What Happens If the Seller Hasn’t Completed Agreed Repairs Before Closing in Texas?
You are just days away from closing on a home, and everything seems to be falling into place. The loan is approved, the movers are scheduled, and the closing appointment is on the calendar.
Then you discover that the seller still has not completed the repairs they agreed to make.
What happens now? Do you have to close anyway? Can you delay closing? And what happens if the seller simply refuses to finish the work?
In Texas, the answer depends on the signed contract, but buyers have important protections when a seller fails to complete agreed-upon repairs.
Under the current Texas Real Estate Commission (TREC) One to Four Family Residential Contract (Resale), buyers may have the right to extend closing by up to five days to allow the seller to finish the work or pursue remedies for seller default.
For Dallas buyers and sellers, understanding those rights before closing day can prevent an unfinished repair from turning into a much larger problem.
Are Sellers Required to Complete Agreed Repairs Before Closing in Texas?
Generally, yes, when those repairs are part of the signed agreement.
During the option period, buyers often negotiate repairs after reviewing their home inspection results. The seller might agree to repair a plumbing leak, correct an electrical concern, service an HVAC system, or address a drainage problem.
Once the buyer and seller sign an amendment requiring specific repairs, those repairs become contractual obligations.
That distinction is important.
An inspection report alone does not require a seller to repair every deficiency the inspector identifies. A buyer's request does not create an obligation unless the seller agrees to it.
But when repairs are included in the contract or a properly executed amendment, the seller is generally required to complete them according to the agreement.
Our guide to what happens between going under contract and closing when buying a home in Dallas explains how inspections, negotiations, financing, and closing fit together.
What Does the Texas Real Estate Contract Say About Unfinished Repairs?
The current TREC One to Four Family Residential Contract (Resale), Form 20-19, became effective July 1, 2026.
Paragraph 7F, titled "Completion of Repairs and Treatments," addresses what happens when agreed repairs are not completed before closing.
Unless the parties agree otherwise in writing, the contract requires the seller to complete agreed repairs and treatments before the closing date.
The contract also establishes expectations about how the work is performed.
Required permits must be obtained. Repairs must generally be performed by appropriately licensed professionals or, where a license is not required, people commercially engaged in that trade.
The seller must also provide documentation identifying the scope of completed work and payment, and arrange at the seller's expense for the transfer of applicable transferable warranties.
Most importantly, Paragraph 7F gives the buyer the option to extend the closing date by up to five days, if necessary for the seller to complete the agreed repairs, or exercise remedies under Paragraph 15.
You can read the official TREC One to Four Family Residential Contract (Resale) for the exact provisions.
What Are the Buyer's Options If Repairs Are Not Finished?
Finding an unfinished repair does not necessarily mean the transaction has to fall apart.
There are several potential paths forward, depending on the repair, the circumstances, and the terms of the contract.
Option 1: Extend the Closing Date
Under Paragraph 7F of the standard TREC resale contract, the buyer may extend closing for up to five days if necessary for the seller to complete agreed repairs.
For example, imagine purchasing a home in Lakewood where the seller agreed to have a licensed plumber correct a sewer-related issue.
At the final walkthrough, you discover that the repair has been scheduled but not completed.
Rather than accepting the property with unfinished work, you may be able to exercise the contractual extension to allow time for completion.
The five-day extension is not an automatic grace period the seller can demand. The contract gives the buyer the right to elect that extension under the stated circumstances.
The buyer's Realtor should promptly communicate the decision and coordinate with the title company and lender. If more time is needed, the parties may need to negotiate a separate written agreement.
Option 2: Negotiate a Credit Instead of Completing the Repairs
Sometimes both parties would prefer to close on schedule rather than wait for a contractor.
In those circumstances, the buyer and seller may agree to replace the original repair obligation with an appropriate financial concession.
For example, the seller might agree to provide a negotiated closing-cost credit instead of completing a particular repair.
However, this is not an automatic buyer right.
