According to Zillow, the median home price in Texas is more than $302,000 (July 2026). Of course, in many communities across the state, the average home costs significantly more than that. If you are preparing to buy or sell a home in Texas, it is crucial that you are prepared for a smooth transaction. A number of different legal issues can arise. At SimpleLawTX, our Texas real estate attorneys help protect your interests, whether you are buying or selling a home.
An Overview of Legal Protections for Home Sellers in Texas
A Detailed Written Contract Defines the Parties’ Obligations
Texas requires a contract for the sale of real estate to be in writing and signed by the party against whom enforcement is sought. A properly drafted agreement protects the seller by identifying the property, purchase price, included fixtures, excluded personal property, financing structure, closing date, and required addenda. The Texas Real Estate Commission (TREC) One to Four Family Residential Contract also restricts a seller from creating new leases, amending existing leases, or conveying another interest after the effective date without the buyer’s written consent.
Earnest Money and Option Fees Discourage Unsupported Termination
Earnest-money and option-fee provisions protect a seller against an uncommitted buyer. Under the TREC resale contract, the buyer generally must deliver both payments to the escrow agent within three days after the effective date, and time is expressly made of the essence. A buyer who timely pays an option fee receives an unrestricted termination right only for the negotiated option period, while the seller keeps the option fee following a proper termination. If the buyer fails to deliver earnest money on time, the seller may terminate before delivery or invoke available remedies.
“As Is” Language that Can Limit Post-Closing Defect Claims
An “as is” provision can protect a Texas seller by defining the condition the buyer agrees to accept and limiting claims based on defects the buyer could have evaluated before closing. The TREC form defines “as is” as the property’s present condition, subject to title warranties and express contractual warranties, while preserving inspection and option-period rights. Texas courts may enforce a valid as-is agreement because it allocates the risk of the property’s quality to the buyer and can negate causation. Still, the protection, while important, is not absolute. Fraudulent representations, concealment of material information, or interference with a meaningful inspection can prevent enforcement of the provision.
Default Provisions (Defined Remedies)
A seller needs stated remedies when a buyer fails to close, loses financing without a valid contingency, or otherwise breaches the contract. Paragraph 15 of the TREC resale form allows a nondefaulting seller to pursue specific performance, seek other relief available by law, or terminate and receive the earnest money as liquidated damages. The contract also provides for mediation and permits a prevailing party in a related legal proceeding to recover reasonable attorney’s fees and costs.
An Overview of Legal Protections for the Buyer in Texas
The Seller’s Disclosure Notice Should Clearly Identify Known Property Conditions
Texas Property Code § 5.008 generally requires a seller of qualifying residential property to provide a written disclosure notice addressing known defects, systems, environmental conditions, flooding history, and other specified matters. The disclosure is based on the seller’s actual knowledge and does not replace an independent inspection. Under the TREC resale contract, failure to deliver a required notice may allow the buyer to terminate before closing and recover earnest money. Once the notice is delivered, the buyer ordinarily receives seven days to terminate, or until closing if earlier. Statutory exemptions apply to certain transfers, so the transaction and seller’s status require careful review.
The Option Period Allows Inspections and Unrestricted Termination
The inspection and option provisions give a buyer a contractual method to investigate the property without first proving that a defect exists. The TREC resale form requires the seller to provide reasonable access for inspections and keep existing utilities operating while the contract remains effective. A buyer who timely pays the agreed option fee may terminate for any reason before 5:00 p.m. on the final day of the negotiated option period and recover earnest money, although the option fee is not refunded. Inspections can address the foundation, roof, drainage, plumbing, electrical systems, HVAC equipment, pests, environmental conditions, and other material risks.
