When is a seller's disclosure of property not required?

A seller's disclosure of property is not required during a foreclosure or tax sale primarily because these transactions typically involve the transfer of properties that have been seized due to non-payment of debts or taxes. In such cases, the seller (often a bank or government entity) is usually not obligated to provide full disclosure about the property's condition, as they may have limited knowledge of the property due to the circumstances leading to the sale. The focus is more on liquidating the asset rather than ensuring comprehensive details about the property's state are provided to potential buyers.

In contrast, other scenarios, such as a traditional sale, typically require a seller’s disclosure where the seller has a duty to inform potential buyers of any known issues or defects. Similarly, after a home inspection, if the seller receives a report, they still might have a responsibility to disclose any findings. Transactions among relatives may vary, but they often still require disclosures to ensure transparency. Thus, foreclosure or tax sales are distinctly characterized by their exemption from disclosure obligations, making it the correct choice.