Introduced By: Representatives Costantino, Slater, Fox, Palangio and Cicilline
Date Introduced : February 2, 1999
It is enacted by the General Assembly as follows:
SECTION 1. Section 5-20.8-2 of the General Laws in Chapter 5-20.8 entitled "Real Estate Sales Disclosures" is hereby amended to read as follows:
5-20.8-2. Disclosure requirements. -- (a) As soon as practicable, but in any event, no later than prior to signing any agreement to transfer real estate, the seller of such real estate shall deliver a written disclosure to buyer and to each agent with whom seller knows he or she or buyer has dealt in connection with such real estate. The written disclosure shall comply with the requirements set forth in subsection (b) and shall state all deficient conditions that the seller has actual knowledge. Agent shall not communicate the offer of buyer until buyer has received a copy of the written disclosure and signed a written receipt of same. If buyer refuses to sign a receipt pursuant to this section, the seller or agent shall forthwith sign and date a written account of the refusal. The agent shall not be liable for the accuracy or thoroughness of representations made by seller in the written disclosure or for deficient conditions not disclosed to the agent by the seller.
(b) (1) The Rhode Island real estate commission may approve a form of written disclosure as required under this chapter or the seller may use a disclosure form substantially conforming to the requirements of this section. The following provisions shall appear conspicuously at the top of any written disclosure form: "Prior to the signing of an agreement to transfer real estate (vacant land or real property and improvements consisting of a house or building containing one to four (4) dwelling units), seller is providing buyer with this written disclosure of all deficient conditions of which seller has knowledge. This is not a warranty by seller that no other defective conditions exist, which there may or may not be. Buyer should estimate the cost of repair or replacement of deficient conditions prior to submitting an offer on this real estate. Buyer is advised however not to rely solely upon the representation of seller made in this disclosure, but to conduct any inspections or investigations which buyer deems to be necessary to protect his or her best interest." Nothing contained herein shall be construed to impose an affirmative duty on the seller to conduct inspections as to the condition of this real estate.
(2) The disclosure form shall include the following information:
(a) Seller Occupancy -- (Length of Occupancy)
(b) Year Built
(c) Basement -- (Seepage, Leaks, Cracks, etc. Defects)
(d) Sump Pump -- (Operational, Location, and Defects)
(e) Roof (Layers, Age and Defects)
(f) Fireplaces -- (Number, Working and Maintenance, Defects)
(g) Chimney -- (Maintenance History, Defects)
(h) Woodburning Stove -- (Installation Date, Permit Received, Defects)
(i) Structural Conditions -- (Defects)
(j) Insulation -- (Wall, Ceiling, Floor, UFFI)
(k) Termites or other Pests -- (Treatment Company)
(l) Radon -- (Test, Company) "Radon has been determined to exist in the State of Rhode Island. Testing for the presence of radon in residential real estate prior to purchase is advisable."
(m) Electrical Service -- (Imp. & Repairs, Electrical Service, Amps, Defects)
(n) Heating System -- (Type, Imp. & Repairs, Underground Tanks, Zones, Supplemental Heating, Defects)
(o) Air Conditioning -- (Imp. & Repairs, Type, Defects)
(p) Plumbing -- (Imp. & Repairs, Defects)
(q) Sewage System -- (Assessment, Annual Fees, Type, Cesspool/Septic Location, Last Pumped, Maintenance History, Defects)
(r) Water System -- (Imp. & Repairs, Type, Defects) Private water supply (well). "Buyer understands that this property is, or will be served, by a private water supply (well) which may be susceptible to contamination and potentially harmful to health. If a public water supply is not available, the private water supply should be tested for coliforms, nitrates, and chlorides. Periodic testing is recommended."
(s) Domestic Hot Water -- (Imp. & Repairs, Type, Defects, Capacity of Tank)
(t) Property Tax
(u) Easements
(v) Deed -- (Type, Number of Parcels)
(w) Zoning -- (Permitted use, Classification) "Buyers of real estate in the state of Rhode Island are legally obligated to comply with all local real estate ordinances; including, but not limited to, ordinances on the number of unrelated persons who may legally reside in a dwelling, as well as ordinances on the number of dwelling units permitted under the local zoning ordinances." {ADD If the subject property is located in a historic district, that fact must be disclosed to the buyer, together with the notification that "property located in a historic district may be subject to construction, expansion or renovation limitations. Contact the local building inspection official for details." ADD}
(x) Restrictions -- (Plat or Other)
(y) Building Permits
(z) Minimum Housing -- (Violations)
(aa) Flood Plain -- (Flood Insurance)
(bb) Wetlands. The location of coastal wetlands, bay, fresh water wetlands, pond, marsh, river bank or swamp, as those terms are defined in Chapter 1 of Title 2 and the associated buffer areas may impact future property development. Seller must disclose to the buyer any such determination on all or part of the land made by the department of environmental management.
(cc) Multi-family or other Rental Property -- (Rental Income)
(dd) Pools & Equipment, Type, Defects
(ee) Lead Paint -- (Inspection) Every buyer of residential real estate built prior to 1978 is hereby notified that such properties may have lead exposures that may place young children at risk of developing lead poisoning. Lead poisoning in young children may produce permanent neurological damage, including learning disabilities, reduced IQ behavioral problems, and impaired memory. The seller of such property is required to provide the buyer with a copy of any lead inspection report in the seller's possession and notify the buyer of any known lead poisoning problem. Environmental lead inspection is recommended prior to purchase.
(ff) Fire
(gg) Hazardous Waste -- (Asbestos and Other Contaminants)
(hh) Miscellaneous
(c) Any agreement to transfer real estate shall contain an acknowledgment that a completed real estate disclosure form has been provided to the buyer by the seller in accordance with the provisions of this section.
(d) The Rhode Island real estate commission shall have the right to amend the seller disclosure requirements by adding or deleting requirements when there is a determination that health, safety, or legal needs require a change. Any change to requirements shall be a rule change, subject to the administrative procedures act. The power of the commission to amend the written disclosure requirements shall be liberally construed so as to allow additional information to be provided as to the structural components, housing systems, and other property information as required by this chapter.
SECTION 2. This act shall take effect upon passage.
This act would take effect upon passage.
