Selling your home is a big step to take. You may be eyeing a bigger property to accommodate a growing family, relocating for a new job or just looking for a change of scenery.
An important part of the selling process is disclosure to potential buyers. Failing to do so could cause you problems, so it is important to be thorough.
What do you have to disclose to buyers?
In New York, home sellers are required by law to disclose information about their home’s condition to buyers. This includes:
- Material defects: Sellers must let buyers know about material defects and property damage that occurred in a home. This covers fire or smoke damage, rot and water damage, pest infestation and structural wear.
- Hazardous materials: Another important disclosure is if the home is dealing with contamination from materials that are hazardous to one’s health. Sellers should disclose if a home has asbestos or lead within the building. They should also inform buyers if there are nearby properties that seep petroleum products into the home’s soil or store dangerous chemicals.
- Disaster risks: Another point sellers need to disclose is if the home is located in a floodplain. This could render a property vulnerable to flooding and water damage.
- Possible title disputes: The law requires sellers to inform buyers if other parties have leases on the property, claim to own it or have made legal claims challenging its ownership. They should also let buyers know if there are features shared with nearby properties.
Disclosures are made to the best of your knowledge. However, lying during the disclosure process could jeopardize a real estate transaction or cause a home buyer to take legal action against you.
If you plan on selling your home, it is important to fulfill your due diligence when it comes to disclosing information about the condition of your home to buyers. This can help you avoid legal problems and improve the success of your transaction.
