Cautions to Buyers

CAUTIONS to BUYERS;
a service from CENTURY 21 JC Jones American Dream

Regarding property at _____________________________ and other properties of interest in the area. These disclosures and cautions will help you research your planned purchase and may be important in making your decision to purchase a property or how you make your offer.

Buyer Must Initial Margins of ALL Items

__ Agency: Buyer has received the agency disclosure pamphlet required by law.

__ I have received the following publications: Oregon Property Buyer Advisory Publication and Measure 49 Information letter to clients. If you would like the text of Measure 37 see www.sos.state.or.us/elections/nov22004/guide/,eas/m37_text.html

__ Earnest Money: We must deposit a check within three banking days unless we have written instructions to hold it until acceptance. Earnest money should be large enough to convince a seller to accept an offer and keep the property off the market while contingencies are cleared, and will not be used to pay other costs without written agreement. In order to be sure a return of earnest money if the transaction fails, conditions and contingencies should be very clear and specific. In case of default, money may be forfeited to the seller. This is the only damage a seller may claim. In a dispute, funds in our trust account will be disbursed to the buyer within 20 days of written demand for disbursal unless the parties agree or there is proof of a claim filed by the seller.

__Mediation / Arbitration: Buyer understands the provisions in the Sale agreement regarding Dispute Resolution, Mediation / Arbitration in lieu of Litigation. These procedures are much faster and less costly, but there is usually no appeal. See part 4 of the listing agreement or the dispute resolutions section in the Sales Agreement. If any part is not understood, seek legal counsel.

__ Deed / Possession: Sellers provide Title Insurance and most use Warranty Deeds, but with short sales and foreclosures a Special Warranty Deed may be used. Check with your title company to see if this affects your title insurance. Possession is generally after closing unless specifically agreed to in writing and signed by all parties. “Closing” means after the sale is recorded and funds are available to the seller.

__Bare Land, New Home Construction / Remodeling: If buyer plans to have any construction done on the property it is vital to check with appropriate planning agencies to verify zoning, setback requirements, possible land use restrictions , tax ramifications and permit requirements. Contact local city or county planning agencies

__ Proposed use: Buyer is strongly advised to check with appropriate agencies to determine if proposed use is possible on the property. Contact the city or county planning agencies

__ Savage Rapids Dam: The Grants Pass Irrigation District (GPID) has removed Savage Rapids Dam. This may result in a change in assessments charged to users of the District. G.P.I.D. 476-2582


__Rural Property Fire Protection: Some areas outside Grants Pass city limits do not have tax supported fire protection districts. Fire protection in these areas is by subscription with private Fire Protection firms. Rural Metro Fire Dept. 541-474-1218 Grants Pass Rural Fire Dept. 541-479-5366 Inland Fire Dept. 541-479-6636

__Schools: School and District boundaries change from time to time. If a school or the district is important contact the School District

__Insurance Availability: Homeowners insurance may be difficult to find for some properties. Buyer is advised to make insurance a condition of the purchase of any properties. See Home Insurance addendum.

__Home Warranty availability: For a modest charge, buyers can have a year of coverage after escrow closes. If seller does not provide coverage, buyer may provide coverage at buyers’ own expense. It is important to read the policy exclusions. This office receives a marketing fee from some Home Warranty firms. Any fee is donated to local charities. Century 21 Home protection plans 1-800-747-5152.

__Lead Paint: A completed lead paint disclosure form must be initialed and signed by both buyer and seller for any home built before 1978. See separate form.

__ Woodstove: Non-certified (non-EPA certified or non-ODEQ certified) wood stoves in Oregon must be destroyed within 30 days of the sale of the residence and a certificate filed with the State. The law requires the uncertified woodstove is both removed and destroyed (recycled) and verification of the destruction sent to Oregon DEQ. http://www.oregonfireplaces.com/oregonlaws.htm

__Tests Inspections and Repairs: Buyer is advised to order professional inspections for Pest and Wood Destroying Organisms, toxic mold, whole house inspection, siding, septic tank, roof, fireplace, square footage, property corners and anything else of concern. Costs for tests and necessary repairs are subjects for negotiation between buyer and seller.

__Well Flow, Purity, I.D.: Buyer is strongly advised to have a well flow test as well as an additional test for minerals. Seller is required to test for bacteria nitrates and arsenic. Oregon State Law (ORS 537.788) requires a well identification number be attached to a well at the time of construction alteration or property transfer. In addition to the well label, well ownership information must be recorded in the deed records of the property. Oregon Water Resources Department
1-800-624-3199.

