Texas 2021 - 87th Regular

Texas Senate Bill SB461

Caption

Relating to a seller's disclosure of the location of certain real property in a floodplain.

Impact

The implications of SB461 are significant for the real estate market, particularly in flood-prone areas. By necessitating the provision of a written notice that not only confirms the presence of a floodplain but also includes supporting documentation such as elevation certificates or flood maps, the bill aims to improve buyer awareness and promote informed decision-making. Moreover, it grants purchasers the right to seek damages from sellers if they fail to deliver the required disclosures and subsequently experience flooding within five years of the purchase, further incentivizing sellers to comply with these disclosure requirements.

Summary

SB461 aims to enhance transparency in real estate transactions related to properties situated in floodplains. Specifically, the bill mandates that sellers of real property measuring less than 15 acres, provided they do not have any residential structures on them at the time of sale, must disclose to potential buyers whether any part of the property lies within a floodplain. This requirement is intended to protect purchasers from unexpected liabilities arising due to flooding, ensuring they are well-informed prior to committing to a purchase.

Contention

While the intentions behind SB461 are commendable, there are potential points of contention regarding the feasibility and financial implications of such disclosures. Opponents may argue that the requirements could create additional burdens on sellers, particularly smaller property owners, potentially leading to hesitancy in the market. Additionally, concerns might arise regarding the accuracy of the provided documentation and the potential for disputes over floodplain boundaries, which could lead to legal challenges. Thus, while SB461 aims to safeguard buyers, it may also necessitate careful considerations regarding its implementation.

Companion Bills

TX HB1059

Same As Relating to a seller's disclosure of the location of certain real property in a floodplain.

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