California real estate disclosure laws California Real Estate Disclosures | Page 27

requires that a seller or lessor/landlord of target housing deliver this pamphlet to a prospective buyer or lessee/tenant before a purchase, lease or rental agreement is formed. The Rule further requires that the seller’s or lessor’s/landlord’s Lead-Based Paint or Lead-Based Paint Hazards Disclosures; the Lead Warning Statement; and the prospective buyer’s or lessee’s/tenant’s acknowledgment of receipt of that information; the offer of inspection period (or waiver of same); and the EPA pamphlet each be included in an attachment to the transaction documentation. The Seller or lessor/landlord, the prospective buyer or lessee/tenant, and the agent(s) must each sign and date the attachments. The retention period for sellers or lessors/landlords and agent(s) of this document is three years from completion of the sale or transfer, or from commencement of the lease/rental. A real estate agent must ensure that: • His or her principal (seller/lessor/landlord) is aware of the disclosure requirements; • The transaction documentation includes the required notifications and disclosures; • The buyer or lessee/renter receives the EPA pamphlet; and • In the case of a sale or transfer, the buyer is offered an opportunity to have the property inspected for lead-based paint and lead-based paint hazards. Violation of the Rule may result in civil and/or criminal penalties. For the purposes of these requirements, real estate “agent” does not include one who represents only the buyer and receives compensation only from the buyer. To obtain the essential compliance information, a person may call the EPA at 1-800-424-LEAD. (42 U.S.C. § 4852d; 24 C.F.R.. PART 35; CAL. HEALTH & SAFETY §§ 124125 to 124165) E. California’s Environmental Hazards Pamphlet As previously discussed in this section, a California seller of residential real property consisting of 1 to 4 dwelling units (with a few exceptions) must give the buyer a Real Estate Transfer Disclosure Statement (TDS). The statement must specify environmental hazards of which the seller is aware (e.g., asbestos, radon gas, lead-based paint, formaldehyde, fuel or chemical storage tanks, contaminated soil or water, etc.). The seller or the seller’s agent(s) may give the buyer of real property subject to Section 1102 of the Civil Code or of any other real property, including manufactured housing as -20-