The number one cause of post-sale disputes and lawsuits involve defects and disclosure.Because of this statistic, homeowners are required by state, local and federal laws to disclose specific problems with their Property.Some of these required disclosures include but are not limited to:structural problems, flooding issues and exposures of toxic substances.

Most state laws require a disclosure on a Property provided by the seller.Each state varies in their requirements. These requirements can fluctuate between the seller completing a questionnaire about their property's condition, a verbal statement concerning disclosures or others only ask for a voluntary disclosure.Mortgage companies and banks are the only sellers that are the exception to the rule and are excluded from disclosures offoreclosed properties.

Federal laws necessitate more specific disclosures.For example homes that were built before 1978 must disclose any known lead hazards.Along with state and federal laws, most major real estate companies require prospective sellers to complete a disclosure form before listing their Property.

Although it might seem to be a hassle to check into the laws of your state concerning disclosures, it will be well worth the time if it keeps a seller from a lawsuit.Real Estate Agents are well aware of all regulations and laws and are the best source of advice on which items should and should not be included in a disclosure.