It is definitely a "failure to disclosure". The total repair was $1800 plus one month worth of rent of $2200. Is it worth hiring a real estate attorney? should I just go to small claims court?
Thanks both for your professional opinion!
Given the amount in controversy, and if you are comfortable with doing so, you should likely go the small claims route.
You should familiarize yourself with the procedure on how to get documents and photos in evidence.
You may need the person who made the repairs to testify about what was done.
We have made several attemps reaching out to the listing agent (who was also the property manger for the last three years). The tenants said on their last walk through on 10/31/12, they specifically mentioned the leaky roof to the listing agent againi, and she said she would have one of her guys looking at it. The most damaging evidence is the "Facebook" conversation where seller acknowledged tenant's complain about leaky roof, and asked the tenant to contact the property manager to get it fixed. However, none of this issue was mentioned in the purchase contract. The listing agent claim the guy who the tenants contacted for repair at the property management company was an independent contractor and has passed away a few months back, and the listing agent (also the owner of the property management company) claimed no repair records was found in their file. I would like to report the agent to CA Dept of Real Estate.