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Acronym: 
TREC Enforcement

Intermediary relationships - what you need to know

Intermediary relationships have been part of The Texas Real Estate License Act (TRELA) for well over a decade. Even though these relationships have been well established, there is still confusion about how it works.

An intermediary is a broker who negotiates a real estate transaction between two parties when a broker, or a sales agent sponsored by the broker, has obtained written consent from the parties to represent both the buyer and the seller. A broker acting as an intermediary can make appointments in some circumstances.

Tips on Rebates, Referrals, and other Promotions 

We regularly receive questions about the difference between rebates, referrals, and other promotions like drawings and client gifts.  First, when you are considering offering any of these make sure your advertisements are upfront and clear about what you are offering.  If there are terms and conditions to qualify then you should have them in writing and provide them in your advertisement. If you are a sales agent, seek approval of your sponsoring broker before you start offering rebates, referrals, or other promotions

Responding to a TREC Investigation

The filing of a complaint against a real estate license holder is not uncommon.  In fiscal year 2019, the Texas Real Estate Commissions’ Standards & Enforcement Services Division (SES) reviewed 1,615 complaints filed by consumers against real estate brokers and sales agents and Commission investigators completed 467 field investigations.  

The goal of an investigation is to protect consumers and to uphold the integrity of the real estate profession by gathering the facts necessary to resolve the complaint.