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Yes, you may be able to sue a real estate agent for misrepresentation in Massachusetts if the agent made a false or misleading statement, withheld material information they had a duty to disclose, and you suffered financial harm as a result. Depending on the circumstances, claims may involve misrepresentation, breach of an agent’s duties, or Massachusetts consumer protection law.
Real estate transactions involve major financial decisions. When inaccurate information from an agent influences your decision to buy or sell property, you may have legal options for recovering your losses.
What Counts as Real Estate Agent Misrepresentation in Massachusetts?
Misrepresentation generally involves providing false or misleading information about a material fact. An agent does not necessarily have to make an outright false statement. In some circumstances, failing to disclose important information can also create liability.
Massachusetts imposes professional standards on licensed real estate brokers and salespersons. For example, state regulations prohibit brokers from using false or misleading advertising. Massachusetts guidance also explains that real estate licensees may be responsible for incorrect statements and failures to disclose relevant information under the state’s consumer protection rules.
Potential examples of misrepresentation include:
- Claiming that a property has no known water problems despite knowing about recurring basement flooding
- Providing inaccurate information about a property’s condition, construction, or needed repairs
- Failing to disclose a known zoning violation or structural problem
- Misrepresenting financing terms or other facts that could influence the transaction
Whether a particular statement or omission creates liability depends on what the agent knew, what they represented to you, and how the information affected your decision.
Do Massachusetts Real Estate Agents Have to Disclose Property Defects?
Real estate licensees have disclosure obligations that differ from those of ordinary private home sellers. Massachusetts guidance states that a seller’s agent must disclose known material defects to potential buyers. Examples can include roofing problems, wet basements, zoning violations, underground oil tanks, and structural problems.
Agents must also disclose whom they represent. Massachusetts requires a written agency disclosure at the first personal meeting with a prospective buyer or seller to discuss a specific property.
However, these rules do not mean that an agent is responsible for every defect discovered after closing. The facts surrounding what the agent knew, or reasonably should have known in some contexts, can be important when evaluating a claim.
Can Misrepresentation Violate Massachusetts Chapter 93A?
Yes. Misrepresentation by a real estate professional may qualify as an unfair or deceptive practice under Massachusetts General Laws Chapter 93A. The law gives consumers a potential avenue for seeking relief from unfair or deceptive conduct in the marketplace.
Chapter 93A can be particularly important in real estate disputes because it may apply to misleading statements as well as material omissions. Depending on the circumstances and the nature of the violation, available remedies can extend beyond ordinary compensatory damages.
Before filing a consumer claim under Chapter 93A, you generally must send the prospective defendant a written demand for relief at least 30 days before filing suit. The letter must reasonably describe the unfair or deceptive conduct and resulting injury. Failing to meet this requirement can jeopardize the claim. Limited statutory exceptions apply.
What Do You Need to Prove in a Misrepresentation Claim?
The exact requirements depend on the legal theory involved. Generally, a successful case requires more than showing that an agent provided incorrect information.
You may need evidence showing that the representation concerned a material fact, that you reasonably relied on it, and that the misrepresentation caused you financial harm. Documents such as property listings, emails, text messages, inspection reports, disclosure forms, and purchase agreements can help establish what information was provided before the transaction.
The agent’s role matters as well. Massachusetts recognizes different brokerage relationships, including seller’s agents, buyer’s agents, and facilitators, and their obligations can differ.
What Damages Can You Recover From a Real Estate Agent?
Recoverable damages depend on the claim and the financial consequences of the misrepresentation. For example, a buyer may incur repair expenses or experience a loss in property value after discovering that the property’s true condition differs significantly from what was represented.
Chapter 93A may provide additional remedies in qualifying cases, including attorney’s fees and, for certain knowing or willful violations, multiple damages.
Talk to a Massachusetts Attorney About Real Estate Misrepresentation
Discovering that important information about a property was misrepresented can leave you facing costs you never expected when you agreed to the transaction. Determining whether you have a claim requires reviewing what was said, what should have been disclosed, and how the conduct affected you financially.
At LaFountain & Wollman, P.C., we can review your real estate dispute and explain the legal options available under Massachusetts law. Contact us today to discuss your situation and determine your next steps.