Texas REALTORS® posted proposed form updates, including three new forms, for comment until April 30. These updates include the removal of broker-to-broker compensation in the Residential Listing Agreement Exclusive Right To Sell (TXR 1101), as well as several updates that align with changes that TREC has proposed to their forms. If adopted, Texas REALTORS® expects to make the final revised and new forms available to members in early summer 2026.
Details of all the proposed changes are below. Comment at links on the following pages.
See the proposed new forms.
See the proposed form revisions.
Residential Real Estate Listing Agreement Exclusive Right to Sell (TXR 1101)
Generators added to the list of Improvements in Paragraph 2B to ensure consistency with TREC forms
Removed the option in Paragraph 5 for broker-to-broker compensation
Added an option in Paragraph 5 for additional compensation to the seller’s broker when the buyer is unrepresented
Updated section references as necessary to reflect the foregoing changes
Removing broker-to-broker compensation simplifies transactions, reduces liability, and better aligns with the removal of broker compensation from the MLS and proposed changes to the TREC contracts. Read more.
Named Exclusion Addendum to Listing (TXR 1402)
Removed references to paragraph numbers in the listing agreement to ensure compatibility with all Texas REALTORS® listing agreements
Exclusive Agency Addendum to Listing (TXR 1403)
Removed references to paragraph numbers in the listing agreement to ensure compatibility with all Texas REALTORS® listing agreements
Amendment to Residential Listing Exclusive Right to Sell (TXR 1404)
Changed the title from Amendment to Listing to Amendment to Residential Listing Exclusive Right to Sell to specify use with the Residential Real Estate Listing Agreement Exclusive Right to Sell (TXR 1101)
Added notice that this form TXR 1404 shall only be used to amend TXR 1101
Aligned language with proposed changes to Paragraph 5 of TXR 1101
Removed all references to TXR 1201 as changes to TXR 1201 will be made using a proposed new form TXR 1422
Due to the variations among listing agreements, each listing agreement will have a unique amendment form.
Seller’s Disclosure Notice (TXR 1406)
To reduce confusion, Cooktop and Range/Stove have been combined in Section 1
Added a table header at the top of Pages 2 & 3 for additional clarity
Included other as option to clarify that disclosure of all diseased trees should be made and not just those affected by oak wilt
Added additional conditions of the property in Section 3 to align with those that TREC has proposed adding to the TREC Seller’s Disclosure as recommended by the Sunset Commission, including the presence of conservation easements, private road(s) on or adjoining the property, and additional disclosures relating to aboveground and underground storage tanks
Added Alkali-Silica Reaction (ASR) aka “Concrete Cancer” in Section 3
Moved Section 5 to Section 8 and added a new Section 5 for disclosure all insurance covering the property, including whether the seller has been unable to insure the Property to align with additional disclosures that TREC has proposed adding to the TREC Seller’s Disclosure as recommended by the Sunset Commission
Rearranged Section 10 (formerly Section 8)
Added additional explanations to Section 11 (formerly Section 9) to clarify that disclosure of inspections includes evaluations of systems such as the roof, HVAC, plumbing, electrical, and pool, as well as other specialized inspections; removed the table as the information is included in any inspection reports provided; provided a blank for seller to disclose the number of reports provided; added a statement notifying the seller of the legal requirement to disclose known material facts and defects
Added a space to disclose the property’s security system provider and phone number, if any
Buyer/Tenant Representation Agreement – Long Form (TXR 1501)
Added a statement in Paragraph 3C emphasizing that Market Area should be completed and not left blank
Added language to clarify that attending an open house or a property showing without their broker does not violate client’s obligations to the broker
Reworded Paragraph 7C Source of Compensation for clarity
Updated numbering in Paragraph 7D for consistency
Removed Paragraph 7E, as it is no longer necessary following the removal of broker-to-broker compensation from the residential listing agreement
General Information and Notice to Consumers (TXR 1506)
Additions include:
A notification in the compensation paragraph that a broker may pay or receive a referral fee to or from another broker
A paragraph explaining solar power systems
A disclaimer that the information is a general reference for consumers and not legal advice
Minor updates to language and formatting for consistency and clarity
Residential Buyer/Tenant Representation Agreement – Short Form (TXR 1507)
Added a statement in Paragraph 3C emphasizing that Market Area should be completed and not left blank
Capitalized Market Area throughout as it is a defined term and for consistency with other forms
Added language to clarify that attending an open house or property showing without their broker does not violate client’s obligations to the broker
Reworded Paragraph 7C Source of Compensation for clarity
Updated compensation disclosure for consistency with other forms
