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OFFICIAL MAGAZINE OF THE NATIONAL ASSOCIATION OF REALTORS®
| SALES MEETING TOOL KIT: PROPERTY DISCLOSURE | |||
![]() Component 1: Facilitator Talking Points Component 2: Property Disclosure Agenda Component 3: Handout 1, What Is Liability Component 4: Activity 1, Recognizing Improper Disclosure Component 5: Activity 1, Explanations for Disclosure Scenarios Component 6: Handout 2, Tips for Reducing Your Risks Component 7. Handout 3, Disclosure Primer and Your Company’s Property Disclosure Form Component 8: Activity 2, Identifying Defect Red Flags Component 9: Activity 2, Answers to Red Flags Component 10: Activity 3: Lead Out Quiz Component 11: Activity 3, Answers to Lead Quiz Component 12: Handout 4, A summary of your state’s disclosure requirements under Megan’s Law Other Resources | Component 3: Handout 1, What Is Liability? Active Fraud: Incomplete or false statements purposely meant to conceal information. You lied on purpose. Passive Fraud: Knowingly failing to disclose a defect about which you had actual knowledge. You didn’t tell the whole truth. You lied by omission. Negligent Misrepresentation: Making a false statement because you failed to act with reasonable care to determine whether or not something is true or were not careful enough in communicating the information you have. Negligence: Failing to take reasonable care in discovering and disclosing information about the property. No one expects you to know everything about a house. Real estate professionals aren’t expected to know about “latent defects,” defects that aren’t apparent without in-depth inspection. But you should be knowledgeable enough as a real estate professional to recognize common property defects that are visible to the naked eye. Component 4, Property Disclosure > Note: This information provides general legal information and should not be relied upon as legal guidance. Before acting, both the relevant laws and legal counsel should be consulted. This information should not be construed as specific legal advice nor as an opinion on particular facts, cases, or situations. |