Alert On July 3, 2023, Governor Murphy signed into law
P.L. 2023, c.93, which, among other things, requires sellers of real property located in New Jersey to make certain additional disclosures concerning flood risks on the "Seller's Property Condition Disclosure Statement" ("Disclosure Statement"). On December 21, 2023, the Division of Consumer Affairs ("Division") published the amended version of the Disclosure Statement on its website which includes the new questions concerning flood risks required by the law. A copy of the amended Disclosure Statement is available
here. Answering these new questions concerning flood risks is mandatory under the law, as now codified in NJSA 56:8-19.2. Thus,
effective March 20, 2024,
all sellers of real property (including both residential and commercial property) must answer these questions (currently numbered 109-117 in the Disclosure Statement) before the purchaser becomes obligated under any contract for the purchase of the property.
This is the case regardless of whether the remainder of the Disclosure Statement is being completed. The Division expects to promulgate updated regulations in accordance with the law as well.
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