Full Disclosure
Definition of "Full disclosure"
In a broader sense, Full Disclosure means presenting all information (significant or not, classified or not) related to a certain matter.
In Real Estate, the term “Full Disclosure” can be used in different situations… it can be used as a requirement for a lender to disclose to borrowers the effective cost of a loan; its terms, conditions and all the fine print. But also, and more commonly, to refer to a requirement a real estate broker – or a home seller going the For Sale By Owner (FSBO) route – has of providing all known information about the condition of a property - its structural flaws, its average energy consumption, its blueprint etc. – to the home buyer. If after the sale the home buyer discovers information discrepancy both the real estate broker and the former homeowner are eligible to get sued for not giving the full disclosure.
That’s why the services of a home inspector are so important. It becomes his/her responsibility to disclose all the problems of the house. Any liability becomes his/hers.
There are disclosure forms so no one says “but how would I know I had to look for that?”. There are federal disclosure requirements but also, because every locality has its own characteristics, state disclosure requirements.
Real Estate Tips:
Full disclosure? Find a real estate agent because without them everything becomes much more difficult!
Popular Real Estate Terms
The units are used as commercial offices. The purchaser of an office condominium owns the title to the individual office unit and not to the property. Maintenance fees are assessed to each ...
House designed and zoned for one-family use. Other dwellings may be attached to a single family dwelling, but do not share the same plumbing, heating, or electrical system. Single family ...
report containing financial information about a business or individual. The required financial statements for a real estate company are balance sheet, income statement, and statement of ...
Cash payment to a lender so as to lower the interest rate on a loan a borrower must incur. The lower rate may apply for all or a part of the loan term. ...
Cubic unit of measure for a board one-foot long, one-foot wide and one inch thick, or 144 cubic inches. These measurements are not actual, since they are stated prior to finishing and ...
Act of being a conservator. ...
Wondering what is the baseboard definition? Baseboard is a detail piece placed at the spot where the floor meets the wall. Typically made out of wood, vinyl or PVC plastic, the baseboard ...
The definition of adjoining properties describes two or more real estate properties, lots, or parcels that shared a boundary. A property that shares a common border with another is ...
An administrator appointed by the government or the courts to administer the laws relating to a government agency or court. A commissioner is a part of a government or court commission. ...
Have a question or comment?
We're here to help.