Effective Date: March 20, 2024

1. Introduction

This page outlines the requirements of the New Jersey Flood Disclosure Law (also known as the Flood Risk Notification Law, P.L. 2023, c.93). Signed into law on July 3, 2023, and effective March 20, 2024, this law requires sellers and landlords of real property in New Jersey to provide specific disclosures regarding flood risk to buyers and tenants.

2. Applicability

This law applies to:

  • Sellers of residential and commercial property in New Jersey.
  • Landlords entering into or renewing leases for residential and commercial property.

Exemptions apply for certain leases, including:

  • Properties with no more than two dwelling units.
  • Owner occupied properties with no more than three dwelling units.
  • Hotels, motels, or other short term rentals of less than 120 days.

3. Seller Disclosure Requirements

Sellers must disclose the following information on the Property Condition Disclosure Statement (questions 109–117):

  1. Whether the property is located in a FEMA designated Special Flood Hazard Area (100 year floodplain).
  2. Whether the property is located in a FEMA designated Moderate Risk Flood Hazard Area (500 year floodplain).
  3. Whether flood insurance is required by federal law.
  4. Whether the current or prior owners have received federal disaster assistance related to flooding.
  5. Whether flood insurance coverage currently exists on the property.
  6. Whether a FEMA elevation certificate is available and, if so, provide it to the buyer.
  7. Whether any claims for flood damage have been filed, including through the National Flood Insurance Program, and the amounts received.
  8. Whether the property has sustained flood damage, water seepage, or pooling water due to natural flood events, and how many times.
  9. Explanations for any “yes” responses above.

4. Landlord Disclosure Requirements

Landlords must disclose to tenants, before signing or renewing a lease:

  1. Whether the property is located in a FEMA Special Flood Hazard Area (100 year floodplain) or Moderate Risk Flood Hazard Area (500 year floodplain).
  2. Whether the landlord has actual knowledge of flooding, water seepage, or pooled water at the property or associated areas, including parking facilities.
  3. For residential leases, disclosures must be provided in a separate written rider in at least 12 point font and acknowledged or signed by the tenant.
  4. Landlords must inform tenants that standard renter’s insurance generally does not cover flood damage, but flood insurance may be available through the National Flood Insurance Program.

5. Timing of Disclosures

  • Sellers must provide disclosures before the buyer is obligated under contract.
  • Landlords must provide disclosures before the lease is signed or renewed. For residential leases, the tenant must sign or acknowledge receipt of the required rider.

6. Consequences of Non Compliance

Failure to comply with the Flood Disclosure Law may result in significant consequences, including:

  • Liability under the New Jersey Consumer Fraud Act for sellers, including fines and civil claims.
  • Tenants may terminate leases immediately and without penalty if a required disclosure is not provided and the property is later found to be in a flood hazard area.
  • Landlords may be required to return prepaid rent and other amounts for any period after the termination date.
  • Tenants may pursue legal remedies if their personal property is damaged or habitability is affected due to undisclosed flood risks.

7. Why This Matters

This law provides buyers and tenants with essential information to:

  • Evaluate potential flood risks.
  • Understand insurance requirements and costs.
  • Make informed decisions regarding property purchases and leases.

8. How PremierBlu Realty Supports You

At PremierBlu Realty, we are committed to transparency and compliance with the New Jersey Flood Disclosure Law. Our team will:

  • Ensure required disclosures are provided during property sales and lease transactions.
  • Assist clients in reviewing FEMA flood maps, elevation certificates, and insurance considerations.
  • Guide buyers, sellers, landlords, and tenants through each step of the disclosure process.

9. Contact Information

If you have questions regarding the New Jersey Flood Disclosure Law and how it may affect your real estate transaction, please contact us:

PremierBlu Realty
37 Easton Avenue
New Brunswick, NJ 08901
Phone: 848 209 0777
Email: [email protected]

10. Disclaimer

The information provided on this page is for general informational purposes only and does not constitute legal advice. PremierBlu Realty makes no representations or warranties regarding the completeness, accuracy, or applicability of this information to your specific situation. You should consult with a qualified attorney, insurance advisor, or other licensed professional regarding your rights and obligations under the New Jersey Flood Disclosure Law. Your reliance on this information is at your own risk.

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