Washington’s New Flood Disclosure Law: A Due-Diligence Checklist for Rental Investors

What Washington SB 6237 Changes

SB 6237 amended RCW 59.18.060, which outlines landlord duties under Washington’s Residential Landlord-Tenant Act.

The bill became Chapter 234, Laws of 2026, after passing both chambers of the Legislature and receiving the Governor’s signature. The official Washington Legislature bill summary lists the final status as “C 234 L 26,” with a general effective date of June 11, 2026.

But there are two dates investors must keep separate:

• General effective date: June 11, 2026
• Flood-disclosure applicability date: Leases entered into after December 31, 2026

The flood disclosure does not apply simply because the law became effective in June. The specific disclosure duty applies to leases entered into after the December 31 cutoff.

The final session-law text adds the flood disclosure requirements to RCW 59.18.060(13).

What the Flood Disclosure Must Address

For covered leases entered into after December 31, 2026, landlords must disclose to tenants in writing:

1. That the property may be located in a special flood hazard area or an area of potential flooding.
2. That the landlord’s insurance does not cover the loss of the tenant’s personal possessions.
3. That the tenant should consider purchasing renter’s insurance and flood insurance for possessions lost through fire, flood, or another covered risk.
4. That information about hazards affecting the property: including possible flood risk: is available from the county government where the property is located.

This disclosure is about communicating risk and insurance limitations. It does not change an insurance policy, guarantee that a tenant can obtain coverage, or require a particular insurer to write a policy.

Landlords should also avoid presenting the disclosure as a promise that a property is safe from flooding. Flood risk can vary based on mapped zones, drainage, topography, development, weather events, and site-specific conditions.

When Should Landlords Deliver It?

The enacted flood provision says the disclosure applies to leases entered into after December 31, 2026. It does not use the same separate “at the time the lease is signed” wording found in nearby fire-safety and mold provisions.

For practical compliance, treat the flood disclosure as a lease-start requirement:

• Include it directly in the lease; or
• Use a written flood-risk addendum delivered before or at lease signing.
• Give the tenant a copy.
• Retain proof of delivery with the executed lease file.

Do not build a workflow around handing the notice over weeks after move-in. If you manage renewals, month-to-month arrangements, oral rental agreements, or unusual occupancy structures, ask Washington counsel how the statute applies before relying on a standard process.

The Governor’s housing legislation announcement also identifies SB 6237 as a law requiring landlords to disclose flood risk to tenants.

Do Not Confuse Flood Disclosure With Other Notices

Washington landlords already manage several different disclosure and safety obligations. SB 6237’s flood provision is separate from nearby requirements in RCW 59.18.060.

Fire-safety information

The fire-safety notice addresses items such as:

• Smoke detection devices
• Whether devices are hard-wired or battery-operated
• Fire sprinklers
• Fire alarm systems
• Smoking policies
• Emergency notification plans
• Emergency relocation plans
• Emergency evacuation plans

For multifamily buildings, the fire-safety checklist may include an evacuation-route diagram.

Mold information

Landlords must also provide tenants with information approved or provided by the Washington Department of Health about indoor mold hazards and ways to control mold growth.

Flood information

The flood disclosure focuses on potential flood risk, landlord insurance limitations, tenant insurance considerations, and county hazard information.

A single tenant onboarding packet may contain all of these documents, but combining them does not eliminate the need to make sure each required item is complete, current, and delivered through the correct process.

Investor Due-Diligence Checklist

Flood risk belongs in the property-level underwriting process: not in the “we’ll figure it out after closing” folder.

Use this checklist when evaluating an acquisition, BRRRR project, rental rehab, or multifamily purchase.

1. Locate FEMA and county information

Review available FEMA and community flood information for the property.

Also contact or research the county government where the property is located. The new law specifically points tenants toward county hazard information, making county resources useful for both disclosure preparation and acquisition diligence.

Check for:

• Special flood hazard area status
• Areas of potential flooding
• Local floodplain maps
• Critical drainage areas
• Stormwater information
• Elevation certificates, if available
• Local permitting or mitigation requirements

A map is a starting point, not a complete property inspection.

2. Review prior flood and water-intrusion history

Ask the seller, property manager, insurance broker, and appropriate local sources about known water events.

Look for evidence of:

• Prior flooding
• Basement or crawlspace water
• Repeated sump-pump activity
• Roof or plumbing leaks
• Standing water near the foundation
• Drainage complaints
• Mold remediation
• Insurance claims
• Replaced flooring or drywall in lower areas

Document what you learn. A vague answer today becomes a very expensive surprise later if nobody writes it down.

3. Obtain insurance quotes before final underwriting

Do not assume the current owner’s premium will carry over to your investment plan.

