What to Disclose When Selling Your NYC Home and Why It Matters
A buyer and her real estate agent reviewing a checklist during the final walkthrough of a NYC condo. In New York City real estate, trust and timing are critical—clear disclosures and preparation help protect both sellers and buyers at closing.
Selling a home in New York City involves more than just pricing and presentation. One critical—but often overlooked—part of the process is seller disclosure. While NYC has different disclosure requirements than other markets (and co-ops and condos operate under their own frameworks), being transparent about known issues helps reduce surprises, foster trust, and avoid last-minute deal turbulence.
Whether you’re selling a condo, co-op, or townhouse, understanding what to disclose—and how it can impact your transaction—is key to setting yourself up for a smoother sale.
1. NYC Disclosure Laws Work Differently Than Other States
Unlike many states that require sellers to complete detailed property disclosure forms, New York historically allowed sellers of most residential properties to skip the disclosure form by offering buyers a $500 credit at closing.
That changed in March 2024, when New York amended its Property Condition Disclosure Act (PCDA). The $500 credit option has been eliminated, meaning sellers of most 1–4 family residential homes are now required to complete the Property Condition Disclosure Statement (PCDS). That said, some categories remain exempt—such as co-ops, condos, new construction, estate sales, or transfers by court order. But for most townhouse and single-family home sellers, completing the PCDS is now mandatory.
Importantly, even in exempt cases (like co-ops and condos), sellers are still expected to disclose any known material issues to avoid mistrust, renegotiations, or legal exposure. Transparency remains a best practice across all property types in NYC.
2. Co-ops and Condos: Shared Responsibility, Shared Information
In condos and co-ops, disclosures look different. These are governed by offering plans, building financials, and board minutes—documents buyers will review during due diligence. That doesn’t mean sellers are off the hook. If you know about an upcoming assessment, unresolved water damage, or a malfunctioning appliance, it’s in your interest to share it with your agent and attorney.
Transparency upfront can prevent a deal from falling apart during due diligence or walk-throughs.
3. Common Issues Sellers Should Be Upfront About
You don’t need to disclose every minor quirk, but being upfront about material issues—things that affect value, habitability, or confidence—helps keep the process smooth. These include:
Ongoing leaks or past water damage
Non-working appliances or HVAC
Known building violations or lawsuits
Upcoming capital projects or assessments
Even if the buyer will uncover these issues during due diligence or inspection, disclosing them early helps set expectations.
4. The Risks of Withholding Information
For co-ops and condos, much of the disclosure burden comes through the buyer’s attorney during due diligence. They’ll review board minutes, building financials, offering plan amendments, and engineer reports. If a known issue surfaces that the seller didn’t mention, it can still raise red flags or erode trust—sometimes resulting in price renegotiations or even a withdrawn offer.
For townhouses and single-family homes, seller disclosure takes on greater weight. Since there’s no board or collective building documentation to surface issues, buyers rely more heavily on what the seller shares (alongside inspection reports). Concealing known problems like water intrusion, mold, or unpermitted work can backfire, leading to mistrust, failed deals, or in serious cases, post-closing legal action.
In all cases, deliberate concealment rarely benefits the seller. A transparent approach helps set expectations, preserves trust, and reduces the likelihood of disputes down the line.
5. How Disclosure Helps Protect Sellers Too
It may seem counterintuitive, but full disclosure often strengthens your position. It shows good faith, builds buyer confidence, and helps prevent finger-pointing if something arises during the transaction.
When sellers are proactive about known issues—especially in older buildings—it allows buyers to factor those into their decision, rather than feeling blindsided later.
6. Disclosing Assessments, Renovations, and Building Loans
Buyers will review board documents during due diligence, but it’s always best to disclose proactively. When you share what you already know, it prevents surprises and keeps trust intact. In condos and co-ops, it's critical to disclose any known or upcoming capital projects that may result in assessments or building-wide disruptions. For example:
Lobby renovations
Elevator modernization
Façade repairs tied to Local Law 11
Major roof or plumbing work
Building loans taken out to finance improvements
Even if these haven’t been formally announced, any letters, meeting notes, or board discussions you’re aware of should be shared with your agent and legal team.
7. Vacant Units, Inspections, and the Final Walkthrough
If your apartment is vacant, extra care is needed before closing. Small issues—like a slow leak, a blown fuse, or a malfunctioning toilet—can easily go unnoticed and create unnecessary friction during the buyer’s final walkthrough.
As a practice, I always conduct a walkthrough 2–3 days before the buyer’s scheduled walkthrough. For vacant units, I do this on the seller’s behalf to make sure everything is in order. Catching a $200 repair early can prevent a $2,000 headache later.
This extra step not only protects the deal from last-minute surprises but also reassures the buyer that the property has been responsibly maintained right up to closing.
8. The Role of Your Real Estate Agent in Managing Disclosures
In NYC real estate, timely transparency is your best deal protection. Your real estate agent isn’t there to provide legal advice—but they play a central role in helping you navigate disclosures strategically. The right agent not only helps you disclose the right details but also frames them in a way that builds trust and keeps negotiations moving forward. That means:
Flagging Issues Early – Guiding you on what to disclose upfront and what buyers will likely uncover during due diligence.
Coordinating with Your Attorney – Ensuring disclosures are accurate, consistent, and handled in the right legal framework.
Managing Buyer Expectations – Framing issues constructively so they don’t derail negotiations or erode trust.
Maintaining Transparency and Trust – Acting as a bridge between you, the buyer’s team, and both attorneys to keep the process moving smoothly.
In NYC, where trust and timing are everything, your agent’s role is to keep disclosures transparent, strategic, and on track—protecting both your credibility and your deal.
Related Resources and Insights
Selling your NYC co-op, condo, or townhouse? Let’s connect. I’m happy to review current market conditions, discuss listing strategies, and help you navigate buyer due diligence with confidence and clarity.