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Ghost Hunters

I am a big fan of the SciFi channel's series, "Ghost Hunters". I am a skeptic when it comes to the paranormal, but I do keep an open mind.

There are many people in our society that anything paranormal is a serious matter. As a real estate agent, there are certain facts that I must disclose to a buyer if I am aware of them. Is the fact that a house could be haunted something I must disclose? I have wondered about this and, it appears that others have also. The following article is copied from the Indiana Association of REALTOR'S® e-publication with their permission.

Is a Haunted House Considered a Psychologically Affected Property?

In honor of Halloween, the IAR Legal Affairs Department brings to you a "spirited" article on Psychologically Affected Property -

Psychologically affected property is defined in Indiana Code (IC 32-21-6-3).  An owner or agent is NOT required to disclose to a prospective purchaser any knowledge of a psychologically affected property in a real estate transaction UNLESS there is a direct inquiry from that prospective purchaser (IC 32-21-6-6).

Is a haunted house considered a psychologically affected property?  No, it is not included in IC 32-21-6-3 as such a property since there is no formal verification or substantiation that such an entity exists. Nonetheless, we do get calls from brokers who have asked this question and whose clients believe their house to be haunted.  One such call came in from Hendricks County, where a buyer purchased a home, heard footsteps and voices, and discovered words on a mirror saying “get out” when no one was home but that buyer!  This buyer called to complain to the listing agent that the house was haunted!  The listing agent contacted the seller who said “yes, we knew it was haunted but they are friendly spirits!!”


Did the seller have to disclose this information?  No, pursuant to IC 32-21-6-6, there must be a direct inquiry from that prospective purchaser as to whether the house is haunted, and even then there is no category defining a haunted house as a psychologically affected property!!


HAPPY HALLOWEEN from the IAR Legal Affairs Department!

Published Friday, October 26, 2007 1:35 PM by Gary Morris

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