Request current quotes for:

• Landlord or dwelling coverage
• Flood coverage, where appropriate
• Liability coverage
• Loss-of-rents coverage
• Ordinance or law coverage
• Water backup coverage
• Umbrella coverage, if applicable

Ask what is excluded, what deductibles apply, and whether the policy covers the building, rental income, contents, or only specific perils.

Remember: landlord insurance generally does not insure a tenant’s personal possessions. Tenants should evaluate renter’s and flood insurance with their own insurance professionals.

4. Inspect drainage, elevation, and site conditions

Walk the property after rain when possible. Review:

• Roof drainage
• Gutters and downspouts
• Grading around the foundation
• Retaining walls
• Driveway slope
• Crawlspaces and basements
• French drains and sump pumps
• Nearby creeks, ditches, or low areas
• Signs of settlement or erosion

For a rehab, include drainage and water-management work in the scope: not just the cosmetic items that photograph well for the listing.

5. Update lease forms and onboarding

Before January 1, 2027, coordinate with counsel and your property manager to update:

• Lease templates
• Flood-risk addenda
• Digital signing workflows
• Tenant welcome packets
• Renewal procedures
• Multifamily onboarding checklists
• Translation or accessibility processes, when needed

Make sure the disclosure is tied to the correct property and lease: not uploaded as a generic attachment that could be separated from the tenant file.

6. Train managers and leasing staff

Your leasing team should know:

• Which leases require the disclosure
• When the disclosure must be delivered
• Where the signed copy is stored
• How to explain insurance limitations without giving insurance advice
• How to direct tenants to county hazard information
• Which questions should be escalated to management or counsel

A disclosure process is only as strong as the person clicking “send.”

7. Document delivery

Keep a record of:

• The disclosure version used
• The property address
• The lease execution date
• The date and method of delivery
• Tenant acknowledgment or signature, where used
• The final executed lease packet

Good records help you demonstrate what was provided and when. They also make future management transitions far less painful.

8. Budget for mitigation, reserves, and vacancy

Flood risk can affect more than the lease file. It can influence:

• Insurance premiums and deductibles
• Repair costs
• Capital reserves
• Tenant demand
• Vacancy assumptions
• Financing terms
• Refinance timing
• Resale appeal

Underwrite a realistic reserve for drainage improvements, water mitigation, repairs, and downtime. If a project needs flood-resistant materials, elevation work, pumps, grading, or other improvements, include those costs before you decide the property “pencils.”

How Flood Risk Fits Intrust Funding Underwriting

At Intrust Funding, we look at flood risk as part of the property-level deal: not as a reason to bury your head in the spreadsheet.

That matters for:

• Buy-and-hold acquisitions
• BRRRR projects
• Rental rehabs
• Multifamily properties
• Properties with basements or crawlspaces
• Value-add projects near water or low-lying areas

Intrust Funding offers two primary loan options for Washington investors:

• Standard Loans: Property acquisition with 15–20% down at 12% annual interest.
• Rehab Loans: Acquisition and renovation financing with the same 15–20% down and 12% annual interest structure.

For qualified deals, funding can happen in as little as 48 hours. There are no inspections or appraisals required for the loan process, first draws may be available at closing, and underwriting happens in-house with no income verification.

For renovation draws, only 10–15 progress photos are required: no third-party draw inspections: so work can keep moving.

You can request a complimentary deal analysis before committing to a purchase. We’ll review the address, purchase price, estimated rehab, holding period, and projected after-repair value.

For more on using reliable capital to move quickly, read “Speed Matters: Why a 48-Hour Close Is Your Best Weapon Against Seattle’s Rising Rates”.

And if you are comparing a financed purchase with a cash-ready strategy, review our guide for cash buyers in Washington real estate.

Financing terms and approval vary by transaction. Fast funding does not remove an investor’s legal disclosure duties, and lender underwriting does not replace insurance, legal, construction, or tax advice.

The Bottom Line for Washington Rental Investors

SB 6237 gives landlords time to prepare: but not a reason to wait until the first lease is sitting on the signing table.

Before January 1, 2027:

• Review the property’s flood and hazard information.
• Confirm insurance options and exclusions.
• Inspect drainage and site conditions.
• Update lease and onboarding systems.
• Train your property-management team.
• Create a reliable delivery and recordkeeping process.
• Revisit reserves, premiums, vacancy, financing, and resale assumptions.

Flood disclosure is one compliance step. Flood-risk diligence is a complete investment habit.

Legal disclaimer: This article is for general educational purposes only and is not legal, insurance, financial, tax, or investment advice. It does not create an attorney-client relationship. Laws, local requirements, insurance policies, and lender terms can change. Review the enacted Chapter 234 session law, confirm current requirements with qualified Washington legal counsel, and consult licensed insurance and real estate professionals before relying on this information.