The bill amends the General Laws in Chapter 5-20.8, which governs real estate sales disclosures in Rhode Island, by introducing new definitions and updating the requirements for sellers to disclose property conditions and legal status to potential buyers. Notably, the bill adds the term "Shoreline property" to the definitions and mandates that sellers provide a written disclosure of all known deficient conditions to the buyer and any agents before signing a transfer agreement. The disclosure must be in a form approved by the Rhode Island real estate commission or substantially conform to the section's requirements. The bill details the specific disclosure requirements for both vacant land and properties with one to four dwelling units, covering a comprehensive list of items including sewage systems, water systems, property tax, easements, encroachments, zoning, and the presence of hazardous materials or conditions.
Furthermore, the bill introduces new legal language requiring sellers to include information about public shoreline access rights in the disclosure forms for the sale of vacant land or real property. Sellers must notify buyers of any known public rights of way and provide documentation if available, as well as copies of any permits issued by the Coastal Management Resources Council. While the seller is not obligated to conduct inspections, they must disclose known deficiencies, and the bill advises buyers to conduct their own inspections. The act will take effect upon passage, and the Rhode Island real estate commission is authorized to amend seller disclosure requirements as necessary, subject to the administrative procedures act.