                                 CODE OF VIRGINIA

EXEMPTIONS (§ 55.1-702)

A. The following are specifically excluded from the provisions of this chapter:

   1. Transfers pursuant to court order including transfers ordered by a court in
   administration of an estate, transfers pursuant to a writ of execution,
   transfers by foreclosure sale or by a deed in lieu of a foreclosure, transfers
   by a trustee in bankruptcy, transfers by eminent domain, and transfers
   resulting from a judgment for specific performance. Also, transfers by an
   assignment for the benefit of creditors pursuant to Chapter 18.1 (&#xA7;
   8.01-525.1 et seq.) of Title 8.01 and transfers pursuant to escheats pursuant
   to Chapter 24 (&#xA7; 55.1-2400 et seq.).

   2. Transfers to a beneficiary of a deed of trust pursuant to a foreclosure
   sale or by a deed in lieu of foreclosure, or transfers by a beneficiary under
   a deed of trust who has acquired the real property at a sale conducted
   pursuant to a foreclosure sale under a deed of trust or has acquired the real
   property by a deed in lieu of foreclosure.

   3. Transfers by a fiduciary in the course of the administration of a
   decedent&#8217;s estate, guardianship, conservatorship, or trust.

   4. Transfers from one or more co-owners solely to one or more other co-owners.

   5. Transfers made solely to any combination of a spouse or one or more persons
   in the lineal line of consanguinity of one or more of the transferors.

   6. Transfers between spouses resulting from a decree of divorce or a property
   settlement stipulation pursuant to the provisions of Title 20.

   7. Transfers made by virtue of the record owner&#8217;s failure to pay any
   federal, state, or local taxes.

   8. Transfers to or from any governmental entity or public or quasi-public
   housing authority or agency.

   9. Transfers involving the first sale of a dwelling, provided that this
   exemption shall not apply to the disclosures required by &#xA7; 55.1-704.

B. Notwithstanding the provisions of subdivision A 9, the builder of a new
dwelling shall disclose in writing to the purchaser all known material defects
that would constitute a violation of any applicable building code. In addition,
for property that is located wholly or partially in any locality comprising
Planning District 15, the builder or owner, if the builder is not the owner of
the property, shall disclose in writing whether the builder or owner has any
knowledge of (i) whether mining operations have previously been conducted on the
property or (ii) the presence of abandoned mines, shafts, or pits, if any. The
disclosures required by this subsection shall be made by a builder or owner (a)
when selling a completed dwelling, before ratification of the real estate
purchase contract or (b) when selling a dwelling before or during its
construction, after issuance of a certificate of occupancy. Such disclosure
shall not abrogate any warranty or any other contractual obligations the builder
or owner may have to the purchaser. The disclosure required by this subsection
may be made on the disclosure form described in &#xA7; 55.1-703. If no defects
are known by the builder to exist, no written disclosure is required by this
subsection.

HISTORY: 1992, c. 717, § 55-518; 1993, c. 824; 1994, cc. 80, 242; 2005, c. 510;
2006, c. 706; 2007, c. 265; 2017, c. 386; 2019, c. 712.