When is a disclosure legally required?

Many states require a statutory property condition disclosure on residential sales; requirements vary by jurisdiction. Consult state real estate commission rules and the purchase contract to determine whether a specific disclosure form is mandatory.

Can an Owner Disclosure be signed electronically?

Yes. Electronic signatures are generally valid under the ESIGN Act (15 U.S.C. §7001) and UETA where adopted, provided intent, consent, attribution, and record retention standards are satisfied.

Does the disclosure need notarization or witnesses?

Notarization and witness requirements depend on state law and document type. Some states require notary or two witnesses for deeds or powers of attorney; check state-specific rules before relying on an unsigned electronic copy.

What if new information arises after signing?

Update the disclosure promptly and provide the revised statement to affected parties. Consider an addendum that references the original disclosure and is signed by the same parties.

How long should signed disclosures be retained?

Retain disclosures with closing files for at least three years; real estate and tax-related matters often justify seven years or longer. Follow federal standards and state-specific retention rules.

Who can sign the statement on behalf of an entity?

An authorized officer or agent with authority to bind the entity should sign. Maintain corporate resolution or power-of-attorney documentation to prove signing authority when required.

Electronic Signature
Templates
Real estate
Owner Disclosure Statement

Owner Disclosure Statement

This template is fully customizable. Edit the text, fill out the fields, and send it for signature. Give it a try!

OWNER DISCLOSURE STATEMENT

Property Address: Parcel / APN:

Legal Description

Owner Information

Owner Full Legal Name Owner Mailing Address

Owner Phone

Owner Email

Transaction Information

Intended Transaction Type: Sale Lease

Contract or Listing Date: Proposed Closing / Lease Commencement Date:

Material Condition Disclosures

The Owner must indicate Yes, No, or Unknown for each item. If Yes or Unknown, provide a brief explanation in the corresponding explanation field. The Owner certifies the following answers are true and complete to the best of Owner's knowledge as of the date of signing.

1. Structural / Foundation Problems

Yes No Unknown

2. Roof Condition / Leaks

Yes No Unknown

3. Plumbing (Leaks, Sewage, Water Pressure)

Yes No Unknown

4. Electrical (Outlets, Wiring, Service)

Yes No Unknown

5. Heating, Ventilation, Air Conditioning (HVAC)

Yes No Unknown

6. Water Intrusion, Flooding, or Drainage Problems

Yes No Unknown

7. Termites or Other Wood-Destroying Organisms / Pest Damage

Yes No Unknown

8. Environmental Hazards (Asbestos, Lead-Based Paint, Radon, Mold, Hazardous Waste)

Yes No Unknown

9. Additions, Alterations, or Repairs (Permits Obtained?)

Yes No Unknown

10. Insurance Claims, Fire, Flood or Other Substantial Damage History

Yes No Unknown

11. Legal Actions, Notices, or Notices of Violation Affecting the Property

Yes No Unknown

12. Homeowners' Association, Covenants, Conditions, Restrictions, Assessments

Yes No Unknown

13. Appliances or Systems Included; Known Defects to Included Items 14. Other Material Facts or Defects Not Covered Above

Lead-Based Paint Disclosure (if applicable)

Was the dwelling constructed prior to 1978? Yes No

If Yes or Unknown, describe any known lead-based paint conditions, inspections, reports, or notices:

Owner Certification and Acknowledgment

The Owner certifies that the information provided in this Owner Disclosure Statement is true and complete to the best of Owner's knowledge as of the date signed below. Owner acknowledges an ongoing duty to promptly amend this Disclosure Statement if Owner becomes aware of any material facts or conditions affecting the property prior to closing or transfer of possession. Owner further acknowledges that this Disclosure Statement is not a warranty of any kind and that Buyer or Tenant may obtain inspections, tests, and other investigations as Buyer or Tenant deems appropriate.

Miscellaneous Provisions

Governing Law: This Owner Disclosure Statement shall be governed by and construed in accordance with the laws of the state in which the property is located. Entire Agreement: This document constitutes the entire disclosure by Owner regarding the matters set forth herein and supersedes any prior oral or written disclosures on the same matters. Remedies: The Buyer/Tenant's remedies for any false or incomplete material statements are governed by applicable law and any purchase or lease agreement between the parties; nothing in this form limits statutory remedies.

