Dear Barry,
Is the purpose of the disclosure statement to provide a history of all repairs and past problems or to disclose current defects? I'm preparing to sell my property and am wondering if a long hairline crack in the basement wall that a general c
ontractor repaired by injecting a special epoxy into the crack should be disclosed. It was a rather simple operation, and the crack has remained unchanged for the past six years. But should be included in my disclosure statement to the buyers. Is it necessary to mention the epoxy-filled crack, or will this disclosure needlessly alarm buyers? --Rashid

Dear Rashid,
The primary purpose of the disclosure statement is two-fold: The most obvious is to inform buyers of the condition of the property they are buying. The added benefit, often overlooked, is the liability protection provided for sellers. In this respect, the disclosure statement helps to minimize the likelihood of claims,
disputes or law suits occurring after the close of escrow.

Reasonable buyers are not likely to be troubled or concerned about a repaired hairline crack, but lurking in the shadows of the marketplace are those litigious individuals against whom one must be ever vigilant. It is not so much a matter of whether you are required to disclose the crack. Rather, it is to your
advantage to disclose it. In doing so, that condition becomes one less issue with the potential to incite future conflict. In the unlikely event that a problem
regarding the crack should ever arise, your defense would be strengthened by the fact that you had made full disclosure.

The process is actually quite simple. Just declare in writing that the crack was evaluated and repaired by a reputable licensed general contractor, and include a copy of the paper work that you received from the contractor. This should
reassure, rather than alarm, most potential buyers.