Texas Portion of the Real Estate Exam

Broker CE

18 hours of CE every two years, including the TREC Legal Update I and II.

how long of notice do you have until you are foreclosed on

21 days

security deposits returned

30 days residential 60 commercial

TREC promulgated contracts

A licensee's use of these forms is not considered an unauthorized practice of law.

salesperson

Pre-license education for a salesperson's license is 180 classroom hours. The courses must include:

ESAC (2011)

educational standards advisory committee

TREC has what power

Subpoena power

Refund to the Consumer

TREC may order a licensee to pay a refund to a consumer as provided by anagreement resultingfrom an informal settlement conference or enforcement order.

TRELA

Texas Real Estate License act (1939) made it illegal to practice real estate without a license, it also created the trec

all home inspectors are required to have

insurance for a minimum of $100,000 per occurrence.

Business Entity Broker

n real estate, a licensed business entity real estate broker is an organization that can act as a real estate broker and is qualified to conduct business in Texas.

If the applicant is disapproved by TREC, t

the applicant may make an appeal within 10 days after receipt of the notice of disapproval.

Each advertisement must include two items in a readily noticeable location:

the name of the license holder or team placing the advertisement; and the broker's name in at least half the size of the largest contact information for any sales agent, associated broker, or team name contained in the advertisement.

Standards and Enforcement Services (SES)

will notify the licensee if it intends to initiate disciplinary proceedings

Continuing Education:Salesperson

In addition to the 18 semester hours, the TREC Legal Update I and II courses are required (4 clock hours each for a total of 8 hours). In other words, for a salesperson's SAE requirement, he/she must complete 98 hours of additional coursework to renew their license.

how long do you have to appeal a TREC decision

30 days to the district court

if the broker has agents under his/her sponsorship, he/she must terminate sponsorship of these agents by giving written notice to the agents by the

30th day before the date the broker applies for inactive status.

TREC can only investigate within the time frame of

4 years.... 2 years for DTPA

TREC has

9 commissioners; 6 are brokers, 3 are members of the general public Appointed by the Governor for 6-year staggered terms Approved by 2/3 of the Senate present

Broker:

900 core hours of real estate courses (60-semester hours) and a minimum of four years active licensure in the previous five years.

TREC assigns priorities by

Degree of potential harm to the consumer Potential for immediate harm to the consumer Overall severity of the allegations and complaint Number of license holders potentially involved in the complaint Number of potential violations in the complaint

Real Estate Broker- Lawyer Committee

Drafts and revises TREC promulgated contracts.

ESAC

was established in 2011 by TREC. As the name implies ESAC is an advisory committee to TREC. The committee reviews and revises curriculum standards, course content requirements, and instructor certification requirements for Qualifying and CE courses.

TREC is the state's regulatory agency for the following:

1. Real Estate Brokers and Salespersons2. Real Estate Inspectors3. Real Estate Appraisers 4. Education Providers for Real Estate and Inspection Courses 5. Residential Service Companies6. Timeshare Developers7. Easement or Right-of-Way (ERW) agents

TRELA chapter 1101 and 1102

1101- broker and sales associates 1102-laws about real estate inspectors

Appeal to the Courts

A person aggrieved by a ruling, order, or decision of the Commission has the right to appeal to a district court in the county where the hearing was held within 30 days.

Recovery Trust Account

A state-operated fund that can be tapped to pay for uncollectible judgments against real estate license holders

Termination

If the broker desires-to terminate sponsorship, he/she must notify the agent and commission in writing and return the salesperson's license immediately.

TREC AdvisoryLetters:

The advisory letter is a notification that there were items revealed in the investigation that do NOT warrant disciplinary action but could lead to further complaints and disciplinary action if not corrected.

Senate Bill 1168 was passed in 2015.

The bill required the addition of the following to the information required to be given in the resale certificate: The association's balance sheet and operating budget A description of all transfer fees, their amounts, and to whom the fees are paid.

How was TRELA codified

Title 7 of the Occupational code

TREC may

after receiving a written complaint with proper evidence, investigate the actions and records of a broker or salesperson.

Mavis plans to file a lawsuit under the DTPA. How many days prior to filing the lawsuit is Mavis required to send written notification to the licensee that she is suing him for damages?

at least 60 days

An appraiser starts as an Appraiser Trainee and with more education

become a Certified General Real Estate Appraiser who is licensed to appraise all types of real property without regard to complexity or transaction value for federally related transactions and non-federally related transactions.

Earnest money must be deposited by the

close of the third business day

Per TREC: Each active real estate broker and sales agent shall provide:

(1) a link to a completed IABS Notice in a readily noticeable place on the homepage of each business website, labeled:(A.)"Texas Real Estate Commission Information About Brokerage Services," in at least 10-point font; or(B.)"TREC Information About Brokerage Services," in at least 12-point font (2) For purposes of §1101.558, Texas Occupations Code, the completed IABS Notice can be provided: (A.) by personal delivery by the broker or sales agent; (B.) by first class mail or overnight common carrier delivery service; (C.) in the body of an email; or (D.) as an attachment to an email, or a link within the body of an email, with a specific reference to the IABS

TREC may authorize a commission employee to file a signed written complaint against a licensee and to conduct an investigation if:

A judgment against the licensee has been paid from a recovery fund established under the Act. The licensee is convicted of a criminal offense that may constitute grounds for the suspension or revocation of the licensee's license. The licensee fails tomake good a check issued to the commission. The licensee fails to complete required continuing education within the prescribed time. Failing to provide information requested by TREC in connection with an application to renew a license.

Chapter 531 of the Rules of the Texas Real Estate Commission,

Canons of Professional Ethics and Conduct for Real Estate Licensees. Fidelity Integrity Competency

Informal Proceedings:

In some cases, the Deputy Director of Standard and Enforcement Services (SES) may offer a complainant and respondent an opportunity to participate in an Alternative Dispute Resolution process (ADR).

Temporary Suspension

TREC's presiding officer in a case involving a consumer is required to appoint a disciplinary panel, consisting of three TREC members, to determine whether a person's license to practice should be suspended temporarily

ESAC (2011)

The committee is made up of 12 members: Seven members who have been engaged in the practice of real estate for at least five years Four members who are real estate instructors or owners of real estate schools accredited by TREC that provide core or continuing education One member who represents the public

Hearings

The exact timing of the hearing process is in TRELA, Subchapters O and P.

Real Estate Broker- Lawyer Committee

Thirteen members 6 members appointed by the TREC 6 members of the State Bar who are appointed by the President of the State Bar 1 public member who is appointed by the governor staggered terms of 6 years

If the broker accepts the new salesperson, the salesperson may become active and 220 Exam Prep State Portion - Licensing • Section II act under the new broker's sponsorship

from the date the notice and fee are mailed or delivered to TREC.

TREC

has the authority to make rules and regulations to help the public inspect education standards

To be eligible to conduct business this way, a designated active Texas real estate broker must be chosen to act on behalf of the organization

if the designated broker owns 10%or more of the entity, they must show proof of ownership. If the designated broker does NOT own at least 10% of the entity, he/she must provide proof of $1 million per occurrence in errors and omissions insurance.

An advertisement requires the

salesperson's name or team name. TREC has a "Team Name Registration Form." The form can be submitted to TREC by the broker. All team names must end in "Team" or "Group." and cannot contain the words "brokerage," "company," "associates," or other similar terms.

Appeal for Refusing to License:

the applicant may make an appeal within 10 days after receipt of the notice of disapproval. If no appeal is filed within 10 days, the ruling of the Commission stands.