What’s on New York’s Real Estate Seller Disclosure Form?

Is a seller’s disclosure required in New York State?

According to N.Y. Real Property Law §§ 460-466, home sellers in the state are legally required to disclose any property defects of which they are aware. The disclosure statement must be provided to the buyer at least 10 days before the contract is signed.

Quataert says she’s seeing more buyers assuming the increased responsibility of completing disclosures in the competitive market.

“With limited inventory and greater competition from cash offers, buyers are trying to secure successful negotiations and want to get every advantage — and that can extend to disclosures,” she explains.

What disclosures are required in New York?

Below are some of the most common disclosures for New York real estate sales:

Property Condition Disclosure Statement

The Property Condition Disclosure Statement (PCDS) is required by law to be provided to potential buyers for all properties containing a dwelling unit that is being offered for sale in New York State. The PCDS must contain information about the property’s current condition, including any known or suspected defects or problems.

“This disclosure can help buyers protect themselves from any potential problems with the property,” explains Shaun Martin, a real estate investor and investment advisor based in Denver, Colorado, who has recently expanded his business to buy and sell properties in New York.

Environmental Disclosure Statement

Sellers are legally required to complete the Environmental section of the PCDS, which contains information about the property’s past and present use, including any known or suspected environmental contamination.

“This disclosure is important because it can help buyers make informed decisions about whether to purchase a property and, if so, how to protect themselves from any potential environmental hazards,” says Martin.

Lead-Based Paint Disclosure Statement

For all properties built in New York since 1978, the year lead paint was banned for residential use, sellers must provide the Lead-Based Paint Disclosure Statement (LPDS). The LPDS must include any information about the presence of lead-based paint and/or lead-based paint hazards.

“This disclosure outlines the potential risks associated with lead-based paint and provides information on how to protect oneself from exposure,” says longtime property investor Zachary VanHeyningen.

Flood Hazard Disclosure Statement

If a New York property is located in a flood plain, the buyer is required to disclose that information to the seller. “This disclosure outlines the risks associated with flooding and provides information on how to protect oneself and one’s property from flood damage,” explains VanHeyningen.

Smoke Detector Disclosure Statement

New York law requires filling out the section of the PCDS that outlines concerns related to smoke detectors in residential properties. “This contain[s] information about the property’s smoke detector system, including any known or suspected defects or problems, to help buyers protect themselves from any potential fire hazards,” says Martin.

Elements of the property disclosure form

General info

The first part of the Property Condition Disclosure Statement asks for basic information such as how long you’ve owned and occupied the property, how old the property is, if anyone else has any claims to any part of it, whether there are any features shared with adjoining landowners or a homeowners association (HOA), and if there are any electric or gas utility surcharges for line extensions, special assessments or other fees.

Environmental

Sellers in New York are required to report any hazardous materials or conditions that can impact the safety of residents living on the property. The form specifically asks the seller to disclose the presence of the following: