Humber/Ontario Real Estate Course 2 Exam Practice

What must be disclosed to seller customers when dealing with material facts?

1. Any facts the salesperson has been informed of by the buyer

2. All known or reasonably ascertainable material facts

3. Facts that may require additional investigation

4. General information readily available in public records

5. Only positive aspects about the property

6. Unfavorable facts that the customer specifies

The correct answer is: All known or reasonably ascertainable material facts

When dealing with material facts, real estate professionals in Ontario are required to disclose all known or reasonably ascertainable material facts to seller customers. This means that they must disclose any information that could potentially affect a decision to buy or sell a property. It is crucial for the salesperson to provide all significant details about the property, even if it might not be favorable, to ensure transparency and uphold ethical standards in the real estate transaction process. Option A is not the correct choice because the obligation to disclose material facts goes beyond information provided by the buyer. Option C is not the correct choice because simply stating that additional investigation is needed does not fulfill the obligation to disclose material facts. Option D is not the correct choice because general information available in public records may not encompass all material facts about a property. Option E is not the correct choice because only highlighting positive aspects would be misleading and not in compliance with disclosure requirements. Option F is not the correct choice because the disclosure of material facts should not be limited to only the unfavorable facts specified by the customer.