Reading...
Play button
Play button
Use LEFT and RIGHT arrow keys to navigate between flashcards;
Use UP and DOWN arrow keys to flip the card;
H to show hint;
A reads text to speech;
23 Cards in this Set
- Front
- Back
|
Persons exempt from real estate licensing
|
1. Texas licensed attorneys can handle a real estate transaction for a client for a fee as long as they do not participate in broker to broker commission splits. Any attorney licensed in a state other than Texas will need to be licensed in Texas (as an attorney) to handle a real estate transaction for a client for a fee in Texas.
2. Court appointed receivers, trustees, guardians, and sheriffs 3. Administrators and executors of a will 4. On-site apartment managers 5. New home salesman working for one builder or owner 6. Cemetery lot salesmen 7. A person selling his own property 8. An employee leasing or renting property for the owner 9. Corporate employees selling corporate property 10. Hotel/motel personnel 11. Attorney-in-fact 12. An auctioneer calling a real estate auction 13. Anyone selling mobile homes 14. Anyone engaging in or carrying out foreclosure sales |
|
|
Persons who must have a real estate license
(1-4 must be sponsored by a broker and receive commissions only from that broker. 5-8 must be licensed as brokers) |
1. Attorneys must have a real estate license to participate in a commission split
2. Auctioneers involved in any part of a real estate transaction 3. Apartment locators 4. Real Estate salespeople 5. The designated (underlined) officer of a licensed real estate corporation, or the (designated [underlined]) manager of a licensed Real Estate Limited Liability Company. The designated one is a broker 6. Business entities that receive compensation on behalf of a license holder (example: a salesman who incorporates and wants commission paid to his/her corporation) must be licensed as a broker 7. A third party (person or entity) who controls the acceptance or collection of rent from a single family residence 8. Any business entity that engages in real estate brokerage and is required to be registered to do business in Texas with the Secretary of State must be licensed as a broker |
|
|
Steps in obtaining a real estate license
|
1. Meet the educational requirements
2. Submit an application with or without a sponsoring broker 3. Submit the required fees 4. Pass the state exam. Competency is determined solely by passing the state exam 5. Demonstrate integrity |
|
|
An application for a license will be denied if an individual is unable to satisfy TREC as to their _________, ___________ and __________________. An application will also be denied if an individual is in _________ on Texas State student loans
|
honesty
integrity trustworthiness default |
|
|
Licensing requirements
|
Must be 18 years of age, or older
Resident of Texas at time of application Comply with legal residents requirements (May NOT be an illegal alien) Retake the exam as many times as necessary for one year from the date of application Submit fingerprints to TREC before or after testing |
|
|
Salesman's license
(educational requirements) |
180 classroom hours consisting of 60 hours in Principles of Real Estate, 30 hours in Law of Contracts, 30 hours in Promulgated Forms, 30 hours in Law of Agency, and 30 hours in Finance
|
|
|
Broker's license
(educational requirements) |
900 classroom hours including 30 hours of Real Estate Brokerage, 4 years active sales licensee within the past 5 years, 3600 points of experience
900 - classroom hours, including 30 hours of Real Estate Brokerage, and 4 years of active sales licensee experience during the preceding 5 year period before the date the application is filed. 3600 points of experience is also required. A broker who sponsors a salesperson, a designated broker of a business entity, or a license holder who is a delegated supervisor of one or more license holders for six month or more during the current license must attend a six hour broker responsibility course. |
|
|
Renewal: SAE
(educational requirements) |
90 hours additional core education, without it your renewal will be denied and license will be expired
Salesman's Apprenticeship Education - The initial salesperson license will issue for a two-year period. For the first renewal, the salesperson must complete 90 hours of additional core real estate course credit. For each renewal period thereafter, the salesperson will be subject to Mandatory Continuing Education (MCE) requirements to renew a license. Licensees subject to SAE who do not submit education prior to or in conjunction with their renewal will have their renewal rejected and cannot renew. Their license will be EXPIRED. |
|
|
MCE
(educational requirements) |
Mandatory Continuing Education, taken ever 2 years, 15 hours, 6 hrs legal and ethics
taken after the agent has competed his first renewal and has a total of 270 core hours. MCE must be taken once every 2 years to renew a salesman or broker license and is a 15-hour course including 6 hours of legal/ethics update as mandated by TREC. MCE must be taken within the renewal period. (NOTE: The six hours of broker responsibility training is included in the 15 hour MCE requirement) |
|
|
When subject to MCE, renewal must be made before ___________________________________. If renewal is overdue, a __________________________ form must be submitted along with renewal fees and proof of continuing education. The licensee who does not renew by their expiration date is considered: __________. The maximum period of time for late renewal with monetary penalties is ______________.
