re: Legaility question regarding selling a house for more than its worth

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It sounds like your conscience is trying to tell you something. Just because something is "legal" does not mean it is right, just, moral or ethical.

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Wait just a minute. The seller doesn't need to know why a buyer places a higher value on an item than the seller does. Suppose the buyer wants the home because it contains a specific material he wants to remove and use for another project and the home is the only readily available source? Suppose the home sits on a piece of land adjacent to other property owned by the buyer, and the buyer is willing to pay a premium to obtain it? There is nothing wrong, unjust, immoral or unethical in accepting the best price offered if the seller is unaware of any defect in the property being sold that he has not disclosed to the buyer.