The Property Condition Disclosure Act (PCDA) has long required home sellers in New York to provide buyers a form called the Property Condition Disclosure Statement (PCDS) or give buyers a $500.00 credit. Sellers usually chose to provide the credit. However, on March 20, 2024, the $500.00 credit will no longer be an option.
Sellers of residential real property are now required to fill out the PCDS and provide it to potential buyers before the contract is signed. Residential real property means a one- to four-family dwelling that is used or occupied, or intended to be used or occupied, wholly or partly, as the home or residence of one or more persons. Condominiums, cooperatives, vacant land, and HOA sales aren’t included, and certain types of property transfers are exempt. The PCDS must be completed to the best of the seller’s knowledge, but sellers have no obligation to perform their own inspection. Sellers who willfully fail to provide the PCDS to the buyer are liable for actual damages suffered by the buyer. Real estate agents and brokers should familiarize themselves with the new PCDS and work with sellers to fill it out early in the sales process.
In addition to these changes, there are new questions on the PCDS, including questions related to flooding.
James H. Cook, Esq. can help you navigate the complexities of your residential real estate transaction, including the PCDA disclosure requirements. Call (646) 844-0425 for a free consultation.
James H. Cook, Attorney at Law 