Disclosure is a big issue in California. In the above of the sale after just 6 months, the Seller was obligated to give ALL the reports that he had received from the prior owner when he purchased the home PLUS all the reports and inspections that he performed as a buyer PLUS all the repair reports, estimates and receipts for work he had done. WHEW that was a lot of information for the buyer to review. But it was extremely helpful. The disclosure packet was a big factor for the buyer to further investigate items that would have otherwise been hidden and unknown.
Now if this had been a sale with a Successor Trustee or Executor as the seller, the scenario would have been very different. In that case, the Seller, if he/she had never lived in the home would be exempt from providing the statutory disclosures. UNLESS they have direct knowledge of the condition or could REASONABLY obtain that information as part of their duties.
Now in the case of the Oceanside listing outlined below, there had been a property manager handling the property for ten years. There was no direct knowledge by the Executor but it was reasonable to obtain information from the property manage. So we asked for a summary of the any major repairs or upgrades that had been done on the home. What we received was a voluminous Excel spreadsheet, which included every door knob and dripping faucet that had ever been reported. So what did we do? It was ALL shared with any buyers who made offers so that they could know the information prior to making their final and best offer.
Disclosure is your friend as a SELLER!
The result was a selling price of $ 116,000 over the asking price in what was considered a “slow” market. Really? Not in my world.
