SELLER’S DISCLOSURES – what you need to know

A Seller’s Disclosure notice is a document that is filled out, initialed and signed by the seller; for the purpose of notifying the Buyer of known conditions of the home.  It is imperative that the seller disclose all known defects.  Failure to complete accurately could result in a statutory Claim of Fraud and could also lead to actions under common law.

There are several disclosure forms available although most Realtors and Brokers may require the use of TREC’s Seller’s Disclosure Notice or the Texas Realtor’s Seller’s Disclosure Notice (TXR 1406) as these forms reduce the risk of disputes. The Seller’s Disclosure Notice applies to all real property and not just single family homes and must be utilized whether the seller has ever occupied the property or not.

A Seller’s Disclosure must be updated if the Seller discovered conditions after the initial disclosure was provided.  

The Real Estate Agent provides the form but is not allowed by law to fill out, amend or sign the form. 

Notably, a new Seller’s Disclosure Form will be required after September 1, 2019.  This change reflects information about flood insurance, whether a flood ever occurred on the property and whether claims for flood damage were ever requested.