The old saying “buyer beware” does not exactly apply in real estate transactions involving residential property. In Illinois, the seller of a residential property has more than a few obligations when it comes to revealing information about the property he or she is selling. For many people, buying or selling their home is the most complex financial transaction they will ever engage in. This blog will explain some of the basic requirements of home sellers in Illinois.
Residential Real Property Disclosure Report
The most prominent requirement for home sellers in Illinois is filling out a questionnaire officially called the “Residential Real Property Disclosure Report.” This form requires you to fill in the answers to 23 questions that cover many different areas of your home. A few items it covers include:
- Flooding or other water damage in the basement or crawlspace
- Defects in the home’s basement foundation
- Defects in the roof, ceilings, or chimney
- Electrical system defects
- Plumbing system defects
- Presence of termites or other wood-damaging insects
- Any boundary line disputes or property violations
Possible answers for each question include “yes,” “no,” or “not applicable.” Any questions you answer “yes” or “not applicable” to might require additional written information in space provided.
What is a “Seller” in the Context of Residential Real Estate Transactions?
As long as you own a piece of property you are selling or are the beneficiary of a trust that contains the property you are selling, then you are considered a seller and must complete the state-mandated disclosure report. If you never lived in the residential property you are selling and have never been responsible for the property’s management, you are generally not obligated to complete the form. Additionally, you are usually not required to complete the disclosure and send it to a potential buyer if you are transferring the property due to a divorce or bankruptcy.
You should also be aware that the Illinois disclosure report is for all sales of residential dwellings with one to four units. Condominiums and cooperative units are also included in the Illinois definition of “residential real property.”
Conclusion
The disclosure requirements for selling a residential property in Illinois involve a number of forms mandated by state and federal law. There might be additional requirements based on the city or town where the property is located. Sometimes, you might discover items that should have been included in the disclosure report you already sent to the buyer.
In short, there are more than a few ways that required disclosures can present complexities and complications in your real estate transaction. A qualified real estate attorney can help you navigate the process of selling your home and ensure there are no hiccups along the way. Velazquez Consumer Law, LLC can help you with that; call us at 630-576-9030 to receive a complimentary case evaluation.
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