Please note line D of the “As Is” Addendum. The Arizona court case of S. Development Corporation vs. Pima Capital Management Company (201 Ariz. 10, 31 P.3rd 123), held that an “as is” clause in a contract does not protect the seller from liability for nondisclosure of a material defect in the property.
There may be other required disclosures; for example, military airport or public airport disclosure, swimming pool barrier disclosure, unincorporated area disclosure, or notice of soil remediation disclosure. Subdivision disclosure reports (public reports) will be discussed in the next chapter and drug laboratory disclosure will be discussed in chapter 4.
Happy homeowners are buyers who know the facts and want to buy even though the home and/or community may have some less than desirable characteristics. It has been said that the perfect home does not exist in any buyer’s price range. If that is true, we all settle on features about the home or community that we dislike, but still buy with objections. If the benefits of ownership out-weigh the negatives, prospective buyers may still choose to buy. It is our job as real estate agents, to make every legal and honest disclosure about the home while understanding the buyer’s real motivations for moving. If you can demonstrate to the buyers that the home meets their most important wants and needs, you will have the best kind of sale – a full disclosure sale. And the best part yet … the buyers will be less likely to come back with claims of misrepresentation or nondisclosure. You can be off making the next sale and not worrying about what could go wrong with this one. Better yet, you may get a great referral from a very happy homeowner. It doesn’t get much better than that!