A builder in Stillwater, Oklahoma constructs a brand-new home and enters into a purchase agreement with a first-time buyer. The builder provides a comprehensive builder's warranty covering all major systems and structural components. The buyer asks the builder's agent whether a Property Condition Disclosure Statement is also required under Oklahoma law. What is the correct answer?
Correct Answer
D) No, a newly constructed, previously unoccupied dwelling is exempt from the RPCDA disclosure requirement
60 O.S. §838 exempts transfers of newly constructed, previously unoccupied dwellings from the Oklahoma Residential Property Condition Disclosure Act. The safer exam basis is the statutory new-construction/previously-unoccupied exemption, not the existence of a builder warranty.
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Related Topics & Key Terms
Key Terms:
Related Concepts
Consideration is something of value exchanged between parties to a contract, making the agreement legally binding. It can be money, a promise to act, a promise to refrain from acting, or anything else of value.
Contingencies are conditions written into a real estate contract that must be met before the transaction can close. If a contingency is not satisfied, the buyer can typically cancel the contract without penalty.
Contract termination occurs when a contract is ended or discharged, releasing both parties from their obligations. A contract can be terminated through performance, mutual agreement, operation of law, or breach.
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