The purpose of this course is to communicate recent updates, changes, and addendum to laws, regulations, legal definitions, and forms as they apply to real estate practice in the state of Texas. Because judicial interpretation provides the effective enforcement of these changes, a section containing several case studies is included in the course in order to illustrate the law in action in contemporary practice.

In addition to learning about the recent changes in the legal environment of real estate, students will learn about the blurred distinctions between legal and unethical practices. Since this distinction can be difficult to interpret, understanding the dangers involved in the practices discussed in Section 5 will help students to avoid potential legal pitfalls.

Learning Objectives

• Explain changes to the Real Estate License Act (TRELA) in 2007.
• Name commission adopted limited warranties affecting builders.
• Demonstrate the manner in which licensees should advise clients when mineral rights may be at issue in residential transactions.
• Explain why an option to buy is now an executory contract under law.
• Explain the legal acceptance of electronic records and signatures resulting from the Uniform Electronic Transactions Act (UETA).
• Identify common mistakes made in completing contractual forms.
• Recall recent case law, describing the significance of court rulings.
• Distinguish between mortgage fraud, sub-prime lending, and predatory lending and how their impact affects the real estate market.
• List revised contractual forms and their substantive changes.