A Facebook Post Ruined This Home Sale on Settlement Day

In Episode 3 of The Fitze Is Right, Maryland realtor Jen Fitze shares two stories that will change the way you think about selling a home — one about a Facebook post that destroyed a deal on settlement day, and one about what your agent legally doesn't have to tell you.

A house in Jen's parents' neighborhood in Parkville, Maryland had a water line burst from the refrigerator. Water was literally pouring out of the house. The owner came home to $60,000 in repairs. The entire main level was destroyed.

A couple years later, the homeowner decided to sell. One problem — they never disclosed the water damage. It wasn't in the disclosures. It wasn't in the listing. They acted like it never happened.

Then the buyer did what every buyer does — they went and stalked the seller on social media. Found their Facebook page. Scrolled through old posts. And there it was — photos and posts about the water damage, the $60,000 in repairs, all of it documented on Facebook for the world to see. The buyer had no idea until that moment. None of it had been disclosed.

When settlement day came, the buyer sat down at the table and said three words: "I'm not buying." The seller had already moved out. Moving trucks were loaded. Possibly already purchased another home. They had to move everything back in. The entire sale collapsed — all because of a Facebook post and a missing disclosure.

But Jen doesn't stop there. She breaks down exactly what disclosures are, what sellers are legally required to tell buyers, and what happens when they don't. From a Walmart being built near your neighborhood to a road widening that eats half your front yard — if it affects a buyer's decision, it has to be disclosed. Period.

Then the episode takes an unexpected turn. Jen reveals that in Maryland, you do NOT have to disclose if someone died in a house. And she shares the story of listing a home where the previous owner — a doctor — was found in the garage. She refused to step foot in that garage. And she didn't have to tell a soul.

In this episode you'll learn: → What disclosures are and why they can make or break a home sale → How a Facebook post gave a buyer the leverage to walk away on settlement day → Why buyers should always check a seller's social media before closing → The things sellers try to hide and how they get caught → What happens legally when you don't disclose known issues → What your agent is and isn't required to tell you about a property's history → Why Jen gives every seller "homework" before listing their home

New episodes weekly. Follow Jen Fitze on social media for daily real estate tips.

Thanks for listening to The Fitze Is Right with Jen Fitze... the real estate podcast that tells you what your agent won't.

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Got a real estate horror story of your own? We want to hear it. Send your story to @jenniferfitzecompassrealestate and Jen might read and react to it live on a future episode.

CONNECT WITH JEN: All socials @jenniferfitzecompassrealestate

WORK WITH JEN: Buying or selling a home in Maryland? Jen has over 20 years of experience helping families in Harford County, Baltimore County, and beyond. Reach out at jensellsmd@gmail.com

Transcript

The Buyer Stalked the Seller on Facebook

SPEAKER_01 0:00

The buyer went to go stalk the seller on social media, found their Facebook page, they saw about the water damage and all the water coming through and the $60,000 of repairs that it costs to fix this. And they're like, what the hell? They never told us any of this. Welcome to The Fights Is Rafe, where I tell you real stories about real estate

Intro: Welcome to The Fitze Is Right

SPEAKER_01 0:25

deals and all the things buyers, sellers, and even agents should know about before it's too late. There was a

Water Pouring Out of the House

SPEAKER_01 0:35

house in a in my parents' neighborhood in Parkville. One day my dad came outside and it's a split foyer type house. So like the top like overhung the front porch by like a foot or something. So he literally saw water pouring out of the house. Like water everywhere. And nobody was home. Like the person was at work or whatever, and he's like not knowing what to do. And so, I mean, I don't know if he called who he called fire department or police or whoever, but literally water everywhere. And it came to find out they the water line in the refrigerator, there was a little teeny slit in it, and water had been leaking, and it finally all just like came right. So the owner came home and it was like $60,000 in repairs to be done to the house. Yeah, it really was a lot

