When an agent shows a property and points out a water stain on the ceiling, what duty is being performed?

The act of pointing out a water stain on the ceiling when showing a property is a clear demonstration of the duty of disclosure. This duty requires real estate agents to inform their clients and potential buyers about any known defects or issues related to the property. By highlighting the water stain, the agent is providing vital information that could impact a buyer's decision, illustrating transparency and responsible conduct in the transaction process.

Disclosure is important in maintaining trust and fostering informed decisions in real estate dealings. It is the agent's responsibility to disclose any material facts that could influence a buyer’s choice, ensuring that all parties are aware of the property's condition. In this scenario, the water stain could indicate underlying issues such as plumbing leaks or roofing problems, which are critical for the buyer to consider.