Seller's Disclosure of Property Condition

Kentucky Real Estate Commission
KREC Form 402 • Rev. 12/2022
This form applies to residential real estate sales and purchases. This form is not required for: (1) Residential purchases of new construction homes if a warranty is provided; (2) Sales of real estate at auction; or (3) A court supervised foreclosure. As a Seller, you are asked to disclose what you know about the property you are selling. Your answers to the questions in this form must be based on the best of your knowledge of the property you are selling, however and whenever you gained that knowledge.
1 Preliminary Disclosures
a. Have you ever lived in the house? If yes, please indicate the length of time:
b. List the date (month / year) you purchased the house.
c. Do you own the property as (an) individual(s) or as representative(s) of a company?
d. Has the house been used as a rental? If yes, length of time rented?
e. Has this house ever been vacant (not lived-in) for more than three (3) consecutive months?
f. Has this house ever been used for anything other than a residence?
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2 House Systems
Whether or not they have been corrected, state whether there have been problems affecting:
a. Plumbing
b. Electrical system
c. Appliances
d. Ceiling and attic fans
e. Security system
f. Sump pump
g. Chimneys, fireplaces, inserts
h. Pool, hot tub, sauna
i. Sprinkler system
j. Heating system
k. Cooling/air conditioning system
l. Water heater
3 Building Structure
Whether or not they have been corrected, state whether there have been problems affecting:
1) The foundation or slab
2) The structure or exterior veneer
3) The floors and walls
4) The doors and windows
b.1) Has the basement ever leaked?
3) Have you ever had any repairs done to the basement?
c. Have you experienced, or are you aware of, any water or drainage problems in the crawl space?
d. Are you aware of any damage to wood due to moisture or rot?
e. Are you aware of any present or past wood infestation (e.g., termites, borers, carpenter ants, fungi, etc.)?
f. Are you aware of any damage due to wood infestation?
1) Has the house or any other improvement been treated for wood infestation?
4 Roof
b. Has the roof leaked at any time since you have owned or lived at the property?
c. Has the roof leaked at any time before you owned or lived at the property?
e. Have you ever had any repairs done to the roof?
f. Have you ever had the roof replaced?
h. Have you ever had roof repairs that involved placing shingles on the roof instead of replacing the entire roof covering? If so, when?
5 Land / Drainage
Whether or not they have been corrected, state whether there have been problems affecting:
1) Soil stability
2) Drainage, flooding, or grading
3) Erosion
4) Outbuildings or unattached structures
b. Is the house located within a Special Flood Hazard Area (SFHA) mandating the purchase of flood insurance for federally backed mortgages?
c. Is there a retention / detention basin, pond, lake, creek, spring, or water shed on or adjoining this property?
6 Boundaries
a. Have you ever had a staked or pinned survey of the property performed?
b. Are you in possession of a copy of any survey of the property?
c. Are the boundaries marked in any way?
d. Do you know the boundaries?
e. Are there any encroachments or unrecorded easements relating to the property?
7 Water
b. Are you aware of below normal water supply or water pressure?
c. Has your water ever been tested? If so, attach the results or explain.
8 Sewer System
a. Property is serviced by:
1. Category I: Public Municipal Treatment Facility
2. Category II: Private Treatment Facility
3. Category III: Subdivision Package Plant
4. Category IV: Single Home Aerobic Treatment System (HOME PACKAGE PLANT)
5. Category V: Septic Tank with drain field, lagoon, wetland, or other onsite dispersal
6. Category VI: Septic Tank with dispersal to an offsite, multi-property cluster treatment system
7. Category VII: No Treatment/Unknown
b. For properties with Category IV, V, or VI systems:
c. Are you aware of any problems with the sewer system?
9 Construction / Remodeling
a. Have there been any additions, structural modifications, or other alterations made?
b. If so, were all necessary permits and government approvals obtained?
10 Homeowners Association (HOA)
a.1) Is the property subject to any restrictions, rules, or regulations of a Homeowners Association?
b. Is the property a condominium?
If yes, you must also complete KREC Form 404, the Condominium Seller's Certificate.
c. Are you aware of any condition or legal action that may result in an increase in dues, taxes or assessments?
d. Are any features of the property shared in common with adjoining landowners, such as walls, fences, driveways, etc.?
e. Are there any pet or rental restrictions?
11 Hazardous Conditions
a. Are you aware of any underground storage tanks, old septic tanks, field lines, cisterns, or abandoned wells on the property?
b. Are you aware of any other environmental hazards? (e.g., carbon monoxide, hazardous waste, water contamination, asbestos, the use of urea formaldehyde, etc.)
LEAD BASED PAINT DISCLOSURE REQUIREMENT
Every purchaser of any interest in residential real property on which a residential dwelling was built prior to 1978 is notified that such property may present exposure to lead from lead-based paint, which may cause certain health risks.
c. Was this house built before 1978?
d. Are you aware of the existence of lead-based paint in or on this house?
RADON DISCLOSURE REQUIREMENT
Radon is a naturally occurring radioactive gas that, when it has accumulated in a building in sufficient quantities, may present health risks, including lung cancer. The Kentucky Department for Public Health recommends radon testing. For more information, visit chfs.ky.gov and search "radon."
e.1) Are you aware of any testing for radon gas?
f.1) Is there a radon mitigation system installed?
2) If yes, is it functioning properly?
METHAMPHETAMINE CONTAMINATION DISCLOSURE REQUIREMENT
A property owner who chooses NOT to decontaminate a property used in the production of methamphetamine MUST make written disclosure of methamphetamine contamination pursuant to KRS 224.1-410(10) and 902 KAR 47:200. Failure to properly disclose methamphetamine contamination is a Class D Felony under KRS 224.99-010.
g.1) Is the property currently contaminated by the production of methamphetamine?
2) If no, has the property been professionally decontaminated from methamphetamine contamination?
12 Miscellaneous
a. Are you aware of any existing or threatened legal action affecting this property?
b. Are there any assessments other than property assessments that apply to this property (e.g., sewer assessments)?
c. Are you aware of any violations of local, state, or federal laws, codes, or ordinances relating to this property?
d. Are there any transferable warranties?
e. Has this house ever been damaged by fire or other disaster?
f. Are you aware of the existence of mold or other fungi on the property?
g. Has this house ever had pets living in it?
h. Is this house in a historic district or listed on any registry of historic places?
13 Additional Information
Do you know anything else about the property that should be disclosed to the Buyer?
14 Seller(s) Certification (Choose One)
As Seller(s) I / we hereby certify that the information disclosed above is complete and accurate to the best of my / our knowledge and belief. I / we agree to immediately notify Buyer in writing of any changes that become known to me / us prior to closing.
As Seller(s) I / we hereby certify that my / our Real Estate Agent has completed this form with information provided by me / us at my / our direction and request. I / we further agree to hold the above-named agent harmless for any representations that appear on this form, in accordance with KRS 324.360(9).
As Seller(s) I / we refuse to complete this form and acknowledge that the Real Estate Agent will so inform the Buyer.
The Seller(s) refuse(s) to complete this form or to acknowledge such refusal.
Seller Signatures
Buyer Acknowledgment
The Buyer(s) hereby certifies they have received a copy of this Seller's Disclosure of Property form.
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