TREC Commission Duties and Powers
Questions and Answers | Latest
Version | 2025/2026 | Correct & Verified
What is the primary purpose of TREC?
✔✔To protect the public and regulate real estate license holders in Texas.
Who appoints members of the Texas Real Estate Commission?
✔✔The Governor of Texas with Senate confirmation.
How many members serve on TREC?
✔✔Nine.
What is the role of TREC in license issuance?
✔✔To examine and license qualified applicants for real estate practice.
Can TREC revoke a license without a hearing?
✔✔No, a hearing must be conducted before revocation.
What is one of the duties of TREC regarding disciplinary actions?
✔✔Investigate complaints and take action against license holders who violate laws.
Who enforces the Texas Real Estate License Act?
1
,✔✔TREC.
Does TREC set real estate commission rates?
✔✔No, commission rates are negotiated between the broker and client.
What authority does TREC have over education providers?
✔✔TREC approves and monitors real estate education courses and instructors.
Can TREC issue subpoenas?
✔✔Yes, TREC can subpoena records and witnesses for investigations.
What is TREC’s role in promulgating contract forms?
✔✔To create standard contract forms for use by license holders.
Can TREC investigate a consumer complaint against a license holder?
✔✔Yes, any consumer can file a complaint that TREC will investigate.
What is the maximum civil penalty TREC can impose for a violation?
✔✔$5,000 per violation.
Does TREC have authority to impose jail sentences?
2
, ✔✔No, TREC cannot impose criminal penalties; it can only refer matters to the Attorney
General or courts.
What power does TREC have regarding license suspensions?
✔✔TREC can suspend licenses for violations of the Real Estate License Act.
Can TREC require license holders to maintain trust accounts?
✔✔Yes, TREC regulates the use and maintenance of escrow and trust accounts.
Does TREC have the power to approve brokers’ office locations?
✔✔Yes, all broker offices must be registered and approved by TREC.
What is the purpose of TREC’s rulemaking authority?
✔✔To adopt rules that interpret and enforce the Real Estate License Act.
Can TREC compel a license holder to provide information?
✔✔Yes, through lawful requests or subpoenas.
What is TREC’s role in disciplinary hearings?
✔✔To conduct hearings or review findings before taking final action.
Can TREC investigate unlicensed real estate activity?
3
Questions and Answers | Latest
Version | 2025/2026 | Correct & Verified
What is the primary purpose of TREC?
✔✔To protect the public and regulate real estate license holders in Texas.
Who appoints members of the Texas Real Estate Commission?
✔✔The Governor of Texas with Senate confirmation.
How many members serve on TREC?
✔✔Nine.
What is the role of TREC in license issuance?
✔✔To examine and license qualified applicants for real estate practice.
Can TREC revoke a license without a hearing?
✔✔No, a hearing must be conducted before revocation.
What is one of the duties of TREC regarding disciplinary actions?
✔✔Investigate complaints and take action against license holders who violate laws.
Who enforces the Texas Real Estate License Act?
1
,✔✔TREC.
Does TREC set real estate commission rates?
✔✔No, commission rates are negotiated between the broker and client.
What authority does TREC have over education providers?
✔✔TREC approves and monitors real estate education courses and instructors.
Can TREC issue subpoenas?
✔✔Yes, TREC can subpoena records and witnesses for investigations.
What is TREC’s role in promulgating contract forms?
✔✔To create standard contract forms for use by license holders.
Can TREC investigate a consumer complaint against a license holder?
✔✔Yes, any consumer can file a complaint that TREC will investigate.
What is the maximum civil penalty TREC can impose for a violation?
✔✔$5,000 per violation.
Does TREC have authority to impose jail sentences?
2
, ✔✔No, TREC cannot impose criminal penalties; it can only refer matters to the Attorney
General or courts.
What power does TREC have regarding license suspensions?
✔✔TREC can suspend licenses for violations of the Real Estate License Act.
Can TREC require license holders to maintain trust accounts?
✔✔Yes, TREC regulates the use and maintenance of escrow and trust accounts.
Does TREC have the power to approve brokers’ office locations?
✔✔Yes, all broker offices must be registered and approved by TREC.
What is the purpose of TREC’s rulemaking authority?
✔✔To adopt rules that interpret and enforce the Real Estate License Act.
Can TREC compel a license holder to provide information?
✔✔Yes, through lawful requests or subpoenas.
What is TREC’s role in disciplinary hearings?
✔✔To conduct hearings or review findings before taking final action.
Can TREC investigate unlicensed real estate activity?
3
