Bob Kutschbach, owner and broker of Carleton Realty, talks about the residential property disclosure and who needs to fill it out.
A residential property disclosure (RPD) is required for MOST sellers of residential real estate in the state of Ohio. The RPD is not a warranty or a guarantee for the condition of the house. It is a representation from the seller of what they know and don’t know is wrong with the house and what repairs they have made in the last 5 years.
The seller must fill in the RPD according to Ohio law but there are a few exceptions. The exceptions that you hear of most often are usually not valid. If you inherit a home and have not lived in it for the past year, you are exempt. If you are the executor of an estate or the guardian of a trust, you are exempt. If you have never lived in the house it is NOT an exemption, you must fill out the RPD. In the case of landlords, they have never lived in the property but surely know more about the property than the tenants. Check with your real estate agent to see if you are exempted from the residential property disclosure.
You fill out your form to the best of your knowledge, no guessing! You would not say “This is an old house so it probably has lead paint.” You only fill out what you know, never the unknown. The form must be filled out entirely, initial every page, and sign the last page. The is an area for each of the major mechanicals such as roof, foundation, plumbing, electric, HVAC and some environmental issues like radon, asbestos, etc. You must fill this out honestly. If you are not honest you could be sued for fraud.
Even if you are exempted from the RPD you must disclose any known hidden defects of the property. Some people get confused, all major material defects must be disclosed, exempted or not.
If you have questions about the RPD please reach out to one of our agents!