The amendments to Chapter 535 are made as a result of the Commission’s quadrennial rule review. The changes update terminology for consistency and clarity throughout the chapter.
Rules and Laws
Our license holders are governed by the Texas Real Estate License Act, the Inspector Act, and the Timeshare Act. These Acts establish the makeup of the Commission and its advisory committees and outline procedures by which a person can become real estate license holders in Texas. The Acts also describe TREC’s jurisdiction over license holders and registrants.
TREC has the authority to adopt administrative rules to provide specificity to provisions of the Acts. TREC may also adopt rules to establish a policy regarding certain practices. Both the Acts and TREC rules are a great resource for helping consumers know what to expect from a real estate service provider.
TREC Rules
The tables below show all of our recently proposed and adopted rules. Written comments on proposed rules are accepted for 30 days after publication in the Texas Register. After that period, comments can be made in person at the next Commission meeting. Please send written comments to TREC's general.counsel@trec.texas.gov. For the complete version of our current rules go to:
Recently Adopted Rules
Rule Number
Rule Name
22 TAC §535.1
Definitions
Proposed Date
02/13/2023
Adopted Date
05/16/2023
Effective Date:
06/11/2023
22 TAC §535.2
Broker Responsibility
Proposed Date
02/13/2023
Adopted Date
05/16/2023
Effective Date:
06/11/2023
The change in subsection (e) of §535.2 is made to clarify who may notify the Commission of the end of delegated supervision in a situation where the delegated supervisor is or later becomes a broker.
There are two additional amendments that were recommended by the BRWG. The first change is found in subsection (i)(5). It increases the minimum number of times that a sales agent who performs a type of real estate brokerage activity must receive coaching or assistance from a competent, experienced license holder from one time to three times. The second change is found in §535.2(j). That change modifies the language of that subsection to accommodate the new rule 22 TAC §535.157, which requires both brokers and sales agents to respond to principals to a real estate transaction or their license holders within two calendar days.
22 TAC §535.3
Compensation to or Paid by a Salesperson
Proposed Date
02/13/2023
Adopted Date
05/16/2023
Effective Date:
06/11/2023
The amendments to Chapter 535 are made as a result of the Commission’s quadrennial rule review. The changes update terminology for consistency and clarity throughout the chapter.
22 TAC §535.4
License Required
Proposed Date
02/13/2023
Adopted Date
05/16/2023
Effective Date:
06/11/2023
The amendments to Chapter 535 are made as a result of the Commission’s quadrennial rule review. The changes update terminology for consistency and clarity throughout the chapter.
22 TAC §535.5
License Not Required
Proposed Date
02/13/2023
Adopted Date
05/16/2023
Effective Date:
06/11/2023
The amendments to Chapter 535 are made as a result of the Commission’s quadrennial rule review. The changes update terminology for consistency and clarity throughout the chapter.
22 TAC §535.20
Referrals from Unlicensed Persons
Proposed Date
02/13/2023
Adopted Date
05/16/2023
Effective Date:
06/11/2023
The amendments to Chapter 535 are made as a result of the Commission’s quadrennial rule review. The changes update terminology for consistency and clarity throughout the chapter.
22 TAC §535.31
Attorneys at Law
Proposed Date
02/13/2023
Adopted Date
05/16/2023
Effective Date:
06/11/2023
The amendments to Chapter 535 are made as a result of the Commission’s quadrennial rule review. The changes update terminology for consistency and clarity throughout the chapter.
22 TAC §535.33
Public Officials
Proposed Date
02/13/2023
Adopted Date
05/16/2023
Effective Date:
06/11/2023
The amendments to Chapter 535 are made as a result of the Commission’s quadrennial rule review. The changes update terminology for consistency and clarity throughout the chapter.
22 TAC §535.34
Salespersons Employed by an Owner of Land and Structures Erected by the Owner
Proposed Date
02/13/2023
Adopted Date
05/16/2023
Effective Date:
06/11/2023
The amendments to Chapter 535 are made as a result of the Commission’s quadrennial rule review. The changes update terminology for consistency and clarity throughout the chapter.
22 TAC §535.43
Education Standards Advisory Committee
Proposed Date
02/13/2023
Adopted Date
05/16/2023
Effective Date:
06/11/2023
The amendments to Chapter 535 are made as a result of the Commission’s quadrennial rule review. The changes update terminology for consistency and clarity throughout the chapter.
