Starting July 1st, the Texas Real Estate Commission is simplifying the process for renewing real estate licenses. Salespersons and brokers will no longer receive a lengthy renewal notice and then be required to write a check, put it in an envelope and pay postage to renew a license.
The new renewal notices will still be sent to all licensees approximately three
months prior to license expiration date.Thus, beginning with licenses which
expire on September 30, 2006, salespersons and brokers will receive a postcard
that includes basically all the important information currently printed on the
longer renewal form.includes name and permanent mailing address, license number,
expiration date, and whether the person needs to submitMCE hours to renew as
an active licensee at the normal renewal rate.Once you receive your renewal
card you can go to the TREC website, renew online, and immediately receive a
receipt showing that you renewed prior to your expiration date.
Salespersons needing SAE (30 hr. core course) should submit their education
certificates to TREC at least 15 days prior to the expiration date of the license
to allow the education hours to be posted to the TREC system so they can renew
online. A license subject to SAE requirements
cannot be renewed unless TREC has proof that the education has been completed.
The Commission is using this new postcard notification process to save costs
involved with printing, inserting, and mailing the current renewal forms and
the opening of return mail and processing of checks when payment is made.TREC
also must meet statewide performance measures regarding online renewals required
by the Texas Legislature of all licensing agencies.
In a nutshell, starting July 1st TREC will mail postcards 90 days in advance
of the license expiration date, listing the name, permanent mailing address,
license number and expiration date along with any education hours that must
be completed in order to renew. The present online renewal process will remain
unchanged.Unlike the existing renewal forms that are mailed back with checks
and money orders, the new postcard is not used to renew a license.All licensees
will renew online using a credit card for payment.
This online renewal process has been available since August 2000 and many brokers
and salespersons already are taking advantage of it.Beginning with the postcard
notices to be mailed in July, all licensees will benefit from this quick, convenient,
and efficient means of renewing licenses.TREC believes that this will save much
time and money for all involved.
TThe Texas Real Estate Commission held its regularly scheduled meeting at the
TREC headquarters in Austin, Texas on Monday, February 13, 2006. Chairman John
Walton presided.
After staff reports, the Commission voted to approve payment of one claim against
the Inspector Recovery Fund Account for $7,500. The Commission voted to approve
payment of six claims against the Real Estate Recovery Trust Account. The claims
are as follows: one for $100, 000, one for $50,800, one for $4,000, one for
$1,500, one for $2,850 and one for $50,000.
The Commission voted to adopt amendments to 22 TAC §§537.11, 537.20,
537.28, 537.30, 537.31, 537.32, 537.37, 537.43, 537.44, 537.46, and 537.47 concerning
standard contract forms.
The Commission voted to propose amendments to 22 TAC §535.64
concerning Accreditation of Schools and Approval of Courses and Instructors,
22 TAC §535.91 concerning Renewal Applications and §535.92 concerning
Renewal: Time for Filing; Satisfaction of Mandatory Continuing Education Requirements,
22 TAC §535.144 concerning "When Acquiring or Disposing of Own Property
or Property of Spouse or Relative, 22 TAC §535.210 concerning Fees, 22
TAC §535.220 regarding professional conduct and ethics for inspectors and
22 TAC 539.71 concerning Miscellaneous Forms. The Commission also voted to propose
the appeal of 22 TAC §535.217.
John Cahill, Chairman of the Texas Real Estate Inspector Committee,
presented a draft of revisions to Inspector Standards of Practice. After discussion,
the Commission voted to place the draft on the web site for comments. The Commission
approved the FY 2006-2008 Memorandum of Understanding between the Texas Real
Estate Commission and the Texas Appraiser Licensing and Certification Board.
The Commission denied a motion for rehearing in the Matter
of Wilfred Sheppard, Hearing No. 06-65-060005.
The next meetings of the Commission are scheduled for May 1, 2006 and June 5,
2006 in Austin at TREC Headquarters.
