BIC TIP #1159: RPOADS Instructions
The Residential Property and Owners Association Disclosure Statement is a mouthful, so most brokers just call it the RPOADS. It is required in residential sales transactions in North Carolina, where the owner fills out what they know about the property or chooses no representation. Stephen Long’s tip is a simple one that gets skipped far too often: make sure your sellers read the instructions before they start checking boxes.
This Is the Seller’s Form, Not Yours
Stephen is clear that agents cannot fill out the RPOADS for the seller. This is not the place for an agent to disclose anything. It is the place for the seller to disclose what the seller knows.
You can hand it to them and point them to the instructions. You should not be the one answering the questions. A broker’s own duty to disclose material facts exists separately and is not satisfied by filling in the seller’s form.
Two Paths: Disclose or No Representation
The seller has a choice. They can choose no representation and disclose nothing on the form. Or they can disclose what they actually know about the property.
The instructions explain these options, which is exactly why reading them first matters. A seller who understands the choices will complete the form more accurately and with fewer questions later.
Do Not Guess. Do Not Misrepresent.
If the seller chooses to disclose, Stephen stresses that they should not guess and should not make any inaccurate statements. If they know something, they should fill it out to the best of their ability.
And when it comes to known defects, the seller should not misrepresent them. A form that sounds reassuring but is not accurate can create serious problems after closing.
The Practical Takeaway
The RPOADS is the seller’s disclosure, not the agent’s. Have your sellers read the instructions first, explain that they may choose no representation or disclose what they know, and remind them not to guess or misrepresent known defects. A seller who understands the form fills it out better, and that protects everyone in the transaction.
