When purchasing a REO or some property that needs a lot of work, and seeting them after work is complete without living in them. What should be our responsiblity to disclose to the new retail buyer? Let’s a property I bout needed some termite work, some foundation, a bathroom was redone and new paint over old pait. What is my repsonsiblity to tell the new buyer and how should I avoid any lawsuites after the sell has completed.
Disclose everything in the disclosure forms. Anything you should have known about and covered up or did not disclose may come back to bite you and the Realtor too. I just saw a 6 by 6 ft birds nest lawsuit on Judge Alex the other day where the nest was in the attic of the house. The buyer sued for removal costs of $2K and the seller claimed the house was vacant and he was unaware of the new nest. He did know of a previous nest and removed it and closed up the holes where he thought the birds could not get back in. The buyer was to hire a professional inspector according to the contract but did it himself and just peeked in the attic. The seller prevailed for two reasons. Seller was unaware and the buyer’s inspection was not done throughly. Had the seller been living there at the time of the sale he should have been aware and would have been held accountable.