Foreclosure Property Disclosure, Yes or No?

Buyers & SellersDid you know that many states have laws that specifically exempt an owner who acquired a property via Foreclosure or Mortgage Release (also known as Deed in Lieu) from completing a Property Disclosure form?

If not specifically exempt and the state has a mandatory disclosure form, Fannie Mae must complete it, even if the response is “unknown”.

Whether the state provides for an exemption or has no disclosure form, known material defects must always be disclosed. A material defect is a specific issue with a system or component of a residential property that may have a significant, adverse impact on the value of the property.

Real Estate Agents are not relieved of any legally required responsibility to disclose, even if there is no requirement for seller to disclose.

For additional information, please feel free to contact me. I am more than happy to answer your questions.