New Disclosure Law Going into Effect

If you are thinking of listing your property or you have your property listed already, there is a new disclosure law going into effect for the state of Hawaii as of July 1st. The law requires that sellers “make a good faith estimate of electricity cost” based on the previous three months of electric bills. This is for residential real properties that are occupied with the bills paid by the owner. Foreclosed and REO properties are exempted from the new law. Sellers who do not receive pay their utility bills directly are also exempt. Commercial properties are exempt and properties (raw land) that do not have electricity are of course also exempt. This change in disclosure law is part of a broader energy bill knows as Hawaii House Bill 1464.