Big Changes for Texas Realtors: Contracts, Agency and Water!

Are you prepared for the May 2026 Texas contract rollout?In Episode 120 of The Closing Table with Lawyers Title, Tamera Gaede and Melissa Hailey provide an essential roadmap through the latest TREC and Texas Realtors updates. From the official definition of "Legal Holidays" to the radical restructuring of how broker compensation is handled in the One-to-Four Family Residential Contract, this episode is mandatory viewing for any practitioner looking to stay compliant and protect their commission.In this episode, you’ll discover:✔️  The Compensation Shift: Why broker-to-broker compensation is being removed from the contract and how Paragraph 12 has been completely reimagined.✔️  The FinCEN Impact: New federal requirements (20 B) for cash transactions involving LLCs or Trusts aimed at anti-money laundering.✔️  Imputed Notice Lawsuits: How two Houston cases changed Paragraph 21 forever to ensure legal notices actually reach the party.✔️  The "Water Drama" Disclosure: A new mandatory two-page disclosure regarding groundwater and surface water rights.✔️  Texas Representation Law: Why it is now state law (not just an NAR rule) that you must have a written agreement before showing a home.Connect with the Lawyers Title Team: Stay ahead of these changes with our May contract classes! Visit: https://dfw.ltic.com/Chapters00:00 – Texas Contract Changes 202601:45 – Effective Dates: May 4, 202602:20 – Defining "Legal Holiday" (Texas Government Code)03:35 – Generators: Now a Contractual "Improvement"04:45 – Paragraph 12 Overhaul: The End of Broker-to-Broker Comp07:15 – "Freedom of Contract": Buyers paying Seller fees?10:40 – FinCEN & 20 B: New Rules for Cash LLC/Trust Deals13:15 – Paragraph 21 & Imputed Notice: Lessons from Houston Lawsuits18:20 – Paragraph 22: New Formatting for Form Attachments19:40 – Page 10 Changes: Intermediary & Compensation Removal20:45 – Water Rights: Groundwater & Surface Water Disclosures24:50 – The Shared Well Problem: Why this disclosure exists29:40 – The Death of Subagency: New Texas Representation Law31:40 – Level 1 to Level 3: The Unrepresented Showing Form35:10 – Seller’s Disclosure Update: Recommendations from the Sunset Commission37:30 – Closing Thoughts & May Class Schedule