Financing Contingencies Protect Against Loan or Property Disapproval
Financing protection must be created through the contract and an appropriate TREC addendum; it should never be assumed. The Third Party Financing Addendum can condition the transaction on buyer approval, property approval, or both, subject to stated loan terms and strict notice requirements. Depending on the selected provisions, a buyer may terminate when the lender determines that the buyer does not satisfy asset, income, or credit requirements or that the property fails underwriting requirements involving appraisal, insurability, or required repairs. The buyer must provide timely notice and specified lender documentation. Missing a deadline or submitting an incomplete termination notice can eliminate the contractual protection.
Title, Survey, and Association Review Protect Ownership Rights
A title commitment, survey, and association records protect the buyer from acquiring property burdened by liens, boundary disputes, restrictive covenants, easements, assessments, or use limitations. The TREC resale contract permits written objections to qualifying title and survey matters within a negotiated period. If a timely objection is not cured, the buyer may terminate and recover earnest money or waive the issue.
How the Real Estate Law Team at SimpleLawTX Can Help Homeowners
Buying or selling a home can be stressful. For many Texans, it is the single largest transaction that they will ever be involved in. At SimpleLawTX, we have the knowledge and experience that homeowners and prospective homeowners can rely on. Our firm will work diligently to ensure that everything is handled the right way. Whether you are buying or selling a home, our Houston residential real estate lawyer can help you understand your rights and options during a strictly confidential, no obligation initial consultation.
Contact Our Houston Real Estate Attorney for Buying and Selling a Home Today
At SimpleLawTX, our Houston real estate attorney invests time and attention into each and every case. If you have any questions about buying or selling a home, we are here as a real estate law resource. Contact us today to set up a completely confidential, no obligation initial consultation. We handle residential real estate issues in Houston and throughout the wider region.
If you own a business and you operate out of a physical location, you will likely need to sign a commercial lease. In Texas, there are only limited regulations in place that protect commercial tenants. Instead, the lease itself provides the primary legal protection for business owners. Our Houston real estate lawyer knows the key clauses that every business owner should watch for in a commercial lease in Texas.
A Premises Clause
As a general rule, a commercial lease in Texas should contain a premises clause. That is to say that the lease should specify the property that is actually being rented (and is available for commercial use) for the tenant. That may sound simple, but it can become a serious problem if the lease is unclear about storage areas, patios, parking rights, signage areas, loading zones, common areas, utility rooms, roof access, or shared corridors. A business owner should confirm that the legal description, suite number, square footage, floor plan, and permitted access points match the actual business needs.
Term, Renewal, and Commencement Clause
A commercial lease in Texas should also clearly state when the term begins, when rent starts, and when the lease ends. These dates are not always the same. For example, a tenant may get early access for buildout before the rent commencement date. Renewal options should also be precise. The lease should state how and when the tenant must exercise the option, whether rent will be fixed or market-based, and whether the tenant loses the option after any default. It is crucial that there is no misunderstanding between the landlord and the tenant (business owner) on these issues.
Rent and Additional Rent Clause
Commercial rent is rarely limited to base rent. A Texas commercial lease may also require payment of taxes, insurance, common area maintenance charges, utilities, management fees, repair costs, trash removal, HVAC maintenance, security, and other expenses. The lease should define what counts as “additional rent.” In other words, your commercial lease should be very clear as to how much you owe in rent. Do not assume that it is straightforward. The amount of rent due under the terms of a commercial lease can be much more complicated than with a residential lease.
Operating Expenses and CAM Clause
Common area maintenance charges (CAM charges) can become one of the most expensive parts of a commercial lease. The clause should explain what expenses are included, what expenses are excluded, how the tenant’s share is calculated, and whether there is any cap on controllable operating expenses. A tenant should watch for capital improvements, administrative markups, reserves, landlord overhead, affiliate charges, legal fees, and expenses that benefit other tenants more than the tenant’s business. A strong lease gives the tenant the right to review backup documentation and challenge improper charges within a defined period.
Use Clause and Exclusive Use Clause
The use clause controls what the tenant may do in the space. A narrow use clause can create problems if the business expands, adds services, changes product lines, or pivots its operations. A restaurant, salon, medical office, gym, daycare, retailer, or professional practice should make sure the permitted use matches the actual business plan. In retail centers, an exclusive use clause may also be critical. For example, you may want to have some form of protection in place to ensure that a commercial landlord cannot rent an adjacent property to a direct competitor.
