The elation of purchasing your dream home can quickly dissipate upon discovering hidden defects like rising damp and failed waterproofing. These issues not only create an unhealthy living environment but can also result in significant repair costs. However, there may be legal recourse available if the seller failed to disclose these problems before the sale.

This blog serves as a valuable reminder for both buyers and sellers of their rights and responsibilities during a property transaction.

When Can You Sue the Seller for Damp Problems?

Imagine you buy your dream house, only to discover significant damp problems in the walls and ceilings after moving in. You learn that these issues stem from both rising damp and failed waterproofing, and that the seller never disclosed these defects which is considered a latent defect. This means it wasn't visible during a standard inspection by a reasonable buyer. You demand the seller cover the repair costs, but they refuse. This is where legal action becomes a possibility.

What the Buyer Needs to Prove

To win a lawsuit against the seller for concealed defects, you'll need to prove several key points:

• Defects Existed
  The property must have had actual defects at the time of sale that significantly impacted its value and usability. Rising damp and failed waterproofing clearly qualify as such defects.

• Latent Defects
  You need to establish that the dampness was hidden, not something a reasonable buyer would have noticed during inspection. Evidence showing the seller actively concealed the damp will strengthen your case.

• Fraudulent Concealment
  The seller must have deliberately concealed the defects with the intention to deceive the buyer.
  
  

How the Buyer Proved Fraud:

Proving fraud requires establishing two things:

1. Seller's Knowledge
   The seller must have been aware of the damp problems and their severity.

2. Deliberate Concealment
   The seller must have intentionally hidden the defects. 

The court will consider various factors to determine fraud, including:

• Extent of Repairs
  Extensive repainting and the use of large quantities of filler before the sale can raise suspicion.

• Seller's Statements
  If the seller denies knowledge of dampness despite evidence of repairs, it can hurt their case.

• Property Condition Report
  A mandatory Property Condition Report where the seller fails to disclose dampness can be crucial evidence.
  
  

The Importance of the Property Condition Report:

The Property Condition Report, a mandatory document in South Africa, requires sellers to disclose any latent defects, including dampness. In the case discussed, both sellers signed the report, stating there were no such issues. This significantly weakened their defense and helped the buyer win the case.

Key Takeaways for Home Buyers:

• Be vigilant during inspections. Look for signs of dampness, like musty smells or bubbling paint.

• Don't rely solely on the seller's word. Get a professional inspection to uncover any hidden issues.

• Carefully review the Property Condition Report and ask questions if anything seems unclear.
  
  

Thinking of Suing a Seller?

If you suspect the seller hid serious defects like rising damp or waterproofing problems, consult with a lawyer specialising in property law. Contact Du Plooy Inc. we can advise you on your legal options and the likelihood of success.