Asbestos Disclosure
Definition
Asbestos disclosure involves informing buyers about the presence of asbestos-containing materials (ACMs) in a property. Asbestos was commonly used in construction materials before 1980 and poses health risks when fibers become airborne.
Example
A pre-1980 commercial building has asbestos pipe insulation in the basement. The insulation is intact and undamaged. The seller discloses the presence of asbestos and provides an asbestos management plan. The buyer may choose to have it professionally encapsulated rather than removed, at lower cost.
Exam Tip
Know the difference between friable asbestos (can crumble, dangerous) and non-friable (intact, generally safe). Asbestos removal must be done by licensed professionals. For the exam, remember that asbestos is most common in properties built BEFORE 1980 and that the seller must disclose KNOWN asbestos.
Related Disclosures Terms
Protected Classes
Protected classes are groups of people who are legally shielded from discrimination based on specific characteristics.
Lead-Based Paint Disclosure
The Lead-Based Paint Disclosure is a federally mandated disclosure required for all residential properties built before 1978. Sellers and landlords must disclose known lead-based paint hazards and provide the EPA pamphlet "Protect Your Family From Lead in Your Home."
Property Condition Disclosure
A property condition disclosure is a written statement by the seller detailing the known condition of the property, including defects, repairs, and issues with major systems. Most states require sellers to complete this form.
Seller's Disclosure Statement
A seller's disclosure statement is a form that sellers complete to inform buyers about the condition and history of the property, including known defects, past repairs, insurance claims, and environmental issues.
Flood Zone Disclosure
Flood zone disclosure requires informing buyers whether a property is located in a designated flood zone as mapped by FEMA. Properties in high-risk flood zones may require mandatory flood insurance.
Megan's Law Disclosure
Megan's Law requires states to make information about registered sex offenders available to the public. Some states require real estate agents to inform buyers about the availability of sex offender registries.
Frequently Asked Questions
Test Your Disclosures Knowledge
Practice with exam-style questions to make sure you can apply Asbestos Disclosure and other disclosures concepts.