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Mandated DisclosuresMaterial_adverse_facts_stigma_and_other_illinois_disclosuresMEDIUM

Under Illinois law, how must a licensee treat a prior occupant's HIV-positive status and the fact that a death occurred at a property when completing the Illinois Residential Real Property Disclosure Report?

Correct Answer

D) Neither fact is required to be entered as a physical-condition defect because the disclosure report addresses the physical condition of the property, not the personal history of prior occupants.

The Illinois Residential Real Property Disclosure Act (765 ILCS 77/) is a physical-condition disclosure instrument. Illinois law (765 ILCS 77/10 and 735 ILCS 5/2-120) expressly provides that a seller is not required to disclose that a prior occupant had HIV/AIDS or that a death occurred at the property. These personal-history matters are not treated as physical defects on the disclosure report.

Answer Options
A
Both facts must be disclosed as material defects because they could affect a buyer's decision to purchase the property.
B
Both facts must be entered on the disclosure report only if the buyer asks about them in writing before making an offer.
C
HIV status must be disclosed as a material defect, but a death at the property need not be disclosed unless it was violent.
D
Neither fact is required to be entered as a physical-condition defect because the disclosure report addresses the physical condition of the property, not the personal history of prior occupants.

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Related Topics & Key Terms

Key Terms:

difficulty_3disclosuresil_specific_disclosuresillinois_statematerial_adverse_facts_stigma_and_other_illinois_disclosuresphysical_conditionscenariostigmatized_property

Related Concepts

A seller's disclosure statement is a form that sellers complete to inform buyers about the condition and history of the property, including known defects, past repairs, insurance claims, and environmental issues.

Many states and localities have fair housing laws that expand upon the protections offered by the federal Fair Housing Act.

A stigmatized property is one that has an undesirable reputation due to events that occurred on the property or nearby, such as a murder, suicide, alleged haunting, or proximity to a registered sex offender. The stigma is psychological, not physical.

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