Are you considering buying a new home? It’s important to do your research and know the full history of the property you’re interested in. From physical defects to stigmatizing events, there are key aspects to consider before making a purchase. Here at Extreme Investor Network, we want to provide you with unique insights into the world of real estate disclosure laws and stigmatized properties.
When working with a real estate agent, it’s crucial to understand what needs to be disclosed. While most states require disclosure of physical defects in a property, the same may not apply to events like a death on the premises. These homes, known as “stigmatized properties,” may have a past event that has left a psychological impact but no physical impact.
Different states have varying laws on disclosure requirements for deaths on a property. For example, in California, sellers must disclose if someone died in the house within the last three years. However, in states like New York, sellers aren’t required to disclose deaths or crimes on the property, unless claims of paranormal activity have been made.
Buyers should be aware of the history of a property before making a decision. While some may be turned off by stigmatized properties, others may seek them out for a possible discount. In fact, a survey found that 72% of potential homebuyers would buy a “haunted” house for a lower price, with 43% willing to offer at least $50,000 below market value.
If you’re interested in finding out more about a property’s history, there are steps you can take. Talking to neighbors and local officials can provide valuable insights, as well as searching online for any reported events in the area. Remember, every property has a history, and it’s essential to make an informed decision before purchasing a home.
At Extreme Investor Network, we strive to provide you with valuable information on personal finance and real estate. Stay tuned for more tips and insights to help you make the best financial decisions for your future.