April 2012 Forms

This article highlights the use of first tuesday’s Residential Environmental Hazards Disclosure Booklet by a seller’s agent to provide environmental hazard and energy efficiency related information to all prospective buyers, and by a buyer’s agent to review with his buyer the consequences of any hazards disclosed as existing on the property.

Property conditions affecting desirability, as disclosed

In most circumstances, the existence of an environmental hazard has an adverse impact on the desirability and value of any property marketed for sale. Accordingly, seller’s agents are mandated to disclose environmental hazards on the listed property that are observed and known (or should have been known) to the seller or seller’s agent.

If they exist, environmental hazards are a material fact requiring upfront disclosure by the seller’s agent. After all, the facts might affect an interested buyer’s decision to submit an offer to purchase the property, and on what terms, such as who is to do what about the hazards.