AUSTIN (Texas Real Estate Commission) – New state laws intended to strengthen real estate licensees’ accountability
to consumers have taken effect or will take effect in 2012.
As of Sept. 1, 2011:
- Property managers for single-family residential units must be licensed. Persons
involved in leasing such properties have always been required to hold a
real estate broker or sales license, but managers not engaged in leasing
did not. - Other than sole proprietorships, all business entities that engage in
practices defined under the law as “brokerage activity” must also be
licensed. Formerly, certain partnerships were exempt. - The updated law acknowledges the practice of producing “broker price
opinions” as a common broker activity. It more clearly distinguishes
these from “appraisals,” which require a separate and distinct appraiser
license from the Appraiser Licensing and Certification Board, and require
extensive education in valuation techniques.
Effective next year:
- Beginning in January 2012, applicants for a broker license will need to have four
years of experience as a licensed salesperson, up from the current
two-year requirement, plus demonstrate practical competency by providing a
detailed list of brokerage activities engaged in by the applicant during
this same period. - Brokers and other direct supervisors of licensed salespersons who seek to renew a
license after Sept. 1, 2012, will need to have completed a new six-hour
course in “Broker Responsibilities” in addition to the combined six-hour
courses on legal and ethics updates.
