A property that has been the site of a death, murder, suicide or the like. Even a home reported to be haunted can be considered stigmatized. A Seller is not required to disclose unless asked. Federal Fair Housing regulations prevent disclosure if the stigmatization occurred due to death by AIDS since AIDS victims are a federally protected class.

Property that has an undesirable reputation because of an event that occurred on or near the site.

A property that has acquired an undesirable reputation due to an event that occurred on or near it, such as violent crime, gang-related activity, illness or personal tragedy. Because of the potential liability to a licensee for inadequately researching and disclosing material facts concerning a property's condition, licensees should seek competent counsel when dealing with a stigmatized property. Some states restrict the disclosure of information about stigmatized properties. In other states, the licensee's responsibility may be difficult to define because the issue is not a physical defect, but merely a perception that a property is undesirable.