(educational requirements) |
the expiration date on the license
"Late Renewal Application" EXPIRED six months |
|
|
If an on time renewal does not include the required education, the licensee will be required to pay a ______________ and will have __________ to complete the education. The license will be active for those _________. After______ TREC moves this license to inactive status.
|
$200 deferral fee
60 days 60 days 60 days |
|
|
To reactivate or take the license to active status they must:
|
Pay the $200 late fee
Take the required education Pay an additional $250 penalty Testify on the renewal form "they did not engage in real estate while they were inactive" Submit the required form to return to active status, along with the $50 fee |
|
|
Therefore, an ontime renewal with late education completed within _______ results in a _____________. Ontime renewal with late education completed after the __________ period results in a _____________ penalty plus a ___________
|
60 days
$200 penalty 60 day $450 ($200+$250) $50 filing fee. |
|
|
An individual may not hold a _________ and a ____________ license at the same time. Texas is a one person, one license state. However, any licensed Broker may act as a salesman and a broker at the same time.
|
Broker's
Salesman's |
|
|
Inactive Status:
|
renewal fees, SAE, no MCE, doesn't count to 4 year experience for broker, can't engage in business, no sponsoring broker, to activate pay $50 and complete 15 hours of MCE if necessary
TREC allows inactive status. TREC will hold a broker or sales license for the licensee. The licensee must still pay renewal fees and meet SAE requirements. Once past SAE requirements, MCE is not required for inactive status. The time spent as inactive does not apply toward the four-year requirement for a broker's certification. The inactive licensee may not engage in the real estate business. The inactive licensee does not need a sponsoring broker during this period. To activate an inactive license, apply through a broker, pay $50 and complete 15 hours of MCE is necessary. |
|
|
TREC Consumer Information Form 1-1
|
Notifies the public of the recovery trust account
Applies to both real estate licensees and inspectors Must be displayed in the broker's office. |
|
|
Additional points
An applicant who has applied with a broker and passed the test cannot engage in business until the license is _______________________________. An applicant applying without a broker cannot engage in business until a broker is selected and receives the applicant's license. |
received in the broker's office
|
|
|
If a broker ______ or _____________________________ or if a broker's license is _________________, his salesperson must _______________________ immediately. When ______________________________, a licensee is authorized to engage in the business as soon as ___ ____ ___ _____________ ______ ____ ______ ________ __ ____. This is also true when re-activating an inactive license.
|
dies, or is declared legally insane
suspended change to another broker changing to a new broker his fees and sponsorship forms have been mailed to TREC |
|
|
If a broker has more than one place of business he must obtain a _____________________ for each additional office at a cost of __________________. It is not necessary to have a ___________________ at each location.
|
branch office license
$50.00 per office licensed broker |
|
|
There is no time limit for TREC to ____________________. However once TREC decides to disapprove an application they must notify the applicant within ____________
|
deny an application
30 days |
|
|
If an application for licensure is disapproved by TREC, the applicant may make an appeal within ________ after the receipt of the notice of denial. If no appeal is made within the _______, the applicant gives up the right to do so, and the ruling of the Commission stands.
|
10 days
10 days |
|
|
If a licensee defaults on Texas State Student Loans, TREC will ____________________________________________.
|
refuse to renew the license of that individual
|
|
|
A broker using a DBA or assumed name, must file with his county clerk in ______________________________________
|
every county where he/she has an office.
|
