EnvironmentalIntermediateCalifornia Exam

A buyer's agent notices what appears to be efflorescence (white mineral deposits) on the basement walls of a property. The agent should:

ADisclose the observation to the buyer and recommend further inspectionCorrect
BAssume it is harmless and say nothing
CReport it to the city health department
DRequire the seller to fix it before the inspection contingency is removed

Why Disclose the observation to the buyer and recommend further inspection Is Correct

Answer A: Disclose the observation to the buyer and recommend further inspection

Efflorescence can indicate water infiltration through foundation walls, which may lead to moisture problems, mold, or structural issues. An agent who observes this condition has a duty to disclose it to the buyer and recommend an expert inspection — agents should never diagnose or dismiss potentially material conditions.

Exam Tip: Environmental

Environmental questions test knowledge of hazards like asbestos, lead-based paint, radon, and mold. Know the disclosure requirements and when a professional inspection is required. CERCLA liability is strict, joint, and several.

Key Environmental Terms in This Question

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