Closing Documents - Selling a House in North Texas

The Paper Trail of a North Texas Home Sale: Every Form You’ll Sign—And Why It Matters

When you buy or sell a house in North Texas, paperwork isn’t a nuisance—it’s the legal backbone that protects your money, your ownership rights, and your peace of mind. Texas uses its own state-specific contracts and closing rules that differ in key ways from those in other states, so it pays to know exactly what you’ll be asked to sign in Dallas, Collin, Tarrant, Denton, or any of the surrounding counties. Below is a practical, legally accurate tour of the documents you’ll encounter and how Lonestar Partners guides clients through each step.

1. The Purchase Contract (TREC 1-4 Family Residential Contract)

Texas license-holders must use standardized forms adopted by the Texas Real Estate Commission (TREC). For most resale homes, that means the “One-to-Four Family Residential Contract (Resale),” commonly called the TREC 1-4 form. It spells out the purchase price, financing terms, title policy who-pays-what, HOA disclosures, and important addenda such as the Lead-Based Paint Addendum for homes built before 1978. Licensees may fill in the blanks, but only an attorney can rewrite the language. trec.texas.gov

Earnest Money & Option Fee. Within three calendar days of the contract’s “Effective Date,” the buyer must deposit earnest money and a negotiated “option fee” with the title company. The option fee buys the buyer an “option period”—usually 5–10 days—during which the buyer may terminate for any reason and recoup the earnest money (the option fee itself is typically non-refundable). trec.texas.gov trerc.tamu.edu

2. Seller’s Disclosure Notice (TREC 55-0)

Under Texas Property Code §5.008, most single-family home sellers must give the buyer the statutory Seller’s Disclosure Notice no later than when the contract is executed. The current TREC form (09-01-2023) itemizes plumbing leaks, foundation repairs, roof age, previous flooding, and more. Failing to provide it on time gives the buyer an automatic right to terminate and reclaim earnest money—up to the day of closing. trec.texas.gov trec.texas.gov

(Tip: Newly-built homes and certain estate or foreclosure sales are exempt, but most existing-home deals in North Texas require the notice.)

3. HOA & POA Resale Certificate

If the property is in a mandatory homeowners association, Texas Property Code Chapter 207 requires the seller (often via the association) to deliver a resale certificate detailing assessments, bylaws, reserve studies, litigation, and violations. The association may charge a capped fee and must deliver the certificate within 10 business days of request. The HOA cannot later claim undisclosed amounts once the certificate is issued. statutes.capitol.texas.gov statutes.capitol.texas.gov

4. Title Commitment & Title Insurance

Texas uses promulgated title insurance rates and standardized commitment forms (Schedules A, B, C, D). The title company delivers the commitment within 20 days of the contract date unless extended. Schedule C lists liens, easements, or probate issues that must be cleared before closing. The commitment automatically converts into a policy when the deed records after funding. Good-funds rules require the title company to have collected funds before disbursing sale proceeds. tdi.texas.gov

Mineral & Water Rights. North Texas sits atop valuable shale plays, so pay attention to reservations in the commitment and deed. Sellers can reserve all or part of the mineral estate, and those rights run with the land unless expressly conveyed. daughtreylaw.com cainlawyers.com

5. The Deed: Transferring Ownership

At closing, the seller signs a deed that transfers title to the buyer and is recorded in the Dallas County Clerk’s office (or the county where the property lies). Common deeds include:

General Warranty Deed – promises clean title back to sovereignty of the soil.
Special Warranty Deed – warrants only against title defects arising while the seller owned the property (typical in North Texas resales and new-home sales by builders).
Quitclaim Deed – conveys whatever interest the grantor has, with no warranties; rarely used in arm’s-length sales because it offers buyers little protection.

Choosing the wrong deed can expose a seller to unintended liability or deprive a buyer of recourse. thetituslawfirm.com texaspropertydeeds.com investopedia.com

6. The Promissory Note & Deed of Trust (Financing Documents)

Texas is a deed-of-trust state. When a buyer borrows money, two crucial documents are signed:

Promissory Note – the borrower’s promise to repay, stating loan amount, term, interest rate, and penalties.
Deed of Trust – pledges the property as collateral and names a trustee who can foreclose non-judicially if the borrower defaults.

Unlike judicial-foreclosure states, a Texas trustee may post the property for the first Tuesday of the month after giving statutory notices—one reason lenders favor Texas collateral.

7. Closing Disclosure (CD) & Texas Disclosure (Form T-64)

Federal law (TRID) requires the lender to issue a Closing Disclosure at least three business days before consummation. In Texas, the settlement agent must also prepare the Texas Disclosure (Form T-64) to itemize title premiums separately from other fees. Review both carefully—especially prorations for property taxes (which can be high in Dallas County) and HOA dues. nationalaglawcenter.org

8. Power of Attorney (Statutory Durable or Specific)

If a party can’t attend closing, Texas allows a notarized Statutory Durable Power of Attorney or a limited (transaction-specific) power. Most title companies require the original POA to be recorded with the deed, and some lenders will not permit a POA at all, so coordinate early.

9. The Closing & Funding Process

Signing day is closing, but in Texas you don’t own the home until the file funds. After all parties sign:

The title company scans the signed package to the lender for approval.
The lender wires funds or authorizes “table funding.”
The title company verifies good funds—wire, cashier’s check, or ACH in some cases—before disbursing.
The deed and deed of trust are e-recorded. Only then are keys released.

Dallas-area recordings are often confirmed within hours, but end-of-month volume or late Friday closings can delay possession until the next business day. texasnationaltitle.com mortgagemark.com

Optional (But Common) Addenda and Documents

Third-Party Financing Addendum – spells out loan approval deadline.
Lead-Based Paint Addendum – required for pre-1978 constructions.
Septic, Water Well, or Floodplain Notices – triggered by property features.
Intermediary Disclosure – if one brokerage represents both parties.
Temporary Lease – if either side needs to occupy after closing.

How Lonestar Partners Streamlines the Paperwork

Even seasoned investors can feel buried by the 100-plus pages that land on a North Texas closing table. Lonestar Partners takes a proactive approach:

Contract-to-Close Coordination
Our transaction managers track every deadline—option-period inspections, appraisal, loan approval, and HOA resale certificate delivery—using automated reminders and hands-on calls.
Closing Day & Beyond
We review the CD line-by-line, confirm payoffs, and stay at the title office until we see the funding number hit the wire. After recordation, we deliver digital copies of the deed, note, warranty, and policy for your records.

Because we work closely with Dallas-Fort Worth’s leading title companies and real-estate attorneys, we can flag issues—like unreleased liens or mismatched names—days before they derail a closing.

The Bottom Line

Buying or selling real estate in North Texas is more than swapping keys for a check; it’s a legally intricate transfer of wealth, governed by Texas-specific statutes, contract forms, and closing customs. Missing a disclosure deadline, using the wrong deed, or overlooking mineral reservations can cost you thousands—or worse, land you in court.

Lonestar Partners is committed to making sure every signature you place adds certainty, not risk. Whether you’re a first-time buyer in Frisco or a seasoned seller in Oak Cliff, our licensed agents and preferred attorneys will:

Explain each form in plain English
Coordinate inspections, surveys, and HOA paperwork
Monitor lender milestones so funding isn’t delayed
Protect your interests from contract to closing table

Ready to move forward with confidence? Call Lonestar Partners at 469-689-4663, or fill out the form below, for a no-obligation consultation, and let us turn your mountain of paperwork into a smooth North Texas closing.