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Alberta Real Estate Licensing Exam Practice · Question

A real estate professional must disclose to a prospective buyer all 'material latent defects' known about a property. What is a material latent defect?

Material latent defects are hidden, serious flaws that affect a property's usability and must be disclosed.

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Question: A real estate professional must disclose to a prospective buyer all 'material latent defects' known about a property. What is a material latent defect?

Answer options: ✅ A hidden defect that would not be discovered by a reasonable inspection and renders the property dangerous or unfit for habitation.

  • Any visible defect that can be easily identified during a property viewing.
  • A minor structural issue that does not affect the property's value.
  • A defect that the seller has agreed to repair before closing.

Correct answer: A hidden defect that would not be discovered by a reasonable inspection and renders the property dangerous or unfit for habitation.

Explanation: Material latent defects are hidden, serious flaws that affect a property's usability and must be disclosed.

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