A Buyers' Agent's Guide To The Seller's Property Disclosure Requirement
I read the May 9, 2025, JustListed Blog posted by Kacey Clouser, Esquire, entitled Seller’s Property Disclosure: From the Buyer’s Side, and thought it was very well written. In fact, it caused me to think about some of the next steps that a buyer’s agent needs to consider when they receive a Seller’s Property Disclosure Statement. I know most, if not all of you, read JustListed, so I write this to complement (and compliment) Kacey’s blog.
Under the law, buyers’ agents have a general ethical responsibility to advise their buyers that sellers have a legal obligation to provide a “completed property disclosure statement.” Pa. Code §35.284a(b)(1). They are also obligated to assure that a completed property disclosure statement was delivered to the buyers. Pa. Code §35.284a(b)(2). These requirements are set forth in the rules and regulations that were formally adopted by legislature, meaning this is “THE LAW.” There are some important components in these two sentences that I want to unpack for you.
Too many times, I have heard REALTORS® describe their obligations to buyers to be something like, ‘the sellers are required to disclose all of the defects about a property;’ or ‘sellers have to fill out the sellers’ property disclosure form to tell you about the defects with the property.’ Read Kacey’s blog for a better understanding material defects and what the PAR form is and is not. What often gets overlooked is the obligation of a completed disclosure form. Buyers’ agents are obligated to advise their buyers have the right to receive a completed form. Some sellers mistakenly think that they are not required to provide a sellers’ disclosure form (e.g., “flippers” or people who never lived in the property). “Flippers,” or people who buy houses, rehabilitate or renovate them, and then resell them without ever living in them are NOT excluded or exempt from providing a completed sellers’ disclosure form. Stated differently, “flippers” are REQUIRED to provide a completed sellers’ disclosure form. As buyers’ agents, it is your responsibility to let your buyers know that the sellers have a duty to provide the completed form.
The second sentence obligates agents to “assure” that the sellers provide a completed disclosure form. To assure your buyers means to give them confidence, in this case, give your buyers confidence that they are entitled to receive a completed disclosure form from the seller. This means agents have to actually read the form. Importantly, you are not reviewing for accuracy (though you do want to pay attention for any errors or inaccuracies), you are looking at the form to make sure that it is complete. In other words, are all of the questions answered (are all of the boxes checked)? If the seller checked a box ‘yes,’ did the seller provide the required explanations? Are all of the explanations or notations on the form or any attachment to the form clear to the buyers, or do they have follow-up questions? Attaching a home inspection report to a blank sellers’ disclosure form (whether physically, electronically, or digitally) is not the same as the seller actually completing the form. Buyers do not have to accept this, and it is your job, your responsibility to not only advise them of this, but assure them as well, so they are confident in making their requests for more information.
What happens if a seller – or a listing agent – simply refuses to provide a completed sellers disclosure form? I am frequently asked, “Can they do that?” Yes, they can because they did – you hold the proof in your hands! The right question is, “What are the consequences of not providing a completed sellers disclosure form?” I have a confession – your obligation to assure your clients that they are entitled to receive a completed form is only part of THE LAW. The full sentence reads, “A licensee who represents buyers or a transaction licensee who as entered into an agreement with buyers shall assure that the completed property disclosure statement or the property disclosure statement marked “refused” was delivered to the buyer prior to the execution of an agreement of sale.” Pa. Code §35.284a(b)(2). If a seller does not complete any or all of the property disclosure statement, then your job in representing buyers is to assure them that they can request the seller to complete the form, either with complete answers or designating what questions the seller refuses to answer.
What if, despite what THE LAW requires, a seller just will not do what they are supposed to do? If you are the buyer’s agent (not a dual agent or transaction licensee), keep your client’s best interests as your guiding principle. Advise them on the seller’s obligations, assure them about what they are entitled to receive and request, and let them make the best decision for them. They can still buy the house, they can walk away from the transaction, or with your guidance they can structure an offer that best satisfies their needs! Just don’t tell them what to do, don’t make the decision for them.
What about the listing agent’s obligations? What about the sellers’ obligations? Those are topics for a different day!
Brett M. Woodburn, Esquire, is the founding member of Woodburn Law. He has represented REALTORS® since he started practicing law in
1999. He currently represents several local Associations of REALTORS® and MLSs across Pennsylvania. This article is his work, with all rights
reserved, and may not be reprinted without his permission. Copyright May 2025.
