California Real Estate Broker ExaminationPractice of Real Estate and Mandated DisclosuresEasy
A buyer is interested in purchasing a residential property built in 1975. The seller has no knowledge of lead-based paint hazards, nor have they had the property tested. Under federal law, what is the seller's primary obligation regarding lead-based paint disclosure?
- AThe seller is exempt from disclosure requirements because they have no personal knowledge of lead-based paint.
- BThe seller must conduct a lead-based paint inspection and abate any hazards found before closing.
- CThe seller must only disclose if the buyer specifically requests information about lead-based paint.
- DThe seller must provide the buyer with a lead-based paint disclosure form and an EPA pamphlet, and allow a 10-day inspection period.
Show answer & explanationAnswer & explanation
Correct answer: D. The seller must provide the buyer with a lead-based paint disclosure form and an EPA pamphlet, and allow a 10-day inspection period.
Federal law (Title X) requires sellers of homes built before 1978 to disclose any known lead-based paint hazards, provide an EPA pamphlet, and allow buyers a 10-day period to conduct an inspection.
Why the other options are wrong
- A. Lack of personal knowledge does not exempt the seller from the disclosure and pamphlet requirements for pre-1978 homes.
- B. Testing and abatement are not mandatory; disclosure and the opportunity for inspection are required.
- C. Disclosure is mandatory for covered properties, not contingent on the buyer's request.
Lead-Based Paint Disclosure
Federal law requiring sellers/landlords of pre-1978 housing to disclose known lead-based paint hazards and provide an EPA pamphlet.
- Applies to residential properties built before 1978.
- Seller/landlord must disclose known hazards and provide a federal pamphlet.
- Buyers/tenants must be given a 10-day opportunity for inspection.
Memory trick: Lead Paint: Know It, Show It, Go For It (Inspection)