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Disclosure Issues
It's a New Era of 'Seller Beware'

Though some provinces do not require home sellers to disclose known defects - other than mandated environmental and flood hazard zone disclosures - it may be in their best interests to pass onto buyers everything that they know.

The current litigation frenzy has shifted the tables from "buyer beware" to "seller beware," and voluntary disclosures could prevent sellers from being sued after closing.

Even if disclosures are required, some sellers withhold information if they think it will ruin the deal. However, neighbours have been known to let such information slip as soon as the new homeowners move in. To avoid litigation after the sale, sellers should be forthright about any problems and give the buyers any old inspection reports and work estimates

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Steven J. Porter
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