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August 1, 2025 31 mins

From former drug labs and marijuana grow houses to mold, radon, and even haunted properties, this roundtable tackles the murky world of real estate disclosures. You'll hear stories about clandestine conditions, meth-laced bathtubs, untraceable mold damage, and whether you need to tell buyers if someone died on the property.

This isn’t just about creepy houses. It’s a wake-up call for both buyers and sellers. What you don’t know, or don’t disclose, can cost you.

KEY TAKEAWAYS

• Clandestine real estate refers to properties with a hidden illicit or improper history (e.g. drug production, grow operations).
• Legal marijuana use in a home can still create problems with mold, wiring, insurance, and title coverage.
• Mold can be caused by indoor humidity from grow lights or overwatering, even in dry climates like New Mexico.
• Meth houses may require full remediation, including new plumbing, ductwork, and drywall.
• Deaths in a home do not have to be disclosed unless requested by the buyer, but murder and haunting might come with neighborhood gossip.
• Registered sex offenders in neighboring homes must be looked up by buyers. The burden is on them, not the seller or realtor.
• Real estate agents are not allowed to comment on crime rates or neighborhood quality due to fair housing regulations.
• The best rule of thumb: if you would want to know about it as a buyer, you should probably disclose it as a seller.

BEST MOMENTS

00:05:38 “Imagine moving into a meth house where they’ve used the tub to do that stuff, and then putting your kids in there.”
00:06:00 “Cigarettes are more harmful than weed. Tar gets into everything.”
00:07:20 “Grow pots cemented into the ground. That house was auctioned, no disclosures, but it didn’t take a rocket scientist to figure out something was off.”
00:13:28 “Would you really need to disclose five marijuana plants if they’re legal? It’s like owning a cat. Some people are allergic.”
00:20:08 “Me and my brothers developed asthma living in a moldy mobile home. We didn’t know until much later.”
00:25:15 “You don’t have to disclose a neighborhood murder, but the neighbor will probably tell them anyway.”
00:27:01 “A sex offender moved in next door, and the buyers had five kids. I had to say something. My conscience couldn’t let it go.”

Website: sjcbroker.com

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