HomeHidden defects after purchase
Hidden defects after buying a home in Arizona
An Arizona seller must disclose material facts about the property that the seller knows and the buyer could not reasonably discover. That duty comes from the common law, stated in Hill v. Jones (1986), and most sellers answer it on the Arizona Association of Realtors Seller's Property Disclosure Statement, the SPDS. A seller who knew about a cracked slab, a leaking roof, prior flooding, or unpermitted work and said otherwise, or said nothing, may be liable for nondisclosure, misrepresentation, or fraud, and an as-is clause does not excuse concealment of a known defect. Fraud claims generally carry a three-year period under A.R.S. § 12-543, measured from discovery, and written-contract claims six years under § 12-548. If the house and the disclosures disagree, you may have a claim.
What Blueshoe does
The groundwork, in order, before you decide anything.
- 01
Compare the SPDS to the house
Every line of the disclosure statement set against what you found: the inspection report, repair bids, photos of patched or painted-over damage, and the permit record. The gap between what was disclosed and what the house shows is the claim.
- 02
Establish what the seller knew
Prior repair invoices, insurance claims on the property, neighbor accounts, listing photos, and the seller's own renovation history. Knowledge is the element these cases turn on, and it is proven from records that existed before you moved in.
- 03
Sort the responsible parties
The seller first, then the listing agent, the inspector, or a builder, each under a different duty and a different clock. A builder's exposure runs through the eight-year repose period in A.R.S. § 12-552 and the notice process in § 12-1361 et seq.
- 04
An attorney can take it forward
A licensed Arizona attorney can review the file, send a demand with the evidence attached, and file in superior court if the seller will not respond, on terms stated in writing first.
What the law says
What the law says about seller nondisclosure in Arizona
What must a seller disclose in Arizona?
Known material facts about the property that a buyer could not reasonably discover. Hill v. Jones (1986) established that duty under Arizona common law, and it applies whether or not the seller filled out a form. The Arizona Association of Realtors SPDS is the customary vehicle, and a false answer on it is evidence of what the seller knew.
I bought the house as-is. Does that end it?
Usually not. An as-is clause tells the buyer to accept the property's condition as it can be observed; it does not license a seller to lie or to hide a defect the seller knew about. Arizona courts have declined to let as-is language shield fraud or nondisclosure of known material defects, so the question remains what the seller knew.
How long do I have?
Fraud and nondisclosure claims generally carry a three-year period under A.R.S. § 12-543, measured from when you discovered or reasonably should have discovered the defect. Claims on the written purchase contract run six years under § 12-548. Claims against a builder face a separate eight-year repose period under § 12-552, so the dates should be read together.
Write down the date you first noticed the problem and what you saw. The limitations period is measured from discovery, and that date is contested in nearly every one of these cases.
What can I recover?
The cost to repair the defect, or the difference between what you paid and what the house was worth with the defect, plus related losses such as temporary housing. In a contract action, A.R.S. § 12-341.01 lets a court award attorney fees to the successful party. Where the concealment was deliberate, punitive damages may be available.
Can I go after the agent or the inspector too?
Sometimes. A licensed agent who knew of a defect owes disclosure duties of their own, and a complaint goes to the Arizona Department of Real Estate alongside any suit. An inspector's liability is usually bounded by the inspection agreement, which often limits damages to the fee paid, so read it before counting on that claim.
What it costs
Free to ask. A flat fee, quoted before any work.
Asking costs nothing, and a licensed Arizona attorney can review your situation before you decide anything. If you engage Blueshoe, the fee is a flat amount set out in a written engagement agreement before any work is billed. Some matters resolve with one letter; others need a filed claim; you know the price for each before you commit.
- Free to ask
- Written assessment before any fee
- Engagement terms in writing
- No billable hours
Questions people ask
If it is a safety issue, make it safe, but photograph and document everything first and keep the damaged materials where you can. Repairing before the seller has had a chance to inspect can weaken the claim; a written notice inviting inspection before work starts protects you on both fronts.
More under Home
- Contractor disputesA contractor who took the deposit and stopped showing up, a remodel that failed inspection, a new home with cracks in the slab.Read more
- Home insurance deniedMonsoon roof damage called wear and tear, a water loss denied as long-term seepage, an estimate half of what repairs cost.Read more
- HOA disputesA fine without notice, an assessment lien, a denied paint color, rules enforced against you and not your neighbor.Read more
Legally reviewed by Catherine O’Grady, State Bar of Arizona No. 011647
Managing partner & chief compliance officer · 30+ years in practice · Reviewed 2026-10-08 · Full bio →