Hiring the most experienced real estate agent is necessary for several reasons, not the least of which being potential legal issues. A trustworthy, knowledgable realtor will guide you through the home buying or home selling process, ensuring that you do not have to face a lawsuit by an unhappy buyer or seller down the road.
A common area in real estate that leads to legal problems concerns disclosures in residential properties during potential sales. California law requires that sellers of real estate reveal any material defect that they are aware of to prospective buyers. A material defect is any defect that could either affect a buyer’s decision to purchase the property or could affect the property’s value. A cracked foundation is an example of a major material defects.
A problem that can arise during the sale of a home is when not everyone agrees on what equals a “material” defect. While many real estate transaction agreements list certain items (i.e. foundation issues or termite infestations) as material defects, other problems are more subjective in terms of evaluating their level of seriousness or relevance.
In California, additional disclosures by the sellers include whether any occupant died on the property during the previous three years (unless the death was caused by an AIDS-related illness). Sellres are not required to disclose any deaths which occurred before the three year cut off. Furthermore, the Natural Hazard Disclosure Statement is mandatory and includes information on earthquake faults, flooding and drainage issues and other natural hazards.
To discuss these and other required disclosures in Orange County real estate transactions, contact veteran South OC realtor Cheryl Marquis today.