Psychologically Impacted Houses: Broker Disclosure Behavior and Perceived Market Effects in an Unregulated Environment

Abstract

This article reports the disclosure practices of Ohio real estate licensees when dealing with a psychologically impacted house and examines the perceptions of licensees concerning the market effects associated with such housing. Ohio is similar to many other states in that licensees there are not protected by statute from liability for failing to disclose this information, nor are they required by statute to disclose it. Survey information obtained from licensees about psychologically impacted residential transactions is examined. In the sample, disclosure practices vary widely among licensees, and they report moderately negative market effects associated with psychologically impacted houses.