Texas Promulgated Contract Forms (2023/2024) Already Passed

Texas Promulgated Contract Forms (2023/2024) Already Passed use of standard contract forms when negotiating contracts binding the sale, exchange, lease, or rental of property promulgated issued by TREC for mandatory use by licence holders exceptions - licencee functioning solely as principal - agency of US Government requires a different form - prepared by principal - no other form exists and is prepared by an attorney- at - law licensed in Texas forms may be reproduced - numbered copies obtained from TREC - printed copies made from copies obtained from TREC - Legible photocopies made from such copies - Computer- driven printers following mandatory guidelines broker's logo ( appear on top) or broker's name ( may be inserted in blank provided) no changes may be made on a promulgated form except may not Licensees ____________ add to or strike matter from forms, unless, - factual statement and business details - desired by the principal and is necessary to conform the instrument to the intent of the parties - if not TREC promulgated form exists TREC - promulgated or prepared by TREC and made available for trial use It is not a practice of law for a real estate licensee to complete a contract form either texas promulgated contracts 1. One to four family residential contract (Resale) 2. Unimproved property contract 3. farm and ranch contract 4. new home contract ( completed construction) 5. new home contract ( incomplete construction) 6. residential condominium contract (resale) TREC addenda 1. Third- party financial addendum for credit approval 2. seller financing addendum 3. addendum for sale of other property by buyer 4. addendum for "Back Up" contract 5. addendum for coastal area property 6. addendum for property located seaward of the gulf coast waterway 7. addendum for reservation of oil, gas and other minerals time is of the essence is present on : - third party financing addendum - addendum for sale of other property by buyer - addendum for "Back up contract" 7 days after receipt The seller has ________________ of the buyers credit documentation to terminate the contract at the sellers sole discretion ( seller financing addendum) seller's temporarily residential lease used when the seller retains possession of the property not more than 90 days after closing buyer's temporarily residential lease used when the buyer takes possession of the property not more than 90 days prior to closing Notice of Buyers Termination Contract used by a broker when the buyer wishes to notify the seller that the contract is terminated - 6 different contractual rights Amendment to Contract used to modify an existing contract or addendum to a contract - 9 contract subject areas ( one labeled other modifications) Notice to Prospective Buyer form used when TREC- promulgated contract forms are not being use under the exceptions rule, and/or when the buyer's agent has not used a Buyer Representation Agreement that already contains this notices reduce broker liability Texas Real Estate Consumer Notice Concerning Hazards or Deficiencies - used to increase buyer's awareness of hazards and _____________ Seller's Disclosure of property condition form Contains only the minimum requirements of the Texas Property Code Section 5.009 - many brokers use their own versions or TAR versions Information About Brokerage Services form used to give the statutory required written statement concerning forms of agency or non agency relationships lawfully provided to consumers by real estate licensees Not an attachment or addendum Information About Brokerage Services Form Statute does not require anyone to sign this document - however, it is good business practice to get it signed as evidence it was presented statute of frauds a promise or agreement for the sale of real property, or for the lease of real property for more than one year, is not enforceable unless the agreement is in WRITING and SIGNED by the person to be charged with the agreement or by someone lawfully authorized for that person Debt Agreements contracts for the transfer of real estate, but not leases of 12 months or less Oral contracts for the sale of real property or for the lease of real estate for more than one year are not illegal - are simply unenforceable by law purpose of the statute of frauds to prevent fraud by someone seeking the enforcement of a contract that was never made, disallow fraudulent oral evidence of fictitious contract, protect spouces rights in property seller's remedies for default - specific performance - relief provided by law - terminate contract and receive earnest money as liquidated damages ( release both parties from contract) buyer's remedies for seller's default - factors beyond the seller's control - documents not delivered within the time required (terminate contract and receive earnest money back) - seller fail to furnish existing survey or affidavit within the prescribed time ( new survey at seller's expense no later than 3 DAYS before closing date) - seller fails to complete any agreed repairs and treatments before closing date ( remedies under paragraph 15 or extend closing date up to 5 DAYS ) - Seller fails to comply with the contract ( enforce specific performance or terminate the contract and receive earnest money back) factors beyond the seller's control terminate contract and receive earnest money back 3 days before the closing date If seller fail to furnish existing survey or affidavit within the prescribed time, the buyer shall obtain a new survey at seller's expense no later than, remedies under paragraph 15 or extend closing date up to 5 DAYS If seller fails to complete any agreed repairs and treatments before closing date, the buyer may excercise, enforce specific performance or terminate the contract / receive earnest money back Seller fails to comply with the contract buyer may, liquidated damages since earnest money is from the buyer it cannot be classified as statute of limitations action to bring suit or enforce rights must be brought - withing 4 years for a written contract - within 2 years for an oral contract termination option allows a buyer, for a nominal fee, the unrestricted right to terminate a contract based on accepted terms ( time is of the essence *) 3 days after effective date termination option- buyer pays an option fee directly to the seller within ________________ of the contract for this right SECOND business day Earnest Money is deposited by the buyer with the escrow agent - by the end of the _______________________ after the effective date or/ and as directed in the contract never given to the seller's agent According to TREC contract forms, earnest money is never given to the seller's agent but is deposited by the buyer buyer may terminate the contract within 7 days after receiving the notice or before closing, whichever is earlier If the SELLER'S DISCLOSURE OF PROPERTY CONDITION form is required and not provided on or before the effective date of the executory contract any time before closing and earnest money will be returned if disclosure form is not provided the buyer may terminate the contract at