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Commission Duties And Powers
Licensing
Standards Of Conduct
Agency / Brokerage
Contracts
Special Topics
(Brokers Only)

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The Key To Passing The Texas State Exam Is Understanding The Topic Areas


Texas Exam Topics Pie Chart


Tuesday's Free Key Points
Key Point's are important bullet points that relate to Texas state exam topic areas.

Commission Duties And Powers

Engaging in fraudulent or deceptive practices, including forging signatures, altering documents, or misleading clients may result in penalties and disciplinary actions.

Licensing

If a licensee owes delinquent taxes, the Comptroller of Public Accounts may report the delinquency to TREC and recommend that the licensee's renewal be denied until the taxes are paid.

Standards Of Conduct

Unexplained trust account overages are trust funds and unless the broker can establish the ownership of such funds, the funds must be maintained in the brokers trust fund account or in a separate trust fund account established to hold such funds.

Agency / Brokerage

Agents must be loyal to their clients and avoid any conflicts of interest that could compromise their ability to represent the client's interests faithfully.

Contracts

The buyer then has three days to terminate the contract if they do not wish to proceed with the purchase due to the presence of the utility easements.

Special Topics

Community property refers to property acquired by either spouse during the course of the marriage, except for certain exceptions.

Tuesday's Free Practice Questions

In regards to a dispute over a commission agreement in which mediation is unsuccessful, what option may the broker consider


A.) Renegotiating the compensation agreement
B.) Pursuing legal action by filing a lawsuit
C.) Withhold all transaction records for a period of two years
D.) Propose a payment schedule in which the client accepts


A
B
C
D

This Is A Agency / Brokerage Question



You Answered:


In regards to a dispute over a commission agreement in which mediation is unsuccessful, what option may the broker consider


Correct Answer:
Pursuing legal action by filing a lawsuit

If mediation or arbitration is unsuccessful or not applicable, the broker may consider pursuing legal action by filing a lawsuit.



Next Question →

How long is the written agreement between brokers and salespersons required to be kept by both parties according to TREC regulations


A.) One year
B.) Two years
C.) Three years
D.) Four years


A
B
C
D

This Is A Agency / Brokerage Question


You Answered:

How long is the written agreement between brokers and salespersons required to be kept by both parties according to TREC regulations


Correct Answer:
Four years

Written agreements between brokers and salespersons are required and should be kept for a minimum of four years



Next Question →

Broker Jack has been using an interest bearing trust account. He clients are unaware of this as Jack considers this money part of his commissions. Of the following, what best describes this action


A.) TREC will take disciplinary action and suspend Jacks license
B.) Under TREC rules, Jack cannot keep this interest
C.) Any interest earned on trust funds must be deposited with the Texas Real Estate Research Center
D.) This is acceptable under TREC rules regarding trust accounts


A
B
C
D

This Is A Standards Of Conduct Question


You Answered:

Broker Jack has been using an interest bearing trust account. He clients are unaware of this as Jack considers this money part of his commissions. Of the following, what best describes this action


Correct Answer:
Under TREC rules, Jack cannot keep this interest

A trust fund bank account in Texas is allowed to be interest-bearing. However, unless otherwise provided for by an agreement signed by the owner of the funds, any interest earned on trust funds must be given to the owner of the funds.



Next Question →

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