Commissioner Elizabeth Leal was elected Vice-Chair of the Texas Real Estate Commission on February 13, 2006.
She is a Broker-Associate with Coldwell Banker deWetter Hovious, licensed since
1977.
The only member of the Greater El Paso Association of REALTORS® to be twice named Salesman of the Year, she is also the only member of the El Paso del Norte Chapter of Women’s Council of REALTORS® to be twice named Member of the Year, and is the Texas WCR Member of the Year for 2003. She has earned the following designations: ABR, CRS, GRI, LTG, PMN, SRES.
Commissioner William H. Flores was elected Secretary of the Texas Real Estate Commission on February 13, 2006.
He is President & CEO of Phoenix Exploration Company in Houston.
Prior to September 2005, he served as Senior Vice President and CFO of Gryphon
Exploration Company (sold to Woodside Energy (USA), Inc. in August 2005). Bill
serves as a member of the board of directors of Synexus Energy, Inc., as a member
of the Mays Business School Advisory Board and is President-Elect of the Texas
A&M Association of Former Students. In 2003, Bill was honored as an Outstanding
Alumnus of the Mays Business School of Texas A&M University.
During the past three years the Broker-Lawyer Committee has been revising six
contracts and four addenda,
On February 13, 2006, the Commission adopted the contract forms. The following changes to 20-7, One to Four Family Residential Contract (Resale) also apply to most of the other contracts. For a complete summary of all changes go to http://www.trec.state.tx.us/formslawspubs/forms/forms-contracts.asp :
TREC. 36-4, Addendum for Property Subject to Mandatory Membership in an Owners' Association
TREC No. 37-2, Subdivision Information, Including Resale Certificate for Property Subject to Mandatory Membership in an Owners' Association
TREC No. 39-6, Amendment
TREC No. 40-2, Third Party Financing Condition Addendum
at the February 13, 2006 meeting of the Texas Real Estate Commission
(for text of rules go to www.trec.state.tx.us)
| Number | Topic of Rule |
Summary of amendment |
| §§537.11, 537.20, 537.28, 537.30, 537.31, 537.32, 537.37, 537.43, 537.44, 537.46, and 537.47 | Professional Agreements and Standard Contracts ADOPTED |
The amendments adopt by reference
6 revised contract forms and 4 addenda. Texas real estate licensees are
generally required to use forms promulgated by TREC when negotiating contracts
for the sale of real property. These forms are drafted by the Texas Real
Estate Broker-Lawyer Committee, an advisory body consisting of six attorneys
appointed by the President of the State Bar of Texas six brokers appointed
by TREC and a public member appointed by the governor. The effective date
for the contracts and addenda is May 1, 2006. For more information see
www.state.tx.us/formslawspubs/ |
| Number | Topic of Rule | Summary of amendment |
|---|---|---|
| §535.64 |
F. Education,
Experience, Education Programs, Time Periods and Type of License |
Proposes amendments to §535.64
concerning Accreditation of Schools and Approval of Courses and Instructors.
Adopts by reference Form Ed 7-1 Instructor Manual Guidelines For Core
Real Estate And Real Estate Related Courses. Adds to the rule a cite to
the TREC website to download the form and change the cites in the form
to the relevant statutory provisions of Chapter 1101 Texas Occupations
Code. Also updates the Instructor Manual for style and clarity and remove
obsolete sections. |
| §§535.91 and .92 |
I. Licenses proposed |
Proposes amendments to §535.91 concerning Renewal Notices and §535.92 concerning Renewal: Time for Filing; Satisfaction of Mandatory Continuing Education Requirements. In §535.91 the amendments change the name of the “renewal application form” to “renewal notice” to make it clear that the commission will be notifying real estate licensees of renewal requirements with a notice rather than a form. Deletes the subsection that adopts by reference the renewal application form as the form will no longer be used. |
| §535.144 | N. Suspension and Revocation of Licensure proposed |
Proposes amendments to §535.144 concerning When Acquiring
or Disposing of Own Property. The amendments are proposed to implement revisions
to Texas Occupations Code Chapter 1101 enacted during the 79th Legislative
Session Regular Session by Senate Bill 810 (2005).
