Contracts
In Texas, the effective date of a real estate contract is:
AThe date the buyer first signs the contract
BThe date the last party signs and the fully executed contract is delivered to and received by the other party✓ Correct
CThe closing date specified in the contract
DThe date the earnest money is deposited
Explanation
In Texas, the effective date is the date the broker receives the final acceptance of the contract—when the last party has signed and the fully executed contract has been communicated back. Many deadlines in the contract run from the effective date.
Related Texas Contracts Questions
- In a Texas real estate transaction, when a buyer defaults and the seller elects to terminate the contract and retain the earnest money, this is generally treated as:
- Under the TREC contract's environmental paragraph, the seller represents that they have no knowledge of conditions on the property that would violate laws. If this representation proves false, the buyer's remedy is:
- The TREC 'Buyer's Temporary Residential Lease' (also called a pre-closing occupancy agreement) allows the buyer to:
- A Texas seller's agent receives an offer well below the listing price while the seller is traveling. The agent should:
- TREC's Addendum for Sale of Other Property by Buyer allows the buyer to make the purchase contingent on the sale of their current home. If the seller receives another acceptable offer during this contingency period, the buyer typically has:
- In a TREC residential contract, if the buyer's lender-required repairs exceed the seller's agreed repair limit and the parties cannot agree, the buyer's remedy is typically:
- In Texas, a 'purchase option' agreement (not a simple option period) requires the optionor (seller) to hold the property available for purchase. During the option period:
- A Texas home under contract is damaged by a storm before closing. Under the TREC contract's property condition provisions, who bears the risk of loss?
Practice More Texas Real Estate Questions
1,500+ questions covering all exam topics. Start free — no signup required.
Take the Free Texas Quiz →