Sellers of real estate should disclose to buyers if potential wind farms may be constructed in area

Editor:

As a NYS Real Estate Salesperson, I would like to share a note as an opinion regarding commercial wind power plants and your duty, as a seller, to disclose. This is an opinion, only, and is not to be construed as legal advice. I always encourage sellers and buyers to seek legal advice from their attorney.

There are wind power plants and potential wind power plants scattered throughout NYS.  Most homeowners looking to sell their home know that NYS Real Property Law §462 requires residential sellers to disclose (in writing) any known material or latent (hidden) defects about their home (i.e. mold, structural, or water issues, etc.) to a buyer.

However, some homeowners in potential or developing wind power plant areas may be wondering, “Do I have to disclose that there are (or may be) wind turbines being constructed here?”

A wind power plant (wind farm) is generally not considered to be a legally binding “hidden defect” as pertains to a residence itself. It is, however, according to the attorneys at the New York State Association of Realtors, a material fact that should be disclosed once the project is approved and construction has begun.

A seller might have reservations about disclosing such a fact, because they may believe that to do so will deter some potential buyers from looking at their home and from making an offer to purchase. However, it is imperative for the seller to safeguard against possible lawsuits that could happen due to being negligent in their duties to disclose such an important material fact.

To be fair, there will be a few potential buyers who have strong negative feelings about wind power plants and are less likely to purchase a home located in such an area. But there will also be a few potential buyers that would purchase that same home, nonetheless.

Be aware, though, that if they do purchase, without being told, and later see or hear construction happening in their new backyard, an outraged buyer could take a trip to an attorney and further into court with the seller in tow. Therefore, even though making this type of disclosure may seem like a daunting task for a seller, it cannot be stressed enough…it is prudent to disclose.

What should a seller do?  Your skilled salesperson will know exactly how to help with such a situation and will make it easier to navigate. Remember, a commercial industry, such as a wind power plant, is not considered a “latent” defect on a home, itself, but it certainly could be considered a “midden material fact” if not disclosed.

Therefore, “Disclose, Disclose, Disclose…in writing.” Be honest and upfront. It could save you, as a residential home seller, a gigantic headache later, should a wind “farm” actually take “root”.  And, remember, always consult your attorney for advice.

Sincerely,

Cindy Burnside

Office Administrative Manager with Peter Snell Realtors in Albion