Stigmatized Properties?

Recently, the BC real estate council issued a document called "'Stigmatized' Properties. Stigmatized properties are those that the value will be negatively affected because of some fact relating to the property. Examples of facts include a death in the house, an incestuous assault in the house, gang members lived there, terrible neighbours and ghosts.

The real estate council has issued a paper to help guide its real estate agent members for potential purchase and/or sales and it can be found at:
www.recbc.ca/pdf/StigmatizedProperties.pdf

Sometime in the early 1900's a series of cases started appearing in our courts. The principle of "buyer beware" (caveat emptor) started to erode. More recently, courts around the commonwealth world are etching a new corner out of this principle. Some jurisdictions are holding fast and true that the responsibility is that of the buyer to know what they are getting. A couple of jurisdictions are suggesting that the seller has a legal obligation to share certain information.

Here in British Columbia, there are few, if any cases to guide the current market.

The real estate council is recommending that the real estate agents involved act on the continuing principle of buyer beware. But does this mean the buyer can relieve themselves of their individual obligation by not asking questions? How much of the responsibility will fall on the agent's shoulders? Does the Seller have no obligation to disclose these type of facts? These questions haven't be asked and there are no guiding answers.... yet.