unit 7 Flashcards
if the commission revokes a license after making a payment from the real estate recovery trust account to satisfy all or part of a judgment against a license holder, the license holder is not eligible to receive a new license
until the amount paid from the real estate recovery trust account on the license holder’s account has been fully repaid, with interest, by the license holder
it is permissible for a real estate agent to
fail to specify a definite termination date in a contract to perform property management services
aside from a criminal background check, what other check may the commission make-even before someone applies for a license?
moral character, to make sure the prospective license holder has satisfied any outstanding conflicts with the law
the responsibility for ensuring that a sales agent license is timely renewed belongs to
the sales agent
what happens if more than $3.5 million is in the trust fund at the end of the year?
the excess money is transferred to the general fund of the state
how many members are appointed to the Texas Real Estate Commission (TREC)?
nine members: six real estate professionals and three public members
a person is not eligible for appointment as a public member of the commission if that person owns more then how much of an interest in an entity regulate by or receiving funds from the commission?
10%
A person acting as a real estate broker, real estate sales agent, or a right-of-way agent without a license or registration is guilty of a Class A misdemeanor that is punishable by a fine of
not more than $4,000.
Obtaining a license through the use of fraud is just cause for
a broker’s license to be revoked or suspended.
May a sales agent receive a “finder’s fee” directly from a lender in exchange for sending potential mortgage business to the bank?
No, receiving referral fees from lender is illegal, plus sales agents may only be compensated through their sponsoring broker.
To be eligible for a license, an applicant must be a resident of Texas
at the time of filing the application.
If the Commission proposes to deny, suspend, or revoke a person’s license or certificate of registration, the person is entitled to a hearing conducted by
the State Office of Administrative Hearings.
Which isNOTa condition for a broker’s maintaining an action to collect a commission or other compensation for an act as a broker or sales agent?
The agreement to pay had a definite termination date and stipulated the listing price and an acceptable date for closing and transfer of possession.
Which is an aggrieved personNOTrequired to show at a Texas Real Estate Commission (TREC) hearing on an application for payment from the real estate recovery trust account?
That the judgment debtor (license holder) filed for bankruptcy before the hearing
The Commission will pay no more than what amount from the real estate recovery trust account for claims against any one license holder until the fund has been repaid in full by the license holder?
$100,000
Does a person appointed by the governor to the Texas Real Estate Commission have to be trained before joining the governmental body?
Yes, appointees must understand license law and regulation of the industry, must understand open meetings law, and must be acquainted with TREC audits.