How long do I have to review the resale certificate before I can back out?

Under Chapter 82, you may rescind the purchase contract within a set period after receiving the resale certificate and all required documents. Check your contract and the certificate for the specific deadline — the rescission window is your primary legal protection as a buyer, and it does not extend indefinitely.

Does a Texas condo association have to maintain a reserve fund?

No. Texas law does not require condominium associations to fund or study reserves. Whether a reserve account exists, and how much is in it, is determined by the association's own bylaws and board decisions. Always check the current budget to understand the reserve funding level before buying.

What is the maximum fee a Texas condo association can charge for a resale certificate?

As of September 2025, SB 711 capped the fee at $375. If you are charged more than that amount, the association is out of compliance with state law.

Is it true that if the management certificate is filed late, the association can't charge attorney fees?

Yes. SB 711 provides that if a management certificate is not filed on time with the county clerk, the association cannot recover attorney fees in an enforcement or collection action against an owner. This is both a consumer protection and a signal about the association's administrative competence.

Texas condos are not subject to Chapter 209 — what law applies instead?

Condominium associations in Texas are governed by Chapter 82 (the Uniform Condominium Act), not Chapter 209, which applies to single-family residential property owners' associations (HOAs). The two regimes have different disclosure rules, lien procedures, and governance requirements. Make sure you know which chapter governs your community.

I'm buying in Houston near the coast. What extra documents should I request?

Ask for the association's master insurance declaration page and confirm whether wind/storm coverage is through a private carrier or TWIA (the Texas Windstorm Insurance Association). Review the deductible structure — a 5 percent wind deductible on a $10 million insured building means $500,000 in association exposure before insurance pays. Also look for any post-storm assessment history in the meeting minutes.

Texas guide

Texas condo document review

Before you close on a Texas condominium, state law gives you the right to request a specific set of documents — and a narrow window to review them. The Texas Uniform Condominium Act (Chapter 82, Texas Property Code) governs what the association must disclose and what the seller is required to provide.

SB 711 (2025) requires 60+ unit associations to publish governing documents. The mandate is uneven — verify before you close.

Get My Free Risk Report Find a Real Estate Lawyer

Risk Intelligence

Get Your Free Condo Risk Report

Get My Free Risk Report

Expert Matching

Need a real estate lawyer or mortgage specialist?

Texas urgency: SB 711 (2025) requires 60+ unit associations to publish governing documents. The mandate is uneven — verify before you close.

Unlike Florida, Texas imposes no statutory reserve requirement, so the financial health of the community depends almost entirely on what you uncover in the documents themselves.

What Texas law requires sellers to provide

Under Chapter 82, a seller of a condominium unit must furnish the buyer with a resale certificate issued by the association. As of September 2025, Senate Bill 711 capped the fee an association can charge for that certificate at $375. The certificate must include current assessment amounts, any outstanding violations on the unit, pending litigation involving the association, and a statement of the association's current budget. You have a rescission period after receiving the certificate — review it carefully because waiving that window means you accept the unit's financial position as-is.

The document package to request beyond the certificate

The resale certificate alone is not enough. Ask the seller or association for the full governing document package: the declaration of condominium (the master deed), the bylaws, all rules and regulations, the most recent annual budget, the current year's financial statements, and the minutes from the last twelve months of board meetings. SB 711 (effective September 2025) also requires associations with 60 or more units to maintain a public-facing website where governing documents must be posted. If the association you are evaluating meets that threshold, confirm the site exists and that the documents are current.

Management certificate and what late filing means

Texas condominiums managed by a third-party company must file a management certificate with the county clerk. SB 711 tightened the timeliness rules: if a management certificate is not filed on time, the association loses the ability to collect attorney fees from an owner in any subsequent collection or enforcement action. A missing or outdated management certificate in the county records is a governance red flag worth investigating before you close.

