Texas guide

Texas Seller's Disclosure Notice Under Property Code §5.008

If you're selling a single-family home in Texas, state law makes you give the buyer a written form that spells out what you know about the property's condition — roof, plumbing, flooding history, known defects, and more.

TL;DR

If you're selling a single-family home in Texas, state law makes you give the buyer a written form that spells out what you know about the property's condition — roof, plumbing, flooding history, known defects, and more. You're supposed to hand it over before the buyer signs the contract; if it shows up late, the buyer gets a free 7-day window to walk away and get their earnest money back. Almost every Texas seller uses the Seller's Disclosure Notice, and hiding a known problem can sink the deal and open you up to a lawsuit.

Before you start — 8 things to know

  • Texas Property Code §5.008 requires you to give the buyer a written disclosure notice about your home's condition before they sign the contract.

  • The standard form is the Seller's Disclosure Notice, and it's what almost every Texas seller uses to satisfy the requirement.

  • The disclosure covers the big stuff: structure, roof, plumbing, HVAC, electrical, past flooding, whether the home sits in a floodplain, and any hazardous materials like asbestos, lead-based paint, or radon.

  • Hand the notice to the buyer before the contract's effective date — ideally before they even submit an offer.

  • If the disclosure is delivered after the contract is signed, the buyer has 7 days from receipt to terminate the contract and get their earnest money back.

  • That 7-day termination window is separate from the option period — the buyer does not have to pay an option fee to use it.

  • Some sales are exempt under §5.008(e): foreclosure sales, court-ordered transfers, estate transfers by a fiduciary, transfers between co-owners, transfers to a spouse or direct family member, and new construction.

  • If you knowingly hide a defect on the Texas Seller's Disclosure Notice, the buyer can unwind the contract and pursue a Deceptive Trade Practices Act claim against you — answer honestly about what you actually know.

The timeline — step by step

  1. Before you list the home, fill out the Seller's Disclosure Notice with everything you actually know about the property's condition.

  2. Once your home is listed, make the completed Texas Seller's Disclosure Notice available to interested buyers before they submit an offer.

  3. The buyer reviews the disclosure and decides whether to make an offer and on what terms.

  4. You and the buyer sign the purchase contract — the Texas Seller's Disclosure Notice should already be in the buyer's hands by this point.

  5. If the disclosure is delivered after the contract is signed, the buyer has 7 days from receipt to terminate and get their earnest money refunded.

  6. If the buyer doesn't terminate within that window, the deal moves forward to closing on the contract's normal schedule.

Common questions

Do I actually have to fill out a disclosure if I'm selling my house in Texas?
Yes — Texas Property Code §5.008 requires sellers of single-dwelling residential property to give the buyer a written disclosure notice about the home's condition. The Seller's Disclosure Notice is the form almost everyone uses. Skipping it when you're not exempt gives the buyer grounds to walk away from the contract or sue you later.
What if I'm not sure whether something is broken or not?
The form asks what you actually know — you're not signing up to be a home inspector. Answer honestly and check 'unknown' when you genuinely don't know. The legal risk comes from hiding things you do know about, not from gaps in your knowledge.
I'm selling my home to my sister — do I still have to give a disclosure?
Probably not. Transfers to a spouse or to someone in your direct family line (parents, kids, grandparents, grandkids) are exempt under §5.008. It's still a good idea to put the home's condition in writing so there's no family argument later, but the statute doesn't force you to.
When exactly do I need to give the disclosure to the buyer?
Before the contract becomes effective — ideally before they even submit an offer. If you deliver it after the contract is signed, the buyer gets a 7-day window from receipt to walk away and get their earnest money back. That window is separate from the option period and doesn't require an option fee.
What happens if I leave out a known issue, like a leaky roof or past flooding?
If the buyer finds out later and can show you knew about it, they can unwind the contract and pursue a Deceptive Trade Practices Act claim against you for damages. The cost of hiding a known defect is almost always far higher than the cost of disclosing it upfront. When in doubt, write it down on the Texas Seller's Disclosure Notice.
Do I have to use the official TREC form, or can I use my own?
The statute says you must use the form prescribed by §5.008 or one that substantially complies. In practice that means the Seller's Disclosure Notice — your agent will have it, and using anything else just creates risk that your version falls short of what the law requires.

Glossary

1 term
TREC — Texas Real Estate Commission
The state agency that licenses real-estate agents in Texas and writes the standard forms agents have to use.

Sources

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