TREC’s Broker-Lawyer Committee met January 14 to discuss public comments and potential changes to the Farm and Ranch Contract and other contract forms. Here are some takeaways from the meeting.

The Texas Real Estate Commission (TREC) is conducting a study on wholesaling and seeking input from consumers, wholesalers, and license holders. Wholesaling is a model where a person enters into a contract to buy real estate and then sells their contractual interest in the property to a third party prior to closing. Take this anonymous survey to help the agency as it examines wholesaling practices and consumer protection measures. The survey should take about five minutes to complete.

There may be instances where a client wants to add language to a real estate contract. In a “hot market,” it is not uncommon for a buyer to want an escalation clause added to the contract (for example, language stating the buyer will pay “X amount more than the highest offer if other offers are present”). Typically, an escalation clause such as this will be added to “Paragraph 11, Special Provisions” (which is reserved for factual statements and business details) of the One to Four Family Residential Contract, but it might also be drafted as an addendum to the contract. 

Broker business entity licenses were inactivated in error on Wednesday, June 2, 2021. The issue is resolved, and all licenses are restored.

All business entity licenses have been updated and the TREC website should reflect the accurate status of your license. Business entities and agents can once again manage their sponsorships online as well. If you believe your license status is not correct please contact TREC.

As of April 1, 2021, the following form versions are now required for use:

As of February 1, 2021 sales agents and brokers are required to complete at least three hours in contract-related coursework as part of the 18 hours of continuing education (CE) required to renew a license or activate a license.