Rhode Island Real Estate Purchase Agreement

Last Updated: September 23, 2024 by Roberto Valenzuela

An Rhode Island residential real estate purchase agreement (“Contract for Sale and Purchase of Real Estate”) is a contract which commits a buyer to an offer to purchase real estate, according to specific terms agreed by the buyer and seller. Negotiated specifics include the purchase price, financing method, closing date, and more.

Do Sellers in Rhode Island Have To Disclose Property Defects?

Rhode Island does require real estate sellers to disclose any material defects with a property. In most cases, this is through a standardized disclosure form provided by statute, but any disclosure which provides the required information is valid.

By mutual agreement, it may be possible to waive the use of a standard form and handle required disclosures another way. However, the seller always has a duty to disclose all material defects that are not obvious on a casual inspection of the property, even if the buyer agrees to take the property “as-is.”

The basic duty to disclose cannot be waived under any circumstances, unless the sale falls under a recognized legal exemption. Rhode Island exempts the following common transfers, among others, from the disclosure form requirement:

  • Court-ordered sales and transfers
  • Sales by foreclosure or other debt default
  • Transfer as part of the execution of a will or estate
  • Transfer to a spouse, parent, or child
  • Transfers to or from a government entity

Required Seller Disclosures in Rhode Island

Rhode Island sellers of residential real estate must make the following disclosures, as appropriate, in order for a real estate purchase agreement to be considered legally binding:

  • Real Estate Sales Disclosure Form: Discloses material defects with a property that are known to the seller at the time of sale, and details any potential issues and conditions that may affect the value of the property. A seller must disclose ALL the information mentioned in the statute.
  • Lead-Based Paint Disclosure: Any home constructed earlier than 1978 must come with a disclosure upon the transfer of the property which includes any information about the presence of lead on the premises, as well as educational materials that communicate the health risks associated with lead exposure.
  • Mandatory Real Estate Relationship Disclosure: Used in sales involving the services of a licensed real estate specialist, this disclosure covers the specialist’s nature and qualifications.

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