22 TAC §535.45
Certain Uses of Seal, Logo, or Name Prohibited
Proposed Date
02/13/2023
Adopted Date
05/16/2023
Effective Date:
06/11/2023
The amendments to Chapter 535 are made as a result of the Commission’s quadrennial rule review. The changes update terminology for consistency and clarity throughout the chapter.
22 TAC §535.50
Definitions
Proposed Date
02/13/2023
Adopted Date
05/16/2023
Effective Date:
06/11/2023
The amendments to Chapter 535 are made as a result of the Commission’s quadrennial rule review. The changes update terminology for consistency and clarity throughout the chapter.
22 TAC §535.51
General Requirements for a Real Estate License
Proposed Date
02/13/2023
Adopted Date
05/16/2023
Effective Date:
06/11/2023
The amendments to Chapter 535 are made as a result of the Commission’s quadrennial rule review. The changes update terminology for consistency and clarity throughout the chapter. Subsection (a) is being amended to correct a typographical error in the subsection.
22 TAC §535.52
Fitness Requirements for Individual Applicant
Proposed Date
02/13/2023
Adopted Date
05/16/2023
Effective Date:
06/11/2023
In 22 TAC §535.52(b)(4), the term “denial” is added to better reflect current agency practice.
22 TAC §535.53
Business Entity; Designated Broker
Proposed Date
02/13/2023
Adopted Date
05/16/2023
Effective Date:
06/11/2023
The amendments to Chapter 535 are made as a result of the Commission’s quadrennial rule review. The changes update terminology for consistency and clarity throughout the chapter.
22 TAC §535.57
Examinations
Proposed Date
02/13/2023
Adopted Date
05/16/2023
Effective Date:
06/11/2023
The changes to 22 TAC §535.57 are being made to better reflect current contractual provisions.
22 TAC §535.58
License for Military Service Members, Veterans, or Military Spouses
Proposed Date
02/13/2023
Adopted Date
05/16/2023
Effective Date:
06/11/2023
In 22 TAC §535.58, changes are made to remove references to residency requirements, which were removed from Chapter 1101, Texas Occupations Code, as a result of the agency’s most recent Sunset review and will limit an existing regulation to correspond with applicable law.
22 TAC §535.60
Definitions
Proposed Date
02/13/2023
Adopted Date
05/16/2023
Effective Date:
06/11/2023
The amendments to Chapter 535 are made as a result of the Commission’s quadrennial rule review. The changes update terminology for consistency and clarity throughout the chapter.
22 TAC §535.61
Approval of Providers of Qualifying Courses
Proposed Date
02/13/2023
Adopted Date
05/16/2023
Effective Date:
06/11/2023
The removal of the venue provision in subsections (j)(2) of 22 TAC §535.61 is made to be consistent with current State Office of Administrative Hearing processes.
22 TAC §535.63
Qualifications for Instructors of Qualifying Courses
Proposed Date
02/13/2023
Adopted Date
05/16/2023
Effective Date:
06/11/2023
The changes to 22 TAC §535.63 are being made to reflect the fact that in 2021, a new eight-hour non-elective course—the Inspector Legal and Ethics and Standards of Practice Review—replaced the two four-hour courses in 2021.
22 TAC §535.65
Responsibilities and Operations of Providers for Qualifying Courses
Proposed Date
02/13/2023
Adopted Date
05/16/2023
Effective Date:
06/11/2023
The change in subsection (j)(1) of §535.65 is made to account for the agency’s updated education reporting system, whereby providers can post course credit on behalf of certain students. The additions to 22 TAC §535.65 are being made to clarify the timing requirements for execution of pre-enrollment agreements and certain distance education delivery requirements for providers. The change to subsection (i)(2) corrects a rule reference.
22 TAC §535.66
Credit for Courses Offered by Accredited Colleges and Universties
Proposed Date
02/13/2023
Adopted Date
05/16/2023
Effective Date:
06/11/2023
The change in 22 TAC §535.66(c)(1) is made to reflect current course approval practice by the Texas Higher Education Coordinating Board.
