Sandra is selling her home in Flint, Michigan. During the listing process, her agent discovers through a public records search that the property is located within a designated environmental contamination zone under Michigan's Part 201 cleanup program. Sandra claims she was unaware of this designation and wants to omit it from the Seller's Disclosure Statement. What should the listing agent advise Sandra to do?
Correct Answer
D) Disclose the contamination zone designation on the Seller's Disclosure Statement, as it is a known material fact that must be disclosed to prospective buyers.
Once the agent has discovered through public records that the property is within a Part 201 contamination zone under NREPA (MCL 324.20101 et seq.), this information becomes a known material fact. The Michigan Seller Disclosure Act (MCL 565.957) requires disclosure of known environmental hazards and material conditions. Additionally, the listing agent's own duty under MCL 339.2512 requires disclosure of known material facts. Sandra should be advised to include this information on the Seller's Disclosure Statement.
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More Mandated Disclosures Questions
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 discovers that a listed property contains an in-law suite that was built without permits and generates rental income for the seller. The agent also determines that the local zoning ordinance prohibits accessory dwelling units used as rental units in this residential zone. What are the buyer's agent's disclosure obligations?
A Georgia licensee representing the seller knows that the property experienced repeated sewage backups causing damage to the lower level. The seller instructs the licensee not to volunteer this information, arguing that the buyer can discover it through inspections. Under Georgia law, how should the licensee handle this situation?
Buyer's agent Tom learns from a neighbor that the property his client wants to purchase was the site of a suicide two years ago. The seller has not disclosed this information. What are Tom's obligations under Georgia law?
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- → 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?
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- → Seller Mike believes that failing to disclose a death on his property could result in the buyer suing him later. His agent tells him that Georgia law requires disclosure of all deaths to avoid future liability. Is this advice correct?
- → A buyer asks a Georgia licensee whether any registered sex offenders live near a property listed for sale. Under O.C.G.A. § 44-1-16, how should the licensee handle this inquiry?