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📍 Dallas, TX • 🏷️ Legal & Seller Disclosure

selling a house as-is in dallas tx with past plumbing leak mold - what is legally required on the texas seller disclosure?

marcus_title_tx Escrow & Title Closer

Dallas, TX • Posted 1 week ago

posting this scenario from a recent closing in dallas county: a homeowner is listing a 1995 home in plano 'as-is'. two years ago, they had a major water leak behind the master bathroom shower that caused black mold on drywall and floor studs. the owner hired a local handyman who tore out the drywall, sprayed bleach, and put up new tile, but no official remediation permit or mold clearance test was ever performed. the seller believes that checking 'as-is' on the TREC contract exempts them from disclosing the past leak. what are the legal disclosure requirements under texas law, and what documentation protects the seller from buyer lawsuits after closing?

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Antonio Lead Specialist • IICRC Certified

Technical Standards Division • Answered 1 week ago

Direct Answer: Selling a home 'as-is' under standard Texas Real Estate Commission (TREC) contracts does not exempt property owners from mandatory latent defect disclosure under Section 5.008 of the Texas Property Code.

Under the Texas Deceptive Trade Practices-Consumer Protection Act (DTPA), failing to disclose known historical water damage or concealed fungal growth exposes the seller to treble damages (3x actual damages) and mandatory buyer legal fees. Civil courts consistently rule that 'as-is' clauses only apply to visible open conditions, not concealed environmental hazards known to the seller.

Here is how Texas property owners establish complete legal safe harbor protection:

1. Written Disclosure on Form TREC OP-H: The seller must explicitly check 'Yes' under Section 4 for previous water penetration, plumbing leaks, and toxic mold history.
2. Texas Certificate of Mold Remediation (TDI Form MDR-1): In Texas, licensed remediation contractors must issue a formal Certificate of Mold Remediation (CMDR) within 10 business days of passing independent Post-Remediation Verification (PRV) testing.
3. Statutory Legal Presumption: Under Texas Insurance Code § 544.453, delivering a valid Form MDR-1 creates a statutory legal presumption that the property was fully restored to clean Condition 1 ecology, barring subsequent buyers from claiming undisclosed damage.

If uncertified repairs were done in the past, have an independent licensed assessor perform a non-destructive thermal cavity inspection and air clearance report before listing. Connect with licensed specialists through Emergency Mold Inspection or call our Dallas dispatch center 24/7 at (844) 595-2972.

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jennifer_realtor_fl Licensed Florida Realtor

Replied 6 days ago

same exact principle in florida under the johnson v. davis supreme court doctrine. sellers often think 'as-is' means 'i can hide whatever i want.' it doesn't. if the buyer moves in and finds elevated mold in that shower cavity, their attorney will subpoena water bill history, plumbing invoices, and contractor records. full disclosure with an official clearance certificate is the only way to sleep peacefully at night.

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mark_d_tampa Verified Homeowner

Replied 5 days ago

as someone currently selling a house, i can confirm that buyers are hyper-sensitive to any smell or patch in bathrooms. getting the official air test and certificate upfront removes all the buyer anxiety and stops them from asking for huge escrow discounts.

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selling a house as-is in dallas tx with past plumbing leak mold - what is legally required on the texas seller disclosure?

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