BILL NUMBER: S8729
SPONSOR: MAY
 
TITLE OF BILL:
An act to amend the real property law, in relation to enacting the
"right to home inspection act"
 
PURPOSE OR GENERAL IDEA OF BILL:
This bill establishes a right for buyers of residential real property to
conduct a home inspection within a defined inspection period following
execution of a purchase agreement.
 
SUMMARY OF PROVISIONS:
The bill gives buyers a non-waivable right to have a home inspected by a
licensed inspector within ten business days or fourteen calendar days
after signing a purchase agreement. Sellers cannot condition acceptance
of an offer on waiver of this right and cannot accept offers that
include advance waivers, except for family sales and court-ordered
transfers. Buyers may cancel during the inspection period and receive
full refund of deposits. Sellers must provide reasonable access.
Violations subject sellers to civil penalties of four percent of asking
price or ten thousand dollars, whichever is greater. The bill requires
sellers to provide buyers with a right to inspection advisory statement
and directs the Department of State to develop forms and regulations.
 
JUSTIFICATION:
Residential real estate transactions in New York operate under caveat
emptor. Buyers bear the risk of undiscovered defects. Home inspections
have become standard practice, but the inspection contingency remains a
negotiable term. In competitive housing markets, some buyers waive
inspection rights at the offer stage to make their bids more appealing.
This practice transfers risk entirely to buyers before they have profes-
sional assessment of the property's condition.
The bill addresses a structural imbalance. Sellers possess superior
knowledge of their property. Buyers, particularly first-time purchasers,
lack expertise to evaluate structural integrity, mechanical systems, and
latent defects. Licensed home inspectors provide technical assessment
that casual observation cannot replicate. When buyers waive inspection
rights preemptively, they surrender access to this professional evalu-
ation in exchange for perceived competitive advantage.
The legislation protects buyers without restricting seller autonomy or
prohibiting "as is" sales. It establishes a floor: buyers must have the
opportunity to inspect before finalizing purchase. The ten-to-fourteen
day window is brief enough to avoid significant delay in transactions
while providing sufficient time for scheduling and completion of
inspection. Sellers retain the ability to sell property in any condition
and at any price. Buyers retain the choice whether to actually conduct
an inspection.
The bill recognizes legitimate exceptions. Family transfers and sales
pursuant to divorce orders operate under different dynamics and are
excluded from the waiver prohibition. Auction sales, which follow
distinct procedures, are also excluded.
Enforcement provisions create accountability. Civil penalties provide
deterrence. Classification of agent violations as unfair and deceptive
practices incorporates existing enforcement mechanisms under General
Business Law § 349.
 
PRIOR LEGISLATIVE HISTORY:
New bill. Similar to 55772 (May)/A4883 (Clark) of 2025.
 
FISCAL IMPLICATIONS:
Minimal.
 
EFFECTIVE DATE:
Jan. 1 after becoming law.

Statutes affected:
S8729: 461 real property law, 462 real property law, 462(1) real property law