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This form is used by a seller’s agent when preparing a marketing package for the sale, exchange, lease or option of a one-to-four unit residential property, to disclose the existence of unique factors or conditions which may adversely affect the property or its immediate vicinity.

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Your use of RPI Form 308

External material facts affecting the property’s value

A broker and their agent, with authority to exclusively representative a seller of a one-to-four unit residential property, takes reasonable steps to promptly gather all material facts about the property which are readily available to the seller, the seller’s broker or the broker’s agent. Further, the broker’s and agent’s duty owed the seller to disclose to prospective buyers material facts known to them is not limited merely to disclosures of the property’s physical condition.

When the seller or seller’s agent considers property disclosures, there are two operative phrases from case law to keep in mind:

  • readily available information; and
  • relevance to a buyer’s decisions.

In addition to a property’s physical condition, neighborhood and area conditions which adversely affect the property’s value and desirability are also considered material facts. Disclosure of facts yielding a negative effect on the value of property is required regardless of whether the negative effect is explicitly stated on a pre-printed transfer disclosure statement (TDS) form. Anything less is deceit, and thus a fraud on the buyer by the seller’s broker and agent. [Calif. Civil Code §§1102(a), 1102.3, 1102.8; see RPI Form 304]

Area factors and conditions known to the seller or the seller’s broker or agent which negatively affect a property’s value and desirability are disclosed to prospective buyers as soon as practicable (ASAP) — i.e., before a purchase agreement is entered into by the seller. In addition to the TDS, the seller’s broker discloses external factors unique to the subject property or surrounding area which affect a property’s value by using a disclosure form which specifically references the condition.

Unique factors and conditions

The Unique Factors and Conditions Affecting Property form published by RPI (Realty Publications, Inc.) is used by a seller’s agent when preparing a marketing package for the sale, exchange, lease or option of a one-to-four unit residential property, to disclose to prospective buyers the existence of unique factors or conditions which may adversely affect the property or its immediate vicinity. [See RPI Form 308]

The Unique Factors and Conditions Affecting Property form lists several factors which may influence a buyer’s decision to purchase or the price they are willing to pay for a particular property. These factors and conditions include:

  • Notice of Airport in Vicinity– the property may be subject to some of the annoyances or inconveniences associated with proximity to airport operations [See RPI Form 308 §2];
  • Notice of Right to Farm– the property is located within one mile of a farm or ranch land designated on the current county-level GIS “Important Farmland Map,” issued by the California Department of Conservation, Division of Land Resource Protection [See RPI Form 308 §3];
  • Notice of San Francisco Bay Conservation and Development Commission Jurisdiction– the use and development of property within the commission’s jurisdiction may be subject to special regulations, restrictions and permit requirements [See RPI Form 308 §4];
  • Notice of Mining Operations– the property is located within one mile of a mine operation for which the mine owner or operator has reported mine location data to the Department of Conservation pursuant to Public Resources Code §2207 [See RPI Form 308 §5];
  • Notice of Industrial Use Zone– the property is located in or next to an Industrial Use Zone which allows manufacturing or commercial uses, or is affected by a nuisance resulting from its proximity to an Industrial Use Zone [See RPI Form 308 §6];
  • Notice of State or Federal Ordnance– the property is located within one mile of a former state or federal ordnance location, such as those used for military training purposes [See RPI Form 308 §7];
  • Notice of Contamination of a Controlled Substance– the property or immediate vicinity has been identified by a governmental health official as being contaminated by methamphetamine or another controlled substance or was the site of a former meth lab [See RPI Form 308 §8];
  • Notice of Death– a death has occurred on the property within the prior three years [See RPI Form 308 §9];
  • Notice of Insurance Claim Affecting the Property– an insurance claim affecting the property has been filed within the previous five years [See RPI Form 308 §10]; and
  • Notice of Other Conditions Affecting the property or immediate vicinity. [See RPIForm 308 §11]
Revision history

The form was significantly expanded August 2016 to reference additional unique conditions affecting a property or the surrounding area. The new provisions are:

6. [] NOTICE OF INDUSTRIAL USE ZONE:

The property is located in or next to an Industrial Use Zone which allows manufacturing or commercial uses, or is affected by a nuisance resulting from its proximity to an Industrial Use Zone.

7. [] NOTICE OF STATE OR FEDERAL ORDNANCE:

The property is located within one mile of a former state or federal ordnance location, such as those used for military training purposes. An area used for military training may potentially contain explosive munitions.

8. [] NOTICE OF CONTAMINATION OF A CONTROLLED SUBSTANCE:

The property or immediate vicinity has been identified by a governmental health official as being contaminated by methamphetamine or another controlled substance in the prior three years.

8.1 [] If the property was the site of a former meth lab, the property has been cleaned of hazardous materials by an authorized and certified contractor and the property is suitable for habitation.

9. [] NOTICE OF DEATH:

A death has occurred on the property within the prior three years.

10. [] NOTICE OF INSURANCE CLAIM AFFECTING THE PROPERTY:

An insurance claim affecting the property has been filed within the previous five years. A prior insurance claim may increase the cost of insuring the property for subsequent owners.

11. [] NOTICE OF OTHER CONDITIONS AFFECTING THE PROPERTY OR IMMEDIATE VICINITY: ______________________________

Form updated 08-2016 to include the Form Description at the top, white header/footer convention and RPI branding.

Form navigation page published 10-2016. Updated 08-2022.