The North Carolina Residential Property and Owners’ Association Disclosure Statement can be found here:
Residential Property and Owners’ Association Disclosure Statement
The Residential Property Disclosure Act (G.S. 47E) (“Disclosure Act”) requires owners of residential real estate (single-family homes, individual condominiums, townhouses, and the like, and buildings with up to four dwelling units) in North Carolina to furnish buyers a Residential Property and Owners’ Association Disclosure Statement.
A disclosure statement must be furnished in connection with the sale, exchange, option, and sale under a lease with option to purchase where the tenant does not occupy or intend to occupy the dwelling.
For the most current list of exemptions from this disclosure, see G.S. 47E-2. Below are the exemptions noted as of the original publishing of this article:
The following transfers are exempt from the provisions of this Chapter:
- Transfers pursuant to court order, including transfers ordered by a court in administration of an estate, transfers pursuant to a writ of execution, transfers by foreclosure sale, transfers by a trustee in bankruptcy, transfers by eminent domain, and transfers resulting from a decree for specific performance.
- Transfers to a beneficiary from the grantor or his successor in interest in a deed of trust, or to a mortgagee from the mortgagor or his successor in interest in a mortgage, if the indebtedness is in default; transfers by a trustee under a deed of trust or a mortgagee under a mortgage, if the indebtedness is in default; transfers by a trustee under a deed of trust or a mortgagee under a mortgage pursuant to a foreclosure sale, or transfers by a beneficiary under a deed of trust, who has acquired the real property at a sale conducted pursuant to a foreclosure sale under a deed of trust.
- Transfers by a fiduciary in the course of the administration of a decedent's estate, guardianship, conservatorship, or trust.
- Transfers from one or more co-owners solely to one or more other co-owners.
- Transfers made solely to a spouse or a person or persons in the lineal line of consanguinity of one or more transferors.
- Transfers between spouses resulting from a decree of divorce or a distribution pursuant to Chapter 50 of the General Statutes or comparable provision of another state.
- Transfers made by virtue of the record owner's failure to pay any federal, State, or local taxes.
- Transfers to or from the State or any political subdivision of the State.
- Transfers involving the first sale of a dwelling never inhabited.
- Lease with option to purchase contracts where the lessee occupies or intends to occupy the dwelling.
- Transfers between parties when both parties agree not to complete a residential property disclosure statement or an owners' association and mandatory covenants disclosure statement. (1995, c. 476, s. 1; 2011-362, s. 3(a); 2014-120, s. 49(a).)