What sellers must disclose to buyers

Most sellers (Banks and some financial institutions could be exempt) are required by law to disclose facts and defects, which materially affect the value or desirability of their home. The Transfer Disclosure Statement (TDS) and Seller Property Questionnaire (SPQ)helps the seller meet this requirement by providing a standardized format for most basic information. If the seller does not fully disclose, the buyer will be able to cancel the escrow, or worse find out after escrow closes - Full disclosure can reduce or eliminate the possibility of later legal action.

Often, as part of "day to day" living in a home, certain items do not function properly, are overlooked and we just accept them. Some common problems: Does the doorbell work? Is the clock on the oven operating properly? Do all windows and doors open properly? Is there safety glass in shower and sliding glass doors? Are any of the sprinklers broken? If there is a water softener is it owned or rented? How is the water pressure? Legally, sellers must also disclose insurance claims made in the last five years, any knowledge of asbestos, lead based paint or mold? When in doubt, disclose.

Other than mandatory government retrofit (smoke detectors, water heater strapping, etc.), most sales in Orange County are "as is", subject to the buyer's approval of their inspection. There is no perfect house; problems disclosed to a buyer when a buyer is still excited about buying the home are frequently easier for the buyer to accept. Some Realtors, have the

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buyer acknowledge receipt and approval of the transfer disclosure at the time of the

initial offer. The Physical Inspection In addition to your written disclosures, the buyer is urged to contact a professional inspector for a more

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