Mandatory Disclosures when Renting Real Estate

An increasing number of people are finding ways to sue their landlords over real estate rental issues, which is why there are safeguards in the law to help protect the rentals of real estate on both sides. One of these matters has to do with mandatory disclosures when renting real estate, which helps protect the tenants as well as the landlords.

As a landlord, you have a duty to inform future tenants of any hazards or problems with the real estate before they sign the lease. This helps you because once they have been made aware of these issues and sign the lease anyway, you cannot be held liable, and it helps the tenant to make an informed decision about the real estate.

Different states handle mandatory disclosures in different ways, so before renting real estate, you might want to check with your state’s property management office to ascertain those laws. Following, however, is a basic description of what most mandatory disclosure laws contain.

Mandatory Disclosures for Real Estate #1: Lead Disclosures

According to the Residential Lead-Based Paint Hazard Reduction Act, which was passed in 1992, landlords must provide all tenants with a lead-disclosure form, which can be obtained from the EPA website. This form provides your tenant with information concerning any hazardous lead paint in your building, and protects you from liability concerning lead paint.

Tenants of apartments or homes built before 1978 (when lead paint was routinely used) must also be provided with a pamphlet entitled Protect Your Family From Lead in Your Home. You may also be required to hand out these pamphlets if you are planning any renovations, which can release lead paint particles into the air, possibly causing harm to your tenants.

Mandatory Disclosures for Real Estate #2: Asbestos Disclosures

If your real estate was built before 1972, and still contains asbestos insulation, then you are required by law to disclose that information to all prospective tenants. You are also required to inform your tenants, in writing, if you plan to perform renovations on real estate that contains asbestos insulation.