The Real Estate Disclosure Agreement (Real Estate) is a fundamental document in Canadian property transactions, designed to protect both buyers and sellers by ensuring transparency and full disclosure of material facts. This document becomes necessary whenever a property is being sold or transferred, requiring the seller to provide detailed information about the property's condition, history, and any known issues. It must comply with provincial real estate legislation, which varies by jurisdiction but generally mandates disclosure of material latent defects and other significant property characteristics. The agreement typically includes information about structural conditions, mechanical systems, environmental issues, legal matters, and any other factors that could influence a buyer's decision. This document is particularly crucial in today's real estate market where proper disclosure can prevent costly litigation and ensure smooth property transactions.
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1. Parties: Identification of the seller(s) and potential buyer(s), including their legal names and contact information
2. Background: Context of the disclosure agreement, including property identification and purpose of the disclosure
3. Definitions: Key terms used throughout the agreement, including technical and legal terminology
4. Property Information: Basic details about the property, including legal description, address, and property type
5. Seller's Knowledge and Disclosure Obligation: Scope of seller's duty to disclose and statement of knowledge limitations
6. Material Defects: Disclosure of known material defects, structural issues, and repair history
7. Systems and Utilities: Status and condition of electrical, plumbing, heating, cooling, and other building systems
8. Environmental Conditions: Known environmental issues including mold, asbestos, radon, and soil conditions
9. Legal Issues: Existing liens, encumbrances, zoning issues, or pending legal matters
10. Insurance Claims: History of insurance claims related to the property
11. Acknowledgment and Verification: Parties' acknowledgment of the disclosure's completeness and truthfulness
12. Governing Law: Specification of applicable provincial law and jurisdiction
1. Strata/Condominium Information: For strata/condo properties: details about strata fees, bylaws, and special assessments
2. Rental History: For investment properties: details about rental history, current tenancies, and lease agreements
3. Historical Property Status: For heritage properties: historical designations and related restrictions
4. Agricultural Land Information: For rural properties: agricultural land reserve status and related restrictions
5. Native Land Claims: For properties potentially affected by native land claims or rights
6. Development Potential: For properties with development potential: zoning restrictions and development opportunities
7. Water Rights: For rural properties: details about water licenses and rights
8. Mining Rights: For properties with potential mineral rights issues
1. Schedule A - Property Inspection Report: Detailed professional inspection report if available
2. Schedule B - Property Condition Photographs: Documentary photographs of property conditions and defects
3. Schedule C - Renovation History: Detailed list of renovations, improvements, and permits
4. Schedule D - Environmental Reports: Copies of environmental assessments or testing results
5. Schedule E - Service Records: Maintenance and repair records for major systems
6. Schedule F - Property Plans: Site plans, architectural drawings, and surveys
7. Schedule G - Insurance Claims History: Detailed documentation of past insurance claims
8. Appendix 1 - Supporting Documents: Additional relevant documentation including certificates, permits, and warranties
Relevant legal definitions
Clauses
Relevant Industries
Real Estate
Property Development
Construction
Legal Services
Financial Services
Insurance
Property Management
Urban Planning
Environmental Assessment
Property Investment
Relevant Teams
Legal
Real Estate Operations
Property Management
Compliance
Risk Management
Document Processing
Customer Relations
Transaction Processing
Due Diligence
Advisory Services
Relevant Roles
Real Estate Agent
Property Lawyer
Real Estate Broker
Property Manager
Real Estate Developer
Mortgage Advisor
Insurance Underwriter
Property Inspector
Real Estate Investment Manager
Compliance Officer
Legal Counsel
Real Estate Transaction Coordinator
Real Estate Administrator
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