Sunday, March 3, 2013

Do I need to disclose!

One of the most controversial questions in real estate today is do I need to disclose some issue on a property I am selling or I am representing as a Realtor? I believe the question is not do I disclose but what is my obligation to my client? What are my duties and responsibilities to the person I am representing?
My opinion only, as a long term Realtor, Broker and Mentor to literally thousands or Realtors is definitively, "Yes! You should disclose!"
In they press for several years a competent legal expert has stated, in a well know newspaper that you should not disclose as the statement of disclosure might lead to legal actions due to some perceived error in the disclosure of the truth.
In some cases there have been issues that may not be a simple decision as to whether they need disclosure. Some one dies in a home. Is it necessary to disclosed? The home had a foundation that leaked but I fixed it professionally. Should I disclose? My Neighbour is a bad person and difficult to live next to. Must I disclose?
The fact of the matter is simple in my mind and that of Mark Weisleder well known Lawyer and real estate lecturer, you should disclose truths know by the seller and you, the Realtor, simply to prevent a lawsuit. One duty of a Realtor is the Duty of Competence, a Competent Realtor will tell any seller they must disclose any Latent Defect for a property, something that a willing Buyer would want to know in order to make a reasonable decision of the property's  utility for them and the amount they would offer to purchase the Proeprty for. To me this is a simple act and decision for any property I represent, disclose known defects in writing and before any offer decision.
Yes, my client may be sued if his disclosure statement is inaccurate, but he will be sued if he does not disclose a known issue of importance for a property. The defense is much simpler when the disclosure is done in a well intended, accurate manner. So, in my, non lawyer but Realtor opinion, disclose!

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