A New Jersey residential purchase agreement is a legal document for transferring property ownership, detailing the purchase price, earnest money deposit, closing date, and contingencies. The buyer uses this form to make an offer, including the proposed price and personal property to remain.
The seller can request changes or refuse the offer. Once both parties agree, they sign to create a binding contract. The seller must disclose any property defects before closing. New Jersey law allows a three-day review period during which either party can withdraw from the agreement after attorney review.
State Laws
- Buyer Beware: New Jersey law doesn’t mandate sellers to disclose property information to buyers, but state courts enforce the requirement to inform buyers of known defects. Thus, sellers should disclose material defects to avoid legal issues. [1]
- Off-Site Conditions: Potential buyers must be informed by the seller of a newly constructed property about available lists of off-site conditions that could affect the property’s value. [2]
- POET Systems: Seller must inform the buyer that POET system funding will stop upon home transfer. Notify the Department of Environmental Protection and Energy within 30 days of a binding sales contract. [3]
- Private Well Testing: Conduct a drinking water test for homes with private wells. Provide results to both seller and buyer for review and acknowledgment. [4]
- Radon: Seller must disclose radon test documents to the buyer before entering a conveyance agreement, despite confidentiality. [5]
Required Seller Disclosures
Lead-Based Paint Disclosure
Federal law requires sellers to inform buyers about any known lead paint hazards in homes built before 1978 (42 U.S. Code § 4852d).
Seller Property Disclosure Statement
This form is not legally required but usually required by buyers and brokers to disclose adverse conditions. Non-professional sellers don't need to complete it if they disclose known issues and don't misrepresent facts.
Do Sellers in New Jersey Have to Disclose Property Defects?
Yes, New Jersey courts protect home buyers from sellers who conceal important property information, considering such silence as “fraudulent” in some cases. Buyers can sue for non-disclosure of material facts, as in Weintraub v. Krobatsch, 64 N.J. 445 (1974), where a seller failed to disclose a cockroach infestation.
