After you’ve closed on your home, your friends or family may ask, “How much did you pay for it?” While it’s easy to brush off your uncle as being nosy, what do you do if a government agency asks you for that same information? Did you know that you actually aren’t required to give that information out?
Texas is one of a handful of states that are considered “non-disclosure” states. This means there is no law that allows the state government, including appraisal districts, to force you to provide it with sales price information.
So what do you do when you get a request that looks official, asking for this information? The truth is, you don’t have to do anything. There is no penalty for declining to share sold information and you may disregard any requests to do so.
Of course, in the excitement of buying a home, you will be faced with a lot of paperwork regarding the transaction. You’ll also receive a lot of other information in the mail for various services and offers. Sometimes one of these items may ask for the sales price of your home. But ask your REALTOR® for advice on how to handle it.
Why would you be contacted for this information in the first place? This has long been a debate in legislative sessions. For decades, Central Appraisal Districts, cities, and counties have argued for full disclosure of all real estate sales prices to establish the value of real property in Texas. This includes residential, commercial, industrial, raw land, and farm and ranch. However, there are numerous problems with basing taxable value on the sales price of real estate. In many cases, these entities do not consider seller concessions, which can lead to artificially high tax-appraisal values in the year of purchase and beyond. There is also a problem with subdivisions that feature unequally sized lots or custom-built homes.
The Texas Legislature has consistently argued that expanding government intrusion into the private lives of Texans is not an option. In other words, Texas will continue to remain a non-disclosure state.
Any time you have a question about what to do when you receive a request to disclose your home’s sales price, your best bet is to turn to a local REALTOR® as your resource. A REALTOR® will be able to guide you not just in the buying process, but also afterward as a homeowner. A REALTOR® works in this market every single day, and is up to date on the latest forms, legal requirements, and procedures you will need to know when buying or selling a home. They are your best, most professional resource, pledged to uphold a higher standard through the REALTOR® Code of Ethics. Let your REALTOR® help you throughout the transaction, as well as after, so your questions are answered and you are secure in your decisions.
To learn more about sales price disclosure requirements, or to get help buying, selling, or renting in San Antonio and the surrounding areas, visit SABOR.com, where you will find the most up-to-date property search tools and much more.