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I bet the hardwood and carpet were new. I bet there were put in to cover up previous damage. Once hardwood gets wet like this, it's almost impossible to fix it without replacing it. When you tear up the hardwood check the state of the subfloor. If it's rotten then you can bet it's been happening for a while. In such a case, the previous owner was a stuppid ass and clearly knew that the heater was leaking. He had to put in new floors to cover up the the damage but decided to save himself a few thousand by not adressing the real problem.
This is just a guess, but in my line of work I see shit like this all the time.
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