Whenever you want to sell a property, there is certain information that you need to provide to your buyer. That is also known as disclosure information. A disclosure document usually helps the seller and the buyer and might vary in content based on local laws. At the same time, if the seller conceals important information willingly, they can be convicted. Of course, unless you are withholding essential details, the document does not require you to disclose information such as home improvements you made to raise the value of your home. So, because not many people know what facts you should disclose when selling your home, we compiled a list of the most significant ones. Continue reading to see what you should include in your disclosure document to avoid any issues.
1. Death on the property
Medical information about previous owners is not information that a seller should disclose. But, if the previous owner had a disease that led to their death not more than three years ago, you need to inform your buyer about that death. Many buyers are superstitious and might want to avoid properties that have a death story related to them. Of course, some might not even be concerned about it, as long as the death has occurred by natural circumstances.
However, if there was a violent death or a fatality caused by the property’s condition, include that information. For instance, if someone drowned in the pool because there was no safety fence, you need to mention it. It is far better to be open about what may have occurred on the property. The buyer will find out anyway by chatting with the neighbors. And then, you may be dealing with more significant issues.
2. Neighborhood disputes
If you had any type of dispute with neighbors, you must disclose that information. Any neighborhood dispute or boundary issues that appear to be harmless misunderstandings at the time can suddenly turn into a major headache. Imagine a future homeowner realizing that they may lose a portion of their land soon after purchasing it or that they must go to court. That might cause issues for you as well, so avoid such situations. Be honest about the situation and mention these issues in the disclosure document. Buyers will appreciate knowing what they might be up against in the future and be willing to take on the challenge.
Pests are one of the things that fail a home inspection and that you should include in your disclosure document. Of course, if you know you have a pest problem, you would want to remedy it before selling your house. However, sometimes it can happen that the problem is not necessarily in your home but in the ones around you. For example, if you live in an apartment and don’t have pest problems, but your neighbors do, you should inform your prospective buyer. Yet again, we advise that the buyer finds out directly from you that there might be problems in the future rather than finding out from others.
4. Nuisance in the neighborhood
A nuisance is somebody or something that causes inconvenience to people around them. For instance, a noisy neighbor can be a nuisance. Also, an odor in the neighborhood or a factory that produces a lot of smoke can be a nuisance. In addition, animal farms, landfills, airports, military bases, shooting ranges, or building sites in the vicinity can be problematic for a future owner. As a result, if the home you are selling is close to such a bothersome source, that is one of the facts you should disclose.
5. Possible hazards
If the property you are selling is in an area prone to hazardous events, prospective purchasers should be made aware. For example, if floods, earthquakes, hurricanes, heavy snowfall, or other natural calamities are possible, you should highlight them. Also, if there were any in the past that caused damage to the property, you should mention it. We advise you not to conceal damage by doing repairs that won’t last and may cause problems in the future.
At the same time, you must state whether hazardous materials are present in the home. For instance, some houses built during the ’70s might have lead paint. And, even if you removed the lead paint, you still have to state that it was present in the home. Also, if asbestos might be present, you have to mention it in the disclosure document. Because asbestos is known to have long-term harmful effects on health, it is better to notify all prospective buyers if you suspect it is present in the home.
6. Items that are missing
When you buy a house, you expect it to come with some necessities. Some examples are light fixtures, air conditioning, a heating system, or rain gutters. Some people even expect kitchen appliances and fitted blinds in their new homes. Therefore, missing items are one of the main facts you should disclose when selling your home. To make things easy for yourself, prepare a list of the items missing from the property to show potential buyers. In addition, you can also prepare a list of other essential items found on the property that can impress the buyer and compensate for the missing ones.
7. Essential information about the property
You need to inform any potential buyer if your property is part of a Homeowner’s Association. Such organizations typically charge a monthly fee and have rules that homeowners have to follow. Therefore, some buyers might not want to get involved with such an association. Also, if you made any changes to your property without getting permission from the government, your buyer has to know. As for the changes that you made with authorization, you need to be able to provide all the necessary certificates.
Moving after the sale
Selling your home can be a great challenge and you could go through different emotions. Once the sale is finalized, you will need to deal with the logistics of moving to a new place. If you are planning to relocate somewhere else in Canada after the sale, you might want to get the help of a trusted team. Making a long-distance move can be a lot to handle, so hiring movers that have years of experience could be the best decision for you and your family. Doing so will let you deal with the sale and the move in a much more organized and relaxed way.
Local laws outline all the facts you should disclose when selling your home. As a result, if you are unsure about what to include or exclude from a disclosure document, some research on the regulations can help you out. However, if you don’t want to deal with legal issues and paperwork, you can always hire a local real estate agent. Reputable agents are familiar with all property-sale requirements and can handle all the grunt work for you.