Important Contract Dates
The standard Texas Real Estate Commission (TREC) One to Four Family Residential Contract has many dates listed that will need to be followed by both parties. The contract is very clear on the obligations both parties have to perform by the dates and it's critical they're followed.
Here's a look at the dates in the Standard TREC One to Four Family Residential Contract (Resale) in the order they appear on the contract. As you read through the contract you'll see that many of these dates are based on the "Effective Date of the Contract." The Effective Date is addressed further down and doesn't show up on the contract until page 8 of the contract.
Section 5. EARNEST MONEY
If an additional earnest money deposit is required, the time that it is due is listed in this section.
Section 6. TITLE POLICY AND SURVEY
B. COMMITMENT - The title company has 20 days to furnish the buyer a commitment for title insurance. This section also goes into detail about extensions given to the title company if they can't deliver a title commitment within 20 days after they've received the contract.
C. SURVEY - One of the three boxes in this section will need to be checked and both parties will negotiate a set amount of time to fulfill this part of the contract.
D. OBJECTIONS - If the Buyer has any allowable objections to the title documents, this section explains the time period to object and the time period to remedy.
B. SELLER'S DISCLOSURE NOTICE - The second box provides a time for both parties to negotiate the delivery of the disclosure if one is not provided in advance. (See our post about the Seller's Disclosure Notice Here.)
F. COMPLETION OF REPAIRS AND TREATMENTS - These must be completed by the closing date unless another written agreement has said otherwise. If the repairs aren't made, this paragraph gives alternatives.
9.CLOSING - The Closing Date is listed in this paragraph.
13. CASUALTY LOSS - In the event there is a "Casualty Loss" damage to the property after the contract effective date, the timeline to remedy the damage is listed in this section.
23. TERMINATION OPTION - The termination option is the unrestricted right for a buyer to terminate the contract by a given date when they pay a fee to the seller for this option. Many buyers will perform their inspection during the option period.
PAGE 8 - EFFECTIVE DATE - This date is only filled in when there are no more changes to make to the contract and everyone is in agreement and has signed and/or initialed any changes to the original offer. The last party to sign and/or initial is the party that fills in this date. At this time, contract acceptance must be communicated to the other party.
Here's how it appears on page 8 of the contract:
Other forms that may be needed in a contract have dates that are important as well. It's critical to thoroughly read any contract forms and be clear on the responsibilities of each party and their respective deadlines.
This content is for informational purposes only and is not intended to be specific advice for your real estate transaction. If you would like the guidance of a Realtor who can give you specific advice for your particular real estate transaction, CONTACT US and let us know you'd like to upgrade your listing package to Full Representation. If you have already paid for a listing package, that money will be reimbursed to you upon the closing of your home with CrestEdge Real Estate LLC.