Contracts
Which of the following is considered a 'material fact' that must be disclosed in a Texas real estate transaction?
AThe seller's personal reasons for moving
BThe race or ethnicity of the neighbors
CThat the property was previously used as a methamphetamine lab✓ Correct
DThe seller's asking price history
Explanation
A property's history of methamphetamine production is a material fact that must be disclosed because it could present health and safety hazards and significantly affect the buyer's decision to purchase. Disclosing neighbor demographics would be a Fair Housing violation.
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