What is an “affirmative disclosure” in real estate transactions?

An “affirmative disclosure” in real estate transactions refers specifically to the obligation of sellers or real estate agents to inform potential buyers about any known defects or issues with a property. This concept is rooted in the idea of transparency and ethical dealings in real estate, ensuring that buyers have a complete understanding of the property they are considering purchasing.

By disclosing known defects such as structural issues, plumbing problems, or any other significant concerns, sellers help protect buyers from unforeseen expenses and legal complications post-purchase. This practice promotes trust and contributes to a fair real estate market, as buyers can make informed decisions based on full knowledge of the property's condition.

While providing market analysis, detailing financing options, and discussing neighborhood characteristics are important aspects of the buying process, they do not fall under the category of affirmative disclosure. These activities do not specifically address the seller's responsibility to disclose defects, thereby distinguishing them from the concept of affirmative disclosure in real estate.