Are Fannie Mae and a listing agent exempt from the real estate disclosure law?

Get Legal Help Today

Compare Quotes From Top Companies and Save

secured lock Secured with SHA-256 Encryption

Are Fannie Mae and a listing agent exempt from the real estate disclosure law?

I signed a contract to purchase a home from Fannie Mae. I have since discovered a support beam in the crawl space is cracked in half and the home is sloping. As it turns out the same engineer had already done a report of this problem for the sellers real estate agent. There seems to be conflicting laws about disclosure because this is bank owned. If I interpreted the law correctly, foreclosed property owners (ie banks) and the real estate agent representing them are excluded from state disclosure law. Is that correct?

Asked on April 24, 2012 under Real Estate Law, Virginia

Answers:

FreeAdvice Contributing Attorney / FreeAdvice Contributing Attorney

Answered 12 years ago | Contributor

Under the laws of all states in this country, the seller of foreclosed property (REO) such as Fannie Mae in your situation is not required to complete a transfer disclosure statement or a supplement. Likewise, neither is its real estate agent.

However, if the listing agent or the seller know of a material item regarding the home being sold that would affect price or desirability, such material item must be disclosed to all potential buyers of the property.


IMPORTANT NOTICE: The Answer(s) provided above are for general information only. The attorney providing the answer was not serving as the attorney for the person submitting the question or in any attorney-client relationship with such person. Laws may vary from state to state, and sometimes change. Tiny variations in the facts, or a fact not set forth in a question, often can change a legal outcome or an attorney's conclusion. Although AttorneyPages.com has verified the attorney was admitted to practice law in at least one jurisdiction, he or she may not be authorized to practice law in the jurisdiction referred to in the question, nor is he or she necessarily experienced in the area of the law involved. Unlike the information in the Answer(s) above, upon which you should NOT rely, for personal advice you can rely upon we suggest you retain an attorney to represent you.

Get Legal Help Today

Find the right lawyer for your legal issue.

secured lock Secured with SHA-256 Encryption