10 Jul Just found out the house I’m buying had a fire insurance claim 2 years ago totaling $80k. Was not disclosed.
QRD: buying a house and close in a week. Just found out from my insurance guy there was a fire damage insurance claim that the seller did not disclose. Primarily smoke damage in the basement. Fire originated at the water heater. Explains the why the water heater, furnace, AC were all replaced at the same time. There's also a lacquer coating on the basement ceiling… So now all that makes sense. The ceiling is not finished (exposed subfloor), and I didn't notice obvious damage other than the lacquer coating (I assume to trap the smoke smell).
Was the seller obligated to disclose this? State is Missouri. They stated they "honestly didn't know they were supposed to because it was 2 years ago." It's not the insurance claim itself that ticks me off, it's the dishonesty. Working on getting the full claim report so I can look for myself. Also, the only thing found by my 3rd party inspector was that the roof was end of life, seller is replacing to my specs. Passed county inspection as well.
Appreciate any feedback.