What obligation does a seller have concerning material defects in a property?

The correct answer highlights the seller's duty to disclose known defects that could significantly affect the property's value or pose safety concerns for the buyer. In California, the law requires sellers to provide full and honest disclosure regarding any material defects, which are defined as issues that could influence a buyer's decision or the property’s market price. This obligation stems from the principle of good faith in real estate transactions, ensuring that buyers have all necessary information to make informed decisions.

When a seller is aware of defects—whether they are structural issues, plumbing problems, or pest infestations—they must communicate this information to potential buyers. This transparency fosters trust and maintains the integrity of the real estate market. Failure to disclose such information can lead to legal repercussions for the seller, including potential lawsuits for fraud or misrepresentation.

The other choices do not align with the legal expectations of sellers. For example, it is not a requirement for sellers to repair all defects before listing the property, nor is it sufficient to inform buyers only about major issues, as all known material defects must be disclosed. Furthermore, sellers cannot ignore hidden defects; while they may not have to disclose defects unknown to them, any known issues must be communicated to the buyer.