Mississippi License Law

A Mississippi real estate licensee discovers, during a property showing, that the property has significant undisclosed water damage. The licensee should:

AContinue showing and say nothing since the seller hasn't authorized disclosure
BDisclose the water damage to the buyer, as it is a material fact that must be disclosed regardless of client instructions✓ Correct
CReport only to MREC without disclosing to the buyer
DStop showing all properties with undisclosed defects

Explanation

Mississippi licensees have an affirmative duty to disclose known material facts to all parties, including facts the seller may not have authorized disclosing. Significant water damage is a material defect. The duty to disclose material facts to prospective buyers overrides confidentiality obligations regarding property condition.

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