The seller doesn't have the responsibility to disclose everything agout the house; however, whatever he disclosed has to be accurate. Since he made a mistake as to the living area of the house, you have the right to rescind the offer. As you mentioned that the house is a new construction, I assume that there is no record of the title of this house, which means you have no sources other than the information listed under MLS to find out the real living area.
Be firm. I don't think the seller is willing to bring this case to the court. His chance of winning the case is dim and the cost for a lawsuit is much higher than the deposit you have paid.
Be firm. I don't think the seller is willing to bring this case to the court. His chance of winning the case is dim and the cost for a lawsuit is much higher than the deposit you have paid.