22 TAC §535.67
Qualifying Education: Compliance and Enforcement
Proposed Date
02/13/2023
Adopted Date
05/16/2023
Effective Date:
06/11/2023
The removal of the venue provision in subsection (b)(5) of §535.67 is made to be consistent with current State Office of Administrative Hearing processes. In 22 TAC 535.67(c) and (d), the time period is being changed from 15 to 14 days to be more consistent with other similar rules.
22 TAC §535.71
Approval of CE Providers
Proposed Date
02/13/2023
Adopted Date
05/16/2023
Effective Date:
06/11/2023
The removal of the venue provision in subsection (e)(2) of §535.71 is made to be consistent with current State Office of Administrative Hearing processes.
22 TAC §535.72
Approval of Non-elective Continuing Education Courses
Proposed Date
02/13/2023
Adopted Date
05/16/2023
Effective Date:
06/11/2023
The changes to 22 TAC §535.72 are being made to reflect the fact that in 2021, a new eight-hour non-elective course—the Inspector Legal and Ethics and Standards of Practice Review—replaced the two four-hour courses in 2021. The removal of the term “author” in 22 TAC §535.72(h)(1)(B) is being made because the agency is the author of these courses.
22 TAC §535.74
Qualifications for Continuing Education Instructors
Proposed Date
02/13/2023
Adopted Date
05/16/2023
Effective Date:
06/11/2023
The changes to 22 TAC §535.74 are being made to reflect the fact that in 2021, a new eight-hour non-elective course—the Inspector Legal and Ethics and Standards of Practice Review—replaced the two four-hour courses in 2021.
22 TAC §535.75
Responsibilities and Operations of Continuing Education Providers
Proposed Date
02/13/2023
Adopted Date
05/16/2023
Effective Date:
06/11/2023
The changes to 22 TAC §535.75(d) clarify that a provider is not prohibited from providing a course completion certificate to a student.
22 TAC §535.82
Proration of Payments from the Recovery Trust Account
Proposed Date
02/13/2023
Adopted Date
05/16/2023
Effective Date:
06/11/2023
The amendments to Chapter 535 are made as a result of the Commission’s quadrennial rule review. The changes update terminology for consistency and clarity throughout the chapter.
22 TAC §535.120
Prohibited Activity While on Inactive License Status
Proposed Date
02/13/2023
Adopted Date
05/16/2023
Effective Date:
06/11/2023
New 22 TAC §535.120 makes clear that a license holder cannot engage in real estate brokerage activity while on inactive status. Although this is currently prohibited by statute, there was no corresponding, discrete rule. Also, new 22 TAC §535.120 will create a new regulation in order to provide greater consumer protection through clarity to license holders regarding conducting licensed activity while on an inactive license status.
22 TAC §535.121
Inactive Salesperson License
Proposed Date
02/13/2023
Adopted Date
05/16/2023
Effective Date:
06/11/2023
The amendments to Chapter 535 are made as a result of the Commission’s quadrennial rule review. The changes update terminology for consistency and clarity throughout the chapter.
22 TAC §535.122
Reactivation of Salesperson License
Proposed Date
02/13/2023
Adopted Date
05/16/2023
Effective Date:
06/11/2023
The amendments to Chapter 535 are made as a result of the Commission’s quadrennial rule review. The changes update terminology for consistency and clarity throughout the chapter.
22 TAC §535.133
Consent to Be Sued, Exceptions to Requirements
Proposed Date
02/13/2023
Adopted Date
05/16/2023
Effective Date:
06/11/2023
In 22 TAC §535.133, changes are made to remove references to residency requirements, which were removed from Chapter 1101, Texas Occupations Code, as a result of the agency’s most recent Sunset review. The amendments to §535.133 will limit an existing regulation to correspond with applicable law,
22 TAC §535.141
Initiation of Investigation; Order Requirements
Proposed Date
02/13/2023
Adopted Date
05/16/2023
Effective Date:
06/11/2023
The changes to §535.141 are made to better track Chapter 1101, Occupations Code, and to better reflect the potential for consumer harm. The change in now subsection (c)(2)(D) corrects a rule reference. Finally, subsection (i) is removed to more appropriately reflect agency practice and jurisdiction. The amendments to §535.141(i) will limit an existing regulation to correspond with applicable law.
