FORMS used in RESIDENTIAL REAL ESTATE TRANSACTIONS

The forms listed below are the most commonly used forms for residential real estate transactions. If the form you need is not on the list, feel free to call or email us, and we'll email or fax the form to you. Click on any of the forms you need, and print or download them to your computer. All the forms are in pdf format. If the forms don't open on your computer, click here to download Adobe Acrobat for free.

Information About Brokerage Services - State law requires agents to give this form to all new clients to inform them about agency law in Texas.

Listing Information

This is the form that supplies us with all the data required about your property to enter it into the MLS system properly.

  MLS Property Listing Information for Austin, TX

All Other Free Contracts & Forms

1-4 Family Residential Contract This is your standard contract form. It is also used to make offers and counter-offers. See below for a detailed explanation

Lead Paint Addendum Needs to accompany the Sales Contract for all homes built prior to 1978

Third Party Financing Addendum Form that normally accompanies an offer when it is contingent upon the buyer obtaining a loan.

Seller Financing Addendum When a seller is going to carry a 1st or 2nd mortgage, or do a "wraparound".

Addendum for Sale of Other Property by Buyer Form used when writing a contingency contract. A contingency contract is when a buyer agrees to buy your house, but only if the buyer's house sells. For more about contingency contracts see FAQ.

Contract Amendment For making changes to the original contract without rewriting the whole contract.

Addendum for "Back-Up" Contract Use this form if you have an existing contract to sell your property, and another buyer wants to make a "Back-Up" offer. A second contract is executed which references this addendum, along with this addendum. The Back-Up contract becomes effective if the first contract falls through.

Seller's Disclosure Notice A Seller's Disclosure Notice is required in Texas for all sellers to complete and give to buyers, and needs to be given to the buyer in the time frame specified in the contract. If you are the seller, it's wise to have it completed in advance, and give it to the buyer at the time you are signing the contract. If you give this Seller's Disclosure Notice to the buyer any time after signing the contract, the buyer has 7 days to get out of the contract for any reason from the date of receiving the Notice. If you're the buyer, and you are dealing direct with a seller who doesn't know this, you can use it to your advantage - you technically have a 7 day option period that you don't have to pay for.

Addendum for Property Subject to Mandatory Membership in an Owner's Association It's wise to have this completed in advance, and give it to the buyer at the time you are signing the contract. If you give this addendum to the buyer any time after the signing of the contract, the buyer has 7 days to get out of the contract for any reason from the date of receiving the addendum.

Sellers Temporary Lease When a seller will move out up to 3 months after the closing.

Buyers Temporary Lease When a buyer moves in up to 90 days before the closing.

Contract Termination Form for the buyer to notify the seller that he is backing out of the contract, usually during the option period when the buyer the right to cancel for no reason.

Farm Ranch Contract Sales Contract specifically for farms and ranches.

Unimproved Property Contract Sales Contract specifically for lots, acreage, and raw land.

Condo Sales Contract Sales Contract specifically for Condos.

Condo Resale certificate

Protecting Your Home From Mold Educational information about mold.

Buying Your Home - Settlement Costs and Useful Information Excellent guide for the homebuyer that explains settlement costs and gives an overview of the paperwork involved in buying a house and obtaining a loan. Written by HUD.

For a brief guide to the most commonly used forms, see the Transaction Guide

Standard Contract Terms
Here's a quick guide to what is typical in a contract in the state of Texas. This does not constitute legal advice, and we must advise you to seek the help of a lawyer or real estate professional. If any of the following is confusing to you, don't try to do it yourself. If you are frugal and don't want to spend money for an attorney, we can tell you that title companies routinely help clients fill out contracts in order to attract business, and don't charge for the service. But they won't give you legal advice.

First, Click Here and a PDF blank version of the standard Texas contract will open. (It may be easier to follow along if you print it.)

We will begin at the top of page one, and go through each clause by number. We will skip clauses that are self-explanatory or don't have blanks to fill in. We urge you to read the entire contract thoroughly, and ask a professional for advice if there is anything you don't understand. The numbers on the left refer to paragraph numbers in the contract.

1. Make sure the seller is really the owner if you're the buyer, or that the buyer is really the one who will be obtaining the loan and will be on title if you are the seller.

2. Don't worry about the legal description; the street address is good enough. The title company will enter the legal description on the official copy you will sign at the closing.

3. Note that "A" is the down payment; and "C" is the sales price. Everybody gets this reversed the first time. Letter B. should be filled in only if you are obtaining financing. The amount of your financing should match the blank below under # 4 A. of the contract.

4. Most of the time the buyer wants the contract to be contingent upon obtaining a loan. In that case, check "A" and fill in the amount of the loan, and check "(1)". You will also need to complete a "Third Party Financing Condition Addendum", which is reviewed below.

5. The earnest money amount is typically 1/2% - 1% of the sales amount. $500 to $1000 is typical for homes under $200,000. Enter the name and address of the title company you will be using. You should look into title companies when you first put your house on the market so you don't have to figure it out when you are writing a contract.

6. A. Who pays for the title policy is totally negotiable, but 98% of the time the seller pays.

6. C. Most of the time, the seller has a copy of an old survey lying around somewhere. If not, it's typically the buyer who pays for a new survey, but this is totally negotiable. The new lender specifies what is an acceptable survey.

6. D. 3-5 days is normal.

6. E. (2) Check the box regarding owner's association membership (homeowners association). Note that if membership in a homeowner's association is mandatory, you should also complete an Addendum for Property Subject to Mandatory Membership in an Owner's Association.

