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Seller Fails to Disclose
Dear Phyllis,
I look forward to your column and think this question is new. Is not providing real estate disclosures normal? We are in escrow. The seller says she will not provide certain disclosures, as her children occupied the home while they attended college and then for several years by tenants. The seller says she has not seen the home for nearly 20 years. Thus, she can’t answer all of the questions on the Transfer Disclosure Statement. My Realtor insists she is required by law to complete the real estate disclosures, so we are at a standstill. I plan on hiring an inspector and really want this home. Now I am wondering if she is trying to hide something. What happens when the seller fails to disclose? GS
Dear GS,
California law requires most home sellers (other than institutional sellers) to disclose any facts or defects that materially affect a property’s value or desirability. Sellers typically use the Transfer Disclosure Statement (TDS) and Seller Property Questionnaire (SPQ) to provide this information in a standardized format. By making full disclosures, sellers can reduce or even eliminate the risk of future legal disputes.
Because this seller has not lived in the home and has not seen it for many years, I understand her concerns and possible confusion. However, her real estate agent should help her complete the disclosures to the best of her ability. If the seller refuses to complete the required disclosures, she violates California law.
I strongly recommend that your Realtor submit a written request for a list of all repairs and maintenance performed while the property was a rental.
If the seller had a management company, this information should be readily available. If not, the seller should have had all of this itemized for income tax purposes. The seller’s response should be in writing, and this information should be provided to your home inspector during the inspection.
Congratulations on your new home!
Call Phyllis @ 818 790-7325 or email her at [email protected] with your real estate questions.
