A seller doesn’t have to make full disclosure when they list their property. But when someone makes an offer on it, Georgia law then requires them to disclose any known material defects with that property. This helps buyers know what they are actually purchasing and promotes transparency in the process.
One thing to remember is that some of these issues may not be obvious defects. For instance, sellers are supposed to disclose if they know that there is lead paint in the house. The house may be functioning properly, but they still have to inform the buyer of this potentially hazardous material.
What are material defects?
When considering other types of defects, a material defect is just something that has a significant impact on the property, poses a risk, or creates a specific issue that a buyer needs to be aware of. Examples include:
- Foundation issues, such as cracks or uneven settling
- Roof issues, such as leaks or missing shingles
- Framing issues, perhaps caused by pests—such as a termite infestation
- Problems with the HVAC system, electrical lines or plumbing lines
- Issues with the windows and doors, such as locks that don’t work or leaks around these critical areas
The seller does not necessarily have to fix all of these issues before transferring the property. But they do need to make the buyer aware of them so that the buyer can factor that into the eventual purchase price or ask for the issues to be resolved in advance.
When defects are not disclosed, it can lead to disputes and litigation between both parties. It’s important for those involved to understand what legal options they have.