Humber/Ontario Real Estate Course 1 Exam Practice

What term is used to describe an exaggerated statement about a property that cannot be proven true or false?

1. Puffery

2. Fraudulence

3. False advertising

4. Misrepresentation

The correct answer is: Puffery

The correct term that refers to an exaggerated statement about a property that cannot be proven true or false is indeed "puffery." In real estate, puffery often involves subjective claims about a property's qualities—such as calling a backyard "a gardener's paradise" or describing a home as "the perfect getaway." These statements are generally considered acceptable within the industry because they are opinions and not factual assertions that can be verified. Fraudulence typically involves intentional deception or dishonest practices to secure unfair or unlawful gain, which differs from mere exaggeration. False advertising pertains to misleading information about a product or service that can lead to legal consequences, as it involves factual misrepresentation rather than subjective exaggeration. Misrepresentation involves providing false information or failing to disclose important facts that could influence a decision, which implies a factual basis rather than opinion. Thus, puffery is the right term for these unprovable exaggerations in real estate marketing.