Senate Bill 810 revised §1101.652(a)(3) Texas Occupations Code to authorize the commission to take disciplinary action against a licensee if the licensee engages in misrepresentation or fraud when selling buying trading or leasing real property in the name of the license holder’s spouse or a person related to the license holder within the first degree by consanguinity. Section 535.144 which is based on §1101.652(a)(3) requires a licensee to disclose in writing that he or she is a real estate salesperson or broker acting on his or her own behalf. The amendment to §535.144 would define “first degree of consanguinity” to mean a child or parent of the licensee and would require a similar written disclosure when a licensee buys sells trades or leases real property in the name of the licensee’s spouse child or parent. |
| §535.210 | R. Real Estate Inspectors proposed |
Proposes an amendment to §535.210 concerning Fees.
The amendment is proposed to implement revisions to Texas Occupations Code
Chapter 1102 enacted during the 79th Legislative Session Regular Session
(2005) by Senate Bill 810. The amendment adds a $5 fee to be charged to
corporations and limited liability companies licensed as Texas professional
inspectors for the annual renewal of the license. The home inspector license
renewal period will change to a 2-year cycle in April 2006 the total amount
due for each renewal would be $10 to parallel an existing $10 application
fee for those business entity licenses. |
| §539.71 | Provisions of the proposed |
Proposes amendments to §539.71 concerning Miscellaneous Forms. Changes the cites in Form RSC 2-3 Residential Service Company Bond to the relevant statutory provisions in Chapter 1303, Texas Occupations Code. |
It is your responsibility to ensure that your license is renewed in a timely manner. Any education required must be completed before your license expiration date if you want to maintain an active real estate license, unless you pay an additional $200 fee and complete your MCE within 60 days of the expiration date of your license. (A license subject to SAE cannot renew without education being completed.)
Renewal notices are sent out to all licensees. The Texas Real Estate Commission is not responsible for U.S. Postal Service delivery or knowing where to find you if you have moved and have not filed a change of address with our office. Failure to receive a renewal notice does not provide a valid excuse for not renewing your license.
these and other questions and answers may be found on TREC's web site at
http://www.trec.state.tx.us/questions/faq-enf.asp
Consumer Complaints
Busby, Catherine L.
(Carthage); license #404922
Agreed 4 months suspension of broker license, fully probated for 18 months,
effective December 5, 2005; Agreed administrative penalty of $1,000, entered
December 2, 2005; acted negligently and incompetently and made false promises
of a character that influenced, persuaded and induced a seller to enter into
a listing agreement and subsequently to reduce the sales price of the property.
Ms. Busby used a TAR Listing Agreement form at a time Catherine Busby was
not a member of the local board of Realtors or the Texas Association of Realtors.
Ms. Busby appeared to be a Realtor to the seller by using the TAR listing
agreement, she had agreed to file the listing with a MLS and was given the
authority to place a keybox on the property. Ms. Busby could not file the
listing agreement in any MLS and failed to place a keybox on the property.
Catherine Busby's conduct violated §§1101.652(b)(1)&(5) of the
Texas Occupations Code
Huett, Ryan Lee
(Comanche); license #448014
Revocation of salesperson license, effective December 9, 2005; engaged in
misrepresentation, dishonest, and fraudulent conduct when he sold and/or leased
real property in his own name by preparing and executing a document he entitled
"Contract for Deed" by which he purported to sell to a purchaser
real property on which a mobile home was situated. Mr. Huett misrepresented
to the purchaser that she would be the owner of the real property, receive
title to the mobile home, and that the mobile home and lot were ready to live
in with no problems. The purchaser made a down payment to Mr. Huett and found
the utilities were not in service or illegally or improperly connected. Mr.
