Sellers: What do you need to disclose to potential buyers?
Everything! No seriously, you should be letting buyers know about any defects, improvements, or issues you have had during your time at the home. Why am I so adamant about this? Because being forthcoming and honest on the sellers property disclosure can protect you from future lawsuits.
Story time: Years ago a seller failed to mention that the attic has been damp during rainfall and they have seen evidence of mold at one time. The buyer had an inspection and unfortunately for that buyer, the year had been incredibly dry so the inspector did not note any issues with condensation or dampness in the attic. Fast forward to 3 months after the buyers moved in and numerous storms rolled through MN and the new homeowner discovered that the attic was wet…very wet and musty and stinky. The new homeowner pulled out a bunch of the sopping wet insulation only to discover mold hidden behind it. The new homeowner hired a mold specialist to come in who determined that this was a problem that had been occurring for years and years and had been hidden behind new insulation and plastic. What do you think happens now? The new homeowner is MAD and wants an explanation from the previous sellers as to why they did not tell them about the moisture issues and tried to hide it. After months and months of legal drama and lots of money, the previous homeowners were found to be at fault and were required to pay the new homeowners expenses for having the mold removed and the entire attic redone as well as other various fees they incurred as a result of their omission. The moral of the story is be honest. Even if you think the information is detrimental to the sale of your home, you are much better off (morally, financially and otherwise!) to be upfront and honest with any situation that has occurred at the home than to try to hide it and have to deal with the possibility of future trouble.
On another note, if you find yourself feeling like you are having to disclose too many negative things, it may be time to spend some money to correct these items so you can note on the disclosure that certain items were repaired…bonus points for you!
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