Location: Eustice, Texas
I know that depending on jurisdiction it can be possible to convert a garage into a "living space" provided certain requirements are met. My question is about a specific circumstance I almost was just bamboozled by.
The home is listed as 3100 sq ft on redfin and MLS and the seller is representing it as such claiming that it is far below the average sale price per sq ft in that area. However according to the tax assessor the home is only 2325 sq ft which puts it far above the average price per square foot in that area.
It turns out they were counting the garage as living space. It is a nicely finished garage but the garage door is not insulated, the floor is not raised, there is an exposed hot water heater in it, etc. And I think most importantly the garage is not considered a living space by the tax assessors office.
Luckily I discovered this before we entered into a contract but I wonder if this sort of misrepresentation is allowable and what would have happened if I found out after I entered the contract? Could I have argued the contract was fraudulent or would I have had to back out and lose my earnest money?