Changes to the Real Estate Condition Report - Sale of Real Estate
August 10, 2018
The statutory Real Estate Condition Report (“RECR”) recently tripled in size. The new RECR became effective on July 1, 2018. The RECR was already a troublesome document for sellers because it requires sellers to give their opinions on defects to real estate issues only known by professionals in the field of construction, development, legal, zoning, etc. What makes matters worse is that the application of the current law provides an opportunity for buyers to sue sellers for double and triple damages, including attorney’s fees, should the seller accidentally, unintentionally, or without knowledge fail to check one of the now over 48 separate boxes. The RECR is so onerous on sellers that entire law firms have cropped up solely dedicated to litigation of these reports.