Best Practice Tips: FAQ’s on the Residential Property Disclosure Form
FAQ’s on the Residential Property Disclosure Form
The Residential Property Disclosure Form (RPDF) is the source of many questions, ranging from who must complete it to how it should be completed. This article is intended to answer some of those questions and provide best practice tips for agents when dealing with the form.
First, for what type of property must the RPDF be completed?
- Land that has a building that has one to four dwelling units (i.e. residential property), and there is a proposed
- Land installment contract
- Lease option
- 99-year lease
The following types of transfers are excluded?
- Pursuant to court order
- Deed in lieu of foreclosure and subsequent transfer
- Fiduciary in administration of estate, guardianship or trust
- Between co-owners
- To spouse or former spouse in divorce
- To or from a governmental entity
- Newly constructed property that has not been inhabited
- To transferee residing in the property for one or more years prior to transfer
- Transferor inherited property and has not resided within one year prior to transfer
When should the RPDF be presented to prospective purchasers?
- Prior to the prospective purchaser’s preparation of an offer
- If the RPDF is provided after the property is in contract, the purchaser has 3 business days upon receipt of the RPDF to rescind the contract
- The purchaser must rescind the contract at the earlier of the date that is thirty days after the date upon which the seller accepts the purchaser’s offer or the date of the closing