Requires new residential construction sellers to inform buyers of any price increase caused by tariffs on building materials

2025 Regular Session Introduced by Linda Rosenthal

Requires sellers of new homes to disclose tariff-driven price increases, giving buyers clear, tariff-based pricing info and shaping negotiations.

REFERRED TO CONSUMER AFFAIRS AND PROTECTION

Summary of Bill A 8770

Overview

Bill A 8770 would require sellers of new residential construction to inform buyers about any price increase that is caused by tariffs on building materials. The bill is introduced in the New York State Assembly and is currently referred to the Committee on Consumer Affairs and Protection. The primary sponsor is Assembly member Linda Rosenthal. The bill was introduced and referred on June 2, 2025.

Purpose and Intent

To promote transparency in real estate transactions involving new homes by ensuring buyers are aware of how tariffs on building materials may affect the purchase price.

To provide buyers with information that could influence their decision-making and negotiations related to new residential construction purchases.

Key Provisions (Provision-Level Summary)

Applies to: Sellers of new residential construction.

Disclosure obligation: Sellers would be required to inform buyers of any price increase in the purchase price that is caused by tariffs on building materials.

Scope of price increase: The disclosure would specifically address increases attributable to tariffs, rather than general cost changes unrelated to tariffs.

Timing/format: The summary available does not specify exact timing or the format of the disclosure (e.g., whether it must appear in a specific contract document or a separate notice). Details on implementation, wording, and penalties/enforcement are not provided in the available information.

Affected Parties

Primary: Sellers of new residential construction (builders, developers).

Secondary: Buyers of new residential properties, and potentially real estate agents/brokers assisting with such transactions.

Government/Regulatory: Consumer Affairs and Protection (through its role in evaluating and enforcing consumer disclosures).

Procedural History and Timeline

Introduced: June 2, 2025.

Legislative action: Referred to the Committee on Consumer Affairs and Protection on June 2, 2025 (listed twice in the provided actions, indicating referral in the same session).

Current status: Referred to Consumer Affairs and Protection; no further action details provided.

Potential Impacts and Considerations

Transparency: Buyers would receive explicit information about tariff-driven price changes, aiding informed decisions.

Compliance Burden: Sellers would need processes to identify and disclose tariff-related increases, which could require updates to pricing practices and documentation.

Practical Challenges: Determining whether a price increase is caused by tariffs, and the extent of its impact, may require guidance on interpretation and measurement.

Market Effects: Could influence negotiation dynamics and timelines for new-home purchases, particularly in periods of tariff volatility.

Sponsor

Primary Sponsor: Linda Rosenthal.

Note: The bill’s text, enforcement mechanisms, and detailed definitions are not provided in the available information. If you need, I can incorporate any specific language from the full bill once you provide it.