Exam (elaborations)
Section 6. Pt.2. Environmental Concerns and Disclosures in DE Questions and Answers Rated A+
- Course
- Institution
Section 6. Pt.2. Environmental Concerns and Disclosures in DE
[Show more]
Content preview
Section 6. Pt.2. Environmental Concernsand Disclosures in DE
Disclosing Environmental Hazards - answer-You are presumed to have specialized
knowledge of real estate, and that extends to being cognizant of the environmental
issues that can occur.
-It's important that you know where, when and how to seek assistance from the experts:
environmental technicians, assessors, and auditors.
-Testing of soil, air, and water are prudent steps to take in the due diligence process. If
you recommend these tests to your client and your client decides not to follow through
with them, you have at least done your part to make your client aware of the possibility
of issues. Be sure to keep records of any such recommendations, with a written
response from your client.
-Part of your role as a real estate expert is the responsibility to disclose any
environmental issues to all parties in a transaction.
-Sellers of commercial and industrial properties, on the other hand, have no such legal
obligation to disclose known hazards. However, as a licensee, you're held to higher
standards than the seller is.
-For example, let's say the property is a warehouse and it was the site of a hazardous
chemical spill. The seller knows this, but has no obligation to disclose it to a buyer. The
agent doesn't know about it, so has no obligation to disclose it. But if the seller tells the
agent about it, then the agent does have an obligation to disclose, although the seller
still doesn't have that obligation because it's commercial property, not residential.
As a licensee, you are not expected to discover or uncover environmental issues
associated with a property; however, you are expected to know where, when, and how
to seek assistance from the experts. (T/F) - answerTrue
Because you are a well-trained professional, you are expected and legally obligated to
detect any and all environmental issues and hazards that may impact the sale or
purchase of a property. (T/F) - answerFalse
Because not all environmental hazards are easily detected, you have an obligation to
your client to recommend that the soil, air, and water be tested, especially where
commercial property is concerned. (T/F) - answerTrue
If you recommend to your client that the soil, air, and water be tested, the client is
legally obligated to pay to have the tests done. (T/F) - answerFalse
When you make recommendations to your client to have testing done, you should keep
a record of the recommendation as well as the client's written response as proof that
, you have done your part to make your client aware of the possibility for issues. (T/F) -
answerTrue
As a licensee, if you or your client discovers an environmental issue, you have a
responsibility to disclose any such issues to all parties in a transaction. (T/F) -
answerTrue
If your client specifically asks you not to disclose an environmental issue, you are not
legally obligated to do so. (T/F) - answerFalse
Although the seller has the primary responsibility and liability to disclose an issue, as
the seller's representative, you can also be held liable if issues are not disclosed. (T/F) -
answerTrue
As a licensee, you are only legally responsible to disclose issues that you know about
and not those that perhaps you should have known about but didn't because your client
hid them from you. (T/F) - answerFalse
The sellers' agents of any commercial and industrial properties are required to disclose
any known environmental hazards. (T/F) - answerTrue
If you represent a buyer of a commercial or industrial property, you should strongly
recommend having a professional environmental audit done. (T/F) - answerTrue
Disclosing Lead-Based Paint Hazards - answerLead was (and, in some countries, still
is) used in paint to speed up drying, increase durability, maintain a fresh appearance,
and resist moisture that causes corrosion.
In the U.S., lead paint was banned from household use in 1978; however, many older
homes still contain lead paint. Because of its health hazards, sellers of homes built prior
to 1978 must provide buyers with a lead-based paint disclosure form. Let's look at the
requirements for disclosure and when they apply.
Federal Requirements for Lead Disclosure - answerPamphlet: Give them an
Environmental Protection Agency-approved information pamphlet titled "Protect Your
Family From Lead in Your Home," which outlines how to identify and control lead-based
paint hazards.
Known information: Disclose any known information concerning lead-based paint or
lead-based paint hazards. The seller or landlord must also disclose information, such as
the location of the lead-based paint and/or lead-based paint hazards, and the condition
of the painted surfaces.
Records and reports: Provide any records and reports on lead-based paint and/or lead-
based paint hazards, which are available to the seller or landlord. For multi-unit
buildings, this requirement includes records and reports concerning common areas and
The benefits of buying summaries with Stuvia:
Guaranteed quality through customer reviews
Stuvia customers have reviewed more than 700,000 summaries. This how you know that you are buying the best documents.
Quick and easy check-out
You can quickly pay through credit card or Stuvia-credit for the summaries. There is no membership needed.
Focus on what matters
Your fellow students write the study notes themselves, which is why the documents are always reliable and up-to-date. This ensures you quickly get to the core!
Frequently asked questions
What do I get when I buy this document?
You get a PDF, available immediately after your purchase. The purchased document is accessible anytime, anywhere and indefinitely through your profile.
Satisfaction guarantee: how does it work?
Our satisfaction guarantee ensures that you always find a study document that suits you well. You fill out a form, and our customer service team takes care of the rest.
Who am I buying these notes from?
Stuvia is a marketplace, so you are not buying this document from us, but from seller julianah420. Stuvia facilitates payment to the seller.
Will I be stuck with a subscription?
No, you only buy these notes for $14.99. You're not tied to anything after your purchase.
Can Stuvia be trusted?
4.6 stars on Google & Trustpilot (+1000 reviews)
79079 documents were sold in the last 30 days
Founded in 2010, the go-to place to buy study notes for 14 years now