Requires disclosure of sales prices in real estate sales
Impact
If enacted, HB579 would introduce civil penalties for purchasers who fail to disclose the sales price of real estate. Specifically, a purchaser would be liable to the state for a penalty amounting to five percent of the sales price for each violation. The enforcement of this provision could fall under the jurisdiction of the Attorney General or the local prosecuting attorney, giving them the authority to bring suit for violations. This could potentially lead to an increase in record-keeping and compliance efforts among real estate professionals in the state.
Summary
House Bill 579 aims to amend Chapter 442 of the Revised Statutes of Missouri by establishing a requirement for disclosing the sales price in real estate transactions. Under this bill, a person may not have an instrument conveying real estate recorded unless it discloses the sales price. This change is intended to promote transparency in property transactions and ensure that the financial details of real estate sales are public knowledge.
Contention
Proponents of HB579 argue that requiring the disclosure of sales prices promotes transparency in the housing market, allows for better market evaluation, and assists in preventing fraudulent activities related to property transactions. However, opposition may arise from those concerned about the privacy of property transactions and the potential for this requirement to affect the dynamics of negotiations between buyers and sellers. Real estate professionals may also voice concerns about the additional administrative burden placed upon them to ensure compliance with the new disclosure requirements.