Key Takeaways
- West Virginia is a "caveat emptor" (buyer beware) state with no mandatory seller disclosure statute
- Sellers are not legally required to complete a seller disclosure form in West Virginia
- Licensees must still disclose known material facts that affect property value
- Lead-based paint disclosure IS required for pre-1978 homes under federal law
- Licensees must answer direct questions honestly even if not required to volunteer information
West Virginia Property Disclosures
West Virginia's approach to property disclosure differs from many other states.
Caveat Emptor State
West Virginia is a "caveat emptor" (buyer beware) state. This means:
- No mandatory seller disclosure statute for residential property
- Sellers are not legally required to complete a disclosure form
- Buyers bear more responsibility for investigating property condition
Key Points
| Fact | Implication |
|---|---|
| No disclosure statute | Sellers not legally required to disclose |
| Caveat emptor | "Buyer beware" principle applies |
| No standard form | State does not mandate specific disclosure form |
Important: This is a significant difference from states like California, Texas, and Florida which require detailed seller disclosures.
Licensee Disclosure Obligations
While sellers may not be required to disclose, licensees have professional obligations:
Material Facts
Licensees must disclose known material facts that:
- Could affect the property's value
- A reasonable buyer would want to know
- Are not readily apparent upon inspection
What IS a Material Fact?
| Material Facts | Examples |
|---|---|
| Physical defects | Foundation issues, roof leaks, plumbing problems |
| Environmental hazards | Mold, flooding history, contamination |
| Legal issues | Zoning violations, easements, liens, boundary disputes |
| Property condition | Systems not functioning, structural damage |
What is Generally NOT Required to Disclose?
| Not Required | Reason |
|---|---|
| Deaths on property | Not considered material in WV |
| Alleged hauntings | "Psychologically impacted" property |
| Nearby sex offenders | No duty to investigate or disclose |
| Prior crimes | Stigmatized property protection |
Note: While not required to volunteer, licensees must answer direct questions honestly.
Direct Questions
If a buyer directly asks about a specific issue:
| If Licensee Knows | Requirement |
|---|---|
| Answer is yes | Must respond truthfully |
| Answer is no | Must respond truthfully |
| Answer is unknown | May say "I don't know" |
Example: If a buyer asks "Has this property ever flooded?" and the agent knows it has, they must answer honestly.
Voluntary Disclosure Forms
Although not required by law, many real estate professionals in West Virginia use:
- Voluntary seller disclosure forms provided by brokerages
- West Virginia Association of Realtors forms
- Custom brokerage forms
Benefits of Voluntary Disclosure
| Benefit | Description |
|---|---|
| Reduces liability | Documentation protects sellers and agents |
| Builds trust | Transparency with buyers |
| Smoother transactions | Fewer surprises during inspections |
| Industry standard | Many buyers expect some disclosure |
Federal Lead-Based Paint Disclosure
For homes built before 1978, federal law requires:
| Requirement | Details |
|---|---|
| Disclosure | Known lead-based paint hazards |
| Pamphlet | EPA pamphlet "Protect Your Family From Lead" |
| Inspection period | Buyer has 10 days to inspect (waivable) |
| Form | Lead-Based Paint Disclosure form |
Warning: Lead-based paint disclosure is REQUIRED regardless of West Virginia's caveat emptor status. This is federal law.
Methamphetamine Production
If a licensee knows methamphetamine was produced in a property:
| Consideration | Recommendation |
|---|---|
| Material to value | Yes - cleanup costs significant |
| Health/safety issue | Potential contamination |
| Disclosure advisable | Protects all parties |
Fraud Prevention
Even without mandatory disclosure:
- West Virginia has fraud laws that apply to real estate transactions
- Intentional misrepresentation is still illegal
- Concealment of known defects may create liability
- Sellers cannot actively hide or conceal known problems
What type of state is West Virginia regarding property disclosures?
Under West Virginia law, which of the following MUST be disclosed?
If a buyer directly asks a West Virginia licensee about flooding history and the licensee knows the property has flooded, what must the licensee do?