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Acronym: 
Executive

From the Chair - Inspector Committee - October 2021

The Texas Real Estate Inspector Committee met on October 11 via videoconference.  There was not much on the agenda as the committee has covered a lot of ground the last couple of years.  There was a discussion about the new Property Inspection Report Form (REI 7-6) that will be required to be used as of February 1, 2022.  There is a new section in that report form for Gas Distribution System and Gas Appliances.  There was a concern that there might be confusion on where to put deficiencies in gas appliances, such as the water heater, HVAC, etc., since those are specified in other locations

Escalating to Trouble

There may be instances where a client wants to add language to a real estate contract. In a “hot market,” it is not uncommon for a buyer to want an escalation clause added to the contract (for example, language stating the buyer will pay “X amount more than the highest offer if other offers are present”). Typically, an escalation clause such as this will be added to “Paragraph 11, Special Provisions” (which is reserved for factual statements and business details) of the One to Four Family Residential Contract, but it might also be drafted as an addendum to the contract.