Maine Real Estate License Practice Exam

During a buyer's home inspection, if the well is found to be dry, what action should you take as the seller's representative?

1. Call a licensed well contractor

2. Update the property disclosure

3. Release escrow deposits to the buyer

4. Contact legal counsel

The correct answer is: Update the property disclosure

If a well is found to be dry during a buyer's home inspection, the appropriate action for a seller's representative is to update the property disclosure. The property disclosure is a crucial document that provides buyers with information regarding the condition of the property, including the water supply. When significant issues, such as a dry well, are discovered, it is essential to promptly disclose this information to ensure that potential buyers are fully informed about the property's condition. Updating the property disclosure promotes transparency in the transaction and helps prevent any future misunderstandings or legal issues that could arise from not disclosing known problems. This action also builds trust between the seller and potential buyers, illustrating a willingness to be honest about the property's condition. While contacting a licensed well contractor could be a necessary step to remedying the situation, it is primarily the responsibility of the seller or the seller's agent to ensure that full disclosure is maintained. Thus, addressing the issue through the property disclosure is the most direct and immediate action that reflects ethical practices in real estate transactions.