Repairs, Maintenance, and Buildout Clause
A lease should allocate responsibility for repairs and maintenance. The tenant may be responsible for interior repairs, fixtures, equipment, plumbing serving the premises, HVAC service, plate glass, doors, and janitorial work. The landlord may retain responsibility for structural components, roof, foundation, exterior walls, parking lots, and building systems.
Assignment and Sublease Clause
A business owner should pay close attention to transfer rights. An assignment transfers the tenant’s leasehold interest to another party. A sublease allows another party to occupy all or part of the premises under the tenant. Many commercial leases prohibit assignment or subleasing without landlord consent. The clause should state whether consent may be unreasonably withheld, whether transfers to affiliates are permitted, and whether a sale of the business or a change in ownership counts as an assignment.
Default, Lockout, and Remedies Clause
Default provisions are among the most important clauses in a Texas commercial lease. The lease should identify what counts as default, what notice is required, whether the tenant has a cure period, and what remedies the landlord may pursue. Texas law gives commercial landlords certain statutory tools, including lockout rights for delinquent rent if the statutory requirements are followed. Texas Property Code § 93.002 governs commercial lockouts.
Landlord Lien and Personal Property Clause
Texas law gives commercial landlords a statutory lien on certain tenant property for unpaid rent under Texas Property Code § 54.021. That means inventory, equipment, furniture, or other personal property located at the premises may become part of a rent collection dispute if the tenant falls behind. For business owners, this clause deserves careful review. The lease may expand, waive, subordinate, or contract around certain lien-related rights. It is crucial that you understand exactly what is required by your lease agreement.
We Help Business Owners in Texas Navigate Commercial Leasing
In Texas, a commercial lease is a critically important document. Every business owner needs to know the key provisions to watch out for. A properly drafted commercial lease should protect your rights and your interests. At SimpleLawTX, we are committed to doing right by our clients. Your initial consultation with our Houston commercial lease attorney is strictly confidential.
Contact Our Houston, TX Commercial Lease Agreement Lawyer Today
At SimpleLawTX, our Houston real estate lawyer has the knowledge, skills, and experience to help business owners navigate commercial leases. If you have any questions about an important clause in a commercial lease agreement, we can help. Contact us today to set up a completely confidential, no obligation initial consultation. Our firm handles commercial real estate matters for business owners in Houston, Harris County, and throughout Southeast Texas.
Brokerage representation can play a major role in a Texas real estate deal, especially when there is a lot of money on the line. A broker may help identify opportunities, market property, negotiate deal points, coordinate due diligence, and guide the transaction toward closing. At the same time, a broker’s duties (and their compensation terms) should be clearly understood before any listing agreement, buyer representation agreement, or commercial engagement is signed. A Texas real estate attorney can explain what you can reasonably expect from brokerage representation.
What is Brokerage Representation? (Texas Real Estate)
Brokerage representation is the relationship between a licensed Texas real estate broker and a client in a property transaction. A broker may represent a seller, buyer, landlord, tenant, or commercial party, depending on the written agreement. Along with other things, the broker’s role may include marketing property, identifying opportunities, preparing offers, communicating deal terms, coordinating inspections, and helping move the transaction toward closing. To be clear, brokerage representation does not replace legal counsel. Brokers can certainly assist with business negotiations. At the same time, an experienced Texas real estate attorney should review contracts, title issues, disclosure obligations, financing terms, and commission disputes.
Know the Law: Brokerage Representation in Texas
A Texas real estate broker does more than introduce a buyer and seller. In a residential, commercial, farm and ranch, or investment transaction, the broker may help value the property, identify prospects, prepare offers, coordinate negotiations, and manage communication between the parties. Texas law regulates that role through the Texas Real Estate License Act.
