The disclosure is mandatory in Texas, for residential property, except for a sale:
(1) under a court order or foreclosure sale;
(2) by a trustee in bankruptcy;
(3) to a mortgagee by a mortgagor or successor in interest or to a beneficiary of a deed of trust by a trustor or successor in interest;
(4) by a mortgagee or a beneficiary under a deed of trust who has acquired the land at a sale conducted under a power of sale under a deed of trust or a sale under a court-ordered foreclosure or has acquired the land by a deed in lieu of foreclosure;
(5) by a fiduciary in the course of the administration of a decedent's estate, guardianship, conservatorship, or trust;
(6) of only a mineral interest, leasehold interest, or security interest; or
(7) to or from a governmental entity.
The Texas disclosure form is no different than in any other State: Useless.
Define ‘defect’. Any form that simply asks ‘yes/no/unknown’ to ‘any defects or malfunctions’ is open to owner interpretations. The owner simply doesn’t see a defect or malfunction or simply never looked can say, ‘no’ or ‘unknown’. That leaky dishwasher? Never knew. The attic insulation full of vermin poop, never looked. That sliding glass door that leaks, never noticed. That drain that is clogged, didn’t see that as a problem. The fridge that doesn’t keep thing cold, it is cold enough. Electrical problems, never knew, seller isn’t an electrician.