Leasing License Practice Exam

Asbestos is typically considered an example of a?

1. material defect

2. latent defect

3. stigma defect

4. legal defect

The correct answer is: latent defect

Asbestos is characterized as a latent defect because it may not be readily apparent or visible when inspecting a property. Latent defects are issues that exist but cannot be easily discovered through a typical inspection or casual observation. In the case of asbestos, it could be present in various building materials such as insulation, floor tiles, or roofing materials without being seen or detected unless specific testing is conducted. This makes it crucial for property owners and prospective buyers to conduct thorough inspections to uncover such hidden issues, as their implications can be significant, particularly in terms of health hazards and safety concerns. Understanding this aspect of latent defects informs how real estate transactions and leases are managed, especially concerning disclosures and liability for property conditions.