Dec. 28, 2019
WHAT IS MINNEAPOLIS TISH?
The City of Minneapolis has long required home sellers to obtain a Truth in Sale of Housing (TISH) evaluation prior to selling a home. This TISH evaluation is required to be made available to all potential buyers. The report outlines repairs required prior to the transfer of ownership.
WHAT IS CHANGING AND WHEN?
Beginning on January 15, 2020, home energy data will be collected during the required Truth in Sale of Housing (TISH) evaluation. This data will be used to create an Energy Disclosure Report, to be included in the City's TISH report. Why is Minneapolis adding this new disclosure? According to the City of Minneapolis, the City believes that the energy performance of a home should be known by potential buyers prior to the purchase of a home.
WHAT HOMES WILL BE AFFECTED BY THIS POLICY?
- All 1-2 unit properties (such as single family homes and duplexes)
- First-time condo conversions
WHAT IS INCLUDED IN THE NEW ENERGY DISCLOSURE REPORT?
The Energy Disclosure Report will report an "energy score" that rates the energy efficiency of each home. The scale used is 0-100, with 100 being considered the most energy efficient home. The score evaluates the energy performance of four key areas of the home:
- Attic Insulation
- Wall Insulation (a 2" hole will be drilled in the interior side of an exterior wall by the inspector, reportedly in an "inconspicuous area". See below for more information on this topic.)
- Heating System
The report will also include recommendations on how to improve these areas, reportedly prioritized by potential return on investment (according to the City of Minneapolis opinion).
THIS IS A SAMPLE DISCLOSURE REPORT PROVIDED BY THE CITY OF MINNEAPOLIS
WILL THE CITY REQUIRE ANY ENERGY IMPROVEMENTS?
The City reportedly will not be requiring any energy improvements, as of the writing of this article. The City reports that the aim of this new policy is to inform residents and realtors of the energy performance of homes AND the opportunities that exist for energy-saving improvements.
WHAT ABOUT THAT DRILLING A HOLE IN THE WALL THING??
Whenever a home as been built prior to 1980, a 2" hole will be drilled in an exterior wall in order to evaluate wall insulation. According to the representative that conducted a training I attended, the inspectors will be finding a relatively inconspicuous location in which to drill this hole. When possible, they will look for an exterior wall closet or cabinet in which to drill, so that the hole will be concealed. After the drilling and evaluation, a plastic plug will be inserted in the wall. Why will it be a plastic plug? The idea, according to the city, is that each time the home is sold, the inspector will be able to access the same hole by simply removing the plug. rather than drilling another hole.
Why are homes built after 1980 exempt? Buildings code as of 1980 has required certain exterior wall insulation.
WILL THIS NEW ENERGY DISCLOSURE EVALUATION ADD TO THE COST OF THE MINNEAPOLIS TISH INSPECTION?
The answer if YES. At present, the City of Minneapolis has a list of inspectors that meet the qualifications to conduct Minneapolis TISH inspections. Each qualified TISH inspector sets his / her own price for the current TISH inspection as well as this new, additional Energy Disclosure Evaluation. It is expected that each inspector will add an additional fee to their current TISH inspection price for this new, additional requirement in Minneapolis.
ALREADY HAVE A RECENT MINNEAPOLIS TISH EVALUATION?
The new Energy Disclosure Report is required for all MPLS TISH evaluations ENTERED ON OR AFTER JANUARY 1, 2020. This means that if you recently obtained a Minneapolis TISH evaluation and that evaluation is entered into the City of Minneapolis system prior to January 15, 2020, then you are not required to have this additional evaluation done. Minneapolis TISH evaluation reports are valid for 2 years, but for no more than one sale.
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