Seller Disclosure Requirements
in Kentucky

Despite its reputation as a *caveat emptor* state, Kentucky law has evolved significantly, carving out crucial exceptions that place a firm duty on sellers. The landmark case, *Dennison v. KDI Corporation*, solidified the modern standard: a seller must disclose known, latent material defects that a buyer could not reasonably discover through a diligent inspection. This principle is put into practice through the mandatory **Kentucky Seller's Disclosure of Property Condition** form, typically provided by the Kentucky Real Estate Commission (KREC). This document is the cornerstone of **Kentucky disclosure requirements**. It must be completed by the seller and delivered to a prospective buyer before the signing of a sales contract. Upon receipt, the buyer has a specific timeframe to review the contents and, if concerning information is revealed, may have the right to rescind their offer without penalty. This framework moves beyond a simple “buyer beware” mentality, creating a required dialogue about the home’s true condition and what a **property disclosure** must legally contain.

On the **Kentucky seller disclosure form** itself, the questions are direct and comprehensive, leaving little room for ambiguity. A seller is obligated to provide information across numerous categories, including the home's foundational integrity, the age and condition of the roof, the functionality of its core systems like HVAC and electrical, and any known water intrusion issues in the basement or crawl space. For instance, a seller in an older Louisville neighborhood like the Highlands must reveal if they are aware of any remaining knob-and-tube wiring, even if the rest of the panel was updated. Similarly, a seller in Lexington whose basement takes on water during heavy spring thaws must mark this on the form. The central question is always whether a defect is “known” to the seller. This is the essence of **what must sellers disclose**; it's not about guaranteeing a perfect home, but about being truthful regarding the problems you know exist.

Kentucky's unique geology and climate introduce location-specific risks that are critical to a proper **property disclosure**. Radon gas, a colorless and odorless carcinogen, is notably prevalent in the Bluegrass and Knobs regions due to the underlying limestone and shale formations. Sellers must disclose any known radon tests and their results. Another major concern is mine subsidence, particularly for properties located in the Western and Eastern Kentucky Coal Fields. A seller in a community near Pikeville or Madisonville has a duty to disclose any knowledge of underlying mines or past subsidence issues affecting the property or the neighborhood. Furthermore, proximity to rivers like the Ohio or the Licking makes flood history a material fact. These environmental and geographical factors are not just trivial details; they are a mandatory part of the **Kentucky disclosure requirements** that directly impact a property's safety and value.

From my own experience litigating these disputes, the consequences of non-disclosure can be severe. I recall a case where a seller in Frankfort cleverly concealed a bowing basement wall behind newly installed drywall and a strategically placed shelf. The buyer, seeing a pristine basement, proceeded with the purchase. Months later, cracks appeared, and an expert revealed a costly, long-standing foundation failure. The buyer sued for fraudulent misrepresentation, and the court found in their favor, as this was a classic “latent defect” — known to the seller but not reasonably discoverable by the buyer. The legal principle reaffirmed in cases like *Nee v. HHM Enterprises* is that an “as-is” clause will not shield a seller from liability for active concealment or fraud. Fulfilling **seller disclosure Kentucky** obligations honestly is not optional; it is a legal imperative to avoid rescission of the sale, liability for damages, and significant legal fees.

To protect yourself legally and facilitate a smoother transaction, absolute honesty on the **Kentucky seller disclosure form** is your strongest shield. I strongly advise sellers to invest in a pre-listing inspection from an ASHI-certified professional. This report serves two purposes: it informs you of issues you may not have been aware of, allowing you to either repair them or disclose them accurately, and it provides a third-party, good-faith baseline of the property's condition. When you disclose a past issue, such as a repaired roof leak, provide the receipts and warranty from the contractor. This transparency transforms a potential negative into a sign of responsible ownership, building critical trust with potential buyers. Proper **seller disclosure in Kentucky** is not about sabotaging your sale; it is the most effective strategy for preventing post-closing lawsuits and ensuring a clean closing.

For buyers, the seller's disclosure is not the end of your investigation—it is the beginning. Treat this document as a roadmap for your own due diligence. If the seller discloses a history of termite treatment, you should absolutely order your own thorough pest inspection from a reputable local company. If the form indicates past foundation repairs, consider hiring a structural engineer to evaluate the work and the current stability. The disclosure and subsequent inspection periods are your opportunity to verify the seller’s claims, investigate any red flags, and truly understand the asset you are about to acquire. The **Kentucky disclosure requirements** empower buyers to look beyond the fresh paint and staging, ensuring they can make a fully informed decision about one of the largest investments of their lives.