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Sellers Disclosure Notice

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Seller's Disclosure Notice

TREC No. OP-H | 8-7-2017

Concerning the property at

This notice is a disclosure of seller's knowledge of the condition of the property as of the date signed by seller and is not a substitute for any inspections or warranties the purchaser may wish to obtain. It is not a warranty of any kind by seller or seller's agents.

Seller occupying the Property. If unoccupied, how long since Seller has occupied the Property?

1. The Property has the items checked below [Write Yes (Y), No (N), or Unknown (U)]:

Roof Type: Age (approx.):

Are you (Seller) aware of any of the above items that are not in working condition, that have known defects, or that are in need of repair?

If yes, then describe (attach additional sheets if necessary):

2. Does the property have working smoke detectors installed in accordance with the smoke detector requirements of Chapter 766, Health and Safety Code?

If the answer to this question is no or unknown, explain (attach additional sheets if necessary):

Chapter 766 of the Health and Safety Code requires one-family or two-family dwellings to have working smoke detectors installed in accordance with the requirements of the building code in effect in the area in which the dwelling is located, including performance, location, and power source requirements. If you do not know the building code requirements in effect in your area, you may check unknown above or contact your local building official for more information. A buyer may require a seller to install smoke detectors for the hearing impaired if: (1) the buyer or a member of the buyer's family who will reside in the dwelling is hearing impaired; (2) the buyer gives the seller written evidence of the hearing impairment from a licensed physician; and (3) within 10 days after the effective date, the buyer makes a written request for the seller to install smoke detectors for the hearing impaired and specifies the locations for the installation. The parties may agree who will bear the cost of installing the smoke detectors and which brand of smoke detectors to install.

3. Are you (Seller) aware of any known defects/malfunctions in any of the following?

Write Yes (Y) if you are aware, write No (N) if you are not aware.

Other Structural Components (Describe):

If the answer to any of the above is yes, explain (attach additional sheets if necessary):

4. Are you (Seller) aware of any of the following conditions?

Write Yes (Y) if you are aware, write No (N) if you are not aware.

If the answer to any of the above is yes, explain (attach additional sheets if necessary):

* A single blockable main drain may cause a suction entrapment hazard for an individual.

5. Are you (Seller) aware of any item, equipment, or system in or on the Property that is in need of repair?

If yes, explain (attach additional sheets if necessary):

6. Are you (Seller) aware of any of the following?

Write Yes (Y) if you are aware, write No (N) if you are not aware.

If the answer to any of the above is yes, explain (attach additional sheets if necessary):

If the property is located in a coastal area that is seaward of the Gulf Intracoastal Waterway or within 1,000 feet of the mean high tide bordering the Gulf of Mexico, the property may be subject to the Open Beaches Act or the Dune Protection Act (Chapter 61 or 63, Natural Resources Code, respectively) and a beachfront construction certificate or dune protection permit maybe required for repairs or improvements. Contact the local government with ordinance authority over construction adjacent to public beaches for more information.

8. This property may be located near a military installation...

This property may be located near a military installation and may be affected by high noise or air installation compatible use zones or other operations. Information relating to high noise and compatible use zones is available in the most recent Air Installation Compatible Use Zone Study or Joint Land Use Study prepared for a military installation and may be accessed on the Internet website of the military installation and of the county and any municipality in which the military installation is located.

Signature of Seller

Date

Signature of Seller

Date

The undersigned purchaser hereby acknowledges receipt of the foregoing notice.

Signature of Purchaser

Date

Signature of Purchaser

Date

This property may be located near a military installation and may be affected by high noise or air installation compatible use zones or other operations. Information relating to high noise and compatible use zones is available in the most recent Air Installation Compatible Use Zone Study or Joint Land Use Study prepared for a military installation and may be accessed on the Internet website of the military installation and of the county and any municipality in which the military installation is located.

