The Texas Real Estate Commission met on August 7 and adopted amendments to existing rules and proposed several more. View the meeting materials packet, which provides more details about all the changes, on TREC’s website. Here’s a breakdown of a proposal related to BPOs, CMAs, and AVMs. Find a list of other rule changes proposed by TREC here.
TREC proposed amendments to Section 535.17, Broker Price Opinion or Comparative Market Analysis. The current rule requires license holders to provide a written statement with specific language when giving a broker price opinion or comparative market analysis to consumers. MLSs and RPR should provide the disclaimer when a BPO or CMA is created through these platforms.
The proposed amendment adds “Estimated Worth or Sales Price”—which would include Automated Valuation Models (AVMs)—to the types of items given to consumers that require a written disclosure statement.
If adopted, the required disclosure statement would change to the following and would need to be reproduced verbatim and in at least 12-point type:
“This represents an estimated sale price for this property. It is not the same as the opinion of value in an appraisal used by a lender to approve a mortgage loan.”
Share your feedback on proposed rule changes with TREC
The earliest these proposed rule amendments could be adopted is during the next TREC meeting, scheduled for November 13.
You can provide comments about these proposed rule changes for at least 30 days after they are published in the Texas Register by emailing firstname.lastname@example.org. The proposals from the August 7 meeting will likely go live August 25; you can enter “Texas Real Estate Commission” in the Agency Name field on this page to read the rules when they’re published in the Texas Register.
Comments made on this blog post will not be read by TREC and do not count as official feedback on proposed rule changes.
Other adopted or proposed rule changes from TREC:
- Does your linked IABS form comply with TREC rules? New proposal aims to clarify what’s required
- Proposed changes to requirements for the Consumer Protection Notice
- Proposed limits for when lawyers can draft contracts for principals who aren’t their clients
- TREC proposes a new advertising rule, adopts revisions to existing rule
- Rule amendment that would affect availability of TAR forms
- TREC proposes two new forms
- Changes to earnest money and other paragraphs proposed
- Broker-related rule changes adopted