Additional Owner Notes

Owner Printed Name:

By:

Date:

Buyer / Recipient Printed Name:

By:

Date:

What an Owner Disclosure Statement Is and when it’s used

An Owner Disclosure Statement is a written declaration by a property owner describing known conditions, defects, encumbrances, or material facts about real property at the time of sale or lease. It typically accompanies offers, purchase agreements, or lease documents and informs buyers, tenants, lenders, and agents of issues such as structural damage, environmental hazards, active permits, outstanding liens, or prior insurance claims. The form helps allocate disclosure obligations, reduce post-closing disputes, and create a clear factual record that can be retained as part of the transaction file.

Why the Owner Disclosure Statement matters for transactions

A clear Owner Disclosure Statement protects parties by documenting known facts, supporting due diligence, and reducing litigation risk; it also improves transparency during negotiations and creates an auditable record admissible under ESIGN (15 U.S.C. §7001) and UETA where executed electronically.

Who typically completes or relies on an Owner Disclosure Statement

Accurate completion benefits all stakeholders by clarifying risk allocation and supporting title, financing, and insurance reviews.

Property owners and sellers — complete the form to disclose known conditions and material facts to prospective buyers or tenants.
Real estate agents and brokers — collect, review, and deliver disclosures to buyers and counsel during escrow.
Lenders and title companies — use disclosures to assess underwriting, title exceptions, and closing requirements.

Core sections to include in a professional Owner Disclosure Statement

A complete Owner Disclosure Statement groups facts into consistent sections so reviewers can find critical information quickly.

Property ID

Legal description, street address, parcel or lot number, and county jurisdiction so the disclosure ties to the correct real estate record.

Owner Information

Full legal name(s), mailing address, phone and email for each owner, plus any entity or trust details if applicable.

Known Defects

List structural, mechanical, pest, mold, or environmental issues the owner knows about, with dates and remediation history if available.

Permits & Violations

Active permits, municipal code violations, zoning nonconformities, or unresolved citations that may affect transfer or use.

Encumbrances

Existing liens, mortgages, tax liens, leases, easements, or pending litigation that materially affect title or possession.

Certifications & Signatures

Owner signature block, date, and any agent acknowledgement; include notary or witness space when state law requires.

Step-by-step: completing the Owner Disclosure Statement

Follow this sequence to prepare a disclosure that supports closing, underwriting, and future recordkeeping.

01

Collect documents: Gather deed, title report, inspection reports, permits.
02

Confirm ownership: Verify owner name matches public records and title.
03

List disclosures: Enter known defects, permits, liens, and dates.
04

Sign and retain: Execute signature, notarize if required, and save a copy in the transaction file.

Where to send or file the completed statement

Routing depends on the transaction stage—deliver copies to the parties and retain an executed record for closing and title review.

Buyer / Tenant: Provide an executed copy with the offer package or lease application for review.
Listing / Selling Broker: Keep a signed copy in the brokerage file per firm retention policy and state law.
Title Company: Supply to title underwriter during escrow to identify exceptions and endorsements.
Closing Agent: Include in closing package; recording typically not required but retained with settlement documents.

Digital submission and eSignature compatibility

Maintain an unalterable audit trail (timestamp, IP, signer identity) and retain signed records per regulatory retention rules.

File formats: PDF or DOCX files are standard; ensure the platform preserves flattened PDFs for signatures.
Authentication: Use email verification, SMS codes, or stronger ID verification for high-risk transactions.
Integrations: Connect to CRM, title, or document management systems for seamless routing and storage.

Timing considerations and deadlines commonly associated with disclosures

Certain deadlines and delivery timings are common practice and may be required by contract or state law.

Disclosure delivery:

Provide at or before execution of purchase agreement per contract terms

Buyer review period:

Typical contingency windows run 7–14 days for inspections and disclosure review

Title review:

Submit disclosures to title company with the initial title commitment request

Closing retention:

Retain signed disclosures as part of the closing package permanently where prudent

Notarization window:

Coordinate notary scheduling before closing dates to avoid settlement delays

Key milestones during a typical transaction

Sequential milestones show when the Owner Disclosure Statement is created, exchanged, and archived in the transaction lifecycle.

01

Preparation

Owner completes draft disclosure and gathers supporting documents.

02

Delivery to buyer

Signed copy provided with offer or upon acceptance for buyer review.