__Smoke Alarms: Any residence sold and all rental dwellings must have a smoke detector with a hush button; either a hardwired unit or a battery operated one with a ten–year battery life. In addition, effective July 1, 2010 homes with gas or wood heat must have a carbon monoxide detector on the alarm. This is a seller obligation by law.

We can recommend inspectors and contractors we believe to be reliable, but cannot guarantee or be responsible for their performance, and buyers or sellers must pay for their services

Buyer is advised to make your own inquiry into these matters to your satisfaction regarding property condition, intended usage and tax changes, and is not relying on the real estate agent or owner of the property for information concerning these issues. Real estate brokers can help coordinating the items above, but are not experts in any of the above matters.


Sept. 2010

Cautions to Sellers

A Checklist for Sellers

CAUTIONS to Sellers; a service from CENTURY 21 JC Jones American Dream

Addendum ____to____ Listing Agreement ____________________________________(sellers)

And CENTURY 21 J.C. Jones American Dream for Property at___________________________________
These disclosures and cautions may be important in making decisions regarding listing/offers on your property:

Seller Must Initial Margins of ALL Items
__ Agency: Seller has received the agency disclosure pamphlet required by law.

__Ownership/ Possession: Ownership transfers when the deed is recorded. Possession is generally after closing unless specifically agreed to in writing and signed by all parties. “Closing means after the sale is recorded and funds are available to the seller.

__ Earnest Money: Earnest money should be large enough to convince a seller to accept an offer and keep the property off the market while contingencies are cleared, and will not be used to pay other costs without written agreement. To be sure of a return of earnest money if the transaction fails, any conditions and contingencies should be very clear and specific. In case of buyer defaults, money may be forfeited to the seller, which is the only damage a seller may claim. In a dispute over earnest money, funds in our trust account will be disbursed to the buyer within 20 days of written demand unless the parties agree otherwise or there is proof of a claim filed by the seller.

__Mediation / Arbitration: Parties understand the provisions in the Sale agreement regarding Dispute Resolution, Mediation / Arbitration in lieu of Litigation. These procedures are much faster and less costly, but there is usually no appeal. See part 4 of the listing agreement or lines 201-218 of the sale agreement. If any part is not understood, seek legal counsel.

__Home Warranty availability: For a modest charge, buyers can have a year of coverage after escrow closes. Buyers are advised to provide this as a means to reduce liability of potentially expensive repairs. If seller does not provide coverage, buyer may provide coverage at buyers’ own expense. It is important to read the policy exclusions. This office receives a marketing fee from some Home Warranty Firms. Any fee is donated to local charities. Century 21 Home protection plans 1-800-747-5152. .

__Man Made Siding Disclosure: In recent years some products (e.g. “LP” Louisiana Pacific inner seal siding) have developed material defects and have failed. Seller is advised to investigate and consider having a professional inspection of the siding to be satisfied as to its condition. See separate form.

__Lead Paint: A completed lead paint disclosure form must be initialed and signed by both buyer and seller for any home built before 1978. See separate form. Seller has received the pamphlet Lead-Contaminated Soil as issued from the EPA.

__Tests Inspections and Repairs: Seller is advised to have inspections for Pest and Wood Destroying Organisms, toxic mold, whole house inspection, septic tank, roof, fireplace and determine property corners. Costs for tests and any necessary repairs are subjects for negotiation between buyer and seller. Both parties are advised to have limits on the amount they are willing to pay for repairs. Agents can provide lists of inspectors and contractors.

__Well Flow, Purity, I.D. : Seller is strongly advised to have a well flow test as well as a (top 28) test. Seller is required to test for bacteria,arsenic and nitrates. Oregon State Law (ORS 537.788) requires a well identification number be attached to a well at the time of construction alteration or property transfer. In addition to the well label, well ownership information must be recorded in the deed records of the property. Oregon Water Resources Department 1-800-624-3199.

__Smoke Alarms: Any residence sold and all rental dwellings must have a smoke detector with a hush button; either a hardwired unit or a battery operated one with a ten–year battery life.

___Wood Stoves: Non certified wood stoves in must be destroyed on sale of the residence. Contact your County Environmental Health Division

___Disclosures; no surprises: When an offer comes in, seller is strongly advised to review Sellers Disclosure Statement and update the document with signature and new date. Your buyer should have no unpleasant surprises on taking possession; especially willful or innocent failure to disclose any needed repairs, flaws or defects

Sellers are advised to have appropriate tests preformed and make full disclosure of any known problems in order to avoid problems after the sale. Agents can help coordinating the items above, but are not experts in any of the above matters.


Seller _________________________________ Date _________ Agent _______ Broker __________
October 2010

Agency Disclosure Pamphlet

Describes responsibilities of Brokers to Real Estate Consumers

Agency Disclosure Pamphlet