New TREC contract changes become mandatory April 1st.
We sat down with Charles Kramer, Co-Chair of the Texas Real Estate Commission (TREC) Broker-Lawyer Committee, to discuss the changes and what you need to know for your business.
Contract changes include:
- Residential Lease and Addendum
- Fixture Leases and Addendum
- New Option Fee Procedures
- New Smart Home Provisions
- HOA Addendum Changes
Key changes to the new option fee procedures include:
- Buyer can now write one combined earnest money and option feed check or two separate checks.
- Checks must be made payable to the title company.
- There is a 3 day deadline for option fee and earnest fee.
- The option fee will be automatically credited at closing. If the seller would like the option fee right away, they must let the title company know.