People who own property in California are often keen to make improvements. That can include a variety of steps including a complete reconstruction, new interiors, painting and adding rooms. This can enhance their living situation and raise its value if they choose to sell it.
However, many are unaware of the law regarding some of these improvements. When selling the property, there are necessary disclosures that must be made with a single-family residential property. Understanding the law can avoid disputes and problems for the seller and the buyer. If there are issues, it is essential to be protected and to strive to resolve them.
Disclosures are critical when selling or buying a property
With single-family residential properties, an owner who has placed the property up for sale and subsequently accepted an offer on it will have 18 months from the date it was transferred to provide disclosure on various issues.
If there was a new room added to the property, the structure was modified, altered or repaired, the information about it must be provided if it was done through a contractor and there was a valid contract. The contractor’s information must also be provided. This is only applicable if the amount it costs goes beyond a certain level based on the law.
For owners who are selling their property, they can follow this law by simply listing the changes that were made.
If a new room was added to the property or if a new roof was needed, this can be listed to inform the buyer as to what was done.
Another challenge that might come up is if there were no permits to make the additions. If there was a permit, the buyer must get a copy. When there were no permits, this could lead to complaints about violations that the buyer must be cognizant of prior to making the purchase. These issues must be rectified beforehand.
Understand the details of disclosure when buying or selling a home
Real estate transactions have many rules that must be followed to ensure the deal is completed to the satisfaction of the buyer and seller. Most properties will have had repairs, improvements and other changes made. Since any obstacle with disclosure can delay or nullify an agreement, it is important to be prepared. Both buyers and sellers should be aware of the disclosure requirements under real estate law to try and ensure a smooth process. Having help to navigate these issues is crucial.