Seller Disclosure Requirements
in Arkansas

Despite its reputation as a firm 'caveat emptor' or 'buyer beware' state, the landscape of seller disclosure in Arkansas is far more nuanced, with treacherous legal ground for sellers who are not diligent. The common law exceptions for fraud, misrepresentation, and direct inquiry effectively carve out a significant duty to be truthful. While the state legislature has not mandated its use in every transaction, the Arkansas REALTORS® Association has standardized the process with the Arkansas Seller's Property Disclosure Form. Based on industry experience, litigating disputes from Fayetteville to Little Rock, this document is the lynchpin of most residential sales. If an agent is involved, you will almost certainly be completing it. Failing to provide it upon request or, more critically, providing a form with intentional falsehoods, opens a seller up to significant post-closing liability. The form itself becomes a representation of fact, moving the sale from a simple 'as-is' transfer to one based on the specific conditions you attest to.

Fundamentally, the Arkansas disclosure requirements compel a seller to answer truthfully about their direct knowledge of the property's condition. The question of what must sellers disclose is answered by the categories on the form itself, which probes into critical areas. This includes the home's structural integrity—think foundation cracks from the shifting clay soils common in the Arkansas River Valley—and the condition of major systems like HVAC, electrical, and plumbing. Water intrusion is a major point of contention; you must disclose any known history of water in the basement or crawlspace, roof leaks, or drainage problems, even if you believe they have been repaired. The form also covers pest infestations, particularly the history of termites and other wood-destroying insects, a pervasive issue across the state. Unlike some states, Arkansas law does not typically require disclosure of 'stigmas' like a death on the property unless it resulted from a condition that affects the home's physical structure.

Beyond the standard structural and system questions, a seller's property disclosure must address hazards specific to Arkansas's unique geography and climate. For instance, given the state's position in the New Madrid Seismic Zone, the form asks about knowledge of earthquake-related damage. Flooding is another critical area; if your property is near the White River or in a designated floodplain as mapped by the Arkansas Natural Resources Commission, this requires careful and accurate disclosure. Radon gas, which can accumulate in homes built over the granite and shale of the Ouachita Mountains, is another key environmental concern. The form specifically asks about radon testing and mitigation. Honestly answering what must sellers disclose regarding these environmental factors is not just a legal formality; it's a crucial part of painting an accurate picture for a potential buyer and preventing future legal battles over known, localized risks.

When a seller chooses deception over disclosure, the consequences Market trends show in court can be devastating. A failure to disclose a known, material defect can lead to a lawsuit for fraud or misrepresentation. Imagine a seller in Hot Springs Village who knows their deck has wood rot but slaps on a fresh coat of paint to hide it. When the new owner's child falls through a weak board, the seller is exposed to liability not just for the cost of repair, but potentially for personal injury damages. The key legal battleground is proving the seller’s *knowledge*. A latent defect—one a buyer could not reasonably discover through a standard home inspection—that was known to the seller is the classic scenario for a successful lawsuit. Judges and juries in Arkansas do not look kindly on sellers who actively conceal problems, and a court can order remedies ranging from monetary damages to, in rare cases, a complete rescission of the sale.

Therefore, the best legal protection for a seller is radical transparency. Completing the seller disclosure in Arkansas is not a sales tactic; it's a risk management strategy. Experts advise clients to consider a pre-listing inspection. This accomplishes two things: it gives you a clear picture of your property's condition and provides a third-party report you can use as the basis for your disclosures. If the inspector finds an issue, you can either fix it and disclose the repair (attaching invoices) or disclose the issue as-is. Disclosing a known defect, such as 'seasonal dampness in the northwest corner of the crawlspace,' is infinitely better than checking 'No' and having a buyer's inspector find it. This honesty builds trust and often prevents a buyer from walking away, as they can now investigate the known issue and factor it into their offer, short-circuiting a potential dispute before it ever begins.

For a buyer, receiving the Arkansas seller disclosure form is the starting pistol for your due diligence, not the finish line. This document is a reflection of the seller's *knowledge*, not a comprehensive warranty of the property's condition. If a seller marks 'Unknown' for the age of the roof or the condition of the septic system, it is a clear signal to you to investigate those items thoroughly. Use the property disclosure as a roadmap for your home inspector, directing them to pay special attention to any disclosed past issues or areas marked 'Unknown'. During your inspection period, do not hesitate to ask for clarification or documentation in writing regarding any disclosures. Verifying the seller's claims and conducting your own independent inspections is the ultimate form of 'buyer beware' and the best way to protect your investment in the Natural State.