When you sell your house, your Realtor® may ask you to complete a Seller Property Information Statement (SPIS). This form is not mandatory in Ontario. Whether or not to complete one is up to you. If you were to ask your lawyer whether or not you should complete one, some would say yes, some would say no. So what should you do?
What could happen if a seller does not complete one? This may raise a red flag – the potential buyer may think the seller is hiding something.
What could happen if a seller does complete one? If there is dishonesty, a discrepancy, or a misunderstanding of a question, you may end up in court after the transaction has closed if there is a problem.
Completing this form in Ontario is not mandatory but disclosing all material facts is. So even if you do not complete this form and you are aware of a problem that is not disclosed, you could still end up in court.
So with knowing this, why not complete one. Just answer all the questions honestly and to the best of your knowledge. If you do not know the answer, say unknown. If you do not understand the question, ask your Realtor®. If you are still in doubt about what to do, talk to your lawyer.
If you are a buyer, always ask for a SPIS. If the seller refuses to give you one, make a note that a SPIS was not completed on the Offer.
The most important thing to remember as a seller – disclose, disclose, disclose!