Texas 2025 - 89th Regular

Texas House Bill HB2422

Filed

2/4/25

Out of House Committee

Voted on by House

Out of Senate Committee

Voted on by Senate

Governor Action

Bill Becomes Law

Caption

Relating to seller's disclosures regarding water services for and water rights in residential real property.

Impact

If enacted, HB 2422 will significantly impact real estate transactions by ensuring that water-related rights and conditions are clearly communicated to buyers before a sale. The bill will standardize the disclosure process, making it mandatory for sellers of single-unit residential properties to provide structured documentation about the water rights relevant to their property. This change enhances the buyers' understanding of their rights and responsibilities, particularly in areas where water availability is a concern, such as those located in groundwater conservation districts.

Summary

House Bill 2422 addresses the issue of seller's disclosures regarding water services and water rights in residential real property within Texas. This bill amends the property code to require sellers to provide comprehensive information about groundwater and surface water rights associated with residential properties. Specifically, it mandates that sellers disclose whether groundwater or surface water rights are included in the property transfer and any water wells located on the property. This is aimed at enhancing transparency for potential buyers about the water rights that come with their prospective homes.

Contention

One notable point of contention that may arise from HB 2422 relates to the potential impact on property values and market dynamics. Critics may argue that imposing stringent disclosure requirements could create hesitation among sellers, thereby affecting sales timelines and property costs. Additionally, sellers may have concerns regarding liability if a disclosure proves to be incomplete or incorrect. Conversely, advocates of the bill believe that comprehensive disclosures on water rights will protect buyers, promote environmental responsibility, and potentially lead to more sustainable water management practices in residential developments.

Companion Bills

No companion bills found.

Previously Filed As

TX HB4917

Relating to seller's disclosures regarding flooding and other water-related issues with respect to residential real property.

TX HB4110

Property: land sales; seller disclosure statement; require to reflect yearly property taxes based on current assessed value of property. Amends sec. 7 of 1993 PA 92 (MCL 565.957).

TX SB1717

Relating to the terminology used in statute, resolutions, rules, and other state publications to refer to the partially landlocked body of water on the southeastern periphery of the North American continent.

TX SB171

Add questions about historical property to seller's disclosure statement.

TX HB2246

Relating to the terminology used in statute to refer to the partially landlocked body of water on the southeastern periphery of the North American continent.

TX SB1343

Income tax credit: sales and use tax paid: natural disasters.

TX S0658

Water Safety Requirements for the Rental of Residential and Vacation Properties

TX H0079

Water Safety Requirements for the Rental of Residential Property

TX HB618

Property; require any seller of real property to make certain disclosures regarding flood damage to such real property

TX HB3526

Relating to exempt wells that supply water for domestic purposes.