Environmental
In Arizona, naturally occurring expansive soils (adobe-like soils that expand when wet) can affect real estate by:
ACreating toxic hazards requiring ADEQ remediation
BCausing foundation movement, cracking, and structural damage—a material condition requiring disclosure✓ Correct
CIncreasing property values by improving soil stability
DHaving no significant impact on residential construction
Explanation
Expansive soils are a significant construction and maintenance issue in parts of Arizona. When wet, they swell; when dry, they shrink. This movement can crack foundations, walls, and pavement. Sellers should disclose known issues.
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