Selling Your Tamaqua Home? The property condition report is your friend

When property condition reports first came on the scene years ago, some brokers and agents were sure they’d lead to nothing but lawsuits. And of course, they were right. But only if the homeowners failed to answer all the questions truthfully. When answered truthfully, the property condition report is your protector.

 

Filling it out can be a nuisance, especially if you’re having to think back several years. But doing it well is a great protection for you as a seller.

 

I've heard sellers say "If I disclose (fill in the blank) buyers might shy away." That may be true. However, failing to disclose can and usually will come back to bite that homeowner – hard.  

 

If the buyers experience problems over an issue you failed to disclose, they could sue you for misrepresentation, and the financial damages could be severe. Even if they never have a problem, if the neighbors know about it and tell the buyers, a legal hassle could ensue. You know how neighbors love to talk.

 

In one case that I heard about, the sellers failed to disclose that the septic system was failing. In fact, they attested that it had been checked and found in good working order. When the buyers had to replace the system within the first year, they sued – and they won triple the cost of the new septic system.

 

Another case, which made the news because the sellers were movie stars, told the tale of a cover-up. Rather than have repairs made, the sellers covered up the fact that a skylight was leaking. It ended up costing them millions. Their “excuse” was that the problem existed when they bought the house and was not disclosed to them.

 

So disclose completely. When you do, your buyers will go into the transaction with their eyes wide open, and they can never come back on you for it because they will have signed the document stating that they were informed prior to the purchase. If they and/or their agent didn’t read it before signing – that isn’t your concern.

 

If you aren't sure whether an issue must be disclosed – such as a death in the house or the presence of a ghost – talk with your agent. Each state has its own rules regarding these "psychological" conditions, and those rules are subject to change. Of course, even if the law says you don't have to disclose, you should answer honestly if the buyer asks. (Remember the neighbors.)

 

If you really can’t remember or don’t know, then say so. Check the box that says, in effect, "I don't know." Then it will be up to the buyer's inspector to determine whether there's a potential problem.

 

Stay safe – stay out of court. Disclose.

 

When you're ready to sell that Tamaqua home, call me. I'll be happy to provide a market analysis to let you know your home's value in today's market – and I'll let you know what issues must be disclosed.