What is an SPDS? It’s a Seller Property Disclosure Statement and if you’re selling your Arizona home you NEED these tips…
Hey everyone, welcome back! I’m Lindsay, with the Wise Move AZ Team at RealtyONE Group. If you want to stay up to date on all things Anthem and Real Estate then you need to subscribe to our YouTube Channel. Pro Tip: You’re also going to want to hit that little bell icon so that you’re the first to know when our new videos are posted every single Thursday!
As your Anthem, Arizona REALTORS® we have worked with a number of families to ensure a smooth sale of their home. A lot of work goes into getting your home ready to sell and one of the key pieces is the Seller Property Disclosure Statement. You may hear the Seller Property Disclosure called the SPDS or “SPUDS”. Truthfully, it doesn’t matter what you or your agent calls it, as long as you take it seriously.
At the end of this post I will give you access to the Seller Property Disclosure to ensure you are well prepared when the time comes to sell your Arizona home, so stick around!
The SPDS is designed to protect YOU, the Seller. It gives you the opportunity to disclose things about your home to potential buyers, so that they can make informed decisions. Why do you want to disclose things about your home? Easy! So that you don’t get sued. Sellers are legally obligated to disclose all known material facts about the property to the Buyer. Also, on a lighter note, by putting everything is writing and handing it over to potential buyers it can help reduce the number of questions you have to field. It’s a win-win, I promise.
The SPDS is a 8 page document and it will ask you about your ownership, building and safety information, utilities, environmental information, sewer or wastewater treatment, and more.
The key to the SPDS is when in doubt DISCLOSE, DISCLOSE, and DISCLOSE some more.
With all that being said, her are our top 5 tips to help you, the Seller, put together your SPDS successfully.
#1: Take Your Time
We require that our clients provide us with a completed SPDS prior to activating their listing. The reason we do this is NOT because we’re mean (seriously) it’s because the completed SPDS is due to the Buyer within 3 days of offer acceptance, and trust us when we say you don’t want to rushing to fill out the SPDS when you have the pressure of negotiating an offer. If complete this document prior to listing your home, you can take your time and do it right. We often encourage sellers to complete this while we are working on preparing the marketing materials for their home.
#2: Don’t Guess
If you don’t know the answer to one of the questions on the SPDS, research it, if you still can’t find the answer, leave it blank – DO NOT GUESS! This may apply to things done by a previous owner, like upgrades or repairs. Give as much information as you can and then move on.
#3: Tell the Truth
Do NOT lie on your Seller Property Disclosure Statement. I cannot stress the importance of this enough. One area where some Sellers hesitate to tell the whole truth is the pest section. Scorpions and termites are a fact of life here in Arizona and they are NOT a deal breaker if they have been treated properly. Trust me when I tell you, if a buyer wants to cancel the contract over the fact that there was a scorpion in your house, they were bound to flake on something else, and you’re better off getting rid of them as early as possible. I am always a bit leery of a SPDS that says they have never had any pests. Like I said before, pests are a fact of life here in Arizona, it’s the price we pay for living in such a beautiful place. We like to say it’s not IF you have termites but WHEN. So, no matter what, tell the truth on your SPDS.
#4: Don’t be Afraid
I hope I’m not coming across all “Doom and Gloom” about this document, I don’t want you to be afraid to fill this out. It is a great document that helps the home buying process go smoother. The truth is that it is VERY uncommon for a buyer to cancel the contract based on the SPDS, and like I said before, if they are going to cancel based on something you disclosed, like a leak that was fixed or a termite tube that was treated, they were probably going to cancel over the inspection report anyways.
#5: Fill it out Yourself
This one is SO important. Smokey the Bear says ‘only you can prevent forest fires’, well guess what, Lindsay the REALTOR® says ‘only YOU can complete the SPDS’. But seriously, you need to fill the SPDS out yourself. Your REALTOR® cannot fill this out for you, so don’t ask. It is your legal obligation to fill this out to the best of your abilities. It is your signature and your reputation on the line, take it seriously. That being said, if you follow these 5 tips your Seller Property Disclosure Statement is going to be great. If you take your time and complete it properly it is a document that you should be very proud to hand over to the future Buyer.
So there you have it! What do you think? Are you ready to get to work on your Seller Property Disclosure Statement? If so, give me an “I’m ready!” in the comments section below!
If you’d like to view a copy of a blank SPDS simply click here.
See YOU, next Thursday!