tennessee real estate disclosure (lawyer, appraiser, insurance)

[theebelle]

Ok, here is the issues where as I could use some advice. We bought a home in mid-tennessee(sight un-seen)based on appraisal and disclosure. The home appraised well above what we bought it for, also stated no needed repairs.
The disclosure stated no problems or past repairs.
When we moved in it was warm, turn ed on heat and air...does not work and is only ducted to half of the home, had to be replaced, first rain all roofs leaked basement holds water as well as mold (walls were freshly painted) electric is not up to code and only half works, when i tried to clean the windows they fell out, none of the doors close where they can be locked and a major load bearing wall is ready to give, based on the footing and floor joist being cracked and the wood being rotted. One bathroom is so water damaged that it needs to be gutted. And a basement wall needs to be braced . The house hase been infested with termites and bore bee's. A contractor informed me that I was basically living in a death trap and the house should be condemned. the original appraisal was 170,000. the county assesor came out and says $38,000. WOW!
This was sold through a real estate agent as a facilitator only? Any suggestions as to where to start with this as I am not getting much cooperation other than the Agent offering to put the house back up for sale, my problem with that is i could not do this to someome else. Suggestions?

[Jhubtin]

I've got only one suggestion. A good Real Estate Attorney. I have bought land on a couple of occasions sight un-seen. But I don't think I would ever buy a home that way. I'm sorry for you.

[mbmouse]

I would go to the court house in your county. First talk to the Register of Deeds, tell them what is going on and ask them where to go from here. You said the tax assessor came out, I take it you talked with them also? If not, do so. These are the people in the town that are "in the know" usually about this kind of thing and how to handle it. If you don;t get anywhere there, I hate to say it but looks like you need a lawyer.
Good luck, I hope it works out for you.

[jchometeam]

Certainly need a lawyer. First, the disclosure is filled out by the owner, which sounds like obviously had some blatant lies included. Second, the appraiser should have noticed all of this, and included it in his report. It seems like one of these two should be responsible for your situation, as nobody expects you to be an expert on these matters when you are buying a home, even if you had previewed the home in person. Dont think the real estate agent will, or can, do much good as he/she was not guaranteeing the condition of the home (this is the point of having property disclosure and appraisals.)

Good luck and I hope you get this worked out.

[Kklynnt]

State of Tennessee - Department of Commerce and Insurance

The dept of Commerce and Insurance govern home inspectors, real estate agents, and real estate appraisers.

I think there will be somebody there that can help you.

I think several people you dealt with have got some explaining to do. The appraiser that appraised the house for 170K probably needs be checked out through the state.

I'm pretty sure the home owner would have known about the defects.

I think somebody within that state agency can point you in the right direction.

Good Luck, Kerry

[oldfred]

The advise from KKLYNNT is right on the money.
Do not contact an atty utill you have discussed your problem with the State Real Estate Comm.
Also I would suggest that you contact your real estate agent and tell him/her the you want to make an errors and omissions claim.
I just purchased a new $300,000.00 home and I could tell you a story. I followed my own advice and I know that the insurance company has already paid the contractor $10,000.00 that I refused to pay.
When I am done the Realtor will by my house back and pay my moving expenses.
Just to give you a taste of my story. My real estate agent had me sign a contract to build my house with an unlicensed contractor - and that was just the beginning!

[jchometeam]

theebelle,

Please keep us posted as to what happens, I am interested.

Im biased, of course, since im an agent, but I just think that the appraiser and home owner is a bit more responsible than the agent. Part of the realtor's contract was probably that he/she is not a licensed contractor, and doesnt know anything about wood rotting, etc. BUT if the agent knew about these structural problems, and didnt disclose them to you, I believe there is grounds for an errors and commissions claim. If the owner just didnt disclose these things to you or the agent, then you might have an expensive lawsuit against either the owner or the appraiser.

Good luck though, and I really hate to hear stories like yours and oldfred's.

[theebelle]

Thank you so much for all of the wonderful advice, the interesting part of this...the agent told me "the house had been on the market about 7 months when we started talking about the purchase" Upon my investigations, the house had been on the market for almost 2 years. A gentleman had had an offer on the house a year before us and upon moving to the area to close, he could not secure insurance due to the condition of the home, I was able to find the insurance agent, who in turn provided me with pictures and a statement of condition. I will keep you posted and do appreciate any and all suggestions, advice, etc.

[bbkaren]

Did you have an inspector look it over before buying the house? Some of those things should have been conspicuous even to the untrained eye, I would think--but buying sight unseen I can't imagine doing. I would think it'd be an "as is" situation.

Oh well, good luck--

[Wordy]

What a nightmare. I am so sorry you are going through this right now. I don't have any helpful advice but I read your story and just cringed. Please let us know how things are going as you work your way through this mess.