Questions about contracts?

Call the Texas REALTORS® Legal Hotline at 512-480-8200. While hotline attorneys cannot give legal advice regarding specific transactions or factual situations, you can get answers to questions about how contract provisions work from a general perspective.

The pandemic led to a surge in backyard entertainment, and swimming pools quickly became one of the most sought-after additions. Demand skyrocketed, pushing prices up, creating material shortages, and sparking a rush to hire project managers.

But not every homeowner who installed a pool was ready for the long-term cost and maintenance. Now that public pools have reopened and demand has cooled, some sellers may be second-guessing the value of their backyard pools. Buyers may have questions about what they are getting into, as well. Basic pool knowledge is important for real estate professionals who deal with these properties.

You don’t need to become a pool expert. In fact, you should always refrain from operating outside your area of expertise. But gaining a foundational understanding, refreshing your vendor list, and reviewing key portions of contracts can make you more confident—and more effective.

REPRESENTING SELLERS:

Ask the sellers for information

Asking a few basic questions about features, maintenance, installation dates, and warranties is a great start. Especially if they lived through the pool-building process, the sellers are sure to know about the selections they made and other helpful details. Even if the pool already existed when they purchased the property, the sellers’ answers can provide important information for marketing and, possibly, disclosures.

I ask my sellers to put together an “introduction to your new pool” for buyers. They can include details like the type of pool (chlorine, saltwater, or UV), the type of filtration, how deep the pool is, whether it’s heated, the type of deck material, and other aspects buyers will want to know. I also prep them for the possibility of a pool walk-through with the buyers to help the new owners.

REPRESENTING BUYERS:

Ask the sellers for information

It’s also helpful to ask the sellers for important details when working with buyers interested in a pool property. I not only will ask the other agent for any available information from the sellers, but I will also find out if the sellers are open to a walkthrough with my clients. If there’s no walkthrough or information—and if my buyers don’t have previous experience owning a pool—my closing gift is usually “pool school” from a trusted provider.

When working with buyers who’ve never owned a pool, it’s important they consider factors like utility expenses for water and electricity, liability insurance, and safety issues. Remember, it’s not your role to provide specific advice about matters outside of your expertise, but you can bring up these topics to ensure your clients can work with the appropriate professionals to understand the full picture of pool ownership.

What’s the deal with concrete in pools?

You may have heard of problems with the concrete in some pools built in recent years. This has been making headlines, especially in Central Texas. The issue is due to an alkali-silica reaction (you’ll see the acronym ASR or the slang term concrete cancer) that can cause cracks or structural problems in the pool.

Not every pool built in recent years in Central Texas is affected, and there are still many lawsuits making their way through the courts. There also have been reports that the problem may be present in other areas of the state or even with other types of construction, but that, too, is not yet clear.

Your role isn’t to diagnose or reassure. Never say that something you see is ASR. Never say that ASR is nothing to worry about. And never provide your opinion about the seriousness of a specific condition with a pool. That’s outside your expertise. Stick to what you do know, and always guide clients to professionals who can give them the answers.

The issues related to ASR do not change the basics. Sellers must disclose known defects. Buyers may come in with concerns. When ASR comes up, lean on your broker, encourage professional inspections, and keep your list handy for pool vendors.

Have you reviewed the One to Four Family Residential Contract regarding the portions that pertain to pools?

Make sure you understand the language of Paragraph 2 regarding improvements and accessories that convey in the sale. Many sellers don’t want to take all the patio furniture or are willing to negotiate including some of it in the sale. Outdoor speakers, TVs, and cameras have become common. Once a buyer sees these items, they’re very likely to want them. But are they built-in? If not, is the seller willing to include them in the sale? Figuring out whether they convey requires some investigation and may require a conversation.

Can you identify “swimming pool equipment and maintenance accessories?” Note that most pools have controller apps, which are also listed in that paragraph. There may also be parts of the contract that come into play with lender-required repairs and smart devices. These details matter—whether you’re helping a seller prep their listing or guiding a buyer through an offer. Having answers—or knowing where to get them—is important.

Make sure you have an updated reference list

While you shouldn’t put yourself out as a pool expert, you can be the “source of the source.” Reach out to neighbors, past clients, and other professionals for trusted pool people. It can be helpful to collect resources for:

  • Pool maintenance
  • Pool inspections
  • Repairs (plumbing, decking, plaster, tile, masonry)
  • Pool supply stores
  • Residential service contracts with pool coverage.

A pool can be a dream feature—but only when the owners understand what they are getting and what it takes to maintain it. Helping your clients navigate that reality is part of the job. It could be the difference between a costly headache and backyard oasis.