What Must Sellers Legally Disclose About a Property in Texas?

When selling a home in Texas, what you don’t disclose can be just as important as what you do. Seller disclosure issues are one of the most common causes of real estate disputes, lawsuits, and delayed closings. Understanding your legal disclosure obligations can help protect you from costly claims after the sale.

Why Seller Disclosures Matter

Texas law requires sellers to provide buyers with truthful, written disclosures about the condition of a property. These disclosures are designed to give buyers a clear picture of what they’re purchasing and to prevent fraud, misrepresentation, or surprise defects after closing.

Failing to disclose known issues can expose a seller to damages and legal action, even after the sale is complete.

The Texas Seller’s Disclosure Notice

Most residential sellers must complete the Texas Seller’s Disclosure Notice under the Texas Property Code. This form covers a wide range of property conditions and is typically required for single-family homes and residential properties.

Common Items Sellers Must Disclose

1. Known Structural or Mechanical Defects

• Foundation problems

• Roof leaks or damage

• Plumbing, electrical, or HVAC defects

• Drainage or flooding issues

If you know about the issue—even if you repaired it—it generally must still be disclosed.

2. Water Damage and Flooding History

• Previous flooding

• Water intrusion

• Whether the property is located in a floodplain

• Prior insurance claims related to water damage

Flood-related non-disclosure is one of the most litigated real estate issues in Texas.

3. Environmental and Health Hazards

This includes known issues such as:

• Mold

• Termites or wood-destroying insects

• Radon or asbestos (if known)

• Lead-based paint (required for homes built before 1978)

You are not required to test for these—but you must disclose if you already know.

4. Legal Issues Affecting the Property

Sellers must disclose legal matters that affect ownership or use, including:

• Boundary disputes

• Easements

• Encroachments

• HOA restrictions or violations

• Pending lawsuits involving the property

These issues can impact title, financing, and future resale.

5. Previous Repairs and Insurance Claims

Major repairs—especially those tied to insurance claims—should be disclosed. Buyers often view undisclosed repairs as red flags, even if the work was completed properly.

What Happens If a Seller Fails to Disclose?

Failure to properly disclose can lead to:

• Breaches of Contract

• Lawsuits for fraud or misrepresentation

• Costly repairs paid by the seller after closing

• Court-ordered damages and attorney’s fees

  
  

Many sellers assume disclosures are “just paperwork”—but legally, they are protective documents when completed accurately.

How a Real Estate Attorney Can Help

A real estate attorney can:

• Review disclosure forms before listing

• Identify legal risks tied to the property

• Address known defects properly

• Help sellers avoid future disputes

If you’re unsure whether something should be disclosed, the safest answer is usually yes—or consult an attorney first.

Final Thought

Seller disclosures aren’t about scaring buyers—they’re about transparency and legal protection. Proper disclosure can make your transaction smoother, safer, and far less likely to end in a dispute.

If you’re selling property in Texas and want to ensure your disclosures are handled correctly, consulting a real estate attorney early can save you time, money, and stress later.