs or closing adjustments. However, this approach should always be guided by legal counsel to avoid settlement terms that limit future rights.

Step 5: Consider Legal Action

If informal efforts fail, legal action may be necessary to pursue compensation. A real estate lawyer can help prove that the seller knew about the defect and failed to disclose it. Evidence supporting this may include witness statements, contractor records, repair documents, text messages, emails, or testimony from people familiar with the property.

Compensation You Can Seek From a Seller Who Lied

When a seller lied about the property’s condition, the buyer may seek financial compensation for:

• Cost of repairing undisclosed defects
• Costs of temporary housing during repairs
• Loss in property value
• Legal fees associated with the case
• Monetary damages from fraud

Extreme cases involving intentional deception may qualify for punitive damages.

Preventing Problems Before Closing

Although some defects cannot be detected without access to confidential repair history, buyers can reduce risk by practicing due diligence before signing the purchase contract.

Recommended Steps for Home Buyers

• Hire a qualified home inspector
• Ask detailed questions about past repairs, leaks, or upgrades
• Review the disclosure statement line by line
• Request clarification on suspicious or incomplete answers
• Speak with neighbors when possible to learn about the home’s history

While many homeowners act honestly, due diligence protects you from placing blind trust in the disclosure form.

Seller Lies Can Be Difficult to Detect

Many defects remain hidden behind walls, beneath flooring, or in crawl spaces. A seller who is determined to hide problems may temporarily fix visible damage without correcting the root cause. 

Buyers usually rely heavily on the property disclosure statement because it reflects information a home inspector cannot always discover. That is why Pennsylvania law takes seller dishonesty seriously.

Why Hiring a Real Estate Attorney Is Critical

Real estate transactions are legally complex, and proving fraud requires a strategic approach. A real estate attorney helps:

• Analyze evidence to determine whether the seller disclosure violated the law
• Calculate the value of financial losses
• Protect the buyer from settlement traps that limit future claims
• Negotiate aggressively for compensation
• Prepare for litigation if necessary

Working with a legal professional ensures your rights are protected and increases the likelihood of a fair recovery.

How Our Pennsylvania Real Estate Lawyer Can Help if the Seller Lied on Disclosure

Investigating the False Disclosure

If you believe the seller lied on the property disclosure and you are now facing unexpected repair costs or a reduced property value, our real estate lawyers at Stoner Law Offices, LLC are prepared to protect your financial and legal interests. 

We begin by reviewing every part of the transaction, including the disclosure statement, purchase contract, home inspection reports, and any repair records. Our goal is to identify exactly where the seller failed to disclose known defects and determine how their misrepresentations affected the value and safety of your home.

Building a Strong Case for Compensation

We gather evidence that supports your claim, which may include photographs, contractor assessments, expert reports, and witness statements. Once we evaluate the evidence, we determine which legal claims for financial compensation may apply. These may include breach of contract, negligent misrepresentation, or fraud depending on the level of deception involved.

Negotiation and Litigation Support

We handle direct communication with the seller, their attorney, and any involved parties so you do not have to confront them. Our office negotiates for the compensation you need, whether that involves reimbursement for repairs or loss in property value. If the other side refuses to resolve the dispute fairly, we are fully prepared to pursue legal action and seek monetary damages in court.

Ongoing Advocacy for Home Buyers

Our priority is to ensure that buyers are treated fairly during and after the sale process. If you have discovered undisclosed defects and need legal support, we are here to advocate for you and guide you toward the best possible outcome. To schedule your free consultation, call us at (412) 515-0939 or contact us online.