In the context of real property, what does a failure to disclose defects often lead to?

A failure to disclose defects in real property often leads to legal action for nondisclosure or fraud. This is because sellers have a legal obligation to inform potential buyers about known defects that could affect the property's value or desirability. Failure to disclose such defects can result in the buyer feeling misled or deceived, which may prompt them to seek legal recourse. This legal action can take the form of lawsuits for breach of contract, misrepresentation, or fraud, depending on the circumstances.

Sellers who omit critical information about a property may face significant consequences, including monetary damages and, in some instances, punitive damages if the nondisclosure is deemed willful or egregious. This legal principle protects buyers and encourages transparency in real estate transactions. Other outcomes, such as increased buyer interest, higher rental rates, or quick sales, are unlikely in cases where defects are hidden or not disclosed, as they typically lead to distrust and skepticism about the property's condition.