The disclosure of a PID is now in affect
Good morning, Shana Acquisto broker of Acquisto Real Estate, and today is September 2nd, which means we’re past the 1st, September 1st. We had a new requirement of PIDs public improvement districts. They’re all over the place. And what we need to do is make sure we are disclosing if a property is in a public improvement district. So there is a new addendum that we’re going to pull over.
So you guys can see that is now in your zip forms for you to fill out and disclose if the property is located in a PID. And it’s going to get specific information about it, about the assessments, what we’re looking at as far as fees, you know, who to contact, all of that.
So this is very important that you guys understand from a listing standpoint, this disclosure. Of appeared needs to be disclosed before executing a contract. Ok, so what you guys need to do is really do your due diligence and make sure that, you know, if a property is or isn’t in a PID.
And how do you find that out when you go to the local municipalities, you go to the city, you you do research to find that out. I would take it a step further. If you’re kind of assuming or thinking, gosh, other properties that I’ve looked at or sold in this area have been a part of a PID. But my seller said, no, it’s not. Then you need to double check and make sure that is not accessible or seen in your tax records.
You have to dig and find it so you can go to the city and you can on there, most of them on their city website. You can do a search to find out if there is a PID in that particular area or by street just varies on the city. But you need to make sure that you understand that.
Find that out. Ok. So the other thing with the PID is. This doesn’t you don’t get all caught up if somebody says, I am not feeling I didn’t fill out this addendum. The trick addendum, but I had one from the city.
Right. So from that municipality, if they have a form that they use, no problem. You can use that as long as it gives all that same detail that our addendum has in it. So let me know if you have any questions on that. But it just has to be disclosed and the buyer has to acknowledge it.
My signature, whether it’s our addendum or one provided by the city. Ok, so that is when and how it must be to be disclosed. Let’s talk about additional requirements. So beyond that, you may have them all signed off on.
Everything’s good to go. But when you go to closing, they require it to be signed off on again at closing. So, you know, Texas Realtors is working with all the title companies to make sure that this gets accomplished. So if you go to title and it doesn’t, you might want to just remind them, doesn’t this need to be signed off again at closing and have them sign at all to sign off on it again?
Ok, so these are these are great things that you guys need to know. And, you know, it’s now required that all of these PIDs and Mudd’s and anything that is a leveed, another assessment is leveed must be reported with trec. So TREC, at some point, it’s going to take some time for them to to to get all of that information. They’re going to have a list. So you’ll be able to go right to track and find out if a property is located in a pit.
However, it’s not that way right now. They need time. They’re going to you know, within the next year, we’re going to see them start to slowly be recorded in there. Any time that they change or update their information, it will be filed and recorded. So until then, do your due diligence, go to the cities? Find out if the properties are located in appeared.
Make sure that your sellers have signed off on this disclosure and your buyers have signed off on this disclosure. Before you execute a contract, OK, do you have any questions on that? Let me know that I’ll close that one out. Good morning.