22 TAC §535.147
Splitting Fee with Unlicensed Person
Proposed Date
02/13/2023
Adopted Date
05/16/2023
Effective Date:
06/11/2023
The amendments to Chapter 535 are made as a result of the Commission’s quadrennial rule review. The changes update terminology for consistency and clarity throughout the chapter.
22 TAC §535.148
Receiving an Undisclosed Commission or Rebate
Proposed Date
02/13/2023
Adopted Date
05/16/2023
Effective Date:
06/11/2023
Subsections (f) and (g) of 22 TAC §535.148, as well as the form adopted by reference, are amended to reflect updated terminology used by the Texas Department of Licensing and Regulation.
22 TAC §535.157
Obligation to Respond Timely
Proposed Date
02/13/2023
Adopted Date
05/16/2023
Effective Date:
06/11/2023
The new §535.157 requires a broker or sales agent to respond to their principal, a broker or sales agent representing another party to a real estate transaction, or an unrepresented party to a real estate transaction within two calendar days.
22 TAC §535.208
Application for a License
Proposed Date
02/13/2023
Adopted Date
05/16/2023
Effective Date:
06/11/2023
Subsection (a) of 22 TAC §535.208 is being amended to correct a typographical error in the subsection.
22 TAC §535.209
Examinations
Proposed Date
02/13/2023
Adopted Date
05/16/2023
Effective Date:
06/11/2023
The repeal of certain language in §535.209 reflects the expiration of those sections by rule.
22 TAC §535.210
Fees
Proposed Date
02/13/2023
Adopted Date
05/16/2023
Effective Date:
06/11/2023
The amendments to Chapter 535 are made as a result of the Commission’s quadrennial rule review. The changes update terminology for consistency and clarity throughout the chapter.
22 TAC §535.212
Education and Experience Requirements for a License
Proposed Date
02/13/2023
Adopted Date
05/16/2023
Effective Date:
06/11/2023
The repeal of §535.212 reflects the expiration of this section by rule.
22 TAC §535.213
Qualifying Real Estate Inspector Instructors and Courses
Proposed Date
02/13/2023
Adopted Date
05/16/2023
Effective Date:
06/11/2023
The changes to 22 TAC §535.213 are being made to streamline the rule. The topics and units will continue to be listed in the forms adopted by reference. The repeal of certain language in §535.213 reflects the expiration of this section by rule.
22 TAC §535.214
Education and Experience Requirements for a License
Proposed Date
02/13/2023
Adopted Date
05/16/2023
Effective Date:
06/11/2023
The changes to 22 TAC §535.214 are being made to reflect the fact that in 2021, a new eight-hour non-elective course—the Inspector Legal and Ethics and Standards of Practice Review—replaced the two four-hour courses in 2021.
22 TAC §535.218
Continuing Education Required for Renewal
Proposed Date
02/13/2023
Adopted Date
05/16/2023
Effective Date:
06/11/2023
The changes to §535.218(f) serve to extend the amount of time an instructor of a ride-along inspection course can provide a certificate of course completion to receive continuing education credit. Now, such instructors can provide documentation within the instructor’s current license period for a course taught within that same term. The changes to 22 TAC §535.218 are being made to reflect the fact that in 2021, a new eight-hour non-elective course—the Inspector Legal and Ethics and Standards of Practice Review—replaced the two four-hour courses in 2021. The repeal of subsection (c) in 22 TAC §535.218 is the result of duplicative language. Subsection (d)(1) is is removed to account for the scenario whereby an inspector renews the inspector’s license after the license’s expiration date.
22 TAC §535.219
Schedule of Administrative Penalties
Proposed Date
02/13/2023
Adopted Date
05/16/2023
Effective Date:
06/11/2023
The changes to 22 TAC §535.219 correct a reference to another rule.
22 TAC §535.220
Professional Conduct and Ethics
Proposed Date
02/13/2023
Adopted Date
05/16/2023
Effective Date:
06/11/2023
The amendments to Chapter 535 are made as a result of the Commission’s quadrennial rule review. The changes update terminology for consistency and clarity throughout the chapter.
22 TAC §535.222
Inspection Reports
Proposed Date
02/13/2023
Adopted Date
05/16/2023
Effective Date:
06/11/2023
The amendments to §535.222 address the situation where payment is received prior to the scheduled inspection and require the report to be delivered to the client within two days of completion of the inspection.
