Texas Real Estate Brokerage Sales Apprentice Education (SAE) Practice Exam

Is a seller's disclosure form required when an owner sells their own property?

1. Yes, always

2. No, never

3. Only if the property is under a loan

4. Only for investment properties

The correct answer is: Yes, always

A seller's disclosure form is indeed required when an owner sells their own property, particularly in Texas. This form serves to ensure transparency between the seller and potential buyers regarding any known defects or issues with the property. The Texas Property Code mandates that sellers disclose information about the condition of the property, which includes details on structural problems, past repairs, environmental hazards, and other pertinent findings that could affect the buyer's decision. By requiring this disclosure, the law aims to protect buyers and promote honest transactions in the real estate market. It's important for sellers to fill out this form accurately and to the best of their knowledge to avoid potential legal repercussions later on, should undisclosed issues arise after the sale. The requirement applies regardless of whether the property is under a loan or whether the owner is selling it as an investment or personal residence.