Vendor/agent not disclosing facts about a house for sale

[rowan]

We will soon be completing the purchase of a house here. Before signing the promissory contract I asked the current owner whether the house had ever been broken into. He said it hadn't.

I recently found out that the previous owner had been the victim of a very violent break-in there. It wasn't a recent occurrence, but I doubt whether the current owner had forgotten all about it, as the attack apparently contributed to the previous owner's decision to leave Portugal.

If I had known about this break-in/robbery/assault/rape, I would have looked at the house differently. Not just in the sense that it doesn't seem such a nice place any more -- financially too. Security measures will have to be beefed up; not just installing a burglar alarm (if anyone thinks they are useful), but redesigning the layout of the house, its perimeter and landscaping. In other words, the information about the break-in is a material fact which would have influenced the decision to buy the house, and certainly to buy it at the price we are going to be paying.

As a comparatively recent arrival, even I've figured out that no-one can keep a secret for long in Carvoeiro -- and that the old-timers here have remarkably detailed memories. So I find it hard to believe that the owner and/or the agent didn't know about this event, as they have both been here for decades.

Should we just go ahead and hand over the rest of the money without a whimper about the extra it is going to cost us so our family can have peace of mind in the house? I think we had a right to know about this. It's never nice to be the last one to know...

By the way, I'm guessing there are many kind people who want to give us a house-warming present in the form of a dog...thanks, but we can't accept one just yet.

I would appreciate any constructive comments. Please bear in mind, though, that I'm feeling a bit upset about this. Thank you.

[steve]

Even if the failure to disclose the break-in would be deemed to be a material fact there would still be the problem of evidencing it. In my experience the procedures are a little lax here by UK standards and I think the only sensible way forward is to consult your solicitor quickly for definitive advice as to whether yo have a case to pursue.

[shanagarry]

Rowan - I had a similar situation 2 years ago but fortunately I found out before I signed the promissory contract and parted with the money. In fact I had signed the contract on a Friday afternoon, found out about the security matters (there was two but were not quite as bad as those you have highlighted) and on the Sunday morning drove to my lawyer's home (as I couldn't get her on the phone) and got her to go to her office in Lagoa and give me the contract - making sure there were no copies and then destroyed it.

Like your situation, I had been told by the vendor there had never been any incidents but during a conversation with an acquaintance in Mestre Maco (Izi's now) on the Saturday evening when I was told of many incidents in that area - we acted.

What followed was the 'Mother and Father' of all legal threats and letters - but I stood firm on the basis that the vendor knowingly withheld material information and while the Portuguese system does not interpret that in the way we do in the UK - it was decided that as nothing had been 'signed' there was no contract. Strangely that property is still for sale to this very day. I have seen the vendor several times in the village since - not a nice man - he has even shouted, drunkenly, abuse at us across a restaurant. He doesn't bother me but his actions suggest the less than honourable person he is.

I am no expert in Portuguese legal matters but I would be inclined to make vigorous overtures through your lawyer - as long as you can prove the events - not just hearsay - with unshakeable facts. A good starting point would be to get a letter from the person who was attacked and left Portugal as a result.

Given that you have signed and probably handed over the deposit - you could have a bit of a battle on your hands. If you have handed over the money and do not complete - you will lose your 20% - as the law stands today. I would be inclined to go at the vendor making him aware of your displeasure and attempting to get the price reduced to cover the reasonable costs of making the place secure - if that is the only recourse open to you. However, I would start with the lawyer - the moment they open the door on Monday morning...

Good luck - I wish you well with your action.

[carvoeiro1]

Unfortunatley in the eyes of the law, if you have signed promesery contract then you have to complete or lose your deposit.
Regardless of breaking inns or crimes on a property