Hidden Defects in Real Estate Transactions
What happens if, after purchasing a housing, appear damage so significant that, had we known about them beforehand, we would not have bought the home or would have negotiated a significant price reduction? These are the so-called hidden flaws.
We are dealing with significant damage, not so-called finishing defects.
It is not uncommon for home sales between private individuals arise during the 6-month period construction-related damage whether major or minor. This is a more common scenario than it seems. Our Civil Code governs these situations and establishes that, if certain conditions are met, the buyer You can file a claim with the salesperson provided that the damage becomes apparent within 6 months and the claim is filed within that period.
Common Examples of Hidden Defects
Among the hidden flaws Among the most common types found in buildings are:
- Dampness and leaks caused by defects in the roof, floor slab, etc.
- Significant cracks that could compromise safety.
- Defects in finishes, such as flooring, paint, or wall coverings.
- Brick or cladding materials coming loose.
- Structural problems affecting the building's foundation or stability, which pose a serious risk to people.
As can be seen, the hidden flaws cover a wide range of damage or defects, ranging from the least severe to the most severe. Therefore, it is essential that the homebuyer Seek technical advice, regardless of how serious the damage may initially appear to be.
Deadline for filing a claim
The statute of limitations begins 6 months from the date of transfer of possession of the home. This period cannot be interrupted, which means that any action taken within that period (such as filing a demand with the seller) does not reset the clock. Therefore, it is essential to act quickly and ensure that you meet the established deadlines.
A clear example of this limitation is that, if the buyer discovers the damage and sends a notice to the seller within the deadline, the time that has elapsed up to that point will neither be suspended nor restarted. This makes it crucial to seek legal advice from the outset.
Options for the Buyer in the Event of Hidden Defects
If the buyer is faced with a situation involving hidden flaws, you have two options within the 6-month period:
- Withdrawal from the contract: This involves rescinding the sale, returning the property to the seller, and receiving a refund of the expenses paid.
- Request a proportional price reduction: The amount of this reduction will be determined by experts who assess the extent of the damage.
In Carlos Baño León Law Firm, we have handled numerous cases of this type. For example, in two lawsuits won by this firm, the buyers obtained a favorable ruling in court, confirming their right to file a claim for the hidden defects discovered in their homes.
What happens with new homes?
In the case of new homes, the rules regarding hidden flaws, but rather, appeals are filed against the actions arising from the Building Regulations Act (LOE). This law establishes three types of liability based on the severity of the damages:
- Decade: For structural damage affecting the foundation, beams, floor slabs, or similar components.
- Five-Year Plan: For defects affecting structural elements or systems that compromise the habitability of the property.
- Annual: For damage affecting the finishes.
The LOE provides greater protection for buyers of new homes by establishing longer deadlines and clear responsibilities for developers and builders.
Limits on the Seller's Liability
It is important to understand that the seller's obligation to be liable for the hidden flaws It is contractual in nature and subject to certain limitations. The law provides that the seller shall not be liable in the following cases:
- If the damage was obvious and visible to the naked eye.
- If the buyer is an expert or professional who, by virtue of their profession, should have easily identified the damage.
- If the buyer and seller expressly agree to release the seller from liability, provided that the seller has acted in good faith. If the seller is aware of the damage and conceals it, the release agreement will not be valid.
What happens after 6 months?
If the hidden defects If defects appear more than 6 months after the sale, the buyer is not left unprotected, although the applicable regulations will be different. In this case, claims will be based on other legal provisions, such as breach of contract or, in some cases, a direct claim against the builder or developer if the defects are due to construction defects.
The purpose of the law is to balance the rights and obligations of both parties. On the one hand, it protects the buyer against serious defects; on the other hand, it recognizes the buyer’s responsibility to properly inspect the purchased item and avoid claims for obvious damage.
Real Estate Attorney: Our Opinion
Based on our experience in Carlos Baño Law Firm, it is crucial to act quickly and seek expert advice from the very beginning of the sale. The detection of hidden flaws It can lead to significant legal and financial disputes, but with proper management, it is possible to achieve favorable outcomes for the buyer.
Having a technician or expert present during the initial inspection is an essential preventive measure. Furthermore, in the event of a dispute, our firm is prepared to advise and represent you, ensuring that your rights are fully protected.
If you have any questions about hidden defects or would like to file a claim, please don't hesitate to contact us. In Carlos Baño Law Firm, we're here to provide you with personalized and effective solutions.
You can also find us at Google Maps and visit us at our offices in Alicante to receive personalized service.
