On April 2, 2025, the Connecticut State Legislature introduced House Bill 7078, aimed at addressing the pressing issue of crumbling foundations in residential properties. This legislation seeks to enhance transparency in real estate transactions by mandating sellers to disclose specific information regarding the condition of concrete foundations, particularly those affected by pyrrhotite, a mineral linked to structural deterioration.

The bill outlines key provisions requiring sellers to provide a "Residential Foundation Condition Report" that details the presence of pyrrhotite, any damage or deterioration in the foundation, and any repairs or remediation efforts undertaken. This report is to be completed by the seller based on their knowledge, without the need for professional inspections, thereby streamlining the process for both sellers and buyers.

Notably, the bill targets municipalities identified by the Capitol Region Council of Governments as being affected or potentially affected by crumbling foundations. This focus aims to protect homeowners from the financial burdens associated with undisclosed foundation issues, which have become a significant concern in Connecticut.

During discussions surrounding the bill, lawmakers debated the balance between consumer protection and the potential burden on sellers. Some legislators expressed concerns that the requirement for disclosure could deter potential buyers or complicate the selling process. However, proponents argue that increased transparency will ultimately benefit the housing market by fostering trust and ensuring that buyers are fully informed about the properties they are considering.

The implications of House Bill 7078 extend beyond individual transactions; it reflects a broader commitment to addressing public safety and property value concerns linked to crumbling foundations. Experts suggest that by enforcing these disclosure requirements, the state can mitigate the long-term economic impact of foundation issues on homeowners and the real estate market.

As the bill progresses through the legislative process, its potential to reshape real estate practices in Connecticut remains a focal point of discussion. Stakeholders are closely monitoring developments, anticipating that the final version of the bill will incorporate feedback from various interest groups while maintaining its core objective of safeguarding homeowners.