HB 2501
In CommitteeHouse
Real estate disclosure form
Revising the real estate seller disclosure notice to reflect changes in the pollution liability insurance agency's home heating oil tank insurance program.
This status may be delayed. See Action History below for the latest updates.
How does a bill become law?
- Introduced: The bill is filed and assigned a number.
- Committee: A subject-matter committee holds hearings, takes public testimony, and decides whether to advance the bill.
- Floor Vote: The full chamber (House or Senate) debates and votes on the bill.
- Opposite Chamber: The bill repeats the committee and floor vote process in the other chamber.
- Governor: The Governor reviews the bill and decides whether to sign or veto it.
- Signed: The bill has been signed into law.
AI Analysis
This bill updates the standard disclosure statement that sellers of residential property must give to buyers, changing the wording about heating oil tank contamination to reflect current state assistance programs. It ensures buyers receive accurate, up-to-date information about available state support for cleaning up oil tank leaks.
- Updates the required seller disclosure statement for residential property sales to reflect changes in the state's heating oil tank insurance program.
- Replaces the phrase 'no cost insurance may be available' with 'remediation assistance for heating oil contamination may be available' in the disclosure text.
- Directs sellers to refer buyers to the Washington State Pollution Liability Insurance Agency for more information.
- Applies only to property sales occurring on or after January 1, 2027 — not retroactively to earlier sales.
Who is affected
- Residential property sellers — Homeowners selling residential property must provide the updated disclosure statement to buyers during the sale process.
- Homebuyers — Homebuyers receive updated information about potential heating oil tank contamination and available state assistance.
- Real estate agents and brokers — Provides updated guidance to real estate professionals on required disclosure language for property transactions.
Pro/Con Analysis
Stronger case for benefits
Potential Benefits (3)
The updated disclosure improves buyer awareness of available state remediation assistance, empowering homebuyers — especially low- and middle-income households who may not otherwise know about state programs — to make informed decisions and seek help before or after purchase.
Public SafetyPeopleRef: Sec. 1 (amending RCW 64.06.090)By directing sellers to refer buyers to the Pollution Liability Insurance Agency, the bill increases access to factual, state-provided information about cleanup options, reducing information asymmetry that could disproportionately disadvantage first-time or financially constrained buyers.
HousingPeopleRef: Sec. 1 (amending RCW 64.06.090)Improved disclosure may encourage earlier identification and remediation of heating oil tank leaks, supporting long-term environmental protection by reducing unaddressed soil and groundwater contamination in residential areas.
EnvironmentLean peopleRef: Sec. 1 (amending RCW 64.06.090)
Potential Concerns (3)
The bill updates disclosure language to reflect current state assistance, but does not expand or improve actual cleanup capacity, technical support, or enforcement — meaning buyers may still face significant health and environmental risks if contamination is present and unremediated.
Public SafetyRef: Sec. 1 (amending RCW 64.06.090)The change from 'no cost insurance may be available' to 'remediation assistance may be available' is semantically more accurate, but the bill does not clarify what 'assistance' entails (e.g., grants, loans, partial reimbursement), potentially misleading buyers about the scope and certainty of support.
HousingRef: Sec. 1 (amending RCW 64.06.090)The prospective-only application means current homeowners and buyers in pending transactions before 2027 receive no benefit, even if their property has known or suspected contamination — leaving a gap in protection for those caught in transition.
HousingRef: Sec. 2 (prospective-only application)
Who Is Most Affected
Homebuyers — especially those with limited means or housing market knowledge — benefit from clearer, more accurate information about potential contamination and available state help, reducing risk of unexpected cleanup costs post-purchase.
Sellers face no added compliance burden beyond updating the standard disclosure form, but may benefit indirectly from smoother transactions if buyers feel more confident about potential risks.
Real estate agents benefit from updated, standardized language that reduces ambiguity and potential liability, but gain no new authority or resources to assist clients with contamination issues.
The Pollution Liability Insurance Agency gains increased demand for information and potential applications, but the bill does not provide new funding or staffing — potentially straining existing capacity.
Low- and middle-income households in older homes with underground tanks benefit most from improved awareness of cleanup assistance, as they are least able to absorb unexpected remediation costs.