04 Oct Function of seller’s disclosure statement
What is the function of a seller’s disclosure statement?
What is a seller’s disclosure statement?
The disclosure statement is filled out by the seller. Namely, the function of the seller’s disclosure statement is they are disclosing their knowledge of the home. Including questions of improvements and past issues. Also, potential problems and property condition.
What is a Seller’s Alternative disclosure statement?
A seller’s alternative disclosure make’s no property disclosures. Or they provide a 3rd party inspection report for the buyer. For example, this is common when it has been a rental property. In other words where the seller has never lived in the home.
What is a material fact?
These are conditions that could adversely and significantly affect an ordinary buyer’s use or enjoyment of the property. Or if the seller is aware that it can affect any intended use of the property. In addition, the seller must disclose these for both types of disclosures.
What are the duties of a real estate agent?
Similarly the real estate agent must also disclose them if they have knowledge. In other words, the seller refuses to disclose, then the agent must.
Are these state requirements?
Yes, these are Minnesota Statues 513.52 to 513.60. In fact, these are enforced and must be followed. You can visit the commerce department website.
for additional statue questions.
With a seller’s disclosure statement do I need a home inspection?
We encourage buyers to get a 3rd party inspection. This includes a home, radon and sewer inspection. In addition, it might also include electrical and HVAC inspections.
Does an “AS IS” addendum eliminate a disclosure form?
No, an AS IS addendum is used with the Alternative disclosure statement. But also the wavier section of that form must be completed. In addition, the seller is still obligated to disclose material facts.
Please reach out to The Anderson Team with any questions. Or would like some samples of these disclosure forms. Also, consulting with an attorney is recommended if you are not comfortable with the disclosure forms.
We hope you benefited from this provided information.