Environmental
A Kentucky homebuyer who discovers undisclosed asbestos pipe insulation after closing may have a claim against the seller for:
ANo action; asbestos is not a real estate defect
BFraudulent or negligent misrepresentation for failure to disclose a known material defect✓ Correct
COnly the cost of asbestos testing
DA KREC-mediated settlement only
Explanation
Undisclosed asbestos is a material defect. If the seller knew about it and failed to disclose it, the buyer may have a claim for fraudulent or negligent misrepresentation.
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Key Terms to Know
Lien
A financial claim against a property that serves as security for a debt or obligation, giving the creditor the right to foreclose if unpaid.
Title InsuranceInsurance protecting against financial loss from defects in a property's title that existed before closing but were unknown at the time of purchase.
ZoningLocal government regulations that control land use by dividing areas into zones specifying permitted uses, building sizes, and densities.
VarianceOfficial permission to use land in a way that does not conform to the applicable zoning ordinance, granted by a zoning board when strict enforcement would cause undue hardship.
Math Concepts
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