Lead Paint and Local Agent in Charge Requirements with Zak Burkons!

Understanding Lead Paint Legislation and Its Impact on Cleveland Real Estate

Lead paint and property compliance may not be the most glamorous topic in real estate, but it is a critical one, particularly for Realtors, buyers, sellers, and property managers in Cleveland and across Ohio. With evolving legislation and enforcement practices, staying informed about these regulations is crucial for navigating transactions smoothly. Today, we dive into lead paint legislation and its impact on real estate with insights from Mike Ferrante of the 21 Mike Team at Century 21 HomeStar, Tony Geraci, broker-owner of Century 21 HomeStar, and lead safety expert Zak Burkons.

The Importance of Lead Safety Compliance in Cleveland

For those unfamiliar, Cleveland’s lead safety law mandates that all rental properties built before 1978 must have a valid lead-safe certificate. This legislation, which targets protecting tenants from lead poisoning, imposes strict penalties, including fines of $200 per day per unit for non-compliance.

Zak Burkons, founder of PB Free Ohio, emphasizes the urgency:  “Cleveland is finally enforcing these laws, and landlords without lead-safe certification risk financial penalties, eviction challenges, and even potential legal liabilities.”

The implications extend beyond Cleveland, with similar regulations being considered in cities like Columbus, Toledo, and Cincinnati. It’s evident this is not a localized issue but a growing national trend as municipalities utilize federal funding to enforce lead safety.

What Realtors Need to Know About Lead Paint Compliance

Zak explains that real estate agents must understand the nuances of lead paint legislation to protect their clients and themselves. Here are actionable tips for Realtors:

1. For Buyers’ Agents
   Include a contingency in purchase agreements stating, “Closing requires a valid lead-safe certificate issued by the city.” This protects buyers from inheriting significant financial and legal risks.
2. For Listing Agents
   Educate sellers about the importance of obtaining lead-safe certification before listing their property. The process can take 60-90 days or longer, so starting early is critical to avoid delays in closing.
3. Disclosures Matter
   Sellers are now required to disclose whether lead-safe testing has been completed. Buyers must acknowledge this in the new title company forms, and title agencies are enforcing compliance more strictly to avoid fines.
4. Proactive Testing
   Agents representing properties built before 1978 should encourage lead-safe testing proactively, especially when selling rental properties. This ensures smoother transactions and positions the property as compliant with local laws.

Navigating Local Agent in Charge Requirements

Cleveland has also implemented a Local Agent in Charge requirement, designed to hold landlords accountable. Under this rule, landlords with properties owned by LLCs or out-of-state entities must designate a local agent who is civilly, administratively, and criminally responsible for the property’s compliance.

Zak explains, “I offer local agent services but only take on properties I’ve vetted. This law is the city’s way of cracking down on absentee landlords, but it also creates risks for agents who fail to understand their responsibilities.”

How to Protect Clients and Stay Ahead

Both Zak and Mike Ferrante agree that education is the first step toward compliance and avoiding legal pitfalls. For agents, landlords, and buyers, this means:

• Stay Informed: Use resources like PB Free Ohio or CLElocalagent.com to understand evolving regulations.
• Partner with Experts: Collaborate with professionals like Zak who specialize in lead safety and compliance.
• Educate Clients: Buyers, sellers, and investors need to understand the risks, costs, and timelines involved in meeting lead safety standards.

Lead Safety Incentives and Costs

One bright spot in Cleveland’s lead-safe program is the availability of rebates and funding through federal and local programs. For example:

• Landlords can receive $750 rebates for lead-safe certification.
• Lead-free certification, which lasts for 20 years, qualifies for $1,000 rebates upon passing.

Zak notes, “The process is straightforward, and I’ve helped clients recover over half a million dollars in rebates. These certifications are fully transferable to new owners, adding value to the property.”

Conclusion: Partner with the Right Experts

As lead safety legislation expands across Ohio, understanding and complying with these laws is critical for real estate success. Realtors play a vital role in protecting clients from financial risks and ensuring smooth transactions.

If you’re navigating lead paint compliance or other related challenges, contact Zak Burkons at PB Free Ohio 216/452-0881 Burkons@PbFreeOhio.com for expert assistance. For additional guidance on how to incorporate these practices into your real estate business, connect with Mike Ferrante and the 21 Mike Team at Century 21 HomeStar.

Lead safety compliance may not be glamorous, but with the right knowledge and partners, it doesn’t have to be overwhelming. Stay ahead, stay informed, and safeguard your transactions with these actionable insights.

For more information, contact Zak Burkons at PB Free Ohio

216/452-0881

Burkons@PbFreeOhio.com

CLE Local Agent

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