$60,000 in Repairs

SPEAKER_01 1:30

of money because the whole main level was all the things. A couple years later, they go to sell the house. And so my parents called, they're like, oh Jen, this whatever house is on the market. I was like, oh, so I go and I look it up, and then I go and pull the disclosures, and they didn't disclose that water was pouring through their house. Like, hello? Like, that is something that you have to tell people. Like, you can't just, I mean, if it was like

They Sell the House Without Disclosing It

SPEAKER_01 1:55

25 years ago, that's one thing. But like, two, and I'm gonna tell you how this bit them in the butt. And that this really affected them because when they went to go sell and they didn't disclose the water issue, the buyer found out about it because the buyer went to go stalk the seller on social media and found their Facebook page and went and was like looking through it because that's what everybody does when they're buying and selling a house. Let's be honest. And they saw that the about the water damage and all the water coming through and the $60,000 of repairs that it costs to fix

The Buyer Found Everything on Facebook

SPEAKER_01 2:35

this. And they're like, what the hell? Like, they never told us any of this. Like, this was not disclosed to us at all. So at that point in time, the buyer then, you know, went back and was like, hey, like, this is a big deal. Like, they can legit be sued, you know, for all the things and lose all this money, and you know, the whole sale of the house is gonna fall through because they didn't disclose it.

SPEAKER_00 3:02

Okay, so bring me through what happened. So this buyer goes by this house, the seller posts it on Facebook, the buyer sees.

SPEAKER_01 3:08

The buyer sees that she had posted all of like the the water and all the damage in the house, but then it wasn't disclosed when she went to go sell it. I mean, it legit was not anywhere in the disclosures. It was not in the listing. I called my parents and I was like, what is happening?

SPEAKER_00 3:23

So when they get to the settlement day, the buyer says, I'm not buying it.

SPEAKER_01 3:26

The buyer didn't the buyer didn't move. The buyer wouldn't buy the house.

SPEAKER_00 3:29

And the seller wouldn't admit.

SPEAKER_01 3:30

The seller, from what I understand, was like trying to do whatever they could to get it to go forward, but the buyer was like, no, I don't feel comfortable at this at this point. So this is just not gonna happen. Because what are they gonna do now? Like, it's fixed, but it's still like they lied about it by omission. I mean, they didn't they didn't necessarily lie, they just didn't say it. And they were already ready to move out, and they were already moved out, and so then the seller had to go and get move all their stuff back in.

SPEAKER_00 4:01

And did they already buy another house at that point? Like, or they were ready to get out of here.

SPEAKER_01 4:05

I don't know.

SPEAKER_00 4:06

That could have cost them like serious.

SPEAKER_01 4:08

Yeah, because if they already packed everything up and had moving trucks and they were buying another house and they had money in that invested in that house, and you know, mails changed and kids' schools changed, and you know, all the things, and now they gotta move back because they needed the money from the sale in order to buy. So that's what can happen. So that's what can happen. Everything can just fall apart. Always be truthful, always be upfront, always disclose, you know, when in

Settlement Day: "I'm Not Buying"

SPEAKER_01 4:30

doubt, just and don't post stuff on social media. Yeah. Please be very careful of what you're posting on social media.

SPEAKER_00 4:38

Can you explain to us just disclosures in general and the process for someone who's like a buyer-seller and has no idea?

SPEAKER_01 4:45

So a disclosure is anything that has happened in the house

"Always Disclose. And Don't Post It on Social Media."

SPEAKER_01 4:50

that you know of that you've had to have fixed, i.e., a tree falling through the roof, or you know, water coming up through the basement, you know, anything like major that you've had to like file insurance claims for, or even if you know, like the front window of your living room doesn't stay up, like when you put it up, it slams down. Like that's something that you know, you're walking through a house, you're not gonna know that. Um, and it's also something that you cannot be seen by the naked eye. So I always, you know,

What Are Disclosures?

