A buyer discovers after closing that the seller's agent knew about termite damage in the crawl space but did not disclose it. The buyer sues the agent. What legal basis supports the buyer's claim?
Correct Answer
B) The agent failed to disclose a known material fact
Agents have a duty to disclose known material facts. Termite damage in a crawl space is a material fact, and the agent's knowledge plus failure to disclose creates liability.
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What is the primary purpose of the Loan Estimate form under TRID?
The Closing Disclosure must be provided to the borrower at least three business days before closing. If the closing is scheduled for Friday, and Saturdays and Sundays are not business days for this lender, when is the latest the borrower can receive the Closing Disclosure?
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- → What is the 'Annual Percentage Rate' (APR) as disclosed on the Loan Estimate and Closing Disclosure?
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- → Under TRID, all of the following are included on Page 1 of the Loan Estimate EXCEPT.
- → Under TRID, all of the following pieces of information trigger the lender's obligation to provide a Loan Estimate EXCEPT.
- → A borrower wants to waive the three-business-day waiting period after receiving the Closing Disclosure because an emergency requires the borrower to move into the property immediately. Under TRID, can the borrower waive the waiting period?
- → A real estate agent is explaining TRID disclosures to a buyer. All of the following are on the Closing Disclosure EXCEPT.
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- → The Closing Disclosure includes an 'Other Costs' section. A borrower notices a charge for a home inspection that the borrower ordered independently. Who is responsible for this cost?
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- → A borrower receives a Loan Estimate and notices that the estimated title insurance fee is $1,200. At closing, the Closing Disclosure shows the title insurance fee is $1,400. The borrower was allowed to shop for title insurance from a list provided by the lender. Under TRID tolerance rules, is this increase permissible?
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A seller discloses on the property disclosure form that the basement has had water intrusion in the past and shows the buyer the waterproofing system that was installed. What disclosure principle has the seller followed?
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