Who must notify a buyer in writing of the importance of getting an abstract examined by an attorney of the buyer's choice or obtaining an owner's title policy prior to closing?

Real estate license holder

The answer is REAL ESTATE LICENSE HOLDER. When an offer to purchase real estate is signed, a license holder shall notify each buyer in writing that the buyer should have the abstract examined by an attorney of the buyers choice or for the buyer to obtain an owners title policy (TRELA Section 1101.555). Failure to do so negates a brokers ability to bring a civil suit for recovery of the commission (TRELA Section 1101.806(d)). Failure to do so by the closing date is cause for suspension or revocation of a license (TRELA Section 1101.652(b)(29)). Note: All TREC promulgated forms already carry that written notice, and TAR has protected its members by including the notice in commercial sales contracts it provides for them. TAR also includes the statement in its buyer representation agreement form so that if a contract form is being used such as a HUD contract, a builders contract, or a commercial owners contract, none of which contain the statutorily required warning, the buyer broker will still have this base covered if he used the TAR buyer rep agreement. Non-REALTOR® licensees should take special precautions to ensure they give this written notice when using contract forms not promulgated by TREC. TREC has a separate optional (not promulgated) form for this purpose (TREC NO. OPC).