It’s called the seller’s disclosure for a reason

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One Response to It’s called the seller’s disclosure for a reason

  1. Rick DeVoss says:

    The point made by this posting is relevant, but I thought maybe it would go a bit further.
    A) Anytime the SDN is filled out by the seller in advance of the buyer signing a contract, the seller should be asked to update the information on the form. (I’ve seen cases where it is obvious to the buyer that the info on the form is not current with the condition of the house.)
    B) The law says the seller has to give the SDN to the buyer. It is Not a part of a contract, even though our contracts acknowledge that the form has been, or will be, given to the buyer.
    C) There is no law or rule that says the buyer has to give the form back to the seller, or the seller’s broker, after the buyer signs it. ~This habit by listing brokers needs to stop. ~When are we going to realize that the contract says that the form was provided by the seller, and it is not our responsibility to document anything else?
    D) There have been remarks placed in MLS stating that an offer would not be accepted by the listing broker unless a signed SDN accompanied the offer. ~This is a violation of the agent’s fiduciary duty to present All offers to the seller. And such a policy by a listing broker has no basis in TREC rules or TAR policies.
    E) Somebody put a “signature block” for the buyer on the SDN form. Since the burden of the law is on the seller, there would seem to be no requirement for a buyer to sign it. It is Not a contract, and the buyer is agreeing to nothing. ~We as agents need to remember that Paragraph 7 of our TREC contract says that the seller’s obligation has been met when the contract is executed.

    None of our rules require an agent to do anything with that form, and the “form” itself is not even dictated by Texas Law. It simply says that the seller has to provide the buyer with all the information known about the property.

    Like

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