The “Owner’s Notice Concerning Condition of Property” form, produced by the Texas Association of REALTORS® (TAR-2206), is a vital document designed for property owners under a property management agreement. This form enables property owners to disclose the condition and features of their property accurately to their property management company or leasing agent. Below, we’ll discuss what this document is, its purpose, and how to complete it effectively.
What Is This Document?
The “Owner’s Notice Concerning Condition of Property” serves as a disclosure form for property owners. It provides a comprehensive inventory of the property’s features, systems, and any existing issues that may require attention. This document is not a warranty but rather an informational tool to ensure transparency between property owners and property managers.
Purpose of the Document
This notice plays a crucial role in property management by:
- Facilitating Communication: It allows the property management company to understand the property’s current condition and features to better manage tenant expectations and property maintenance.
- Clarifying Responsibilities: By disclosing items that need repair, the document ensures clear agreements on repair responsibilities under the lease agreement.
- Improving Tenant Experience: Accurate disclosures help property managers address potential maintenance issues promptly, enhancing tenant satisfaction.
- Legal Protection: Properly completed, it protects property owners and managers from disputes related to undisclosed issues.
Key Sections and How to Fill Them Out
Section 1: Property Features
In this section, property owners mark whether specific items or systems exist on the property using “Yes (Y),” “No (N),” or “Unknown (U).” Items listed include central air conditioning, fireplaces, pools, sprinklers, alarm systems, and kitchen equipment. For some items, additional details may be required, such as:
- The number of units for HVAC systems.
- Specific locations for items like underground lawn sprinklers.
- Descriptions of fencing materials or garage attachment types.
Section 2: Items Needing Repairs
Owners must disclose if any items, equipment, or systems need repair. If repairs are required, owners should provide a detailed explanation and attach additional sheets if necessary. For example, if a water heater is malfunctioning, describe the issue and any repair attempts made.
Section 3: Property Associations and Conditions
This section covers legal or external conditions that might affect the property, such as:
- Homeowner association (HOA) details.
- Notices of violations or legal proceedings affecting the property.
- Health or safety concerns, like mold or structural issues.
For any “Yes” responses, owners must provide detailed explanations.
Section 4: Other Information
This section captures general property details, including:
- Utility providers for electricity, water, and gas.
- Roofing type and age.
- Locations of critical items like shut-off valves and heating/cooling filters.
- Codes for alarms, garage doors, or gated entries.
Owners should also disclose warranties for appliances or the property and attach any relevant documentation.
Tips for Completing the Form
- Be Honest and Accurate: Fill out the form to the best of your knowledge. Guessing or withholding information can lead to disputes later.
- Provide Additional Details: Use extra sheets if you run out of space for explanations. Detailed disclosures ensure clarity and reduce misunderstandings.
- Review the Form Thoroughly: Double-check your responses to ensure all sections are completed accurately.
- Attach Supporting Documents: Include warranties, receipts, or other relevant paperwork to back up your disclosures.
Contact 360 Realty & Management
The “Owner’s Notice Concerning Condition of Property” is an essential document for property owners entering into a property management agreement. By accurately completing this form, owners can ensure a smoother property management process, reduce potential legal disputes, and maintain a positive relationship with their property management team. If you’re unsure about any section, consult with your property manager or a legal professional for guidance.