Five bills supported by the REALTOR® Political Action Committee at the General Assembly this year will become effective on July 1, 2017.
House Bill 1623 deals with the transfer of security deposits. It allows the property manager to transfer a security deposit to the property owner by simply notifying the tenant. Previously, the property manager would have to obtain written consent from all parties.
House Bill 2281 outlines a licensee’s responsibilities during the event of a foreclosure on the property they manage. The bill lets a tenant continue paying rent to the designated party and gives the property manager the ability to continue on a month-to-month basis.
In House Bills 2045 and 2274, changes were made to both the Condo and Property Owner Association Acts. The legislation prohibits POA and COAs from limiting for sale signs that comply with VREB regulations unless the rule is currently in the Association’s bylaws. It also prohibits Associations from requiring the formal power of attorney and allows a real estate licensee to represent their client before the Association. And lastly, if an Association fails to deliver the disclosure packet within the 14-day requirement, they will be fined $1000.
The last bill, HB 2034, renames the “red-flag” disclosure statement to the “buyer to beware” statement. It also adds language to the statement regarding conservation easements and community development authorities. And finally, it allows for electronic delivery of the form to the client.
All of these laws take effect on July 1 of this year, so please be aware of how they affect you and your business. Should you have any questions, please do not hesitate to contact us.