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What the Sellers Disclosure Notice Is and when it matters

A Sellers Disclosure Notice is a written statement provided by a property seller describing known material facts and defects affecting a residential property. It documents the seller’s knowledge about structural, mechanical, environmental, and legal conditions so buyers can evaluate risk before completing a purchase. Requirements and exact form language vary by state; the notice is typically completed early in the transaction and retained as part of the sale record. Electronic completion and delivery are generally allowed under U.S. e-signature law when parties consent and the record is retained.

Why a clear Sellers Disclosure Notice reduces post-closing risk

A complete, accurate disclosure promotes transparency, helps avoid buyer claims, speeds negotiations, and creates written evidence of disclosures made. It clarifies expectations for condition and repairs while supporting good faith bargaining between buyer and seller.

Why a clear Sellers Disclosure Notice reduces post-closing risk

Who completes and relies on the Sellers Disclosure Notice

Typical participants who prepare, review, or rely on the notice during a sale.

  • Sellers and listing agents preparing factual property condition information for prospective buyers.
  • Buyers and buyer agents reviewing disclosures to assess repairs, inspections, and negotiation strategy.
  • Title companies and attorneys verifying disclosures for closing and post-closing risk assessment.

Each party has distinct responsibilities: sellers must disclose honestly, buyers must review promptly, and agents must deliver documents as required by law.

Typical sections to include in a professional Sellers Disclosure Notice

A well-organized notice groups facts into clear sections so buyers can review condition, history, and attachments quickly.

Property Details

Street address, parcel or lot number, legal description and year built to uniquely identify the property and avoid ambiguity in the transaction record.

Known Defects

Explicit description of structural, roof, foundation, plumbing, electrical, HVAC, pest infestations, and other material conditions known to the seller.

Environmental Issues

Information about flood zones, lead paint, radon, asbestos, underground storage tanks, or other environmental hazards the seller knows exist.

Repairs & Permits

List of repairs performed, dates, contractors when known, and whether permits were pulled and final inspections passed.

Utilities & Systems

Status of utility connections, septic or sewer details, well information, and age or warranty status of major systems and appliances.

Attachments

Supporting documents such as inspection reports, receipts, permit records, HOA rules, or professional reports referenced in the disclosure.

Essential fields every Sellers Disclosure Notice should capture

Seller name: Full legal name
Property address: Street, city, state, ZIP
Legal description: Parcel or lot ID
Disclosure date: MM/DD/YYYY
Signatures: Seller signature(s) and date
Attachments: Inspection reports, permits

Step-by-step: completing a Sellers Disclosure Notice

Follow these steps to prepare, verify, and deliver a legally useful disclosure notice during a residential sale.

  • 01
    Gather documents: Collect inspection reports, permits, and repair receipts before drafting.
  • 02
    Complete fields: Enter property details, known defects, and dates precisely.
  • 03
    Review for accuracy: Confirm entries with co-owners or contractors where applicable.
  • 04
    Sign and deliver: Sign the notice and provide it to buyer or agent per contract terms.

Settings to configure for an online Sellers Disclosure workflow

When preparing the form for e-completion, enable authentication, attachments, and conditional fields to match legal needs.

Field Configuration
Authentication Email plus optional SMS code
Conditional Fields Show defect fields only when 'Yes' selected
Attachments Allow PDF, JPG, DOCX up to set size
Notifications Send to buyer, agent, and title company

Typical routing for completing and delivering the notice

A clear routing flow helps ensure the buyer receives the disclosure promptly and that copies are retained for closing.

  • Prepare: Seller or listing agent enters disclosure details and attaches supporting files.
  • Authenticate: Seller confirms identity by email link or SMS code before signing.
  • Deliver: System sends signed copy to buyer, buyer agent, and title company.
  • Archive: Signed notice and audit trail are stored for closing and retention.

Technical considerations for e-signing and distribution

Verify file formats, signer authentication, and storage options before e-submitting a Sellers Disclosure Notice.

  • File formats: PDF, DOCX, and embedded images accepted
  • Integrations: CRM and cloud storage integrations supported
  • Audit trail: Timestamp, IP, and activity history recorded

Use a platform that supports conditional fields, attachments, and export in PDF/A for archiving; ensure the e-sign solution aligns with ESIGN and state law and that any HIPAA-protected content is handled under a BAA when applicable.

