The Affidavit of Disclosure is a seller disclosure form that is required by State Law to be completed, signed and notarized by every seller of five or fewer parcels of land in an unincorporated area of any county in Arizona, which must be recorded at the same time the deed is recorded.

This is a document which not only applies to vacant land but improved property as well. As with other disclosures that are provided to buyers( SPDS and VLSPDS), the intent of this form is to provide a buyer with any and all information in the seller’s possession allowing the buyer to make an informed decision to purchase. It also creates seller liability that survives the closing.

With the number of Bank Owned properties for sale, many people think that a lender, because  they don’t have personal knowledge of the property they are selling, is not required to provide and record this form. This is not correct according to the The State Department of Real Estate. A lender, private or public, has no exemption from the same obligation that any seller has in this regard. They may not complete all the questions on the Affidavit but they must deliver it to a buyer and record it at closing.

If you’re a buyer, or represent a buyer of  REO Assets, make sure you are given an Affidavit of Disclosure. It’s the law and you’re entitled to it.

If you are unfamiliar with this form and would like a copy , please contact me and I’ll be glad to e-mail it over.

This entry was posted on Friday, October 2nd, 2009 at 3:10 pm and is filed under News. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.