PSI Exam Prep: Property Disclosures Flashcards
Standing water present more than 24 hours after heavy rain or ground sloping toward the house may indicate
drainage problems.
Mulch mounded against a house or other structure with wood frame siding can hold moisture against the siding, leading to
wood rot.
A sinkhole or settling beyond what’s typically expected may be a sign of mine subsidence (a gradual sinking or caving in),
underground storage tanks
A vent pipe protruding from the ground may also be a sign of
an underground storage tank.
Soft spots and mounds may indicate that the property was used for
waste disposal.
it can help determine easements, encroachments, boundaries, and lot size.
An on-site survey
it occurs when someone illegally places an object or structure on another person’s property.
An encroachment
What is an easement?
Essentially this means that someone other than you could have access to the land
How do you find known easements?
property’s deed and title history as well as subdivision maps
What can encroachments and/or easements cause?
property’s enjoyment, use, and value.
The presence of mud tunnels in walls may indicate
termite infestation.
they leave behind a sawdust-like material called frass when they burrow through wood
Carpenter ants
Many small holes through wooden beams could indicate the presence of
wood-boring beetles.
Interior environmental hazards may include
radon, asbestos, and mold
it occurs naturally in the environment and can be found in soil and well water.
Radon
a fibrous material that becomes dangerous when it deteriorates and becomes friable (easily crumbled) was used in many materials before the 1970s because of its fire-retardant qualities. Inhaled particles can damage the lungs over time. Only licensed professionals should handle it
Asbestos
it is promoted by excessive moisture and lack of air circulation.
Mold growth
it can be found in paint, plumbing, dust, soil, and drinking water.
it causes many health issues, particularly among infants, children, and the elderly. In children, lead-related issues can include behavioral problems, learning disabilities, seizures, and even death.
lead
this program lowers the property’s taxes for a set amount of time. These are typically offered for new construction or when a property lies in an area designated for rehabilitation or renovation. These are for elderly homeowners are also common.
tax abatements
External environmental hazards may be difficult to detect. Most states require that sellers disclose known environmental issues, including
Underground storage tanks Groundwater contamination The presence of former waste disposal sites Mining activities Use of agricultural pesticides
it is most often found in water and paint.
LEAD
it is negative property information that could reduce the property’s value.
An adverse material fact
it is a hidden property condition that’s not likely to be discovered through a general review or inspection.
A latent defect
What does caveat emptor means?
“Buyer Be Aware” Non-Disclosure state
what does disclosure of latent means?
not visible or easily detected in a cursory inspection
These are locations where a death (either homicide or suicide), crime, or haunting or other paranormal activity occurred. Most states do not consider these disclosable issues, but a few states do.
Stigmatized properties
What does MAAP means?
material, adverse, actually known, and related to physical condition.
