In BC, who is required to complete a Property Disclosure Statement (PDS)?

Q: What is the correct answer to: In BC, who is required to complete a Property Disclosure Statement (PDS)?

The correct answer is The seller. Option B is correct because in BC, the Property Disclosure Statement is completed by the seller. The seller discloses known material defects and relevant information about the property based on their actual knowledge. While the PDS is not legally mandatory, it is standard practice and buyers typically request it as part of the transaction. The seller signs the PDS, taking responsibility for the accuracy of the information provided.

Q: What background knowledge is needed for this Contracts & Agreements question?

The Property Disclosure Statement in BC is a standardized form where the seller discloses their knowledge about the property's condition, including defects, renovations, insurance claims, environmental issues, and other material facts. While not legally required, it has become standard practice in BC residential transactions. The PDS protects both parties: it gives the buyer information for decision-making and provides the seller with a record of what was disclosed, which can be important in any future legal disputes about non-disclosure.

Q: What is a good way to remember the answer to this Contracts & Agreements question?

The PDS is the SELLER'S document — Seller Prepares, Seller Signs, Seller takes responsibility. Think 'S-S-S' for Seller, Statement, Signature. No one else can fill it out for the seller. If the exam asks who completes the PDS, the answer is always the seller. Do not be misled by options suggesting the agent, inspector, or municipality prepares it.

Q: What exam tip applies to this Contracts & Agreements question?

Remember that the PDS is based on the seller's ACTUAL KNOWLEDGE, not on a professional inspection. The seller is not expected to discover hidden defects — only to disclose what they actually know. This is an important distinction.

Q: How does this Contracts & Agreements concept apply in real world practice?

A homeowner in Coquitlam is selling their house and their listing agent provides them with a blank Property Disclosure Statement. The seller fills it out, disclosing a past basement water issue that was repaired two years ago. The listing agent reviews it for completeness but does not alter the seller's answers. The completed PDS is provided to prospective buyers as part of the marketing package.

Question

Contracts & AgreementsBCMEDIUM

In BC, who is required to complete a Property Disclosure Statement (PDS)?

Answer Options

A

The buyer's home inspector

B

The seller

C

The listing agent

D

The municipality where the property is located