TREC (State Exam) questions with correct answers
When was TREC Created? - ** VERIFIED ANSWERS **✔✔1939
What Does TREC have the authority to do? - ** VERIFIED ANSWERS **✔✔Make rules and
regulations
How many members are in TREC - ** VERIFIED ANSWERS **✔✔9 Members
6 Brokers
3 General Public
How are TREC members appointed? - ** VERIFIED ANSWERS **✔✔By the governor or senate
What happens if a License Holder fails to respond to a subpoena - ** VERIFIED ANSWERS
**✔✔TREC can file a suit with the attorney general
Who writes promulgated contract forms - ** VERIFIED ANSWERS **✔✔The broker Lawyer
Committee
How many members are on the Broker Lawyer Committee? - ** VERIFIED ANSWERS **✔✔13
Members
6 Brokers - appointed by TREC
6 Lawyers - appointed by state bar association
1 public member appointed by the governor
Where is the Real Estate Center? - ** VERIFIED ANSWERS **✔✔Texas A&M
,How many members are on the Texas A&M advisory Committee? - ** VERIFIED ANSWERS
**✔✔10 appointed by the governor
6 are brokers licensed for 5 years
3 representing the public
1 ex-official representing TREC
How long does a individual have to file a complaint with TREC? - ** VERIFIED ANSWERS **✔✔4
years from the effective date of contract, or the date of the incident
What does TREC have the power to do? - ** VERIFIED ANSWERS **✔✔Issue or revoke a Real
Estate License
Where are TREC hearings held? - ** VERIFIED ANSWERS **✔✔Austin, unless a license holder
requests the hearing be held in their county
What happens if a license holder fails to respond to a summons from TREC - ** VERIFIED
ANSWERS **✔✔TREC will automatically schedule a revocation/suspension hearing
What can you do if you license is revoked by TREC? - ** VERIFIED ANSWERS **✔✔You can appeal
the decision to the district court
What happens if a person engages in real estate brokerage without having a secured license from
TREC? - ** VERIFIED ANSWERS **✔✔Guilty of a class A misdemeanor, subject to a fine not more
than 4K or imprisonment in the country jail
The broker who profited is liable for 3x's the amount recieved
What is the penalty for violation of the License Act? - ** VERIFIED ANSWERS **✔✔$5,000 per day
for violation of the license act by any person; licensed or unlicensed
, What is the Real Estate Recovery Trust Account - ** VERIFIED ANSWERS **✔✔Created by TREC
to pay aggrieved persons who suffered a monetary due to acts of a license holder
How much money can an aggrieved person receive from the recovery trust account? - ** VERIFIED
ANSWERS **✔✔3x's the amount of money lost
What happens if the recovery trust account is less than 1 million? - ** VERIFIED ANSWERS
**✔✔TREC could make agents pay the renal fee ($10) of their license or whatever necessary to bring
the amount to 1,700,000
What happens if the Recovery Trust account exceeds 3.5 Million? - ** VERIFIED ANSWERS
**✔✔The excess goes into the states general fund
What happens when Recovery Trust Account balance is not below 1 million - ** VERIFIED
ANSWERS **✔✔TREC simply continues to invest funds
What happens to the licensee when TREC pays an amount out of the Recovery Trust Account - **
VERIFIED ANSWERS **✔✔The license of the individual may be revoked or suspended.
The license may never be recovered until the account has been repaid with interest
What is the max payments TREC will pay out of the Recovery Trust? - ** VERIFIED ANSWERS
**✔✔100,000 per license holder and 50,000 per transaction
Who is required to have a real estate license? - ** VERIFIED ANSWERS **✔✔-Attorneys
participating in a commission split
-Auctioneers involded in any part of a real estate transaction
-Apartment Locators
When was TREC Created? - ** VERIFIED ANSWERS **✔✔1939
What Does TREC have the authority to do? - ** VERIFIED ANSWERS **✔✔Make rules and
regulations
How many members are in TREC - ** VERIFIED ANSWERS **✔✔9 Members
6 Brokers
3 General Public
How are TREC members appointed? - ** VERIFIED ANSWERS **✔✔By the governor or senate
What happens if a License Holder fails to respond to a subpoena - ** VERIFIED ANSWERS
**✔✔TREC can file a suit with the attorney general
Who writes promulgated contract forms - ** VERIFIED ANSWERS **✔✔The broker Lawyer
Committee
How many members are on the Broker Lawyer Committee? - ** VERIFIED ANSWERS **✔✔13
Members
6 Brokers - appointed by TREC
6 Lawyers - appointed by state bar association
1 public member appointed by the governor
Where is the Real Estate Center? - ** VERIFIED ANSWERS **✔✔Texas A&M
,How many members are on the Texas A&M advisory Committee? - ** VERIFIED ANSWERS
**✔✔10 appointed by the governor
6 are brokers licensed for 5 years
3 representing the public
1 ex-official representing TREC
How long does a individual have to file a complaint with TREC? - ** VERIFIED ANSWERS **✔✔4
years from the effective date of contract, or the date of the incident
What does TREC have the power to do? - ** VERIFIED ANSWERS **✔✔Issue or revoke a Real
Estate License
Where are TREC hearings held? - ** VERIFIED ANSWERS **✔✔Austin, unless a license holder
requests the hearing be held in their county
What happens if a license holder fails to respond to a summons from TREC - ** VERIFIED
ANSWERS **✔✔TREC will automatically schedule a revocation/suspension hearing
What can you do if you license is revoked by TREC? - ** VERIFIED ANSWERS **✔✔You can appeal
the decision to the district court
What happens if a person engages in real estate brokerage without having a secured license from
TREC? - ** VERIFIED ANSWERS **✔✔Guilty of a class A misdemeanor, subject to a fine not more
than 4K or imprisonment in the country jail
The broker who profited is liable for 3x's the amount recieved
What is the penalty for violation of the License Act? - ** VERIFIED ANSWERS **✔✔$5,000 per day
for violation of the license act by any person; licensed or unlicensed
, What is the Real Estate Recovery Trust Account - ** VERIFIED ANSWERS **✔✔Created by TREC
to pay aggrieved persons who suffered a monetary due to acts of a license holder
How much money can an aggrieved person receive from the recovery trust account? - ** VERIFIED
ANSWERS **✔✔3x's the amount of money lost
What happens if the recovery trust account is less than 1 million? - ** VERIFIED ANSWERS
**✔✔TREC could make agents pay the renal fee ($10) of their license or whatever necessary to bring
the amount to 1,700,000
What happens if the Recovery Trust account exceeds 3.5 Million? - ** VERIFIED ANSWERS
**✔✔The excess goes into the states general fund
What happens when Recovery Trust Account balance is not below 1 million - ** VERIFIED
ANSWERS **✔✔TREC simply continues to invest funds
What happens to the licensee when TREC pays an amount out of the Recovery Trust Account - **
VERIFIED ANSWERS **✔✔The license of the individual may be revoked or suspended.
The license may never be recovered until the account has been repaid with interest
What is the max payments TREC will pay out of the Recovery Trust? - ** VERIFIED ANSWERS
**✔✔100,000 per license holder and 50,000 per transaction
Who is required to have a real estate license? - ** VERIFIED ANSWERS **✔✔-Attorneys
participating in a commission split
-Auctioneers involded in any part of a real estate transaction
-Apartment Locators
