Pearson Vue Texas RE Study Guide 2024 with 100% Complete Solutions

Pearson Vue Texas RE Study Guide 2024 with 100% Complete Solutions TRELA - Answer- Texas Real Estate License Act - Law that governs real estate licensees and sets the power for TREC TREC - Answer- Texas real estate commission TREC Composition - Answer- Nine Members - 6 brokers - 3 members of the general public Appointed by the governor, with advice and consent of state senate, to staggered six- year terms One broker designated by the governor as chairperson TREC Duties - Answer- 1) Make and enforce rules and regulations 2) Establish Standards of Conduct and ethics for licensees 3) Administer and enforce license law ad levy civil fines 4) Select an administrator and employees to administer the law 5) Issue active and probationary licenses and collect money for licenses and renewals 6) Conduct investigations (within four years after the incident), hold hearings, and issue injunctions 7) Suspend or revoke a license, and place on probation or reprimand a licensee 8) Initiate a cease and desist action 9) Inspect and accredit real estate education programs 10) Promulgate contracts and addenda 11) Enforce the Texas Timeshare Act TREC WILL NOT - Answer- - Mediate or settle commission or other disputes between licensees or brokerage firms - Recommend individual licensees to the public - Send licensees to jail Broker-Lawyer Committee FUNCTIONS - Answer- - Draft, revise, and recommend contract forms intended for use by licensees - Does not publish, promulgate, or approve the forms; ONLY TREC may promulgate real estate contract forms Broker-Lawyer Committee MAKEUP - Answer- - 13 members - 6 brokers appointed by the Commission - 6 lawyers appointed by the president of the State Bar of Texas - One public member appointed by the Governor Broker-Lawyer Committee TERMS - Answer- - Serve 6 year staggered terms - Terms for 2 brokers and 2 lawyers expire every two years - Public members term expires every six years Education Standards Advisory Committee FUNCTION - Answer- Reviews and revises education curriculum standards, course content requirements, and instructor certification requirements for all Texas real estate core, Salesperson Apprentice Education (SAE), and Mandatory Continuing Education (MCE) courses Education Standards Advisory Committee MAKEUP - Answer- - 12 members - 7 active licensees (salespersons OR brokers) - Must have at least five years' active real estate experience - Four education members who are TREC-approved real estate instructors or owners of approved real estate schools - One Public member - No set terms Handling of Complaints - Investigations, Hearings, and Appeals, and Penalties - Answer- Pg. 3 of TX RE Prep book Real Estate Recovery Trust Account - Answer- Account is maintained by TREC - Must total $1 million at minimum Purpose is to reimburse consumers who suffer damages caused by real estate licensees, certificate holders, or their employees Brokerage firms must display the Consumer Information Form 1-1 in a prominent location in each location, notifying the public of the availability of the recovery fund. It is funded from license fees - At time of application, applicant pays $10 into trust account. - If it drops below $1 million, each licensee is assessed $10 or a pro rata to bring it back to $1.7 millon. Consumers must apply within two years of the cause of action or offense Recovery maximums are as follows: - $50,000 per transaction, regardless of the number of claimants - $100,000 total per licensee, regardless the # of claims Remedies against licensee if funds are used are as follows: - Commission may revoke license if the Commission makes a payment from the Real Estate Recovery Trust Account to satisfy all or part of a judgement against the licensee --TREC may issue a probationary license instead of revoking - Renewal of license is held until repayment of full amount plus interest is paid TREC licensing requirements - Answer- Three-prong test to determine if a real estate license is required in activity or dealing in real property for compensation for others A RE license is required for compensation in any of the following: - Answer- - Lists -Leases - Buys - Exchanges