What is required from real estate agents concerning property defects known to them?

Study for the New York Real Estate Institute (NYREI) Exam. Get ahead with flashcards and multiple choice questions, each accompanied by hints and explanations. Equip yourself with the knowledge to pass your exam confidently!

Real estate agents are legally and ethically obligated to disclose any known defects of a property to potential buyers. This requirement is grounded in the principle of transparency and fairness, ensuring that buyers are fully informed about the condition of a property they may be interested in purchasing. Failing to disclose such defects can lead to significant legal consequences for agents, including liability for misrepresentation or fraud.

This obligation also serves to protect the interests of buyers, allowing them to make informed decisions based on the complete picture of the property's condition. By disclosing known defects, agents foster trust in the transaction process, which is crucial for maintaining professional integrity in the field of real estate.

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