Agency
In Hawaii, a buyer's agent who discovers that the property has an unpermitted addition must:
AKeep this information confidential to protect the seller
BDisclose this material fact to the buyer✓ Correct
COnly disclose if the buyer specifically asks
DDisclose only if the unpermitted work affects safety
Explanation
An unpermitted addition is a material fact that could affect the buyer's decision. A buyer's agent must disclose all known material facts to their client, including the existence of unpermitted work.
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Key Terms to Know
Listing Agreement
A contract between a property owner and a real estate broker that authorizes the broker to market and sell the property.
AgencyA legal relationship in which a licensee (agent) acts on behalf of a principal (buyer or seller) in a real estate transaction.
Dual AgencyA situation where a single real estate agent or brokerage represents both the buyer and the seller in the same transaction.
Fiduciary DutyThe highest legal duty an agent owes to a principal — requiring the agent to act in the principal's best interest above all others.
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