Licensing Requirements, Exemptions, and Types of

Question 1

Define a broker

Answer 1

An individual who performs certain real estate services for another party for compensation. The broker is the person ultimately responsible for the company’s activities, notably the activities of other licensees as well as the business’s trust accounts. The broker is the party who employs other agents to carry out the firm’s business.

Question 2

What is a salesperson?

Answer 2

Any licensed person who is associated with a licensed broker and performs certain real estate services

Question 3

Can a person buy or sell real property for their own account?

Answer 3

Yes. A real estate license is not required as long as they are not being paid by another person to do the selling/buying

Question 4

List all people who are NOT required to get a Texas real estate license

Answer 4

> Attorneys-in-fact: acting under a power of attorney from an owner or lessor, to conduct a real estate transaction, provided the attorney in fact receives no fee or other consideration
Attorneys-at-law: providing legal services in the course of their duties as attorneys, licensed in Texas only
An auctioneer: licensed under Chapter 1802 while conducting the sale of real estate by auction, if the auctioneer does not perform another act of a broker or salesperson
Receivers, trustees in bankruptcy, administrators, executors, or guardians: while acting under a court order or under the authority of a will or trust instrument
A person employed by an owner: in the sale of structures and land on which structures are located, if the structures are erected by the owner in the course of the owner’s business
Resident managers: provided they reside on the premises and are engaged in leasing as a part of their employment
Federal agency or state government officer/employee: while conducting official duties
An owner or the owner’s employee who leases the owner’s real estate
A partnership or limited liability partnership acting as a broker or salesperson through a partner who is a licensed broker
A transaction involving the sale, lease, or transfer of a mineral or mining interest in real property, the sale, lease, or transfer of a cemetery lot, the lease or management of a hotel or motel, or the sale of real property under a power of sale conferred by a deed of trust or other contract lien