Lawsuits are seller’s worst nightmare

How can I avoid being sued?

Learn the New Luxury Playbook at Luxury Connect | October 18-19 at the Beverly Hills Hotel

A home seller's worst nightmare is to be sued by the buyers after the deal is done. This is precisely what happened to a California home seller who was less than forthright about the condition of his property. California is one of many states that require home sellers to comply with disclosure requirements when they sell. The seller mentioned above was sued because he failed to disclosure a drainage problem. To make matters worse, the seller had finished off an area of the basement to create a den. This extra room was one of the reasons the buyers purchased the property. During the first heavy rain after the transaction closed, the basement flooded, and the den was destroyed. The buyers sued the seller and won. Although there is a trend nationally toward mandatory seller disclosures, some states still don't require sellers to disclosure defects when they sell. Other states only have voluntary disclosures. Be sure to check with your real estate professional about seller disclosure r...