Which of the following is true about Erin's disclosure responsibilities when selling a home she built?

Erin's responsibilities as a seller, particularly when she is also the builder of the home, are significant in ensuring that prospective buyers are fully informed about the property's condition. The correct interpretation of her disclosure responsibilities is that she must disclose all known defects. This obligation stems from the principle of transparency and fair dealing in real estate transactions, intended to protect consumers and create a level playing field for buyers.

In Virginia and many other jurisdictions, a seller is required to disclose any known defects that could materially affect the property's value or desirability, regardless of whether they violate building codes or not. This responsibility reflects a broader legal and ethical duty to inform buyers about issues that could impact their investment significantly.

Not providing a full disclosure could lead to legal repercussions and damage Erin's credibility as a seller. The option suggesting that she only needs to disclose defects that violate building codes overlooks the wider array of potential issues that could affect the home's value or safety. Hence, the obligation extends beyond merely adhering to building regulations; it encompasses all known defects that she should be aware of, ensuring that buyers can make well-informed decisions.