Disclosures

TLDR: In many states, sellers are required to preemptively disclose certain facts about a property. In other states, the burden of researching property issues rests on the shoulders of buyers. 

The purchase and sale of most property in the United States is a fairly standard process (sign an offer, get a mortgage, conduct the title search, close, etc.), even across state lines. However, the biggest disparity between processes from one state to another are the disclosures required by each state. In certain circumstances, sellers are required to inform the buyer of property conditions that may adversely affect the safety or value of the property. In practice, disclosures are government forms that must be completed and signed by both parties. 

Before you list your property for sale, you must fill out the Disclosures section so potential buyers are made aware of adverse property conditions before they make an offer.

Fun Fact

There is only one federally required disclosure which pertains to the presence of lead paint in properties built before 1978. All other disclosures are required by individual states, and as such can vary drastically. Examples of disclosures include disclosing that methamphetamine has been manufactured on a property, is situated in a flood zone, or is considered "haunted" or stigmatized in some way. 

Like taxes and laws, disclosures exist at all levels of government.

There is only one federally required disclosure which pertains to the presence of lead paint in properties built before 1978. All other disclosures are required by individual states, and as such can vary drastically. Examples of disclosures include disclosing that methamphetamine has been manufactured on a property, is situated in a flood zone, or is considered "haunted" or stigmatized in some way. 

In essence, you can think of disclosure forms as the government's way of ensuring buyers are informed about known defects. 

True or False: Disclosures are required to be completed in every state. 

False! Some states allow buyers to complete a disclaimer instead, which allows the seller to avoid any liability. 

What information must be disclosed in my state?

Disclosure requirements vary drastically from state to state and the quantity of disclosures required tend to align with quintessential state norms. For example, California requires an extensive list of disclosures be provided to the buyer, while Texas’ motto is essentially Caveat Emptor, which literally translates to “Buyer Beware.” Similar to tax law, disclosure requirements exist at all levels of government and change from year to year, so we’ll be sure to provide the required disclosures from the seller before you submit an offer.

States such as Virginia also require buyers to sign off on a disclaimer statement, effectively relieving the seller of bearing any responsibility for disclosing certain aspects of the property and placing the burden of due diligence squarely on the shoulders of buyers. 

Virginia Disclosures

In Virginia, required disclosures are outlined in the Residential Property Disclosure Act, which describe circumstances that do and do not require disclosures. These are the circumstances that require the seller to inform the buyer:


Any other concerns about the property must be researched by the buyer. Virginia’s Department of Professional and Occupational Regulation has a document dedicated to protecting sellers from liability, but the buyer has the right to ask questions in any areas of concern or hire professionals to provide opinions. More information on legally required disclosures can be found in the Virginia Residential Property Disclosure Act

Fun Fact

HOA and Condo Association disclosures operate similar to contingencies in that they permit buyers to terminate the contract within three days of receipt of the HOA Disclosure Packet or Condo Association Resale Certificate.