A property in Texas is located within a mandatory homeowner's association. Under TREC rules, which addendum must be included in the contract?
Correct Answer
D) The Addendum for Property Subject to Mandatory Membership in a POA
The TREC Addendum for Property Subject to Mandatory Membership in a Property Owners Association must be included when the property is subject to mandatory HOA membership. This addendum addresses HOA fees, assessments, and the buyer's right to review HOA documents.
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Related Topics & Key Terms
Key Terms:
Related Concepts
A bilateral contract is an agreement in which both parties exchange promises and are both obligated to perform, while a unilateral contract is one in which only one party makes a promise and the other party is not obligated to act.
A breach of contract occurs when one party fails to perform their obligations under the contract without a legal excuse. The non-breaching party is entitled to legal remedies including damages, specific performance, or contract rescission.
Consideration is something of value exchanged between parties to a contract, making the agreement legally binding. It can be money, a promise to act, a promise to refrain from acting, or anything else of value.
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