Key Takeaways
- Georgia is a "caveat emptor" (buyer beware) state—sellers have no general duty to complete a disclosure form
- However, sellers must truthfully answer direct questions from buyers about the property
- Sellers cannot actively conceal known defects or engage in fraud or misrepresentation
- Real estate agents must disclose adverse material facts about physical condition even if sellers don't
- Lead-based paint disclosure is required by federal law for homes built before 1978
Georgia Seller Disclosure Requirements
Georgia takes a different approach to property disclosures than many other states.
Caveat Emptor State
Georgia is a "caveat emptor" (buyer beware) state. This means:
| Seller Obligation | Required? |
|---|---|
| Complete disclosure form | NO (voluntary) |
| Answer buyer questions honestly | YES |
| Actively conceal defects | NO (prohibited) |
| Volunteer information about defects | Generally NO |
What This Means for Buyers
Buyers in Georgia should:
- Conduct thorough inspections
- Ask specific questions about the property
- Not rely solely on seller representations
- Use professional inspectors
What Sellers Must NOT Do
Even without mandatory disclosures, sellers cannot:
- Lie when asked direct questions
- Actively conceal known defects
- Engage in fraud or misrepresentation
- Make false statements about the property
Example: A seller cannot patch over and paint water damage to hide it. That would be active concealment.
Voluntary Disclosure Forms
While not required by law, many transactions include:
Seller Property Disclosure Statement
Most real estate agents use the GAR Seller's Property Disclosure Statement, which covers:
| Category | Items Disclosed |
|---|---|
| Structural | Foundation, roof, walls, floors |
| Systems | HVAC, plumbing, electrical |
| Environmental | Flood zone, lead paint, mold |
| Legal | Liens, encroachments, easements |
| Neighborhood | HOA, noise, known issues |
Why Use Voluntary Disclosures: They protect sellers from future claims by documenting what was known at sale.
Agent Disclosure Obligations
While sellers may not have mandatory disclosure duties, agents do:
O.C.G.A. § 10-6A-5 Requirements
Georgia law requires agents to disclose to buyers:
- Adverse material facts about the property's physical condition
- Facts that the agent knows and the buyer could not discover by reasonable inspection
- Environmental contamination if known
- Any fact required by law to be disclosed
What Agents Must Disclose
| Must Disclose | Need Not Disclose |
|---|---|
| Known structural defects | Prior deaths on property |
| Water damage/leaks | Diseases of prior occupants |
| Environmental hazards | Violent crimes/murders |
| Unpermitted work | Suicides on property |
| Active pest infestations | Sex offender proximity |
Agent Knowledge Standard
An agent must disclose facts that:
- The agent actually knows
- The buyer could not discover by reasonable inspection
- Would affect a reasonable buyer's decision
Agents are not required to investigate or discover unknown defects.
Federal Disclosure Requirements
Regardless of Georgia law, federal requirements apply:
Lead-Based Paint Disclosure (Pre-1978 Homes)
For any home built before 1978:
- Seller must provide EPA pamphlet
- Seller must disclose known lead-based paint
- Buyer has 10 days to conduct lead inspection (can be waived)
- Specific disclosure forms must be signed
Other Federal Requirements
| Disclosure | When Required |
|---|---|
| Flood zone | May be required by lender |
| Environmental hazards | If known (superfund sites, etc.) |
| Foreign seller withholding | FIRPTA compliance |
Georgia is known as a "caveat emptor" state. What does this mean for seller disclosures?
What must a Georgia real estate agent disclose to buyers about a property?
For homes built before 1978, what federal disclosure is required?