What must a real estate agent disclose to a potential buyer?

The disclosure of material facts about the property that may affect buying decisions is crucial in real estate transactions. Material facts include information related to the physical condition of the property, its history, and issues that could influence the buyer's decision, such as structural defects, zoning laws, or environmental hazards. The obligation to disclose such facts stems from the agent's duty to act in the best interest of their clients and ensure they are well-informed before making a purchase.

While financial conditions of the buyer and future developments in the neighborhood might be relevant in certain contexts, they do not hold the same weight in terms of legal obligation to disclose. The agent’s personal opinion about the value of the property is subjective and therefore not a material fact. As a result, focusing on material facts helps protect both the buyer and the seller from potential disputes or claims of misrepresentation.