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Navigating New Property Disclosure Requirements in New York: How Goetz Fitzpatrick LLP Can Assist You
For homeowners in New York State, staying up-to-date with recent changes to property disclosure laws is crucial. On September 23, 2023, significant amendments were made to the Property Condition Disclosure Act (PCDA) and the Property Condition Disclosure Statement (PCDS), set to take effect on March 20, 2024. These changes will impact property transactions across the state, and Goetz Fitzpatrick LLP is here to help you navigate the process.
A notable update is the issuance of a new Property Condition Disclosure Statement (PCDS) form by the Department of State, replacing the previous version. This updated form incorporates the latest legal requirements and standards, and it will be mandatory for property transactions moving forward. You can access the new PCDS form on the Department’s website here: https://dos.ny.gov/system/files/documents/2024/03/dos-1614-f-property-condition-disclosure-statement_01.2024.pdf
In addition to changes to the PCDS form, Governor Kathy Hochul signed legislation requiring homeowners to disclose flood risks when selling their properties. This legislation amends Article 14 of the Real Property Law, focusing on disclosing flood risks associated with the property. Sellers are now obligated to provide information about the property’s flood history and its flood insurance claim history to potential buyers. This additional disclosure aims to provide buyers with crucial information to make informed decisions about properties located in flood-prone areas.
Of particular importance is the amendment to RPL Section 465, eliminating the option for sellers to offer a $500 credit to buyers in lieu of completing and executing the Property Condition Disclosure. With this amendment, all sellers will now be required to sign and provide the disclosure to buyers.
These changes have significant implications for both buyers and sellers in New York’s real estate market. Buyers can expect more comprehensive information about properties they are considering, particularly regarding flood risks. Sellers must ensure they understand and comply with the updated disclosure requirements to avoid any potential legal consequences.
As the March 20, 2024 effective date approaches, Goetz Fitzpatrick LLP is ready to assist homeowners and real estate agents involved in property transactions. Our team can provide guidance on navigating the new disclosure requirements, ensuring compliance, and facilitating smooth transactions. With our expertise, you can navigate these changes with confidence, knowing that you have a trusted partner by your side.
Goetz Fitzpatrick has been practicing law throughout the New York Metropolitan area and The Hamptons, since 1967. The firm has deep expertise in Construction and Real Estate, as well as Corporate, Bankruptcy, Trust & Estates and Labor & Employment. The firm’s office is located at One Penn Plaza, Suite 3100, New York, NY 10119, Telephone 212 695 8100.