03

Title review

Title company evaluates disclosures alongside commitment and exceptions.

04

Closing retention

Final executed disclosure is stored with closing documents.

Common mistakes to avoid when preparing the Owner Disclosure Statement

Omitting recorded encumbrances — failing to list known liens or leases can delay closing and increase post-closing disputes.
Using vague language — ambiguous descriptions of defects invite differing interpretations and litigation risk.
Mismatched owner names — inconsistent naming between disclosure and title records can trigger underwriting exceptions.
Skipping notarization when required — missing notary or witness steps can render the disclosure noncompliant in some states.

Risks and legal consequences of incorrect or missing disclosures

Contract rescission: Buyer may seek rescission or price adjustment if a material undisclosed defect is discovered.

Monetary damages: Civil damages for misrepresentation or fraud may apply under state consumer protection laws.

Title exceptions: Undisclosed encumbrances can create title defects, slowing or blocking financing and transfer.

Professional liability: Agents who fail to deliver or review disclosures may face brokerage disciplinary action or legal claims.

Regulatory penalties: Certain state statutes impose fines for statutory disclosure violations.

Insurance denial: Failure to disclose prior damage or claims can lead insurers to deny coverage or claims payment.

Essential data elements to capture and protect

Owner Identity: Full legal name(s), entity type

Property Details: Street address, parcel ID

Material Facts: Known defects, dates

Encumbrances: Liens, leases, mortgages

Signatures: Owner signature and date

Notary Info: Notary acknowledgement and seal where required

Representative eSignature pricing and capability comparison

Compare common criteria for eSignature platforms used to sign and store Owner Disclosure Statements; signNow is shown first for reference.

	signNow	DocuSign	Adobe Sign	PandaDoc	HelloSign
Starting Price	$8/user/mo	$15/user/mo	$14/user/mo	$19/user/mo	$15/user/mo
Free Trial	7-day free trial	Varies by plan	Varies by plan	Varies by plan	Varies by plan
Bulk Send	Yes	Yes	Yes	Yes	No
Audit Trail	Yes	Yes	Yes	Yes	Yes
HIPAA Compliant	Yes	Yes	Yes	No	No
Envelope Cap	No cap	100 envelopes/user/year	Varies	Varies	Varies

Real-world examples of Owner Disclosure Statements in use

These examples illustrate how organizations integrate disclosures into their processes and compliance workflows.

Martin Properties

A regional real estate firm standardized Owner Disclosure Statements across listings to reduce closing delays.

Bulk digital delivery reduced turnarounds on disclosures during offer cycles.
Standardized disclosure templates and consistent retention helped the firm resolve post-closing questions with fewer title exceptions and more predictable closings.

Fertility Centers of Illinois

A healthcare facility attached property disclosures to facility lease renewals to document known facility conditions.

Combining disclosure with HIPAA-aware workflows ensured patient areas were treated separately.
The approach minimized disputes over facility condition at lease termination and supported compliance with health-record retention policies.

Frequently asked questions about Owner Disclosure Statements

Answers to common questions about completion, legal effect, notarization, and electronic signing of Owner Disclosure Statements.

Need help? Contact support

When is a disclosure legally required?
Many states require a statutory property condition disclosure on residential sales; requirements vary by jurisdiction. Consult state real estate commission rules and the purchase contract to determine whether a specific disclosure form is mandatory.
Can an Owner Disclosure be signed electronically?
Yes. Electronic signatures are generally valid under the ESIGN Act (15 U.S.C. §7001) and UETA where adopted, provided intent, consent, attribution, and record retention standards are satisfied.
Does the disclosure need notarization or witnesses?
Notarization and witness requirements depend on state law and document type. Some states require notary or two witnesses for deeds or powers of attorney; check state-specific rules before relying on an unsigned electronic copy.
What if new information arises after signing?
Update the disclosure promptly and provide the revised statement to affected parties. Consider an addendum that references the original disclosure and is signed by the same parties.
How long should signed disclosures be retained?
Retain disclosures with closing files for at least three years; real estate and tax-related matters often justify seven years or longer. Follow federal standards and state-specific retention rules.
Who can sign the statement on behalf of an entity?
An authorized officer or agent with authority to bind the entity should sign. Maintain corporate resolution or power-of-attorney documentation to prove signing authority when required.

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