No reserve mandate — and why that matters

Texas does not require condominium associations to maintain a reserve fund or conduct a reserve study. Florida mandates reserve studies and Structural Integrity Reserve Studies for older buildings; Texas does not. This shifts the risk entirely to the buyer. Look at the current budget line item for reserves. Ask what percentage of monthly dues goes to the reserve account. If the answer is zero or less than 10 percent, the community is likely underfunded and a major repair — roofing, elevators, parking structure — could trigger a special assessment with little warning.

Reading the budget for financial health signals

Texas associations set their own reserve policy through bylaws and board discretion, which means budgets vary widely. Look for the ratio of reserve contributions to total revenue, outstanding loans from the association, and whether any deferred maintenance items appear in the minutes. In Dallas, Houston, and Austin, condo median prices in 2025 were in the mid-$200,000 range with months of supply well above six months — meaning you have negotiating leverage if documents reveal financial weakness. A community carrying deferred maintenance in a buyer's market is a meaningful risk.

Red flags specific to the Texas market

Texas condominiums in coastal areas face wind and hail exposure; those in Houston and the Gulf Coast corridor are especially vulnerable after events like Hurricane Harvey. Review the master insurance policy for the deductible structure — some policies carry a 5 percent wind/hurricane deductible based on insured value, which can mean a six-figure per-unit exposure after a major storm. Also verify that the association carries general liability, directors-and-officers coverage, and fidelity/crime insurance. If the community has experienced any storm-related assessment in the prior five years, those details should appear in the financials and meeting minutes.

Texas legal references

Informational only. Not legal advice. Always confirm against current statute and counsel.

Need help applying these Texas statutes to your specific situation? We can connect you with state-licensed counsel and specialists familiar with this exact regulatory environment.

Find a Texas specialist →

Reviewer's checklist

Request the resale certificate and confirm the fee did not exceed $375 (SB 711 cap)
Verify the association has filed a current management certificate with the county clerk
If the association has 60+ units, confirm a public website exists with current governing documents
Obtain the declaration, bylaws, rules and regulations, and current budget
Review the last 12 months of board meeting minutes for pending litigation, deferred maintenance, or assessment discussions
Calculate what percentage of monthly dues is allocated to reserves
Ask whether a reserve study has been completed voluntarily and, if so, request a copy
Check the master insurance policy for wind/hail deductible amounts and coverage limits
Confirm general liability, D&O, and fidelity coverage are current
Ask whether any special assessment has been levied in the prior five years

Want this same review on your actual documents? We do it free, with page citations you can verify.

Get My Free Risk Report →

Risk Intelligence

Get Your Free Condo Risk Report

Upload condo or HOA documents for a free risk review. We read reserve studies, budgets, meeting minutes, insurance summaries, and assessment exposure — every finding linked to the exact page.

Get My Free Risk Report

Expert Matching

Need a real estate lawyer or mortgage specialist?

We can connect you with vetted real estate lawyers, mortgage brokers, and insurance brokers familiar with the specifics of condo and HOA transactions.

HOA lawyer
Mortgage broker
Insurance broker

Related risk areas

Read these next to round out your due diligence

Condo Resale Certificate Review

In Texas, a resale certificate is the statutory document that gives a prospective condo or HOA unit buyer a snapshot of the association's financial and legal standing at the moment of sale.

Condo Buying Checklist

Buying a condo is not like buying a single-family home.

Condo document review

A condo document review is the structured analysis of every disclosure document your seller or association has provided — declaration, bylaws, rules, reserve study, budgets, financials, meeting minutes, insurance summary, estoppel or resale certificate, and any pending special assessment notices.

FAQ

Frequently asked questions

Risk Intelligence

Get Your Free Condo Risk Report

Upload condo or HOA documents for a free risk review. We read reserve studies, budgets, meeting minutes, insurance summaries, and assessment exposure — every finding linked to the exact page.

Get My Free Risk Report

Expert Matching

Need a real estate lawyer or mortgage specialist?

We can connect you with vetted real estate lawyers, mortgage brokers, and insurance brokers familiar with the specifics of condo and HOA transactions.

HOA lawyer
Mortgage broker
Insurance broker