What does an Indiana seller have to disclose, and what should buyers read closely?

Short answerIndiana sellers of homes with one to four units generally must complete the state seller's disclosure form about known conditions, and sellers of homes built before 1978 must also give the federal lead paint disclosure. Disclose what you actually know. Buyers should read every yes and unknown answer closely and compare them with the inspection.

What must sellers disclose?

• Known conditions asked about on State Form 46234, from appliances and systems to water in the basement, the roof, and hazards. The form explained.
• Known lead paint and lead hazards, plus the EPA pamphlet and the buyer's testing chance, for homes built before 1978. The lead disclosure rule.
• Well and septic information on rural homes, as your brokerage's paperwork requires.

What about things I fixed?

A repaired problem may still be something the form asks about, such as past water in the basement. Answering accurately, with what was done and when, usually helps more than it hurts. Ask a real estate attorney if you are unsure.

If you are selling

Disclosure is not where you save money. A surprise found later usually costs more in the negotiation, or worse. Indiana courts have allowed buyers to bring fraud claims based on the disclosure form in some cases, so take it seriously and ask a real estate attorney when unsure.

If you are buying

Focus on water, roof, foundation, electrical, and anything marked unknown. Ask the seller follow up questions in writing through your agent, and make sure your inspector knows what was disclosed.

Frequently asked questions

Keep reading

Sources

• IC 32 21 5 and State Form 46234
• Nolo, Indiana home sellers disclosures (Wysocki v. Johnson, 2014)

Written by John Long, REALTOR®, 1 Percent Lists Indiana Real Estate. Working contractor who has priced hundreds of home inspection repair requests. Former labor relations negotiator for a major manufacturer and U.S. Coast Guard veteran.