22 TAC §535.224
Practice and Procedure
Proposed Date
02/13/2023
Adopted Date
05/16/2023
Effective Date:
06/11/2023
The changes to 22 TAC §535.224 more fully cite the applicable rules.
22 TAC §535.400
Registration of Easement or Right-of-Way Agents
Proposed Date
02/13/2023
Adopted Date
05/16/2023
Effective Date:
06/11/2023
Subsection (a) of 22 TAC §535.400 is being amended to correct a typographical error in the subsection.
22 TAC §535.401
Required Notices
Proposed Date
02/13/2023
Adopted Date
05/16/2023
Effective Date:
06/11/2023
The amendments to Chapter 535 are made as a result of the Commission’s quadrennial rule review. The changes update terminology for consistency and clarity throughout the chapter.
22 TAC §535.402
Complaints, Disciplinary Action and Appeals
Proposed Date
02/13/2023
Adopted Date
05/16/2023
Effective Date:
06/11/2023
The amendments to Chapter 535 are made as a result of the Commission’s quadrennial rule review. The changes update terminology for consistency and clarity throughout the chapter.
22 TAC §535.403
Renewal of Registration
Proposed Date
02/13/2023
Adopted Date
05/16/2023
Effective Date:
06/11/2023
The amendments to Chapter 535 are made as a result of the Commission’s quadrennial rule review. The changes update terminology for consistency and clarity throughout the chapter.
22 TAC §535.404
Fees
Proposed Date
02/13/2023
Adopted Date
05/16/2023
Effective Date:
06/11/2023
The amendments to Chapter 535 are made as a result of the Commission’s quadrennial rule review. The changes update terminology for consistency and clarity throughout the chapter.
22 TAC §535.405
Employee of Owner or Purchaser
Proposed Date
02/13/2023
Adopted Date
05/16/2023
Effective Date:
06/11/2023
The amendments to Chapter 535 are made as a result of the Commission’s quadrennial rule review. The changes update terminology for consistency and clarity throughout the chapter.
22 TAC §537.1
Definitions
Proposed Date
02/13/2023
Adopted Date
05/16/2023
Effective Date:
06/11/2023
The new rule adds a definitions section for ease of reading and for consistency with other Commission rule chapters. This includes a definition for the new term “informational items,” which is intended to better describe the type of information that a license holder can add to a contract form.
22 TAC §537.11
Use of Standard Contract Forms
Proposed Date
02/13/2023
Adopted Date
05/16/2023
Effective Date:
06/11/2023
The amendments to §537.11 reorganize and consolidate the rule for clarity, and simplify the language regarding when a license holder is required to use a Commission-approved contract form and what is considered the unauthorized practice of law. Specifically, the changes in subsection (a) align the rule language more closely with the applicable statutory language and simplify the list of exceptions related to contract form use by license holders.
Subsections (b) – (d) provide further guidance to license holders and members of the public on what the Commission considers to be the unauthorized practice of law. Of note, subsection (d)(2) provides that it is not the practice of law to add language to or strike language from a contract form, if specifically instructed in writing by a principal, as long as any change is made conspicuous, including underlining additions, striking through deletions, or employing some other method which clearly indicates the change being made.
Finally, the changes to subsection (h) update the language regarding reproduction of Commission-approved contract forms to better account for changes in technology.
22 TAC §535.54
Hearing on License Denial: Probationary Licenses
Proposed Date
02/13/2023
Adopted Date
05/16/2023
Effective Date:
10/01/2023
The change to §535.54 reflects the repeal of §535.93.
22 TAC §535.55
Education and Sponsorship Requirements for a Sales Agent License
Proposed Date
02/13/2023
Adopted Date
05/16/2023
Effective Date:
10/01/2023
Language related to license reinstatement is removed from §535.55.
Subsection (b) of §535.55 also contains a change recommended by the Education Standards Advisory Committee that would require a sales agent to complete the 30-hour qualifying real estate brokerage course as part of the additional 90 hours of qualifying courses that must be completed by the expiration date of the sales agent’s initial licensing period. The change to §535.55 regarding the real estate brokerage course requirement will not increase the overall education hours, but will require a specific course be taken and in a majority of cases, will also result in a real estate broker license applicant having to take the course twice if the rule is ultimately adopted.
