Process of Selling a House AS IS in NY | Part 2
Thinking of selling your house As Is condition? Have you asked yourself if you have any legal obligations? Do I need to disclose problems when selling my house? Unfortunately, many homeowners are under the mistaken impression that selling “AS IS” relieves them from all the general obligations that come with the sale of a home. They imagine that they can unload the property for whatever price they can get while avoiding the need to talk about or disclose any issues with the home. If you are thinking about selling your home without any repairs. This video is for you.
Hi, this is Darling Medranda a Realtor with Ian Alexander Real Estate at EXP Realty. Welcome to the second video in a selling “AS IS” series. On my ten years of experience, I have had sellers selling their homes, AS IS condition. Some of them did not realize that selling AS IS also makes them responsible to disclose any problems on the property as well as in some instances to fix them before selling. Selling AS IS does not relieve you from the legal obligations to answer questions honestly concerning the existing problems with the home per the rules of your state.
New York laws requires you to disclose known home defects to the buyer. Under today's law, you as a New York home seller could be found liable to a buyer for having failed to disclose certain property conditions, or defects, in the course of the sale. Sellers in New York are also not allowed to hide defects intentionally. Even when they are selling -AS IS - you have to obey the rules. Sellers have a duty to avoid making misrepresentation of facts or failing to respond truthfully to a specific question from a buyer. Home sellers should understand, however, that real estate agents are held to a higher standard when it comes to disclosing a home’s defects. Realtors being held to highest standards is due to the Consumer Protection Act. Realtors, therefore, have an obligation to disclose any facts that could influence the buyer not to enter into a real estate transaction. Here are some of the samples of issues a real estate agent must disclose to a prospective home buyer:
· Evidence of a structural defects like a major crack in the foundation.
· The appearance of mold in the home. Termite damage.
· The roof has leaked, the radon levels of the home are higher than the expected EPA limit.
· A mayor known plumbing or electrical issue.
· A significant external issue such as obnoxious noise levels.
· A known legal issue such a cloud on the title or the property is a short sale.
If you are serious on selling your home, please visit my website and download the seller's guide. You will find useful information that will guide you on this process.
Real estate agents do, however, have a duty to disclose if they discover some problems, or the owner lets them know. Over the years while selling properties in New York, there have been times where a seller has asked to sale AS IS because they have never occupied the home and therefore have limited knowledge of its condition. Most sellers are honest and voluntarily provide real estate agents with any known issues they are aware of. In the case of never occupying a home, however, this is much harder to do.
If you liked this video about selling your home AS IS condition, you can visit my YouTube channel for more real estate tips.
Most real estate companies ask the sellers they're representing to fill out a document called a Sellers Statement of Property Condition. This report outlines what an owner knows and doesn't know about their home. It also allows the agent to represent a property more accurately. Finding out this form also lowers a real estate companies errors and omissions insurance.