As many of you may know, Assembly Bill 968 (AB-968) has recently been passed, which mandates a comprehensive disclosure of repairs and renovations from sellers who flip one-to-four-unit properties within 18 months of buying them.For those who are not familiar with the details, AB-968 requires sellers to disclose all repairs and renovations performed on the property during their ownership period.

NY & NYC aren’t as great of markets for wholesalers because they have some stricter laws surrounding disclosure and closing which make it a little more difficult to operate there.

That's reflective of new laws in Maryland and Arizona.Because the disclosures are hidden in the contracts, it makes no difference.

.- Seller Disclosures: Specify that the buyer's acceptance is subject to reviewing and approving all seller disclosures and documents related to the property's condition and history.Timeline and Deadlines: Clearly outline deadlines for completing inspections, securing financing, and satisfying other contingencies.

Since doing the disclosure it’s been peaceful.

So, if the seller received notice about this issue and failed to disclosure it to you, then the seller may be liable here. 

Disclosure: I am a heavily allocated real estate investor, and SMB owner (which I acquired) 

Ethical Considerations: The Trust FactorEthics play a significant role in the real estate industry, and this is another area where realtors and wholesalers often find themselves at odds.Code of EthicsRealtors are bound by a code of ethics that demands fair treatment, honesty in advertising, and full disclosure about property conditions.

But under MD law wholesalers will be subject to the same disclosure come October 1st.

All institutional lenders, DSCR, conventional and government send out disclosures that are very clear regarding the length of time and the percentages of the prepayment penalties.