Many state laws require sellers to fill out paperwork regarding their knowledge of the house they are trying to sell. Though most agents and homeowners see disclosure as an irritation. These sellers would rather leave the buyers to figure out the flaws on their own and say very little. It may sound like a bright idea at the time, but down the road you wind up spending a lot more money.
Major problems could result even in the final phases of selling the house due to non-disclosure of defects. You could be forced to put the house in market after you lose the buyer or renegotiate the price of the house. Non-disclosure headaches don’t necessarily end there. They may probably continue for months or even years if it ends up in a lawsuit. An excellent business approach that will save time and money is self-disclosing if handled properly by carrying out pre-inspections and making the buyer aware of they are purchasing before the offer is made.
The following pointers are the benefits from self-disclosure:
Some sellers consider this as a crummy approach. If you are going to sell your house, why should you pay for the inspection? Just to make more money? An impressive selling price will get people in the door and possibly make an offer, nevertheless the buyer will have their own inspection. If the buyer finds that the roof needs resurfacing, they will either ask you for money or entirely walk away from the deal.
If buyer moves on, the house will go back on the market with a spot on the listing. Other prospective buyers will inquire what went wrong, and you will be expected to reveal this new issue. If the buyer asks for money, your final earnings will be lower than if you had already added the roof resurfacing price into the price and let prospective buyers know about the problem from the outset.
Give buyers the disclosure documents before they make a bid. Let them know about all the flaws that was recently fixed.
Your goal is to let the buyer know that they are working with a reasonable and honest seller, by disclosing these issues. You will more likely get your house sold quicker, and for the price you initially were asking for. Most buyers would be willing to pay more to have peace of mind, knowing you aren’t concealing flaws with the house. They will also feel more relief moving ahead even if there are a few minor flaws.
Nobody wants to be confronted with legal problems after the house has been sold. If the buyer feels regretful about their purchase or if the market slows, it is not unusual for them to go after the seller. To prevent such problems, ensure that the buyer signs off on all inspections and disclosures, and document any issues in writing. With known issues or disclosed problems this step is very vital.
You, as the seller, will finally lose when disclosed information about your house is not adequately handled. To ensure your own peace of mind treat your buyer properly and put yourself in their shoes. In the end, you are better off because no individual will appreciate surprises.