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Selling a House With Foundation Problems: What Must You Disclose?
Yes, you can sell a house with a foundation problem, as long as you disclose it. In Quebec, the seller must complete the “Déclarations du vendeur sur l’immeuble” (seller’s declarations) form and disclose known defects. A sale “without legal warranty” does not protect you if you knew about the problem and did not say so. Repairing before you sell is not mandatory, but documenting the situation is.
This guide is general information, not legal advice: for your own file, speak to your real estate broker and your notary. The legal facts below come from two Protégez-Vous texts, both in French: Vendeurs, quelles sont vos obligations de divulgation? (written by the OACIQ, the real estate brokerage regulator, 2024) and Acheter une maison sans garantie légale, ça veut dire quoi? (Florence Dujoux, 2022, with notaries and the OACIQ).
What Must You Disclose When Your Foundation Has a Problem?
Any known defect that could affect the value or use of the property. The OACIQ explains that the seller’s declarations form is completed with your broker and covers, among other things, water damage and renovation work. It is part of the brokerage contract and must be given to every interested buyer and to their building inspector.
If you repaired the foundation, prepare the proof. The OACIQ requires that information given about the property be verifiable and documented, and gives invoices, plans, specifications and permits as examples for renovations. If essential information is not disclosed, the seller can be held liable and the buyer can take action against them.
Is a Foundation Problem a Latent Defect (Vice Caché)?
Often, yes. Protégez-Vous even gives a crack that affects the strength of the foundation as an example. To qualify as a latent defect (vice caché), a flaw must meet four criteria:
- Major: had the buyer known, they would not have bought, or would have negotiated a lower price.
- Hidden: a prudent and diligent buyer could not have spotted it in an ordinary visual inspection.
- Unknown to the buyer: if the seller disclosed it, the defect becomes apparent.
- Existing at the time of sale: at least its cause existed while you owned the home.
Two practical consequences. First, disclosing the problem protects you: a defect the buyer was told about is no longer a latent defect. Second, the seller is liable for a latent defect even if they did not know about it at the time of sale, unless the warranty was excluded (next section).
What Does Selling “Without Legal Warranty” Mean?
In Quebec, the sale of an immovable includes the legal warranty unless stated otherwise. The parties may reduce or exclude the warranty of quality, the one that covers latent defects. This must be mentioned from the moment the property is listed and clearly stated in the seller’s declarations, the offer to purchase and the deed of sale. A professional seller, such as a builder or developer, cannot exclude or limit this warranty.
The limit to remember: the words “without legal warranty” do not release a seller who knew about the defect and did not reveal it. According to Protégez-Vous, false statements or silence about essential information amount to fraudulent misrepresentation, which can lead to cancellation of the sale or a price reduction, possibly with damages.
What Remedies Can the Buyer Have?
The warranty against latent defects allows a claim within three years of discovering the defect, after a formal notice sent to the seller within three to six months, according to Protégez-Vous. Depending on the situation, the buyer can obtain:
- a price reduction, the most common remedy;
- reimbursement of the work needed to repair the defect;
- cancellation of the sale, rarely granted;
- damages, only if it is shown that the seller knew of the defect and did not reveal it.
Should You Repair the Foundation Before Selling?
There is no single answer, and no reliable Quebec source puts a figure on how a repaired or unrepaired foundation changes the sale price. Here is what changes in practice in each case:
| Question | Repair before listing | Sell unrepaired, with full disclosure |
|---|---|---|
| What you disclose | The problem and the work done, with invoices, report and written warranty | The known problem, ideally with a specialist’s report and repair quotes |
| What the buyer has to judge | The quality of the repair and what the warranty covers | The cost of future work, which they will often want reflected in the price |
| What you pay | The work, before the sale | Nothing upfront, but tougher negotiation |
| What to watch | That the cause was fixed, not just the crack | That the disclosure is complete: silence about a known defect is not covered by a sale without warranty |
What Should You Do Before Listing?
- Have the foundation assessed by a specialist to learn the cause and the severity. See what to expect during an inspection and our guide When Is a Foundation Crack Serious in Quebec?
- Get repair quotes, even if you decide not to repair: they help the buyer measure the problem. Our article on how to finance foundation repairs covers assistance programs.
- Disclose in writing, with your broker, in the seller’s declarations form.
- Keep the paperwork: invoices, the inspection report, the contractor’s written warranty and, if there is one, whether it transfers to the buyer.
- Talk to your notary or broker before adding a “without legal warranty” clause, which has consequences your broker must explain to you.
Marco Réparation de Fondation visits in person for every estimate and every job site inspection. The company holds a valid license from the Régie du bâtiment du Québec (RBQ No. 5775-3246-01) and serves Montreal, Laval, the South Shore (including Longueuil and Brossard), the West Island and Salaberry-de-Valleyfield. See our crack repair page, or our epoxy vs. polyurethane comparison to understand what a quote may contain.
Thinking of selling and worried about your foundation?Contact Marco Réparation de Fondation for a free inspection and an honest opinion on the state of the foundation.
Frequently Asked Questions
Do I have to repair my foundation before selling?
No, the law does not require it. What it requires is that you disclose known defects. Repairing, or at least having the problem assessed and priced, gives the buyer facts instead of worries.
Can I sell without legal warranty if my foundation is cracked?
You can add the clause, but it does not protect you if you knew about the problem and did not reveal it. Declare the crack in the seller’s declarations form, whichever clause you choose.
What if I did not know about the foundation problem?
Without a warranty exclusion, the seller is liable for a latent defect even if they were unaware of it. With a sale without legal warranty, the buyer in principle has no remedy for a defect the seller did not know about. Confirm this with your notary.




