The Texas Real Estate License Act (TRELA) requires a broker to disclose what to potential buyers?

The Texas Real Estate License Act (TRELA) places a significant emphasis on the responsibility of brokers to foster transparency and fairness in real estate transactions. The requirement for brokers to disclose known negative material facts about a property is fundamentally rooted in the principles of honesty and integrity in dealings with potential buyers.

When a broker is aware of negative material facts—such as structural issues, environmental hazards, or other significant problems that could affect a buyer's decision—they have a legal and ethical obligation to inform prospective buyers of these issues. This disclosure ensures that buyers are fully informed and can make decisions based on a clear understanding of the property's condition, which ultimately supports a fair and trustworthy real estate market.

This obligation helps protect the interests of buyers and maintains the integrity of the real estate profession. By being transparent about known negative aspects, brokers fulfill their duty to their clients and contribute to the overall trustworthiness of the real estate industry.