Contracts
In a Texas residential purchase, the buyer hires an inspector who discovers the HVAC system has a defective heat exchanger. The buyer notifies the seller. Under the TREC contract (without a specific repair term agreed), the buyer may:
ADemand the seller replace the entire HVAC system
BUse the option period right to terminate (if within the option period) or negotiate a repair, credit, or price reduction✓ Correct
CRequire TREC to resolve the repair dispute
DAutomatically receive a reduction in the purchase price
Explanation
Inspection findings during the option period give the buyer and seller an opportunity to negotiate. The buyer can use their unrestricted right to terminate under the option, or negotiate repairs, closing cost credits, or a price reduction. Neither party is legally required to agree to the other's terms—if they cannot agree, the buyer may terminate (if within the option period) or proceed as-is.
Related Texas Contracts Questions
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