Selling a house can be a stressful process, especially if you are not familiar with the legal requirements that come with it. One of the most important requirements is providing disclosures to potential buyers. Disclosures are documents that disclose any known defects or issues with the property that the seller is aware of. Providing these disclosures is not only mandatory but can also protect you from potential legal issues down the line. The last thing you want to do is sell your home today and three years down the road get sued for damages that resulted from you not disclosing all the proper information. In this blog post, we’ll discuss what you need to know about providing disclosures when selling your house in Atlanta.
What Are Disclosures?
Disclosures are documents that provide information about the condition of the property being sold. They are required by law in most states, including Atlanta, and are meant to protect buyers from any hidden or unknown defects with the property. Disclosures are typically provided by the seller and include information about any known issues with the property, such as water damage, structural problems, or pest infestations. You can obviously sell your home “as-is,” and a lot of investors go this route, but if you’ve lived in the home and are aware of any of its quirks or issues, it’s best to disclose it to protect yourself.
Why Are Disclosures Important?
Disclosures are important because they provide buyers with information about any known issues with the property before they make an offer. This information can help buyers make an informed decision about whether to proceed with the purchase or not. These material facts that are supposed to be disclosed make an impact on the value of the home. Failure to provide disclosures can result in legal action against the seller if the buyer discovers any issues with the property after the sale has been completed. If you’re still wondering about providing disclosures, you can always reach out to us at ATL Real Estate Services and we would be happy to guide you through the process.
What Information Needs to Be Disclosed?
In Atlanta, sellers are required to provide disclosures about any known issues with the property. This includes issues such as:
1. Water damage or leaks
2. Structural problems
3. Pest infestations
4. Mold or mildew
5. Lead-based paint
6. Asbestos
7. Faulty electrical or plumbing systems
8. Roof damage or leaks
9. Foundation issues
10. Environmental hazards
It is important to note that sellers are only required to disclose issues that they are aware of. If you are unsure about a particular issue, it is best to disclose it to the buyer to avoid any potential legal issues down the line. On the other hand, if you’re not aware of any existing problems, don’t go digging to try and find out if there is an issue. That’s what a buyer’s home inspection is for.
When Should Disclosures Be Provided?
Disclosures should be provided as early as possible in the selling process and to all parties in the transaction. In Atlanta, sellers are required to provide disclosures within a certain timeframe, typically within five business days of accepting an offer. However, it is a good practice to provide disclosures as soon as possible to avoid any delays in the selling process. We like to provide disclosures to agents showing their clients so that they are aware of everything before they even put an offer in on the home.
How Should Disclosures Be Provided?
Disclosures can be provided in a variety of ways, including:
1. Written disclosures: This is the most common method of providing disclosures. Sellers are required to provide a written disclosure statement that outlines any known issues with the property. When in doubt, have it written down and initialed by all parties.
2. Verbal disclosures: Verbal disclosures can be made in addition to written disclosures, but they should never replace written disclosures.
3. Inspection reports: If the seller has had a recent inspection done on the property, they can provide the inspection report to the buyer as part of their disclosures.
It is important to note that disclosures should be provided in a clear and concise manner. Disclosures that are difficult to understand or incomplete can lead to legal issues down the line.
What Happens if You Fail to Provide Disclosures?
Failure to provide disclosures can result in legal action against the seller. If a buyer discovers any issues with the property after the sale has been completed, they may be able to sue the seller for damages. This can include the cost of repairs and can even amount up to three times the total amount incurred in damages. Selling your home to make a nice profit, only to have that profit taken away as a result of a lawsuit, doesn’t sound like the best way to make money.
In addition to legal action, failure to provide disclosures can also result in negative reviews and damage to your reputation as a seller. It is always best to provide full and complete disclosures to buyers to avoid any potential issues down the line.
Providing disclosures is an important part of the selling process in Atlanta. Disclosures help protect buyers from hidden or unknown defects with the property and can also protect sellers from potential legal issues down the line. If you are selling a house in Atlanta, it is important to understand the disclosure requirements and to provide full and complete disclosures to potential buyers. This will ensure a smooth and stress-free selling process and can help you avoid any potential legal issues down the line. Do you have questions about providing disclosures when selling a house in Atlanta? Reach out to ATL Real Estate Services to get the answers you need on providing disclosures 404-439-9984
