Question Regarding Inspection Reports and Disclosure: My deal fell through due to the inspection report; the buyer agent sent me the report along with the termination. What is my liability regarding that existing report? The listing office and seller have an obligation to disclose known defects; ignoring the inspection report does not relieve any of the parties from knowledge of what is in that report and the seller’s disclosure requires acknowledgement and inclusion of any prior inspection reports. Any subsequent buyers should, of course, obtain their own independent inspection and not rely on the prior report.
Read the TAR Legal FAQ on this subject.