NEW Texas Groundwater Disclosure Requirements: What Every Homebuyer and Seller Needs to Know in 2026
Buying or selling property in East Texas? There's a new real estate disclosure you need to know about — and it could affect your transaction!
Effective July 1, 2026, the Texas Real Estate Commission (TREC) introduced a new form called the Seller's Disclosure About Groundwater and Surface Water Rights (TREC Form 61-0).
Whether you're selling a home in Longview, purchasing acreage in Gilmer, or looking for rural property near Tyler, understanding this new requirement is important.
At 903 Realty, we believe informed buyers and sellers make better decisions. Let's break down what this new disclosure means, when it's required, and why it matters.
What Is the New Texas Groundwater Disclosure Form?
The new Seller's Disclosure About Groundwater and Surface Water Rights was created to provide buyers with information about water rights and water-related features associated with a property.
In Texas, owning land doesn't always mean you own every water right associated with that land.
For example, a property may have a water well, but groundwater rights could have previously been sold, leased, or separated from the property.
The new disclosure helps buyers better understand what they're purchasing before closing.
What Information Must Sellers Disclose?
When the form is required, sellers must provide information based on their knowledge of the property.
The disclosure addresses several important areas:
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Water wells: Whether wells exist on the property, including active, inactive, capped, plugged, or abandoned wells.
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Groundwater rights: Whether the seller knows of groundwater rights that have been sold, leased, or separated from the property.
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Groundwater districts: Whether the property is located within a groundwater district.
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Shared water arrangements: Whether wells serve other properties or the property receives water from a well located elsewhere.
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Surface water rights: Certain permits, certificates, or filings associated with surface water rights.
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Ponds, lakes, and water tanks: Whether these features are located on the property, even if they are currently dry.
This information can be especially important when purchasing rural property, acreage, farms, ranches, or homes with private water wells.
Does Every Texas Home Seller Have to Complete This Form?
No! And this is where things can get confusing.
Under the updated TREC contracts, sellers generally must provide the disclosure unless ALL FIVE of the following statements are true:
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The seller is not aware of any water wells on the property, whether currently used or not.
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The seller is not aware of a pond, lake, or water tank on the property.
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The seller is not aware of certain surface water rights permits, certificates, or filings associated with the property.
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The seller is not aware that groundwater rights have been sold, leased, or separated from the property.
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The property receives water exclusively from a municipality, municipal utility district or other special district, water supply corporation, or private water supply company, with the source identified in the contract.
If even one of these five statements is not true, the seller generally must provide the disclosure when using the applicable TREC contract.
The new requirement applies to most TREC residential and farm and ranch contracts, but not the Residential Condominium Contract (Resale).
It's also important to understand that this disclosure is separate from the traditional Seller's Disclosure Notice.
Why Is This Especially Important in East Texas?
East Texas has a unique mix of residential neighborhoods, rural homes, timberland, recreational acreage, farms, and ranches.
Properties throughout Gregg, Upshur, Harrison, Smith, Rusk, and surrounding counties may have private wells, ponds, shared water arrangements, or other water-related features.
Imagine purchasing 10 acres with a beautiful pond and plans to build your dream home.
You might assume you have the right to drill a well or use the property's water resources however you choose.
But what if groundwater rights were previously sold or leased? What if drilling a new well requires approval or is subject to restrictions?
These are questions worth investigating BEFORE purchasing a property.
The new disclosure is designed to bring more transparency to these issues.
What Happens If a Seller Doesn't Provide the Required Disclosure?
This is where the new contract language becomes especially important.
When the disclosure is required under the applicable TREC contract, the contract establishes a deadline for the seller to deliver it.
If the seller fails to provide the disclosure as required, the buyer may have the right to terminate the contract before closing and receive a refund of the earnest money.
Additionally, once the buyer receives the required disclosure, the buyer generally has seven days after receipt, or until closing, whichever occurs first, to terminate the contract for any reason and receive a refund of the earnest money.
This makes understanding the disclosure and its deadlines important for both buyers and sellers.
Does This Mean You Can't Sell Property With a Water Well or Pond?
Absolutely not!
Having a water well, pond, lake, or other water-related feature does not automatically create a problem with selling your property.
It simply means additional disclosure may be necessary.
In fact, water features can be attractive selling points, particularly for buyers searching for rural East Texas property.
The important thing is to disclose what you know and make sure buyers understand the information available.
What Should East Texas Buyers Do?
If you're purchasing property, especially acreage or rural real estate, don't assume that all water rights automatically transfer with ownership.
Before closing, consider:
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Reviewing the new groundwater and surface water disclosure.
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Asking whether any water wells are located on the property.
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Investigating whether groundwater rights have been reserved, sold, or leased.
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Confirming whether any groundwater district regulations apply.
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Considering appropriate well inspections, water quality testing, and professional advice when needed.
Remember, the disclosure is based on the seller's knowledge. It is not a guarantee of water availability, water quality, or ownership of water rights.
What Should East Texas Sellers Do?
If you're thinking about listing your property, preparation matters.
Gather any available information about wells, water rights, permits, shared