Final answer:
The seller who misrepresented the age of the furnace to the agent, and thereby to the buyer, would typically be held liable for misrepresentation or fraud. The agent might also share some liability if they had a duty to verify such claims and did not. It is recommended for the buyer to seek legal advice.
Step-by-step explanation:
When a seller misrepresents the age or condition of a home's furnace to an agent, who then unknowingly passes that information to a buyer, and the buyer discovers the truth after closing, the primary liability typically lies with the seller.
In real estate transactions, sellers have a duty to disclose known defects and to provide accurate information. If the seller intentionally misled the agent and ultimately the purchaser, the seller may be liable for misrepresentation or fraud.
However, if the agent had a duty to investigate the claim and did not, the agent could also be held liable to some extent.
The purchaser may have grounds to seek legal remedy through rescission of the purchase contract or monetary damages.
It is wise for the purchaser to consult with a real estate attorney to understand their rights and possible actions.