What type of property information is a licensee not required to disclose?

A licensee is not required to disclose information about stigmatized property, which refers to properties associated with negative events or conditions that may affect the perception of the property but do not affect its physical condition. This can include properties where a crime occurred, properties that are believed to be haunted, or homes where a murder took place. The rationale behind this is to protect the seller’s privacy and not deter potential buyers based solely on the stigma attached to the property, especially if such factors do not impact its legality, visibility, or physical state.

In contrast, investment property, commercial property, and residential property generally come with various disclosure requirements, as these types of properties can harbor issues that relate directly to their marketability or safety, such as structural integrity, zoning regulations, or environmental hazards.