Table of Contents
An important aspect is the property death disclosures, which is essential to comply with California laws and the Federal Fair Housing Act. Through this case, we will explore how to properly handle real estate death disclosures in California.
Stage
Two years ago, a tenant died in Unit 7 of an apartment complex in California. The unit is vacant, and the owner is showing the property to a potential tenant. The landlord informs the prospective tenant that a previous tenant died in the unit two years ago due to AIDS-related complications. The owner adequately disclosed the death, but incorrectly disclosed the AIDS-related cause.
Relevant Laws in California
In California, it is mandatory disclose a death on property sell or rent if it happened in the last three years. However, if the death was from AIDS or HIV-related causes, the cause of death should not be disclosed. Under California Civil Code Section 1710.2, it is not even considered a material fact that an occupant is HIV positive or has died from AIDS-related complications.
Additional Protection Under the Fair Housing Act
The federal Fair Housing Act of 1988 classified being affected by AIDS (or being HIV positive) as a disability. Because this condition is considered a disability, disclosure is considered discrimination against disabled people and violates federal fair housing laws.
Important Things to Remember
Disclosure of a death at a property is legally required in California for both sales and rentals, as long as the death occurred within the last three years. Disclosure of other causes of death is legally permitted. A death at a property offered for sale or rental must be disclosed if it occurred within the last three years, not the last year. Importantly, even when a death occurred more than three years ago, a landlord and agent are not allowed to lie in response to a direct question.
Conclusion
Handling disclosure of property deaths is crucial to complying with California and federal fair housing laws. This case demonstrates the importance of understanding when and how to disclose a death on property and when not to. It is essential to be aware of these regulations to provide professional and ethical service to clients.