A corporate seller acquired a residential property through foreclosure and has never inspected the interior. The property manager recommends completing an Affidavit of Disclosure. What is the most important factor the corporate seller should consider?
Correct Answer
C) Whether they have any actual knowledge of material facts about the property condition
The determining factor for choosing between SPDS and Affidavit is whether the seller has actual knowledge of material facts affecting the property, regardless of the seller's corporate status or acquisition method. Option A is incorrect as insurance considerations don't determine disclosure method. Option B is wrong because cost should not drive the disclosure decision - it must be based on knowledge of material facts. Option D is incorrect as the agent's preference is irrelevant to the legal requirement for appropriate disclosure.
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