According to one site, the median duration of homeownership in the US is 13.3 years. A lot of home improvements can be made over several years less along a decade or more. Maybe be it is time for a home improvement diary? This could be a simple composition book where the property owner makes diary entries including date, improvement made and investment for the improvement.
Many states require the seller’s to complete some sort of seller’s disclosure form. Here in AZ the form is five (5) pages long with 203 lines. Additionally, AZ law prohibits the listing agent from completing this form. The Seller’s Property Disclosure Statement (SPDS) must be completed by the seller and sent to the buyer within 5 days of signing the offer to purchase. Also, this form legally cannot be waived, but must be submitted even with “I don’t know” and signed by the seller.
Possibly this home improvement diary could be accompanied by a small accordion folder which would hold all the receipts for materials and/or work purchased and any warranties. This accordion folder could also be the repository for all manuals such as air conditioning, furnace or dishwasher.
At the time of the residential sale, it would be much easier to complete the SPDS and it would be far more accurate. Then during Close of Escrow the accordion folder with the manuals and any receipts the seller wishes to convey with the property along with the keys can be handed over to the new buyers. Some of these receipts may be required for warranty to be transferred.
With many properties being inherited, having such a home improvement diary and a respository for manuals, warranties and receipts would help those who inherited the property. This diary could potentially reduce the stress experienced by those who inherited the property as they don’t know what improvements had been made to the property.
So from now on, as the buyer’s agent, my best practice will be to include an accordion folder along with a composition book to the residential home buyers. This new best practice will make it far easier for the now new owners to complete their SPDS when they decide to sell their home. Also by taking this action, I continue to protect and promote the interests of my clients as per the Code of Ethics.
Graphic courtesy of Pixabay.com
Comments(20)