SPEAKER_01 5:20

say if you look at a house on a sunny day and then you have an inspection on a sunny day, but then you move in on a rainy day, and rain's coming through the fireplace chimney into your living room. Like that is something that has to be disclosed. You also can't tear up your hardwood floor and have a little hole and use an area rug to cover it. Yes, me how I know this.

SPEAKER_00 5:42

How do you know that? What's the story there?

SPEAKER_01 5:48

Oh, yeah, foyer. They pulled after they moved in, they pulled up the area rugs that were left, and the hardwood floor is all gone.

SPEAKER_00 5:55

Nice. Do you do you see it a lot where sellers try to like get around disclosing things to try to save money?

SPEAKER_01 6:02

Um, I think that, oh, they'll say, well, the roof leaked like, you know, five years ago, but I fixed it, so I need to write it down. And I'm like, better safe than sorry, in my, you know, to me. But you also have to disclose if a so, like, up here in Bel Air, I don't know, 15 years ago or so, they were gonna put a Walmart, like right across from Bright Oaks, like right by Plum Tree. So that was gonna affect all those neighborhoods. So knowing that they were gonna put a Walmart there, you have to disclose that because anything that would affect a buyer's decision to buy a home needs to be disclosed.

SPEAKER_00 6:40

What if the seller wasn't aware though? Like, did it? That's fine. But if they could prove they knew it, then they would be correct.

SPEAKER_01 6:46

So, okay. Other and like up on um Moore's

A Walmart Nearby Must Be Disclosed

SPEAKER_01 6:50

Mill, they were widening the road. So all the houses that were on that road lost half of their front yards. So all the sellers knew that they were getting ready to widen the road, but then when they went to go put it up for sale, they have to tell the buyers that hey, that in six months they're gonna start widening the road.

SPEAKER_00 7:06

Would a good realtor, like if you're selling your house, do you think a good realtor is gonna tell you these things and help you disclose all of that?

SPEAKER_01 7:13

Oh, absolutely. Even me, even me as a realtor needs to disclose that.

SPEAKER_00 7:16

Yeah.

SPEAKER_01 7:17

Like you could get in trouble. I could get in trouble.

SPEAKER_00 7:19

What is the worst that could happen? Like if I chose not to disclose something.

SPEAKER_01 7:23

Then you could get sued. You can be sued by the buyer the buyers by both brokerages, you know, just a lot of money. No, just disclose it.

SPEAKER_00 7:31

So because they didn't disclose it, a buyer can get out of contract. Like you said, there's only specific ways that a buyer could just be like, I'm not buying the house.

SPEAKER_01 7:37

Like the tree lady couldn't just not buy that. Right, right, right. The disclosures are to be provided to the buyer be when they sign that offer

You Can Be Sued by the Buyer AND Both Brokerages

SPEAKER_01 7:45

so they can review them. And if they're not, they have five days from the date of signed contract to review them, and they can get out that way. But if they're given to them when they're writing the offer, which is 99.9% of the time done, then they don't even have to write the offer. That has to be disclosed. You can only get out from a contingency.

SPEAKER_00 8:08

What's the craziest things that your buyers have found on social media when buying a home from a seller's account?

SPEAKER_01 8:14

Well, you can find out if they're like what their position is, right? Like you can go and so like if a buyer goes in and is like, oh, let's oh, offer this, that, or the other, because oh, I can see on their social media that they're getting a divorce. Or they're like angry at each other, or oh, they are buying this house, you know, in Florida and they have to like sell really quickly to get to that house, or you know, whatever. Like it totally gives up, you know, your poker hand as a seller and you lose all negotiating power if you're putting all this out in the world.

unknown 8:47

Yeah.

SPEAKER_01 8:47

Even if you're private. Even if you're private,

What Buyers Find When They Stalk Sellers Online

SPEAKER_01 8:50

because people know people. It is small to more. Everybody knows somebody, and screenshots and sharing, yeah, no, it's never a good thing.