7. B. If the Seller's Disclosure Notice is provided at the time of signing the contract, check "(1)". Otherwise check "(2)". 2-3 days is a normal period of time to produce the the Notice (see notes regarding this form below)

7. D. Enter the repairs the seller has agreed to make.

7. H. It is customary for the seller to pay for a home warranty plan for the buyer, but this is totally negotiable. Typical amount is $350, and the title company can suggest several companies.

9. A. Enter your anticipated closing date.

10. Check the box indicating when possession will take place.

11. If there are any other special provisions not covered elsewhere in the contract, enter them here.

12. A. (1) (b). Here's where you put what the seller will contribute to the buyer's closing costs and expenses. It is common to negotiate a seller contribution to buyer's expense in lieu of a reduction in sales price. A $3000 reduction in sales price or a $3000 contribution to buyer's expenses makes no difference to the seller, but it can help a buyer who needs help with the down payment.

16. Most people would rather have a dispute mediated than go to court, so they check "will".

21. Enter the buyer and seller contact information.

22. Check off all the addendums and disclosures that the buyer is getting at the time the contract is executed. Not giving the buyer the "Seller's Disclosure Notice" or "Addendum for Property Subject to Mandatory Membership in an Owner's Association" at the time of signing the contract is like giving the buyer 7 days to get out of the contract from the date the buyer finally receives it. Having those items checked off and part of the contract does not give the buyer that 7 day latitude. Smart sellers have these forms filled out and copies made before the first prospective buyer comes to look at the house.

23. It is customary for the buyer to have a period of time to back out of the contract for any reason, for which the buyer pays an option fee. $100 is average for homes under $200,000, and 7-10 days is a typical option period.

24. Enter attorney information if either party is using one.

The EXECUTED date is the date that it is signed by both parties. When the contract form is used to make an offer, the EXECUTED date is left blank until the other party signs it.

The last page, page 8, is the receipt page for the option money, and also where the title company signs they have received the earnest money. If there are real estate agents involved, that agent information goes here also. In the event of a "Limited Service Listing", where a Realtor is paid a flat fee for listing the property on MLS, the listing agent's name must be put on the contract, even if no further commission is due.

Third Party Financing Condition Addendum
Click for Sample This must be filled out if the contract is contingent upon the buyer obtaining a new loan. Enter the number of days by which the buyer is to have loan approval. Check the appropriate boxes according the type of financing the buyer will be applying for. Note that the greater the loan amount and the lower the interest rate that is entered, the more likely it will be that the buyer will not qualify for the loan, and be able to use this as a way to get out of the contract.

Seller's Disclosure Notice
The seller needs to fill out this form and give it to the buyer in the time specified in the contract. If you are the seller, it's wise to have it completed in advance, and give it to the buyer at the time you are signing the contract. If you give this Seller's Disclosure Notice to the buyer any time after signing the contract, the buyer has 7 days to get out of the contract for any reason from the date of receiving the Notice. If you're the buyer, and you're are dealing direct with a seller who doesn't know this, you can use it to your advantage - you technically have a 7 day option period that you don't have to pay for.

Addendum for Property Subject to Mandatory Membership in an Owner's Association
Click for Sample It's wise to have this completed in advance, and give it to the buyer at the time you are signing the contract. If you give this addendum to the buyer any time after the signing of the contract, the buyer has 7 days to get out of the contract for any reason from the date of receiving the addendum.

Lead Paint and other forms
If the home was built prior to 1978, the Seller's Disclosure Notice needs the additional "Lead Paint Disclosure", and the contract needs the additional "Lead Paint Addendum".

Loan Pre-Approval Letter
As a seller, you want to be very wary of entering into a contract with a buyer who has not gotten pre-approval for a loan. When you enter into a contract, you are effectively taking your house off the market. If you find out a month later that your buyer can't get a loan, you've wasted a month and missed other potential buyers. It's not wise to enter into a contact without obtaining a strong pre-approval letter from a reputable lender.

WARNING: There are unscrupulous lenders who routinely give pre-approval or pre-qualification letters to borrowers who they know will never get the loan. Why? Because they charge the borrower all kinds of nonrefundable fees, often thousands of dollars. They play the game, tell the unsuspecting borrower they'll get them the loan, string everybody along, and charge their outrageous fees. The day before the closing, the crooked loan officer tells the borrower how sorry he is that the underwriter didn't approve the loan, and how he (the crooked loan officer) did everything he could to fight to get an approval.

This happens most often with homes in the lower price ranges with first-time home buyers (under $130,000) and is rampant in lower income areas and homes under $80,000. The likelihood of it happening reduces as the price of the home and the income of the buyer increases.

As the seller, you want to get a Pre-Approval letter from a mortgage company name you recognize. If your home is in the lower price ranges and the buyer has a loan officer working for a rinky-dink mortgage company, you may want to ask some more questions. If you find out the buyer is also paying high nonrefundable fees to the mortgage company, you and the buyer may be in trouble.

Loan Pre-Qualification vs. Pre-Approval
Generally, a Pre-qualification Letter means the mortgage company has talked to a borrower on the phone, and based on what the borrower said, he/she should be able to get a loan. They may or may not have run the borrower's credit to make this determination. Basically, a pre-qualification letter means little or nothing.

A Pre-Approval Letter carries more weight, and generally means the mortgage company has taken a complete application, considered the credit report, and received complete documentation from the borrower such as W-2, paycheck stubs, bank statements, and/or tax returns. The borrower has been approved, and the only conditions remaining are approval of the property, and that the mortgage company can refuse the loan if the borrower's situation substantially changes before the closing date, such as if the borrower loses his/her job.

This terminology will vary depending on the lender, but the most important issue is that a complete application with credit report and all of the buyer's documentation has been done and was approved.

If you are the buyer, you are wise to get a loan pre-approval letter before you start looking at houses. That letter can easily make the difference between an acceptance or rejection of your offer. Include a copy of the letter with any offer you make.

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