Can you imagine buying a $1 million home, only to discover that it requires tens of thousands of dollars worth of termite control treatments? Home sellers are required by law to disclose defects related to the properties they sell. Failing to do so could leave the home seller liable for the cost of repairs later incurred by the purchases of the property.
State laws in Colorado require home sellers to reveal all material defects to prospective purchasers of their properties. For a home defect to be "material," it must be such that -- had the homebuyer known about the flaw before agreeing to purchase the property -- the homebuyer would have reconsidered whether to make the purchase.