This summer, Sellers Shield received multiple legal claims tied to water issues. That’s multiple families, sellers, and agents, suddenly pulled into stressful and expensive legal battles. Even if they disclosed accurately and completely they can still be pulled in
As an agent, one of the most important things you can do is remind your sellers that water-related damage, no matter how small it seems, must be disclosed. Even what feels like a “minor” issue can turn into a six-figure legal claim down the road. Here are real examples from just this summer:
A buyer alleged the sellers failed to disclose kitchen leaks. While the details may seem minor at first glance, water intrusion in a home often signals hidden problems: mold, structural issues, or long-term deterioration. Even if your seller “fixed” the leak years ago, it still needs to be disclosed.
Takeaway for agents: When you hear “oh, we fixed that a while back,” dig deeper. Encourage your sellers to disclose anyway.
After moving in, buyers discovered multiple plumbing problems, including a pipe broken in three places and filled with sand. They are demanding over $228,000 from the sellers.
We’ve already covered this claim in detail in our blog. Read the full story here.
Takeaway for agents: Plumbing and water issues are often out of sight until disaster strikes. Sellers must disclose even suspected or prior issues, not just current ones.
In another case, buyers allege the property they purchased had no functioning water system. The pump and motor were inoperable, waterlogged, and lacked proper filtration. The buyers are asking for over $76,000 in repair costs, living expenses, and legal fees.
Takeaway for agents: If there’s anything unusual about a home’s water source: well systems, pumps, or filtration, double down on asking your sellers questions. Full disclosure protects them.
Just a month after closing, buyers claimed the pool had multiple leaks and serious structural issues. They are demanding $163,000 from the sellers.
The seller says she never noticed leaks and even resurfaced the pool before selling. She disclosed surface cracks and the buyers inspected the pool. Still, the buyers are moving forward with their claim.
Takeaway for agents: Even when sellers believe they’ve done their part, buyers can come back with unexpected claims. Water-related issues, especially with pools, are high risk. Issues like concrete cancer are coming up more and more in lawsuits. When in doubt, disclose in writing and encourage buyers to get thorough inspections.
Water is one of the most common sources of post-sale lawsuits. Leaks, plumbing problems, drainage issues, mold, pools—anything tied to water can spiral into huge repair costs and legal battles.
Your role is crucial:
With so many water-related claims in just one month, it’s clear: when in doubt, disclose.