SPEAKER_00 8:59

So, what is your takeaways for a buyer, a seller, and a realtor separately from this?

SPEAKER_01 9:06

My takeaways are to always disclose everything and uh be very careful of what you're posting on social media because it will come back to bet you.

SPEAKER_00 9:17

As a realtor, how would you have navigated this? Like, let's say you truthfully you were the realtor for the seller and you really didn't know about this either. Like they didn't tell you, you truthfully didn't know. But then the situation comes up and you have the buyer on

Jen's Seller Homework Process

SPEAKER_00 9:30

the other side of the table. Like, if the seller was your client, what do you think you could have done to navigate this to make it go forward?

SPEAKER_01 9:36

I don't really think that there is a way to make it go forward. If I didn't know about it, if they didn't tell me about it, if they had told me, then it would have been in the disclosures.

SPEAKER_00 9:45

What's your process with disclosures with a seller? Like, do you do something specific to make sure you know all that information? Because I feel like sometimes the seller or the buyer might your clients sometimes don't know what they're doing.

SPEAKER_01 9:55

You know, like you're the. So I have like it's I have like seller homework. I think of either I either give them a paper form to fill out or I give them a Google form to fill out, and it's like, give me all the lists of updates you've done, the years they've done them, you know, any this, that, or the other. So that gives them a time to be like, oh, okay, we did it this and this happened and this happened. So that's when that usually comes out. But then there's also the required disclosures, and it has like three pages of do you have termite damage? You know, is there heat in every room of your house? Is there air conditioning? Do you have an HOA? Do you have like so it gives them the opportunity to share things and gets their brain thinking a little bit because they'll be like, oh, well, the septic didn't get I haven't pumped it in 30 years. So is that a problem? I'm like, yeah, that's a problem. We need to tell someone about that. Um so I just I'm just very detailed with my

"I Will Not Tell You If Someone Died in a House"

SPEAKER_01 10:50

walking people through the process. Walking people through. And I can't fill the forms up for them.

SPEAKER_00 10:54

No. So as a realtor, is that also a way you can cover your tracks? Like you said, if something wasn't disclosed and you knew about it as a realtor, you can also get in trouble.

SPEAKER_01 11:02

I can get in trouble too. Like if I knew about the Walmart going up, I have to tell people.

SPEAKER_00 11:06

But how can they prove you know, or or does the paperwork help realtors, you say, kind of prove what they know they don't?

SPEAKER_01 11:12

My mind, I know. I just I'm not that type of person.

SPEAKER_00 11:15

Not for sale.

SPEAKER_01 11:16

No.

SPEAKER_00 11:16

But how do you cover your own?

SPEAKER_01 11:17

But I will not tell you if someone died in a house.

SPEAKER_00 11:19

Why? What's the story time there? Let's end with that. What happened? No. Didn't you have someone that said, like, I will not buy a house where someone died in it?

SPEAKER_01 11:30

Yeah. Yeah. But I've had lots of lots of listings where people have died in it. I've literally sat on the couch, was sitting on the couch in my cellar's like, yeah, my mom died there. I'm like, oh my god. Really? Like on that exact couch right there.

SPEAKER_00 11:47

Great. Thanks. And it's now halted.

SPEAKER_01 11:53

No, I did have that guy, he hung himself in the garage. And you opened the garage door and he was hanging there? He was an anesthesiologist. He was a doctor, and he brought him whatever, and he and his wife was upstairs and she didn't know, and and they found out, and obviously they found out, and but then we went to go sell the house, and I refused to go in the garage. And you don't have to tell

Next Episode Teaser

SPEAKER_01 12:15

the I don't have to tell anybody. So now you know why I do what I do, and you've heard several of my crazy stories already. So tune in next time. I'm gonna go over realtor life and how it has changed in the last 20 years and how you need to adapt and shift with the market to be successful in this industry. So stay tuned.