AB 812 is legislation recently passed by the legislature and is waiting for the Governor’s signature that modifies both the residential real estate condition report and the vacant land disclosure report. Once signed, these changes become effective July 1, 2018.
The vacant land disclosure report is modified by AB 812 in the following ways:
- Redesigns the report to create a more seller-friendly document to complete
- Provides easy-to-read language
- Categorizes compatible disclosures into groups such as structural and mechanical, environmental, land use, taxes, special assessments
- Offers situational disclosure examples as to the types of defects might be included in a related question
- Includes new disclosures, such as if the seller is aware of burial sites on the property; whether the property has a joint well serving the property; if there is a conservation easement; if the property is enrolled in the Forest Crop law, Managed Forest Law, the Conservation Reserve Program; if they aware of any deed restrictions on the property or if there are any easements other than recorded utility easements; and whether the seller is aware of any agreements that bind subsequent owners of the property – such as a lease agreement or an extension of credit from an electric cooperative. (See 2017 Wis. Act 76 which created the extension of credit) to ensure the buyer is aware of potential future obligations if the property is purchased
These updates offer sellers of vacant land properties a straightforward, user-friendly report to meet their statutory obligation. A copy of AB 812 can be found at https://docs.legis.wisconsin.gov/2017/related/proposals/ab812.pdf. The vacant land disclosure report changes begin on page 12 of the bill.
The WRA is currently working on revising the current reports in anticipation of the July 1, 2018 effective date.