NJ Flood Zone Disclosure Rules
New Jersey Flood Zone Disclosure Rules for Landlords & Property Sellers (2024)
If you’re a landlord or property seller in New Jersey, recent laws require you to disclose flood risks to potential buyers and tenants. These new flood zone disclosure rules, effective March 20, 2024, aim to ensure transparency regarding flood-prone properties and potential flood insurance requirements.
Flood Disclosure Rules for NJ Property Sellers
If you are selling residential or commercial property in New Jersey, you must complete an updated Seller's Property Condition Disclosure Statement that includes:
Flood Zone Classification: Indicating if the property is in a FEMA-designated Special Flood Hazard Area (100-year floodplain) or Moderate Risk Flood Hazard Area (500-year floodplain).
Flood Insurance Requirements: Whether the property requires federal flood insurance.
Flood History: Any known flood damage, water seepage, or pooled water caused by natural flood events.
IMPORTANT
The flood risk disclosure must be provided before a buyer signs a purchase contract.
Flood Disclosure Rules for NJ Landlords
If you are a New Jersey landlord renting out a residential or commercial property for at least one month, you must provide a Flood Risk Notice to potential tenants, which includes:
Whether the rental property is in a Special Flood Hazard Area or Moderate Risk Flood Hazard Area.
Any past flooding, water seepage, or pooled water affecting the property or parking areas.
For residential leases, this notice must be included as a separate lease rider, written in at least 12-point font, and signed or acknowledged by the tenant.
How to Check If Your Property is in a Flood Zone
The New Jersey Department of Environmental Protection (NJDEP) provides a Flood Risk Notification Tool to help landlords and property sellers determine if a property is in a flood zone.
Check your property's flood risk:
Why These Flood Disclosure Laws Matter
Helps buyers and tenants make informed decisions.
Ensures compliance with New Jersey real estate regulations.
Reduces legal risks for property owners and landlords.
Stay Compliant with NJ Flood Disclosure Laws
Failure to disclose flood risks can lead to legal penalties and potential liability for misrepresentation. Make sure to check your property’s flood zone status and provide the required disclosures to buyers and tenants.
