What must be disclosed to buyers regarding a property's condition?

The correct response focuses on the requirement to disclose all known material defects to buyers concerning a property's condition. In real estate transactions, material defects are issues that affect the value or desirability of the property. This can include structural issues, pest infestations, or any other significant problems that the seller is aware of and that could influence a buyer’s decision.

Disclosing these material defects is essential because it upholds the legal obligations of the seller and maintains transparency in the transaction. Buyers have the right to know about any significant problems with the property that could affect their investment, and failing to disclose such defects can lead to legal repercussions for the seller.

While appraisal results may be relevant in understanding a property's value, they do not inform the buyer about its physical condition. Previous owner's financial records do not pertain to the property's physical state and are not relevant to buyers concerning the condition of the home. Lastly, rental history, while informative for investment considerations, does not provide insight into any existing issues with the property itself that could impact the buyer's enjoyment or the property's longevity. Therefore, disclosing material defects is paramount in ensuring an ethical and legally compliant real estate transaction.