texas sae real estate brokerage test 2023 Questions and Answers complete The _____ is required to ascertain that Brokers are aware of all of their responsibilities. - Texas Real Estate Commission The _____ course is to address the regulatory aspects of the management, operation and supervision of a real estate brokerage firm in Texas. The course provides an understanding and working knowledge of a broker's responsibilities and obligations under 22 TAC §535.2. - Broker Responsibility MCE Who Must Take The Broker Responsibility MCE Course? - A broker who sponsors salespersons, a designated broker of a business entity, and a license holder who is a delegated supervisor of one or more license holders (for six months or more during the supervisor's current license period), to complete this six—hour broker responsibility course to renew a license. "Act of God" - A natural disaster or fire Broker must, at a minimum, maintain the following records in a format that is readily available to the Commission for at least ____ years from the date of closing, termination of the contract, or end of a real estate transaction - 4 Recruitment of a salesperson by a broker is not regulated with the exception that instructors or other persons associated with a ___ may NOT recruit or solicit prospective salespersons or brokers in a classroom during class time - School There is no provision in the Act or the TREC Rules prohibiting a broker from _____ a salesperson or broker—associate affiliated with another broker. - Recruiting ________ are exempt from any of the provisions of the Texas Real Estate License Act. They are permitted to represent clients in real estate transactions by virtue of their license to practice law. - Attorneys Brokers CANNOT share their fees with attorneys who perform a brokerage service, attorneys must seek compensation for that service directly from one of the ______ in a transaction - Principals Can a listing broker share a portion of the listing broker's commission with an attorney who represented the buyer in a real estate transaction? - No. A broker is prohibited from sharing fees with or otherwise compensating the attorney acting as a buyer's agent unless the attorney holds an active real estate license. Is a link to the IABS form required on my website? - Yes. Rule 531.20(b) states that each broker and sales agent must provide a link on its homepage to the IABS Form labeled "Texas Real Estate Commission Information About Brokerage Services". IABS link must be in at least a ______ point font and in a readily noticeable place on the homepage of the business website of the broker and sales agent. - 10 Does a link to the IABS Form in my email signature satisfy the representation disclosure required by TRELA §1101.558? - No. Rule 531.20(d) states that providing a link to the IABS Form in a footnote or signature block of an email is insufficient The IABS Form can be provided by: - (1) personal delivery; (2) first class mail or overnight common carrier delivery service; (3) in the body of an email; or (4) as an attachment to an email or as a link in the body of an email so long as there is a specific reference to the IABS Form in the body of the email. Reasons people give for wanting to open their own Brokerage: - Wanting to create something from scratch, Wanting to be their own boss, Wanting to train and motivate real estate agents to be successful, Wanting to be leader in their community or in the industry, An entrepreneurial spirit Two good resources for finding past statistic for the real estate industry are - The National Association of REALTORS® and the Real Estate Center at Texas A&M University. The _______ indicates the strength of the economy. - Gross domestic product or GDP Most good economies have a GDP of about _____ - 3% A new broker will need a good real estate attorney and a good _____ on their team. - Certified public accountant (CPA) The Rules of the Texas Real Estate Commission require that a Broker have a_______ before you start hiring agents - Policy and Procedures Manual Policy and Procedures Manual must include - Agent's Authorized Activity, Advertising, Compensation, Records Management, Trust Accounts The new broker will want to consider three possibilities. - Purchasing an existing real estate business, purchasing a franchise office or a start up from scratch All business entities engaged in real estate brokerage activity, including ______, need to be licensed. - Partnerships If the designated broker does NOT directly own at least 10% of the entity TREC requires proof that the business entity maintains _______ in the amount of $1 million per occurrence. - Errors and omissions insurance Two requirements that must be met for all advertisements - Must "clearly and conspicuously contain the name of the broker, either a business entity or an individual." and An advertisement must include a designation that serves to clearly identify the advertiser as a real estate agent. TREC Qualifications to obtain a Broker's license: - Citizen of the United States or lawfully admitted alien, 18 years of age or older, Resident of Texas, unless you: were licensed in Texas as a sales agent or broker in the last two years; or you are licensed as a broker in another state, Meet TREC's qualifications for honesty, trustworthiness, and integrity Instructors must pass the test with a grade of ____ or higher to be able to teach the course - 80% To become a Broker you need to complete your qualifying education- ______ classroom hours of qualifying real estate courses - 270 Principles of Real Estate I (30 classroom hours), Principles of Real Estate II (30 classroom hours), Law of Agency (30 classroom hours), Law of Contracts (30 classroom hours), Promulgated Contracts Forms (30 classroom hours), Real Estate Finance (30 classroom hours), Real Estate Brokerage (30 classroom hours) - Brokerage mandatory courses The Real Estate Brokerage course must be completed not more than ____ years before the application date. - 2 The Broker will become both the Leader and the _____ - Manager