A South Dakota agent is aware that a property is in a flood zone. The agent must:
Correct Answer
B) Disclose this to all prospective buyers as a material fact
Flood zone status is a material fact that must be disclosed to all prospective buyers. Properties in flood zones may require flood insurance and face increased risk. This disclosure obligation applies regardless of which party the agent represents.
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A buyer asks a Georgia licensee to interpret a FEMA flood zone map and determine whether the property is at risk of flooding. The licensee has no specialized training in flood mapping or hydrology. How should the licensee handle this request?
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- → A buyer's agent is aware that a property sits in a FEMA-designated flood zone based on publicly available flood maps. The seller's disclosure form does not mention flooding. When the buyer asks the agent about potential flood risk, which approach best reflects the licensee's duty under Georgia law?
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