Timing and typical deadlines to watch on disclosures

Timely delivery of the disclosure is often required by contract or state law; missing deadlines can affect remedies and closing timelines.

Before contract signing:

Provide disclosures when required by contract or local custom prior to acceptance.

Upon buyer request:

Deliver any requested supporting documents within the timeframe specified by the contract.

Before closing:

Update or supplement disclosures if new material facts arise before closing.

Retention at closing:

Ensure a signed copy is included in the closing package for title and escrow.

Post-closing updates:

Notify relevant parties promptly if latent defects are discovered after closing.

Key transaction milestones tied to the Sellers Disclosure Notice

A sequential milestone view helps teams coordinate inspections, negotiations, and closing tasks efficiently.

01

Pre-Listing Review

Seller compiles property facts, reports, and known issues for the disclosure.

02

Disclosure Delivery

Seller or agent sends the completed notice to the buyer or buyer agent.

03

Inspection & Negotiation

Buyer reviews disclosures and inspection results, then negotiates repairs or credits.

04

Closing Finalization

Any disclosure updates are provided and the signed notice is archived with closing documents.

Common mistakes to avoid when preparing the Sellers Disclosure Notice

  • Incomplete property identification such as missing unit numbers or incorrect parcel IDs that cause title or escrow confusion.
  • Failing to disclose known defects or repair history, which creates risk of buyer claims and post-closing litigation.
  • Using vague language like 'may have issues' instead of clear factual descriptions and dates tied to repairs.
  • Neglecting to attach inspection reports, permits, or receipts that substantiate entries in the disclosure notice.

Consequences of an incorrect or missing disclosure

Civil liability: Buyer claims and damages
Contract rescission: Buyer may seek undoing the transaction
Contractual fines: Contract remedies or penalties
Title complications: Delays in closing or title exceptions
Insurance denial: Coverage disputes for undisclosed defects
Reputational risk: Broker or seller credibility loss

Real-world examples of how Sellers Disclosure Notices are used

Two concise examples show common outcomes when disclosures are complete and when they are incomplete.

Brokerage Example

Local brokerage compiles inspection reports into the disclosure

  • Prompt disclosure highlighted roof defects
  • Transparent documentation reduced negotiation time and avoided a post-closing dispute by clarifying repair history and responsibility.

For-Sale-By-Owner Example

An owner selling directly completed a thorough disclosure

  • Buyer requested additional records
  • Providing receipts and permit numbers resolved buyer concerns and allowed closing to proceed on schedule.

Practical tips for accurate and efficient completion

Adopt consistent procedures to minimize errors, speed review, and protect against post-closing claims.

Use standard templates
Employ a state-specific disclosure template to ensure required items are included and formatted consistently across listings and transactions.
Attach supporting evidence
Include inspection reports, permits, and receipts to substantiate statements and reduce follow-up requests from buyers or title companies.
Verify signer authority
Confirm that the individual signing is an owner or has written power of attorney; attach proof of authority for entities.
Keep audit records
Preserve signed copies and an audit trail showing delivery, signer authentication, and timestamps for evidentiary value.

Comparison: common e-signature vendors for handling Sellers Disclosure Notices

Pricing and feature availability vary by vendor; signNow appears first below and supports common e-sign and document workflow needs for disclosure forms.

signNow DocuSign Adobe Sign PandaDoc HelloSign
Starting Price $8/user/mo $15/user/mo $14/user/mo $19/user/mo $15/user/mo
Free Trial 7-day free trial Varies Varies Varies Varies
Bulk Send Yes Yes Yes Yes No
Audit Trail Yes Yes Yes Yes Yes
HIPAA Compliant Yes Yes Yes No No

Frequently asked questions about the Sellers Disclosure Notice

Answers to common legal and practical questions about completing, signing, and storing seller disclosures in U.S. transactions.


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