At least that’s what an appeals court in Texas has ruled. To summarize: buyers successfully sued the real estate professionals involved in their purchase because the home they bought (and moved into) is actually 253 square feet smaller than was indicated on the feature sheet and online. The jury awarded the purchasers damages and held the real estate professionals liable for misrepresentation and fraud.
You can read the Texas Court of Appeals’ ruling in it’s entirety here.
Why might this be important to you? If you are intending to purchase real estate you should be aware that our MLS® feature sheets state: “Information herein deemed reliable but not guaranteed” and our standard Residential Real Estate Purchase Contract reads: “Any representations as to the measurements of the Buildings are only approximations and may not be accurate. The Buyer may wish to obtain an independent property inspection and verify the measurements of the Land and Buildings”.
So what steps do I take to protect the best interests of my Clients at all times? (Note that every REALTOR® licensed in Alberta has the same fiduciary duties to their Clients).
When listing: I ensure I physically measure and calculate the square footage of the home, including the dimensions of each room. Neither I nor my Clients want to be subject to a statement of claim for misrepresentation at a later date.
When purchasing: I ensure I physically measure and calculate the square footage of the home; unless my Clients tell me it is unnecessary and that they are satisfied the listed square footage is “close enough”. If this is the case I have my Clients sign a waiver stating that I discussed the issue(s) with them.
What steps is your REALTOR® taking to protect you?
///…CP
