Here's what I'm up against.
I've made an offer on a home and it was accepted. Subsequently I discovered the property as represented by the seller's agent, and as confirmed by the seller to be the seller's property, encroaches by quite a sizeable sum into municipal land. The entire property is fenced, together with the encroached area. In the disclosure statement the seller signed off that "no," there is no known encroachment.
Presenting this information to the seller's agent, the agent said the seller will have to confirm the situation. This was yesterday afternoon and I have yet to hear back. Meanwhile, the agent has decreased the listing's land size to reflect the actual survey figures and not a manual approximation going by the fenced property. The reduction in land size is in the magnitude of 15%.
To recap I have an accepted offer on Land + Home @ $X. But now the listing is Land - 15% of its square footage. So what do I do? What is my recourse? Is the accepted offer price now ethically supposed to be reduced by 15% of the land value portion of the property, perhaps even more considering the nature of the listing has changed and perceived value has been significantly impacted?