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Practice Of Real Estate DisclosuresNatural_hazard_disclosureHARD

A buyer in Marin County receives an NHD report that correctly identifies the property as being in a Seismic Hazard Zone. The report says nothing about Mello-Roos special taxes and nothing about supplemental property tax bills. Was the company that prepared the NHD required to include that information?

Correct Answer

B) No, those tax notices rest on separate statutes and are not part of the NHD

The Natural Hazard Disclosure Statement under Civil Code 1103 covers only the six statutory natural hazard zones, one of which is a seismic hazard zone mapped under the Seismic Hazard Mapping Act. The Mello-Roos and 1915 Act special tax notice comes from Civil Code 1102.6b, and the Notice of Your Supplemental Property Tax Bill comes from Civil Code 1102.6c. Both are the seller's obligations under their own statutes, so nothing in the hazard disclosure law requires the NHD to carry them. Many disclosure companies sell bundled reports that add tax sections, but that is a commercial service, not a statutory duty.

Answer Options
A
Yes, an NHD report must carry every tax-related disclosure for the property
B
No, those tax notices rest on separate statutes and are not part of the NHD
C
Yes, all required disclosures must be consolidated into a single NHD report
D
No, but the NHD company must alert the agents that tax notices are still owed

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Related Topics & Key Terms

Key Terms:

NHDmello_roossupplemental_taxseparate_disclosuresCal_Civil_Code_1103

Related Concepts

Death on property disclosure addresses whether sellers must inform buyers about deaths that occurred on the property, including natural deaths, suicides, and murders. Requirements vary significantly by state.

Environmental hazards disclosure involves informing buyers about environmental contamination or hazards affecting or potentially affecting a property, including underground storage tanks, contaminated soil, hazardous waste, and proximity to Superfund sites.

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.

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