The Foreclosure Transaction and what to know – part 3

SPDS?  Mashed potatoes?

No, SPDS are an acronym for Sellers Property Disclosure Statement.

A foreclosed property will not have SPDS available.

SPDS are like the personal diary of a home.

The seller of a home normally provides this.  A normal seller will be co-operative and happy to give a buyer all the information possible.  A foreclosure sale does not usually have a co-operative seller, but usually an unhappy angry one who definitely isn’t interested in helping the bank or the buyer.

The  7 pages of the SPDS cover questions from plumbing or electrical problems to the presence of scorpions & name of the gas company.  The surrounding area information, such as the property being in the flight path for a nearby airport is also included.      You can imagine the importance of such a document to answer so many questions…..”Is that stain from an old roof leak?  Was it repaired?”.    “Has this home had it’s HVAC system checked annually?”  “Was this addition done with a permit? Did a licensed contractor do it? Who did it?”  “Who has been taking care of this pool?”  “When was this ………….. (fill in the blank) done?”

There are many sources to be checked for the answers to most of the questions asked on the SPDS,   The Buyer Advisory by the Arizona Association of Realtors contains sources that a buyer may use for information about a property and the neighborhood itself.

We give all of our clients a copy of this important document.

The Foreclosure Transaction and what to know – part 1

The Foreclosure Transaction and what to know – part 2