Both parties must agree to the change, and any credit must comply with the buyer's lender requirements, loan program limits, and applicable closing rules.
A credit also needs to be documented correctly. Buyers should not assume that money can simply be exchanged outside the closing process.
This approach can make sense when a buyer prefers to select their own contractor, but the financial and contractual details must be resolved before proceeding.
Option 3: Pursue Remedies for Seller Default
When a seller fails to perform an obligation under the contract, Paragraph 15 may provide remedies.
Under that paragraph, a buyer dealing with seller default may have the option to pursue specific performance or other relief available under law. Alternatively, the buyer may terminate the contract and receive the earnest money back, thereby releasing both parties from the contract.
It is important to understand that receiving earnest money back is not the same as receiving compensation for moving expenses, temporary housing, or other losses.
Whether additional legal remedies are available depends on the circumstances.
The current contract also contains a mediation provision for disputes that cannot be resolved through informal discussion.
If a disagreement reaches this point, a qualified Texas real estate attorney should advise the buyer about available remedies and the consequences of each decision.
For related guidance, read Can a Seller Back Out of a Real Estate Contract in Texas?.
What If the Seller Says the Repairs Are Finished but Cannot Provide Documentation?
This is another situation that can create last-minute uncertainty.
A seller may say that an electrician completed the work or that a plumber resolved the leak, but the buyer has not received an invoice or other supporting documentation.
Under Paragraph 7F of the standard TREC resale contract, the seller is required to provide copies of documentation from the repair professionals showing the scope of work and payment.
That documentation matters.
For example, if the seller agreed to repair an HVAC issue, a receipt indicating only that the system was inspected may not establish that the specific agreed repair was performed.
Similarly, if foundation or drainage work was required, the buyer may want documentation identifying exactly what was completed, along with any applicable warranty information.
A buyer should compare the documentation with the actual language of the repair agreement.
For significant work, having an appropriately qualified professional evaluate the completed repair may also be worthwhile.
Why the Final Walkthrough Matters So Much
One of the most important steps before closing is the buyer's final walkthrough.
This is the opportunity to revisit the property and confirm that its condition is consistent with the contract and that agreed repairs appear to have been completed.
The final walkthrough is not intended to replace a full professional home inspection.
Instead, it allows the buyer to identify obvious changes, missing items, incomplete work, or concerns that need further attention.
In established Dallas neighborhoods, this can be particularly important.
A home in the M Streets may have older plumbing or electrical systems. A Lake Highlands property may have negotiated roof or HVAC repairs. A home in Preston Hollow, Bluffview, or Devonshire may involve drainage systems, pools, or multiple mechanical units.
When repairs involve significant systems, I generally believe it is better to confirm completion before everyone arrives at the closing table.
Our article on what actually happens at a Texas real estate closing explains why the final walkthrough and closing preparation deserve careful attention.
Can the Buyer Close Anyway and Have the Seller Finish the Repairs Later?
Potentially, but this decision deserves caution.
A buyer may be tempted to move forward because the movers are scheduled, a rate lock is approaching expiration, or delaying closing would create a financial inconvenience.
The parties may be able to negotiate a written post-closing repair arrangement. However, the terms should clearly address the remaining work, deadlines, access to the property, payment responsibilities, and what happens if the repairs are not completed.
Any proposed escrow holdback or other financial arrangement should be reviewed by the lender, title company, and appropriate legal counsel before closing.
Paragraph 19 of the current TREC resale contract provides that contractual covenants, representations, and warranties survive closing. However, buyers should not assume that this eliminates the practical risks of proceeding with unresolved repairs.
Once ownership transfers, obtaining cooperation or enforcing an unfinished obligation may become more complicated.
The safest approach is to resolve outstanding repair issues before closing whenever reasonably possible.
What Should Dallas Sellers Do to Avoid Last-Minute Repair Problems?
From the seller's perspective, the best strategy begins well before the closing date.
Once repairs are negotiated, the seller should immediately confirm contractor availability, understand the scope of work, and allow enough time for completion.
