Real estate venders are obligated by law to inform potential home buyers about anything that may reduce the value of the real estate that they are selling. Failure to comply with this could result in the real estate vender being arrested, sued, and convicted for fraud.
As a real estate vender, you are not excluded from observing the relevant disclosure laws because you are ignorant of any issues, or you are selling your real estate “as is”. Hence, it is essential to know all of the mandated real estate disclosures before selling. Complying with the law will protect you and avoid the possibility of losing your real estate.
Here are a few factors you are obliged to disclose as a real estate vender:
- DISCLOSURE OF DEATH ON REAL ASSETS:
This law ensures that real estate purchasers who are skeptical about acquiring a building which someone else has passed on are protected. These disclosure requirements may be different in different states and countries. For instance, Texas exempts death disclosure on natural grounds, or if it is triggered by accidents or suicides that are not connected to the real estate. However, the law demands that real estate venders disclose any death that took place concerning the property. This means that the importance of disclosing findings if the law of your state demands that you inform buyers about this cannot be understated. Compliance with disclosure requirements will protect the vender from facing legal consequences that may involve them from losing their real estate.
- DISCLOSURE OF NEIGHBORHOOD NUISANCE:
Any odor or noise that may make the real estate buyer uncomfortable is considered a nuisance. For instance, if you are in North Carolina, you are obliged to disclose smoke, odor, or noise from either a military, manufacturing or profitable source that has a significant impact on the real asset. Michigan, however, obliges real estate venders to disclose operations on a farm, shooting ranges, landfills, farms, or any other nuisance that affects your real estate. The best thing to do here is to carry out proper research on the disclosure requirements in your area. If you are not sure if you are obliged to disclose a matter, it is always better to play safe and disclose it. This will help you stay clear of any legal implications that may arise out of ignorance. Visit Homeflippers to learn more.
- DISCLOSURE OF HAZARDS:
Real estate venders are obliged to disclose any known potential risk of the property being exposed to environmental pollution or a natural disaster. You should find out what the jurisdiction you live in considers as hazards in this category. For instance, several states in the US see asbestos, radon gas, toxic waste, and lead-based gas as hazards; therefore, real estate venders must disclose these to purchasers. Other states, may not categorize them as hazards worthy of disclosure. Real estate venders are often obliged to disclose if their real estate is situated in a wetland, an agricultural district or a flood plain.
In conclusion, while real estate venders must not only comply with state real estate disclosure requirements; they must comply with federal requirements as well. If you do not know what all the disclosure requirements are, you should seek professional advice from real estate agents or lawyers.
