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Murder houses a tough sell, but a homeB次元官网网址檚 dark past may stay hidden

For some, knowing that a murder took place in a home is enough to make them walk away from a purchase
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It was a B次元官网网址渟tunningB次元官网网址 property in the heart of downtown Toronto, but for broker Caroline Baile it was a tough sell.

ThatB次元官网网址檚 because the home had been the site of a recent murder, a domestic dispute turned fatal. Baile would tell potential buyers about the tragic death that took place, but the propertyB次元官网网址檚 story was already well known thanks to intense media coverage of the crime.

B次元官网网址淚t was challenging to sell it,B次元官网网址 she said, not wanting to go into too much detail to protect client privacy. B次元官网网址淪o we ended up leasing it to cover carrying costs.B次元官网网址

The renters were aware of the propertyB次元官网网址檚 history and once the media attention subsided, the property was sold.

But for some people, the knowledge that a murder took place in a home is enough to make them walk away from a purchase B次元官网网址 even if it is at a steep discount in a hot market.

That is, for those who are aware that something happened.

While there are rules requiring disclosure of issues concerning a property such as defect like a hole in a roof or mould, for non-physical problems such as violent crime, the law largely says B次元官网网址渃aveat emptorB次元官网网址 or buyer beware, said Alan Silverstein, an Ontario-based real estate lawyer.

Quebec does have a law that requires sellers to disclose when a person has died an unnatural death on their property. But in other provinces, the guidelines are blurry.

B次元官网网址淎 murder is more psychological than factualB次元官网网址 When you get into the area of murder and suicides, natural causes, we donB次元官网网址檛 have clear rules,B次元官网网址 Silverstein said.

There are also differing guidelines for agents or sellers, he added.

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In Ontario, for example, the seller has no legal requirement to disclose a stigma such as murder and the onus is on the buyer and their realtor to find out.

However, real estate agents in the province have an ethical obligation to disclose the existence of stigmas, according to the Ontario Real Estate Association.

Agents are also required to tell potential buyers about these issues at the earliest possible convenience, said Barry Lebow, a Toronto realtor and expert on stigmatized properties.

B次元官网网址淵ou cannot disclose it at the table once there is an offerB次元官网网址. you donB次元官网网址檛 wait until the last minute, but that happens,B次元官网网址 he said.

If the agent or seller is asked a question, they cannot give a false answer, Silverstein said.

The former owner of a Vancouver mansion learned this lesson after the B.C. Supreme court ordered her to return a $300,000 deposit after a sale fell through because she didnB次元官网网址檛 tell the buyer about a suspected gang-related murder of her son-in-law at the front gate in 2007.

Feng Yun Shao reneged on her $6.1-million offer on the 9,000-square-foot mansion in 2009 just days after forwarding the deposit. The would-be buyer asked why they were selling and was told the owner had moved back to China and her daughter had moved to a location closer to her childB次元官网网址檚 school, according to court documents.

Neither the owner, her daughter or the realtor told Shao about the unsolved slaying, and the judge said she was the victim of a B次元官网网址渇raudulent misrepresentation.B次元官网网址

Still, as homes change hands over the years, a propertyB次元官网网址檚 dark secrets donB次元官网网址檛 always get passed on.

B次元官网网址淚f the seller doesnB次元官网网址檛 know about something, itB次元官网网址檚 hard to hold them liable,B次元官网网址 Silverstein said.

Also, itB次元官网网址檚 unclear how far back in a propertyB次元官网网址檚 history must be disclosed. Some jurisdictions, such as California, stipulate the seller is obligated to disclose a death on a property if it occurred within the three years prior to the sale.

B次元官网网址淲e need some hard and fast rules,B次元官网网址 Silverstein said.

Buyers who are uncomfortable with living in a home where a violent crime took place should do extensive research on any property that catches their eye. In addition to the obvious online address searches, potential buyers should also ask their would-be neighbours for information about the home, said Silverstein.

Another thing to look for is a line in the listing that asks potential buyers to call the listing agent before preparing an offer, said Toronto realtor David Fleming.

B次元官网网址淚t could mean something big or it could mean something smallB次元官网网址 When you see something like that, it usually means that there is a catch and they donB次元官网网址檛 want to put it in a listing,B次元官网网址 he said.

Buyers can also add a clause that the sellers acknowledge that to the best of their knowledge there hasnB次元官网网址檛 been a murder or suicide in the home.

Sandra Pike, a realtor based in Halifax, said most agents in the region add in this caveat stipulating that the property has not been stigmatized by things such as murder, suicide or illegal drug cultivation.

B次元官网网址淵ou wouldnB次元官网网址檛 want to be dishonest and not bring that upB次元官网网址 If it comes back and bites you, itB次元官网网址檚 not worth it,B次元官网网址 she said.

Some homes may never shake off the stigma, no matter how much time passes. The St. Catharines, Ont. home where convicted killer Paul Bernardo and his former wife Karla Homolka raped and murdered two teen girls was torn down in 1995.

Even in high-profile cases, there are some people who arenB次元官网网址檛 deterred, said Barry Cohen, a Toronto-based luxury property realtor.

The unsolved murders of Apotex Inc. founder Barry Sherman and his wife Honey at their mansion in northern Toronto has not hurt the sale prospects for nearby homes that he is representing, as most see it as an isolated incident and not a reflection of the neighbourhood, Cohen said.

As well, while the ShermansB次元官网网址 home is not currently on the market, Cohen said there is buyer interest.

B次元官网网址淭he client would buy it as is.B次元官网网址

The Canadian Press

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