Tn Real Estate Disclosure Law
Want to find a top-notch local agent without paying too many brokerage fees? Cleverly trades a 1% listing fee with blue-chip brokers from trusted brokers like Keller Williams, RE/MAX, and Berkshire Hathaway. The disclosure form contains a number of questions that you must check “yes” or “no” – and you must be sure of the answer. However, you can also enable “Unknown” if you are really unaware of the mentioned defect. A Tennessee residential property buyer has several options to seek recourse if the buyer purchased properties with a defect or if the disclosure form provided to the buyer was inaccurate or incomplete. A buyer may file a lawsuit under the Tennessee Residential Property Disclosure Act, Tennessee Code Ann. §66-5-201 and. Seq. A buyer may also make common law claims for causes of action that existed prior to the enactment of the Tennessee Residential Property Disclosure Act for fraud, fraudulent concealment, misrepresentation, or even breach of contract/warranty. In many, if not most, cases, a claim under the Tennessee Residential Property Disclosure Act is combined with one or more of the common law claims mentioned above. The Residential Lead-based Paint Risk Reduction Act, passed in 1992, requires the disclosure of lead-containing paints or peeling paints in homes built before 1978.
In addition to this form, Tennessee requires sellers to disclose additional information in the purchase agreement. Groundwater erosion, sinkhole presence and known external well water on the property must all be disclosed in the agreement provided to the buyer. Although Tennessee has relatively lenient disclosure laws, the seller has the option to provide additional information to the buyer. While this has the potential to scare the buyer, it also has the opportunity to build trust between both parties and open the door to honest conversations about the current condition and asking price of the home. I understand/understand that this disclosure statement is not intended to replace an inspection and that I/we have a responsibility to carefully observe and investigate material defects that are apparent after careful observation. The Tennessee Residential Property Disclosure Act states that anyone transferring ownership of residential real estate must provide information about the condition of the property. ? This completed form constitutes a disclosure by the seller. ? It is not a guarantee or substitute for professional inspections or warranties that buyers may wish to receive. ? Buyer and Seller should be aware that any purchase agreement entered into between the parties supersedes this form with respect to all obligations of Seller to repair the items mentioned below and/or Buyer`s obligation to accept such items “as is”. In the home sale process, sellers must complete a disclosure statement prior to entering into the purchase agreement.
In general, any “material defect” that could influence the buyer`s purchase decision. The disclosure is intended to inform the buyer of any known property issues and cannot be relied upon as a warranty. If you really want to make sure of the gaps, you can do it by hiring your own home inspector. Becoming familiar with Tennessee`s disclosure laws will facilitate a cheap legal sale and strengthen a positive relationship with potential buyers. Learn more about what Tennessee law requires sellers to disclose and what they don`t. Tennessee has serious consequences if the seller knowingly omits information from the disclosure form or purchase agreement. For example, if the roof leaks a few weeks after the new owner moves in, they may take legal action that may cause you to pay for a complete roof repair or replacement. It`s better to be honest than to get the sale. The declaration must include the address of the property and the age of the apartment. Disclosure requires a list of the commodities included in the sale and their condition. Sellers must report any known defects or malfunctions of structural or mechanical components. The disclosure also includes a list of conditions affecting the home, such as environmental hazards, trespassing, flooding or drainage issues, or renovations done without permission or compliance with building codes.
If you have purchased properties that already had environmental risks that the seller did not inform you of, you should consult legal counsel to evaluate your options. Former industrial or commercial properties may have hidden environmental hazards. Environmental site assessments are reports prepared on real property that identify existing or potential liabilities for environmental contamination. The analysis often refers to both the underlying land and the physical improvements made to the property.
