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
Giving additional time to conduct some act. An example is a landlord granting a tenant an additional week to make the rental payment. ...
See before-tax cash flow; cash flow. ...
Founded in 1939 and located in Washington, DC, the NAA has 36,000 members with 11 regional groups. It consists of 60 state and local associations of managers, investors, developers, ...
Land located next to water that has and will continue to experience water damage. The land generally is not suitable to build a structure on. In some cases, federal or local government may ...
Association of the owners of all condominium units in a building that is concerned with managing day-to-day matters in the building complex, including the surrounding and enforcing ...
Interest deductible for taxes paid by the taxpayer. It is an itemized deduction on Form (individuals) or Form 1040 (individuals) or Form 1120 (corporations). An example is interest paid on ...
Most generally, the meaning of a blueprint defines a plan or a guide you follow in performing some future activity. Blueprint in architecture The compilation of a blueprint in ...
The yield after deduction inflation and its effects. It is the return on investment stated in real purchasing power. ...
Room with a bathtub, shower, toilet, and sink. Most homes have more than one bathroom increasing their value. ...
Have a question or comment?
We're here to help.