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AgencyMaterial Fact DisclosureEASY

A South Dakota seller's agent discovers that the property has a cracked foundation. The agent must:

Correct Answer

A) Disclose this to the buyer as a material fact

Material defects that affect the value or desirability of a property must be disclosed to all parties, regardless of the agency relationship. A cracked foundation is a material fact that the agent is legally obligated to disclose.

Answer Options
A
Disclose this to the buyer as a material fact
B
Keep it confidential because they represent the seller
C
Only disclose if the buyer specifically asks
D
Refer the buyer to a home inspector

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Related Topics & Key Terms

Related Topics:

material-factsdisclosure-vs-confidentialityseller-liabilityproperty-condition

Key Terms:

material defectcracked foundationdisclosure dutyall partiesproperty condition
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