Environmental

A Florida seller received an insurance payout for sinkhole damage 3 years ago. Must the seller disclose this to a buyer?

ANo, since it was repaired
BYes — Florida law requires disclosure of any previous sinkhole activity or insurance claims✓ Correct
COnly if the buyer asks
DOnly if the damage exceeded $10,000

Explanation

Florida law requires sellers to disclose previous sinkhole activity, sinkhole insurance claims, and any sinkhole remediation — even if repairs have been made. Past sinkhole history is a material fact affecting value and buyer decision-making.

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