Part of the home selling process includes providing a Seller’s Disclosure document when a buyer has made an offer which has been accepted. Disclosures are part of the process to ensure each party knows just what they are getting, or giving in the transaction. But what exactly must a seller disclose? There are some specifics to be followed as well as some gray areas, which can cause concern. RealtyTimes recently posted an in-depth review of the general intentions behind seller disclosures.
One thing to keep in mind is that each state has its own rules and processes for Seller Disclosures. Listed below are the key components of Illinois’ Residential Real Property Disclosure Act. By knowing what you are responsible for as a seller, you can complete this part of the process with ease.
· A seller of residential property must provide a completed Seller Disclosure document to a buyer prior to the signing of a sale agreement. This allows for any negotiations or contingencies to be established based on any known disclosures; before signing on the dotted line.
· Seller disclosures include any known material defects about a property. Sellers are not required to conduct further inquiries to seek for potential material defects. The disclosure form is based on what the seller knows at the time the document is completed.
· If an additional material defect does become known to the seller prior to closing, seller must provide a Supplemental Disclosure document.
· Material Defects refer to aspects of a property which are likely to have an adverse impact on the value of a property, or impose a potential health or safety risk. Material defects include structural, electrical, plumbing and fixture issues, as well as known illegal activities, or exposure to hazardous materials.
· If a seller has corrected material defects prior to listing a home, and believes an issue has been resolved, they are not required to list these former issues on the seller disclosure document.
· Once a seller’s disclosure document is received by the buyer, they have three days to rescind their offer. If a potential material defect is discovered by the buyer after occupancy, the buyer has one year to take action, if they feel the issue was known by the seller and should have been disclosed.
Ultimately, honesty is the best policy for seller disclosures. When you are ready to sell, or buy a home, you want to work with a Realtor® who genuinely wants to help you with all your real estate needs. My team and I are ready to put our expertise to work for you. Learn more at our website, DriscollProperty.com, then contact the Driscoll Properties Team at 847-533-6786 to help you discover the home of your dreams