New York Real Estate Law Provides Improved Flood History Transparency for Buyers
As the Hudson Valley and Catskills begin to experience more frequent and intense high water events, knowing a property’s flood history before buying a home is becoming more important than ever. This March, New York State stepped up to help give buyers full transparency into a property’s flood history by significantly updating the New York State Property Condition Disclosure Statement (PCDS)—a move that will likely cause a pivotal shift in residential real estate transactions.
“Aimed at providing prospective homebuyers with enhanced insights into flood-related aspects of a property, this change carries profound implications for both buyers and sellers alike,” says Jessica M. Mahoney, Esq., a partner at Walden-based J&G Law who concentrates in residential and commercial real estate. “Gone is the provision allowing buyers to opt for a $500 credit in lieu of a completed PCDS, an option previously present for this disclosure.”
According to Mahoney, while exemptions from disclosure requirements exist, most transactions will require sellers to complete the PCDS.
“Importantly, the new legislation preserves the roles and responsibilities of real estate brokers and agents concerning the PCDS. They remain duty-bound to inform sellers promptly about their obligations to complete the PCDS prior to entering into a residential real estate transaction,” she says. “This regulatory shift aligns with a broader national trend wherein numerous states have enacted laws mandating sellers to furnish buyers with comprehensive information regarding a property’s structural integrity and other pertinent features.”
For those navigating the New York real estate market, familiarity with the revised PCDS document on the New York State government website is essential. “Armed with this knowledge, both buyers and sellers can navigate transactions with greater transparency and confidence, fostering a more equitable real estate landscape for all parties involved,” Mahoney says.
This content was produced by Chronogram Media Branded Content Studio in collaboration with our sponsor. It does not necessarily reflect the attitude, views, or opinions of the Chronogram editorial staff. This content appeared in the July 9, 2024, edition of Chronogram Magazine Online.
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Jessica M. Mahoney is a Partner at the firm and practices residential and commercial real estate.
She can be reached at 845-764-9656 or by email.