Smooth Selling (3 of 4 in a series)

“What is all this paperwork?”  Continued from the last 2 months, this is the 3rd of  in a series of 4 articles that  let a Seller know how to minimize a lot of the stress by understanding and preparing reports, disclosures and inspections ahead, rather than waiting until a Buyer is involved. The more prepared you are the smoother the sale will be.  We’ve reviewed the first 15 items; this month we will review 16- 25

  1. Mold Disclosures (5-6 pages CAR) - This is the newest area of disclosure.  In the past few years there have been some large lawsuits involving mold.  Consequently, Mold is being investigated and tested more frequently.  Insurance companies are backing away from any home that filed a claim involving a leak (for fear of residual mold issues.  This is a new field.  Be wary of Mold inspectors and ask for references form other clients.  I had the misfortune to run up against a less than ethical inspector a buyer found on the Internet.
  2. Permission to Examine Public Records (of San Mateo County and/or the City of Half Moon Bay) -  While not always necessary for a Buyer to possess to obtain your public records, it shows good will on your part and can make the process easier if you provide them written permission.
  3. Real Estate Transfer Disclosure Statement, fully executed by Seller & Seller's Agent - This is a mandated 3-page form that the Seller, and the agents must fill out, which discloses what they know about the home.  Since it is a yes/no form, most often a supplement, or a narrative, is added for clarity and thoroughness.  I suggest that when you are thinking of selling your home; keep a running list of items you want to remember to disclose.  This makes it easier to fill out the forms when the time comes.
  4. Supplemental Seller Checklist - 4 to 6 page supplemental forms that are more specific that the mandated form, and expand on the information a Seller provides. 
  5. Environmental Hazards, Earthquake Safety and Protection from Lead Booklet(s) - This booklet is provided to the Buyers and explains a lot of red flag areas in home purchases.  It is also a source for organizations, which have further information for the Buyer. I provide my Seller with a copy, so they can see what the Buyer will be reviewing.
  6. Residential Earthquake Hazards Report (If property built prior to 1960) - In addition to the booklet above, if your property is built prior to 1960, there is a required questionnaire to fill out.
  7. Lead-Based Paint & Lead-Based Paint Hazards (If property built prior to 1978) - Likewise, if your home is built prior to 1978, there is an additional form for you to complete
  8. Moss Beach/Montara Only (Montara Water and Sanitary district Newsletter) - It is important to for Montara Moss Beach Sellers to provide this to a prospective Buyer so that they can learn about the water system, and have access to information and contact numbers if needed.
  9. Natural Hazard Disclosure Statement Reports - These are wonderful reports prepared by experts and take a lot of the onus off of a Seller to be an expert in areas that most of us aren’t’ experts in.  These Reports Cover the mandated disclosures of such items as: Flood Area, Potential Flood Area, High Fire Severity Zones, Wildland with substantial Forest Fire Risk, Earthquake Fault Zones, Seismic hazard zones,
  10. Enviro Check Disclosure Report  - This report covers Mello-Roos & special Assessment Districts, former Military Site, Commercial or Industrial Zoning, Airport Noise & Proximity Disclosure, Sex Offenders Database (Megan’s’ Law) Mold, Radon, Leaking gas tanks.  Go to http://www.jcpreports.com for more information.

We are now 3/4 though the list of common disclosures, reports, and information Sellers provide for Buyers.  Next month we finish up!