(June 25, 2004) -- A new law that takes effect Jan. 1, 2005, will streamline Ohio’s real estate agency disclosure regulation, which requires real estate practitioners to disclose to consumers whom they represent in a transaction.

The bill (S.B. 106) was passed unanimously by the legislature, according to Carl Horst, spokesman at the Ohio Association of REALTORS®. Since 1996, Ohio real estate practitioners have been required to provide a state-mandated disclosure form to buyers. But the legal-looking nature of the form created confusion, especially among homebuyers who were reluctant to sign the form, Horst says.

The new law streamlines the disclosure process and enables licensees to present consumers with a document in a brochure format that outlines the company’s policy on agency. Consumers will be required to sign a form that they have received the brochure.

Real estate companies are not required to use a standard brochure or form. However, the Ohio Association of REALTORS® is in the process of developing sample brochures that companies can use.

—By Jane Adler for REALTOR® Magazine Online