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Mandated DisclosuresMaterial_facts_honesty_and_statutory_disclosure_boundariesMEDIUM

Buyer's agent Mark discovers through public records that the property his clients want to purchase has an active code violation for an unpermitted addition. The listing doesn't mention this violation. What should Mark do under Georgia disclosure and representation requirements?

Correct Answer

A) Inform his buyers about the violation and its potential implications for the purchase

Correct: Buyer's agents must inform their clients about material facts they discover, including code violations that could affect the property's value, use, or the transaction itself. Why not B: While this might be helpful, the primary duty is to inform his own clients immediately. Why not C: Assumptions about violation resolution could harm the buyer's interests. Why not D: Code violations vary in complexity and cost; buyers need full information to make informed decisions.

Answer Options
A
Inform his buyers about the violation and its potential implications for the purchase
B
Contact the listing agent privately to suggest they update their disclosures
C
Assume the sellers will handle the violation before closing
D
Advise his buyers to proceed since violations can typically be resolved easily

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Related Topics & Key Terms

Key Terms:

code_violationsbuyer_representationpublic_recordsunpermitted_additions

Related Concepts

The Lead-Based Paint Disclosure is a federally mandated disclosure required for all residential properties built before 1978. Sellers and landlords must disclose known lead-based paint hazards and provide the EPA pamphlet "Protect Your Family From Lead in Your Home."

A material defect is a condition that significantly affects the value, desirability, or safety of a property and that would likely influence a reasonable buyer's decision to purchase or the price they would pay.

Megan's Law requires states to make information about registered sex offenders available to the public. Some states require real estate agents to inform buyers about the availability of sex offender registries.

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