Among the many natural disasters that Floridians have to deal with is flooding. While loss of life is certainly the most consequential result of flooding, the toll it takes on property can’t be underestimated.
That’s why it’s crucial for prospective home buyers to be aware if a property they’re looking at has suffered flood damage in the past. Last year, state law was amended to require home sellers to disclose to prospective buyers if they have filed an insurance claim for flood damage and/or have received federal aid for flood damage to their property.
On Oct. 1 of this year, broader and more stringent disclosure requirements will take effect. In addition to the current disclosure requirements, homeowners will have to notify prospective buyers of any flood damage that the property suffered during the time they have owned it. That means even if they chose to fix it themselves, had it repaired but didn’t file an insurance claim or chose to ignore it, under the law, this concern must be disclosed.
What about disclosures to renters?
These requirements extend to developers and landlords. They must make these disclosures to all prospective buyers and renters. Even those who are renting a property, like a condo, can suffer significant personal property loss in a flood. They too have a right to know if a property they’re considering living in has suffered flood damage in the past.
Under the new law, if a tenant suffers significant loss or damage to their property from flooding and the landlord failed to make the required disclosures, they are allowed to terminate their rental agreement and receive a full refund of any advance payments they made, like a security deposit.
Full and accurate disclosures are crucial to helping ensure that homeowners and renters go into a transaction informed and don’t take on unnecessary risk. Anyone who has been the victim of someone who failed to make necessary disclosures needs to understand their rights under the law to help minimize their losses and how to effectively assert those rights.