In real estate, what is a material fact?

A material fact in real estate refers to any information that could influence a buyer's decision regarding a property. This can include aspects such as the condition of the property, zoning regulations, environmental hazards, or any legal issues that could affect ownership. Material facts are critical because they help buyers make informed decisions. When a seller is aware of something that could significantly impact the buyer's choice but does not disclose it, they may face legal repercussions.

The other choices represent different types of information that may be relevant in a real estate transaction but do not meet the criteria of a material fact. For example, a fact about a property's appearance may be subjective and not affect the fundamental aspects of the transaction. A fact known only to the seller may not be significant if it does not influence the buyer's decision-making process at the time of the purchase. Lastly, a general market trend, while useful for understanding the broader context of real estate values, is not specific to the individual transaction and does not directly impact a buyer's decision regarding a specific property.