New Residential Condominium Contract (Completed Construction) (TXR 1608)
The following changes have been made to align with proposed changes to TREC contracts:
Changed option fee, earnest money, and contract to lowercase throughout
Added definition of Legal Holiday in Paragraph 5A(2)
Moved description of all attached addendums and notices in Paragraph 6 to Paragraph 22
Added new seller’s disclosure about groundwater and surface water rights in Paragraph 7J to meet the new Water Notice disclosure obligation promulgated by TREC
Updated Paragraph 8 disclosure and removed statement regarding brokers’ fees
Revised Paragraph 12: (a) Paragraph 12A is now limited to buyer and seller expenses other than brokerage compensation; (b) brokerage compensation is now addressed in Paragraph 12B; (c) buyer now has the option to contribute toward seller’s brokerage compensation; (d) Paragraph 12C has been reworded for clarity
Added disclosure in Paragraph 20 regarding governmental reporting requirements, including designating them as a buyer expense
Revised Paragraph 21 to permit notices by overnight courier and delivery to either the other party or their agent (previously limited to the other party)
Reorganized Paragraph 22 and added notices, in addition to addenda, that are part of the contract
Reorganized Broker Information page and moved intermediary information to its own section
Removed disclosure relating to broker-to-broker compensation at the bottom of page 12
New Residential Condominium Contract (Incomplete Construction) (TXR 1609)
The following changes have been made to align with proposed changes to TREC contracts:
Changed option fee, earnest money, and contract to lowercase throughout
Added definition of Legal Holiday in Paragraph 5A(2)
Moved description of all attached addendums and notices in Paragraph 6 to Paragraph 22
Added new seller’s disclosure about groundwater and surface water rights in Paragraph 7K to meet the new Water Notice disclosure obligation promulgated by TREC
Updated Paragraph 8 disclosure and removed statement regarding brokers’ fees
Revised Paragraph 12: (a) Paragraph 12A is now limited to buyer and seller expenses other than brokerage compensation; (b) brokerage compensation is now addressed in Paragraph 12B; (c) buyer now has the option to contribute toward seller’s brokerage compensation; (d) Paragraph 12C has been reworded for clarity
Added disclosure in Paragraph 20 regarding governmental reporting requirements, including designating them as a buyer expense
Revised Paragraph 21 to permit notices by overnight courier and delivery to either the other party or their agent (previously limited to the other party)
Reorganized Paragraph 22 and added notices, in addition to addenda, that are part of the contract
Reorganized Broker Information page and moved intermediary information to its own section
Removed disclosure relating to broker-to-broker compensation at the bottom of page 12
Buyer’s Walk-Through, Confirmation, and Acceptance Form (TXR 1925)
Added clarification that sight unseen refers to a property not physically viewed in person
Residential Contract Critical Date List (TXR 1958)
Changed federal reserve bank holiday to Legal Holiday and added definition of Legal Holiday to bring into alignment with TREC’s new proposed definition of Legal Holiday
Wire Fraud Warning (TXR 2517)
Changed Buyers and Sellers to Consumers in the title and signature lines to allow the form to be used across a broader range of transaction types
Proposed New Forms:
Property Condition Statement (TXR 1421)
New form for the seller to disclose conditions affecting the property
This form may be used in addition to, or in transactions where the seller is not required to provide, the notice described in §5.008 of the Texas Property Code
Amendment to Farm and Ranch Listing Exclusive Right to Sell (TXR 1422)
New form specifically for use to amend the Farm and Ranch Real Estate Listing Agreement Exclusive Right to Sell (TXR 1201)
Previously, amendments to the farm and ranch listing agreement TXR 1201 were made using TXR 1404
Due to the variations among listing agreements, each listing agreement will have a unique amendment form
Compensation Agreement Between Brokers Farm and Ranch (TXR 2406)
New form specifically for use in farm and ranch transactions when the seller has authorized the listing broker to share compensation with a cooperating broker, establishing that arrangement through a written agreement between brokers
Previously, a listing broker who had already agreed to share compensation with a cooperating broker would indicate that agreement using the Compensation Agreement Between Brokers (TXR 2402)
Proposed Forms to be Retired
Seller’s Notice to Buyer of Removal of Contingency Under Addendum for Back-Up Contract (TXR 1913)
TREC has proposed a new form, Addendum for “Back-Up” Contract (TREC 62-0), which, if adopted, will make this form unnecessary
Compensation Agreement Between Brokers (TXR 2402)
This form is being retired to align with the removal of broker-to-broker compensation from the Residential Real Estate Listing Agreement Exclusive Right to Sell (TXR 1101)
Retiring this form will help reduce confusion and encourage the parties to use Paragraph 12 of the contract to negotiate compensation contributions from the other party
Although broker-to-broker compensation is not illegal, it will not be an option in the Texas REALTORS® residential listing agreement