Reviewed 10/23

ISSUE:

Two months after close of escrow the seller calls the listing broker to tell the listing broker that the seller had ghosts in the home named “Angel” and “Charlie.” Does the listing broker now have to disclose the occupancy of these ghosts to the buyer of the home?

ANSWER:

Probably not. The general rule is that after the close of escrow the agent has no obligations of disclosure to a buyer or seller in the closed transaction, except to keep confidential any information learned during the agency relationship. Therefore, the agent probably has no obligation to disclose the presence of ghosts to the buyer two months after the close of escrow.

Note: A.R.S. §32-2156 protects real estate licensees and the seller from failing to disclose during the transaction certain material facts relating to the home such as suicides, murders, or other felonies, and registered sex offenders in the vicinity of the home. The presence of ghosts in the home similar to the ghosts in the movie The Amityville Horror could be a material fact that a reasonable buyer would want to know. If a material fact, A.R.S. §32-2156 would not protect the seller and real estate licensees from failure to disclose these ghosts.