Oregon 30-Hour Real Estate Law Practice Test

If there are potential environmental issues with a property, what should the seller do?

1. Ignore the concerns

2. Ask questions and disclose known issues

3. Sell the property as-is without disclosure

4. Only disclose issues if legally required

The correct answer is: Ask questions and disclose known issues

The most appropriate action for a seller in the presence of potential environmental issues with a property is to ask questions and disclose known issues. This approach is consistent with the ethical and legal obligations that sellers have to provide transparent information to potential buyers. By inquiring about environmental concerns and actively disclosing any known issues, the seller fosters a relationship of trust and reduces the risk of future legal disputes over non-disclosure. In many jurisdictions, including Oregon, property sellers are required to disclose material facts that could affect a buyer's decision, particularly when it comes to environmental hazards that could impact health or safety. Neglecting to disclose these issues could not only lead to significant financial and legal repercussions for the seller but also jeopardize buyer safety and investment. This proactive disclosure method helps ensure all parties are informed and can make educated decisions regarding the property. It also aligns with the principles of fair dealing and integrity in real estate transactions, which are essential for maintaining a reputable business practice in the real estate industry.