A person generally needs a broker license if they perform brokerage services for another person in exchange for a commission or other valuable consideration. Brokerage services can include selling, buying, leasing, exchanging, or negotiating real estate transactions. A broker who is not properly licensed does not have the authority to lawfully represent a party in this type of deal in Texas.
Written Representation Agreements Matter in Texas Real Estate Deals
A listing agreement, buyer representation agreement, or commercial brokerage engagement should spell out the broker’s authority. It is not an area for ambiguity. Among other things, the agreement should identify the property or target property type, the term of representation, the commission structure, any exclusivity rights, and the circumstances that should result in payment. Those details matter because disputes often arise after a broker claims that they procured a buyer, introduced an opportunity, or helped create the deal that later closed.
A strong agreement should also address renewals, extensions, protected prospects, off-market opportunities, and early termination. In commercial deals, the agreement may need special attention to lease renewals, expansion rights, purchase options, assignment rights, and later acquisitions by related entities. A vague agreement can create pressure at closing because the parties may disagree over whether the broker earned a fee.
Key Point: A written agreement for brokerage representation should be drafted and reviewed by an experienced Texas real estate attorney.
Brokers Can Help With Negotiation, But They are Not a Substitute for Legal Counsel
A broker may play a valuable role in negotiating business terms. Price, earnest money, inspection periods, financing deadlines, lease rates, tenant improvement allowances, repair credits, and closing timelines often move through the broker. That does not mean the broker should draft a legal strategy or give legal advice.
Texas real estate deals can raise legal issues that fall outside ordinary brokerage work. Examples include title defects, easements, deed restrictions, zoning problems, environmental concerns, entity authority, seller disclosure obligations, financing contingencies, mineral rights, agricultural classifications, right of first refusal provisions, and default remedies. A broker can help identify practical concerns. A Texas real estate attorney can evaluate the legal risk and revise the contract language before the client becomes locked into unfavorable terms.
Texas Law: Intermediary Representation Requires Special Care
There is an important caveat that Texas does not treat dual representation casually. A broker may act as an intermediary in certain transactions, but the law imposes specific requirements. Texas Occupations Code § 1101.559 allows a broker to act as an intermediary only with proper written consent. A written listing agreement or buyer representation agreement can provide that consent if it contains the required conspicuous language about prohibited conduct.
Broker Compensation is a Key Issue for a Written Agreement
Brokerage compensation is often treated as a closing detail. That is a mistake. The fee structure should be reviewed before the engagement begins and again before the purchase agreement, lease, or closing statement becomes final. In a sale, compensation may be a percentage of the purchase price, a flat fee, or another negotiated amount. In a commercial lease, the commission may be tied to base rent, renewal terms, expansion space, or option periods.
The agreement should also state when the commission is earned and when it is payable. Those are not always the same event. A broker may claim the fee was earned when a ready, willing, and able buyer was produced, when a contract was signed, or only when the transaction closed. The answer depends on the contract language and the facts.
A Texas real estate attorney can help review brokerage agreements, proposed transaction documents, commission provisions, and closing obligations before a dispute develops. In a major transaction, that review can prevent avoidable conflict over representation, authority, compensation, and deal control.
We Help Clients Navigate Real Estate Deals in Southeast Texas
A real estate transaction can be extremely complex. It is normal to have a lot of questions about your rights, your options, and how the process works. At SimpleLawTX, we are here to handle all of your legal needs related to real estate deals, including questions about brokerage representation. Your initial consultation with our Houston real estate attorney is strictly confidential and carries no additional obligations.
Get Help From a Top Texas Real Estate Lawyer Today
At SimpleLawTX, our Texas real estate attorney is a knowledgeable, experienced, and solutions-focused advocate for clients. If you have any questions about what you can expect from a brokerage that is representing you in a Texas real estate deal, we can help. Contact us today to set up a completely confidential, no obligation case evaluation. From our Houston law office, we provide real estate law representation throughout Southeast Texas.
