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CalAttorney2, Lawyer
Category: Real Estate Law
Satisfied Customers: 10244
Experience:  I am a civil litigation attorney with experience representing HOAs, homeowners, businesses and others in real estate matters.
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If a seller fails to disclose that a property is zoned

Customer Question

If a seller fails to disclose that a property is zoned commercial, and sells that property as a residence under a contract for deed, would that misrepresentation be enough to void the contract, considering the buyer is thus unable to obtain traditional financing for the property?
Submitted: 1 year ago.
Category: Real Estate Law
Expert:  CalAttorney2 replied 1 year ago.

Dear Customer,

Unfortunately, this is one of those issues that we cannot quickly and neatly answer for you on this "Q&A" forum.

The reason for this is that the way in which the misrepresentation was made is going to be analyzed very carefully, as will be the amount of due diligence that you did as a buyer.

With real estate transactions, many things are public record, and a great deal of the burden is placed on the buyer to investigate things such as the status of the title, zoning, and suitability of use, prior to purchase.

To counter these presumptions an attorney can help you evaluate the character of the representation made by the seller, the context that it was made in, and the relative experience of the two parties (for example, if you have one party that is a real estate professional and one that is not, there is going to be a presumption that the professional will have more experience and that representations made by them will have more sway over a non-professional).

I would strongly encourage you to speak with a local civil litigation attorney regarding your matter, where you can discuss all of these elements together and come up with a strategy to deal with the matter (negotiation, mediation, and litigation should all be on the table here), and help you come up with the most cost effective approach.

I do wish that I had a more satisfying answer for you, but I do want to provide you with an accurate one.

You can find local attorneys using the State and local Bar Association directories, or private directories such as;; or (I personally find to be the most user friendly).

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