Haunted houses can be a big problem in real estate
Haunting, ghost sightings and any other unexplained events which could impact the value of the property must be disclosed. These Phenomena events create a stigmatized property. Laws in California mandate disclosers.
That means even if a person does not believe in ghosts, but the property has a reputation for being haunted by ghosts, it still must be disclosed. This could have a significate impact on price and the ability to sell the property.
Haunted houses can have a bearing on a person’s peace of mind. This can have legal and other implications if not done correctly. Avoid the legal entanglements and disclose if a property has a reputation of being haunted even if you believe it is all hog wash.
Properties can be stigmatized in other ways besides haunting. There are four types of stigmatized property.
1. Public stigma. This happens when the stigma is known to the general public and any reasonable person can be expected to know of it. An example would be famous homes from television and films.
2. Stigmatized group is criminal activity. A property is stigmatized if it has been used by a drug dealer, for prostitution or other criminal actions.
3. Murder/suicide stigma. California state law requires that any death be disclosed if it occurred within the previous three years.
4. Phenomena stigma. Phenomena stigma occurs if a home is known for being haunted or ghosts, or any other paranormal activity.
What is the best way to sell a Haunted house?
The cash buyer house process is much simpler than a traditional transaction. The process should be agree on a price, date to close the deal and check to see if the buyer has the funds to close the deal. In a standard house buying process there are many contingencies, inspections, renegotiations, concern that the buyer’s mortgage will happen and who knows what the realtors will bring up to create issues in the deal.
Read more at Housing Sacramento Magazine: https://housingsacramento.com/magazine/stigmatized-property-blessings