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An Ohio listing agent photographs a home and discovers significant water damage in the basement that is not visible from the main living areas. The agent's online listing photos do not show the basement. When a potential buyer asks about the property's condition, the agent should:

Correct Answer

D) Proactively disclose known material defects, including the water damage, to all potential buyers

Under Ohio law, agents have a duty to disclose known material defects to all potential buyers. Water damage in the basement is a material defect that affects the property's value and desirability. Failing to disclose constitutes misrepresentation by omission under ORC §4735.18.

Answer Options
A
Only disclose the water damage if the buyer asks specifically about the basement
B
Refer the buyer to the property disclosure form and provide no additional information
C
Advise the seller to fix the damage before showing the property and say nothing
D
Proactively disclose known material defects, including the water damage, to all potential buyers

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Related Topics & Key Terms

Key Terms:

material_defectdisclosure_dutywater_damagemisrepresentation
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