Waiting until the final few days can create unnecessary pressure.
This is especially true for specialized repairs involving foundation work, sewer lines, roofing, major plumbing, electrical systems, or drainage.
A seller may discover that a contractor needs additional materials, that permits are required, or that the repair is more complicated than initially expected.
If a problem arises, communicating early is much better than hoping the buyer will overlook an unfinished item.
Sellers should also retain their invoices, permits when required, proof of payment, and applicable warranties so the documents are ready before closing.
For homeowners preparing to list, our guide to what repairs are worth doing before selling a home in Dallas explains how thoughtful preparation can reduce surprises during the transaction.
Why Work with Mysti Stewart and the Mysti Stewart Group?
A successful real estate transaction requires more than negotiating the right purchase price.
It also requires careful attention to the details that move a property from contract to closing.
At the Mysti Stewart Group, we understand how important those details can be, particularly when buyers and sellers are coordinating moves, financing, inspections, contractors, and significant financial decisions.
Our team brings extensive experience across Lakewood, East Dallas, the M Streets, Lake Highlands, Highland Park, University Park, Preston Hollow, Devonshire, Bluffview, Forest Hills, Casa Linda, and surrounding Dallas neighborhoods.
We believe in being proactive rather than waiting until a problem becomes urgent.
That means helping buyers and sellers understand their contractual timelines, coordinating communication, tracking negotiated obligations, and identifying potential issues before closing day.
Whether you are buying your first home, selling a long-held family property, or navigating a luxury transaction, our goal is to make the experience feel organized, informed, and thoughtfully managed.
When a matter requires legal interpretation or enforcement, we work to ensure clients understand the importance of involving qualified legal counsel.
Final Thoughts
So, what happens if a seller has not completed agreed repairs before closing in Texas?
The buyer may have several options, including exercising the contractual five-day extension, negotiating an alternative agreement, or pursuing remedies for seller default.
The right approach depends on the actual contract, the type of repair, how much work remains, and whether both parties can reach a reasonable resolution.
For buyers, the priority is to verify that the property is being delivered according to the agreement.
For sellers, the goal is to complete negotiated obligations early and provide clear documentation.
In either case, thoughtful communication and careful contract management can help prevent a relatively manageable repair issue from jeopardizing an entire transaction.
If you are buying or selling a home in Dallas and want experienced guidance through inspections, negotiations, and closing, the Mysti Stewart Group would love to help you navigate the process with confidence.
Frequently Asked Questions
Can a buyer refuse to close if agreed repairs are not completed in Texas?
A buyer may have contractual remedies if a seller fails to complete agreed repairs. Under Paragraph 7F of the standard TREC resale contract, the buyer may extend closing by up to five days when necessary for completion or exercise remedies under Paragraph 15. Whether refusing to close is appropriate in a particular situation should be evaluated under the complete signed contract with legal advice when needed.
Does a Texas seller automatically get five extra days to complete repairs?
No. Paragraph 7F gives the buyer the option to extend closing by up to five days if necessary for completion. The seller should not assume an automatic extension or postpone repairs without communicating with the buyer.
Can a buyer request a credit instead of unfinished repairs?
Yes, a buyer can propose a credit or another mutually acceptable solution. However, the seller must agree, the change must be properly documented, and the buyer's lender must permit the financial arrangement.
Does the seller have to provide receipts for completed repairs?
Under the current standard TREC resale contract, the seller generally must provide documentation from the repair professionals showing the scope of the completed work and payment. Applicable transferable warranties must also be addressed as provided in the contract, unless the parties agree otherwise in writing.
What happens if the buyer discovers unfinished repairs after closing?
The answer depends on the contract, the repair agreement, and the circumstances. The current TREC resale contract provides that contractual covenants survive closing, but enforcing an unfinished obligation may require additional action. Buyers who discover unresolved repairs after closing should preserve relevant documentation and consult a Texas real estate attorney about their rights.
