New Requirements for Minneapolis Home Sales

Starting today (Jan 16, 2020) the City of Minneapolis is requiring an Energy Disclosure Report to be included with the Truth in Housing report which is required by the City of Minneapolis to be completed prior to selling your home.

Backing up for just a minute just in case you’re not familiar with the Minneapolis Truth in Housing Report. This report, commonly called the TISH is required by the City of Minneapolis for any sale of a single family house, duplex, townhouse and first time condo conversions in the City of Minneapolis. This report was put in place to ensure the quality of housing available in the city.

Over all it’s a fairly easy process to complete. It requires making an appointment with a licensed evaluator prior to listing your home. They come out and evaluate your home, it typically takes less than an hour but there is a cost involved for the home owner, prior to this change the cost of this inspection at Structure Tech, a company in Minneapolis that performs these types of inspections was $200 going forward the cost will be $300.

After you’ve scheduled your appointment an evaluator comes to the home, evaluates the property and files a report. A full list of what they evaluate can be found on the City of Minneapolis’s website. A copy of the report is required to be at the property while it’s for sale so potential buyers can see it. A copy is also given to the buyer at closing. If there are any required repairs they need to be taken care of and completed prior to the sale or the buyer has to accept responsibility for the repairs. If the buyer accepts responsibility these repairs need to be completed within 90 days of closing.

Going forward in addition to the normal list of things they evaluate they will be evaluating 4 key area’s and giving your home an Energy Score. The 4 areas are; attic insulation, wall insulation, single pane windows without storms and the heating system. But unlike the rest of the Truth in Housing report, there will be no required repairs related to the energy disclosure. The primary goal of the report will be to educate home owners and potential buyers on the energy costs related to the home.

To test wall insulation the TISH evaluator will drill a small 2″ hole in your wall to determine the amount of insulation in the walls. This will only happen if your home was built prior to 1980 – which is 90% of the housing stock in the City of Minneapolis. The TISH evaluator will find a discreet location that has an exterior facing wall, typically in a closet. A colleague recently had this done and had them do it behind the stove. Once the inspection is complete, the hole will be sealed with a plastic cap.

The new Energy Disclosure report was adopted by the City of Minneapolis in an effort to make home buyers and renters more aware of their potential energy costs before they buy or rent a home. The City of Minneapolis hopes that sharing this information will help the city reach its goal to reduce greenhouse gas emissions 80 percent by 2050 by inspiring home owners and landlords to make the necessary changes to be more energy efficient.