Seller, Protect Yourself!
Are you selling your Indianapolis home without a REALTOR® or legal representation? Remember to protect yourself! This weekend, I received a call from a homeseller who had his home advertised as a lease option. Instead, he found a buyer, then realized he didn't know what to do next. He wanted to know if I could facilitate the contract for him.
Of course I can! We negotiated compensation and I sent him the contracts and addendums I believe he needs to protect himself, as well as those required by law. Many people who sell their homes themselves do not realize they are subject to certain laws regardless of whether they are represented by a REALTOR®.
Indiana Code (IC 32-21-5) requires all sellers to provide a Residential Seller's Disclosure upon the transfer of real property of 4 units or less. Not doing so could result in litigation. Of course, lying on the form could also have the same consequences.
It is also written law that the seller of a home built before 1979 has to provide a lead based paint disclosure and the 'Protect Your Family From Lead in the Home' pamphlet. This law applies whether you are renting, leasing or selling a home built prior to 1979. A few more simple, but important disclosures I recommended my client inform the buyer of :
- The buyer is not being represented and is advised to seek their own representation.
- The buyer is advised to have an inspection.
Not only inform, but to have the buyer sign an addendum, acknowledging he has been advised to seek his own representation and to have an inspection completed. If you're thinking about selling your own home or happen to luck into a buyer, remember to protect yourself.
Update: The buyer who was interested never made an offer. I find this happens often and is completely frustrating for people who are trying to sell their home themselves. It is difficult to determine a persons motivation and financial ability to perform.