SB 539

Under current law, with certain exceptions, an owner selling residential real

property must give a prospective buyer a form, known as a real estate condition

report, on which the owner discloses certain conditions of, and other information

about, the real property of which the owner is aware. If the real property is a

condominium, the owner is also required to furnish an addendum to the real estate

condition report that provides additional information, such as the date on which the

condominium was created, the name and address of the condominium association,

the amount of assessments and fees, and a copy of the executive summary, which,

under the condominium regulations, a condominium seller must furnish to the buyer

and which provides various types of information related to the condominium, such

as the name and address of the condominium association and descriptions of rules

related to alterations that a unit owner may make, parking, pets, and rental of units.

This bill clarifies that an owner selling a condominium is not required to

provide an addendum to the real estate condition report, including a copy of the

executive summary, if the owner is not required to provide a real estate condition

report, which is the case if the owner is a personal representative, trustee,

conservator, or court-appointed fiduciary who has never occupied the property. The

bill also clarifies that an owner selling a condominium is not required to provide a

copy of the executive summary, even if a real estate condition report and addendum

are required, if the seller is not required to furnish an executive summary to the

buyer under the condominium regulations, which is the case if the condominium has

no more than 12 units.