Texas Real Estate Sales Agent ExamTexas Real Estate LawEasy
A licensed real estate sales agent is preparing to list a residential property for sale. The agent discovers that the property was built in 1972. According to federal and state regulations, which of the following disclosures is most critical for the agent to ensure is provided to potential buyers?
- ANotice of obligation to pay an improvement district assessment.
- BLead-Based Paint Hazard Disclosure.
- CSeller's Disclosure Notice regarding property condition.
- DDisclosure of a Municipal Utility District (MUD) if applicable.
Show answer & explanationAnswer & explanation
Correct answer: B. Lead-Based Paint Hazard Disclosure.
Properties built before 1978 are subject to federal regulations requiring the disclosure of lead-based paint hazards. This is a critical safety disclosure.
Why the other options are wrong
- A. Improvement district assessments are disclosed if applicable, but not tied to the property's age in this manner.
- C. The Seller's Disclosure Notice is generally required for most residential sales in Texas but is separate from the specific lead-based paint disclosure.
- D. MUD disclosure is required if applicable, but lead-based paint is specific to the age of the home.
Lead-Based Paint Disclosure (Federal/Texas)
Federal law requires sellers and landlords of most housing built before 1978 to disclose known lead-based paint hazards and provide a lead hazard pamphlet.
- Applies to residential properties built before 1978.
- Sellers/landlords must disclose known hazards.
- Buyers/tenants receive a pamphlet and opportunity for inspection.
Memory trick: Old homes have old paint, so disclose the lead, it's a federal mandate.