22 TAC §535.56
Education and Experience Requirements for a Broker License
Proposed Date
02/13/2023
Adopted Date
05/16/2023
Effective Date:
10/01/2023
Language related to license reinstatement is removed from §535.56.
22 TAC §535.64
Content Requirements for Qualifying Real Estate Courses
Proposed Date
02/13/2023
Adopted Date
05/16/2023
Effective Date:
10/01/2023
The changes to §535.64 streamline the rule and modify two of qualifying course approval forms that are adopted by reference. Although the changes remove the specific topics and units listed in the rule itself, those topics and units will continue to be listed in the forms adopted by reference. The changes to the agency’s Real Estate Brokerage course approval form are being made to better address the broker-agent relationship and associated responsibilities. The changes to the Property Management course outline (being renamed Residential Property Management) are made to more accurately reflect the agency’s jurisdiction and ensure relevancy. These course approval form revisions were recommended by the Education Standards Advisory Committee.
22 TAC §535.91
Renewal of a Real Estate License
Proposed Date
02/13/2023
Adopted Date
05/16/2023
Effective Date:
10/01/2023
The amendments to §535.91 eliminate the “lookback period” currently found in §535.93, which allows a license holder to renew after the expiration date of their license without any lapse in active licensure, as long as certain certifications are made. Under these changes, a license holder who late renews (meaning no later than 6 months after the expiration date) would automatically renew on inactive status.
In order to mirror the format of §535.216 (which relates to inspectors), the relevant language of §535.93 has been added to §535.91.
22 TAC §535.93
Late Renewal Applications
Proposed Date
02/13/2023
Adopted Date
05/16/2023
Effective Date:
10/01/2023
The purpose of the repeal is to eliminate the “lookback period” currently found in §535.93, which currently allows a license holder to renew after the expiration date of their license without any lapse in active licensure, as long as certain certifications are made. With this repeal and the additional changes in 22 TAC Chapter 535, a license holder who late renews (meaning no later than 6 months after the expiration date) would automatically renew on inactive status. In order to mirror the format of rule 22 TAC §535.216 (which relates to inspectors), the relevant language of §535.93 has been added to 22 TAC §535.91. As a result, §535.93 is no longer necessary.
22 TAC §535.101
Fees
Proposed Date
02/13/2023
Adopted Date
05/16/2023
Effective Date:
10/01/2023
The amendments to §535.101 will decrease fees paid to the agency by removing the late reporting fee authorized by subsection (a)(21).
22 TAC §535.132
Eligibility for Licensure
Proposed Date
02/13/2023
Adopted Date
05/16/2023
Effective Date:
10/01/2023
In 22 TAC §535.132, changes are made to remove references to the waiver provisions in §535.55 and §535.56, as well as residency requirements, which were removed from Chapter 1101, Texas Occupations Code, as a result of the agency’s most recent Sunset review. The amendments will limit an existing regulation to correspond with applicable law.
22 TAC §535.216
Renewal of License
Proposed Date
02/13/2023
Adopted Date
05/16/2023
Effective Date:
10/01/2023
The amendments to §535.216 eliminate the “lookback period” currently found in §535.93, which allows a license holder to renew after the expiration date of their license without any lapse in active licensure, as long as certain certifications are made. Under these changes, a license holder who late renews (meaning no later than 6 months after the expiration date) would automatically renew on inactive status.
Rule Number
Rule Name
Broker Responsibility Advisory Committee
Proposed Date
05/16/2023
Adopted Date
08/07/2023
The proposed new rule establishes an advisory committee called the Broker Responsibility Advisory Committee, which is tasked with advising TREC as to issues surrounding broker responsibility issues within the real estate industry. This committee will also make recommendations to TREC regarding possible legislative and rule changes associated with broker responsibility issues impacting both the real estate industry and the consumer.
Comment
Continuing Education Requirements
Proposed Date
05/16/2023
Adopted Date
08/07/2023
The proposed amendments to §535.92 include expand a real estate license holder’s opportunity to earn up to four hours of continuing education elective credit for attendance at a single Commission meeting and clarify that such credit may only be awarded for attendance at one Commission meeting per renewal cycle. The remainder of the changes are either updates to terminology or form for consistency throughout the chapter or are made to reflect updated processes.
Comment
Customer Survey
Rules and Laws
Contract Forms