If an agent fails to disclose obvious problems like crumbling wallboard, what could they potentially be guilty of?

When an agent fails to disclose obvious problems, such as crumbling wallboard, they could be guilty of negligent misrepresentation. This concept involves providing false information or omitting necessary information without malice but with a lack of reasonable care. In real estate, agents have a duty to disclose known issues that could affect a buyer's decision-making process.

Negligent misrepresentation occurs when the agent does not take the proper steps to ensure that the information they convey about a property is true and complete. Since the issues with the wallboard are apparent, the agent has a responsibility to either fix or disclose this defect. Failing to do so could be seen as neglecting this duty, which is the essence of negligent misrepresentation.

On the other hand, intentional misrepresentation would imply a purposeful effort to deceive, which does not apply here since the context is about failure to disclose obvious problems rather than knowingly providing false information. Counterclaiming the buyer does not pertain to the agent's responsibility to disclose information appropriately, and being vulnerable to low-cost repairs focuses more on the property condition rather than the agent's duty to disclose issues. Thus, negligent misrepresentation is the most accurate characterization of the agent's failure to disclose the crumbling wallboard.