While a real estate property deal is being closed, there are a number of conditions that have to be met and components that have to be looked into. There is a lengthy list of requirements that have to be covered in the standard disclosure form. Adherence to these requirements ensures that, as a seller, you will be able to close the deal without any penalties.
Since there are a number of aspects to be looked into, it is best to hire the services of an experienced real estate lawyer while you are closing a real estate deal. The legal firm will be able to give you the form that will generally be set up as a checklist and will have a space for all the details on the defects.
Things to Cover
It is always best to disclose all the defects that are important enough to actually affect a buyer’s decision to buy your property. The disclosure laws & forms cover a number of major home systems & conditions such as:
- Plumbing & sewage issues
- Roof defects
- Lead paint
- Water leakage, including in basements
- Termites/other insect infestations
- Foundation instabilities/cracks
- Property drainage problems
- Heating/air-conditioning system issues
- Problems with title to the property
- Neighbor issues that are not obvious
Generally, these forms are simple to fill out, but it is important that you read the form carefully and ensure that you give honest & accurate answers. There could be times when you have some doubts and need to clarify them and find that your real-estate agent is not very helpful. This is exactly why it is important to have the good real estate lawyer by your side. He/she will be able to answer all your queries regarding the closure and clear any doubts you may have.
What Happens if You do not Disclose
As a seller, if you do not disclose any known defects, the buyer can sue you after that defect is discovered. You may also be faced with the buyer’s demand for damages and repairs related to the defect. In case a settlement is not reached, the buyer may file a lawsuit against you. It is best to avoid these issues.