Everything! No, really – Everything known about the home. In the state of MN there are 2 options for Disclosure:
- Seller’s Disclosure Statement
- Seller’s Disclosure Alternative
The most commonly used in a traditional sale is the Seller’s Disclosure Statement. This document has evolved and continues to evolve almost every year, with the most recent addition being does the seller know anything about Radon. In the Seller’s Disclosure Statement, there are a multitude of statements to be made about the property ranging from any water intrusion, to pest issues. This is really the best chance you have to add any and all items know about the property should something come up after the sale of the home to help best protect yourself.
With the recent, record rainfall we have had over the past several months – we have received a hand full of calls with regards to water in the basement. In one instance, a buyer wanted to seek damages from our seller. We advised the agent that on the Seller’s Disclosure Statement the seller did put that they had water in the basement while living there. Since this was fully disclosed to the buyer prior to purchasing, the buyer really did not have any recourse. Had the seller known about the water and not disclosed – then the buyer would have most likely had a stronger case to be made. Even if it seems trivial at the time, we always advise our clients to disclose, disclose, disclose.
The Seller’s Disclosure Alternative is typically used if the current seller had not lived in the property (estate, flip, ect). This gives the seller the option to waive having to fill out a Seller Disclosure Statement. The seller can also elect to have a third party inspector inspect the property if they choose to.
When buying or selling a home, it is important to read through the disclosure statement fully and carefully. Ask lots of questions as you will want to be 100% clear on everything.