PSI Virginia Real Estate Complete Practice Exam

A latent defect in real estate refers to a problem that is hidden and not easily discovered, making it crucial for buyers and inspectors to understand. Unlike visible issues that can be easily identified, latent defects may not manifest until after a transaction has occurred, potentially leading to significant consequences for buyers. These defects might relate to the structural integrity, safety, or function of the property and could include issues like mold behind walls, faulty electrical wiring, or plumbing problems that are not immediately apparent.

Understanding the nature of latent defects is essential in real estate transactions, as sellers are often required to disclose any known issues. Failure to disclose a latent defect can lead to legal repercussions and financial liabilities for the seller. This knowledge empowers buyers to conduct thorough inspections and due diligence before finalizing a purchase, ensuring they are fully informed about the property’s condition.