What Is “Stigmatized” Real Estate?
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There are properties which are in flawless physical condition but may nevertheless present unusual marketing issues. For instance, homes which have been the site of murders, suicides, or which are reportedly inhabited by ghosts are known as "stigmatized" properties. These are homes with a condition which is psychological in nature rather than a matter of bricks and mortar.
The subject of stigmatized houses is complex. While some people may want a house with a ghost, others do not. The subject gets tangled even further when one is asked whether murders and suicides at a property must be disclosed.
The rules on this matter vary by state — some say a given condition must be disclosed, others say “no,” some say disclosure is not necessary after so many years, and some states say nothing one way or the other. For specifics, please speak with a broker or real estate attorney in your community.
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