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Change #1 to WI Real Estate Condition Report --Must Disclose Restrictive Covenants

Attorney Thomas B. Burton discusses the first major change to the Wisconsin Real Estate Condition report that was made effective by the Wisconsin Legislature on July 1st, 2018, namely the disclosure or restrictive covenants on the property.

Transcript of Video: Change #1 to WI Real Estate Condition Report --Must Disclose Restrictive Covenants

Today's topic is the new Wisconsin

real estate condition report that went

into effect July 1 2018 after July 1 of

2018 all home sellers are required to

make certain new disclosures to

prospective buyers

if these disclosures are not made it can

provide a reason for the buyer to undo

the contract if you think about when

you're buying a home you generally don't

want to buy it with a lot of surprises

that's the intent behind the real estate

condition report the Wisconsin Realtors

Association has said the intent is to

make the report more user friendly and

less confusing and there's multiple

changes to the wording but there's four

main areas I want to cover and today I'm

going to talk about the disclosure or

existence of restrictive covenant the

old report talked about disclosing

you're aware of a homeowner's

association affecting the property but

there can be a restrictive covenant in

place without a homeowner's association

or a homeowner's association without

restrictive covenant now what's a

restrictive covenant a restrictive

covenant can be in the deed and it's

something that affects the property for

instance it may require you to paint the

house a certain way or require

you to build a garage that attaches the

property or restrict the number of pets

you could have on the property we call

this a restriction in a deed

that runs with the land meanings

sometimes a developer will develop the

property and they'll say we want only

single-family homes built one-story with

a three car garage maximum size or

they might limit unlicensed automobile

stored on the property things like that

that's a restrictive covenant in the

deed and it would run with the property

the new form makes clear that the seller

must disclose they're aware of the

existence of those restrictive

covenants so make sure if

you're buying or selling property that

you use the updated disclosure report

mandated use date July 1 2018 if you

need help buying or selling a home or

vacant property contact my office we

have all the updated forms and can help

you complete these legal contracts

Thank you for watching!

© 2018 Law Office of Thomas B. Burton. All Rights Reserved.

Transcript and captions provided for ease of access for the hearing impaired.

For questions about this topic, or to suggest a topic for a future blog post, please contact my office.

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