What defines a material defect in a property?

A material defect in a property is defined as any issue that affects the value or safety of that property. This definition encompasses significant problems or environmental factors that can influence a buyer's decision or the property’s market value. For instance, structural issues, system malfunctions (like plumbing or electrical problems), or hazardous materials (such as lead paint or mold) all qualify as material defects because they pose potential risks to safety and can significantly diminish the property’s desirability and value.

When understanding this concept, it's important to distinguish material defects from cosmetic issues or minor repairs. For example, a small crack in drywall would generally not fall under the category of a material defect unless it indicates a larger issue, such as foundational problems. Features that appeal to a buyer, while relevant to marketability, do not fall under the definition of a material defect, as they do not directly impact the property's fundamental safety or value. Ultimately, the focus on safety and value is what sets the correct definition apart from other potential misunderstandings of the term.