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What TREC changed in the Title Policy and Survey Paragraph

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A pair of glasses and a silver pen sit on top of a contract.

05/27/2014 | Author: Editorial Staff

The Texas Real Estate Commission recently adopted new and revised forms that take effect June 1. One of the revisions concerns the Title Policy and Survey Paragraph, which affects these forms:

  • One to Four Family Residential Contract (Resale) (TAR 1601, TREC 20-12)
  • Unimproved Property Contract (TAR 1607, TREC 9-11)
  • New Home Contract (Incomplete Construction) (TAR 1603, TREC 23-13)
  • New Home Contract (Completed Construction) (TAR 1604, TREC 24-13)
  • Farm and Ranch Contract (TAR 1701, TREC 25-10)

What changed?
The standard printed exception to the title policy covered in this section did not change. What did change was language that now requires the buyer to designate whether he is amending his title policy to reduce the number of exceptions to the title policy, and that now designates whether the buyer or seller will pay the fee associated with that change.

Many buyers opt for this amendment because it provides them additional protection under their title policy. Now because of the checkbox, it’s more apparent that they have a choice.

See redlines of all the revised forms.

Categories: Forms, Legal
Tags: trec forms, forms, legal, contracts

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The material provided here is for informational purposes only and is not intended and should not be considered as legal advice for your particular matter. You should contact your attorney to obtain advice with respect to any particular issue or problem. Applicability of the legal principles discussed in this material may differ substantially in individual situations.

While the Texas Association of REALTORS® has used reasonable efforts in collecting and preparing materials included here, due to the rapidly changing nature of the real estate marketplace and the law, and our reliance on information provided by outside sources, the Texas Association of REALTORS® makes no representation, warranty, or guarantee of the accuracy or reliability of any information provided here or elsewhere on texasrealestate.com. Any legal or other information found here, on texasrealestate.com, or at other sites to which we link, should be verified before it is relied upon.

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