A material fact is information that is critical to understanding a situation or making an informed decision. In the context of real estate, it refers to details about a property that can influence a buyer's or seller's actions, such as structural problems, zoning changes, or environmental hazards.
Misrepresentation in real estate involves an untrue statement, whether unintentional or deliberate, affecting material facts about a property. This can lead to legal actions such as damages or rescission of the contract.
Rescission refers to the legal act of canceling or terminating a contract, most often due to issues like fraud, duress, misrepresentation, or mistake. It renders the contract void from the beginning, effectively restoring both parties to the situation they were in before the contract was made.