Huett's Contract for Deed was not a proper instrument to transfer ownership
of property, and it included a street address on it for property not actually
owned by Mr. Huett. Mr. Huett failed to provide the purchaser any written
disclosure notice of the property's condition and failed to disclose in the
contract for deed or in any other writing that he was a licensed real estate
salesperson. Ryan Lee Huett's conduct violated §1101.652(a)(3) of the
Texas Occupations Code.
Tiffany Tia Thompson
(Houston); license #495200
Revocation of salesperson license, effective December 12, 2005; obtaining
a real estate license by making a material misstatement in a license application
by failing to disclose that she had been placed on probation in a criminal
proceeding in violation of §1101.652(a)(2) of Texas Occupations Code
Godbey, Cynthia Kay
(Colleyville); license #516587
Agreed reprimand of salesperson license, entered December 27, 2005; Agreed
administrative penalty of $250, entered December 27, 2005; acted negligently
or incompetently when she was a listing agent and she placed the seller's
initials and signature on a TREC form, Third Party Financing Condition Addendum,
presented it to the buyer and thereafter the complete contract to the title
company without the authority or knowledge of the seller, nor did she disclose
to anyone that she had done so under the mistaken belief her conduct was proper.
Cynthia Kay Godbey's conduct violated §1101.652(b)(1) of the Texas Occupations
Code
Wyche, George Nathaniel
(Houston); license #116435
Agreed 3 month suspension of broker license, fully probated for 3 years, effective
December 30, 2005; acted negligently or incompetently in failing to adequately
train and supervise a sponsored salesperson, in violation of §15(a)(6)(W)
of The Real Estate License Act [§1101.652(b)(1) of the Texas Occupations
Code, effective June 1, 2003]; failed to make clear to the buyers that he
and his sponsored salesperson intended only to represent the sellers, in violation
of §15(a)(6)(D) of The Real Estate License Act [§1101.652(b)(7)
of the Texas Occupations Code, effective June 1, 2003]; commingled funds belonging
to buyer by holding them in broker’s business operating account, in
violation of §15(a)(6)(E) of The Real Estate License Act [§1101.652(b)(10)
of the Texas Occupations Code, effective June 1, 2003] and 22 TAC §535.146;
permitted sponsored salesperson to draft purchase contract on outdated version
of TREC form, in violation of 22 TAC §537.11
Moncada, Inocencio
(Houston); license #446879
Agreed 3 month suspension of salesperson license, fully probated for 1 year,
effective December 31, 2005; Agreed administrative penalty of $500, entered
January 1, 2006; acted negligently or incompetently in failing to properly
complete an amendment to extend his buyer client’s option period, thereby
failing to secure the extension of the option period, in violation of §1101.652(b)(1)
of the Texas Occupations Code; acted for a broker who was not his sponsoring
broker when he entered into an agreement with a former sponsoring broker to
continue working with a client he represented while sponsored by the former
broker, without executing a new representation agreement on behalf of the
new broker, in violation of §1101.351(c) of the Texas Occupations Code;
failed to furnish to his client the written Information About Brokerage Services
disclosure at the time of the first substantive dialogue with the client,
in violation of §1101.558 of the Texas Occupations Code
Huettel, Roland M.
(Austin); license #4849
Agreed 6 months suspension of professional inspector license fully probated
for 2 years, effective January 13, 2006; Agreed administrative penalty of
$750, entered January 13, 2006; performed a real estate inspection in a negligent
or incompetent manner, in violation of §1102.301 of the Texas Occupations
Code; failed to report as in need of repair the presence of an electrical
panel in a bathroom in dangerous proximity to the sink, in violation of 22
TAC §535.230(a)(6); failed to report as in need of repair burglar bars
that were not functional keyless burglar bars, in violation of 22 TAC §535.228(e)(7)
Mickum, Julia S.
(Missouri City); license #467587
Agreed reprimand of salesperson license, entered January 13, 2006; Agreed
administrative penalty of $250, entered January 13, 2006; acted negligently
and/or incompetently in performing an act for which a person is required to
hold a real estate license in, violation of §1101.652(b)(1) of the Texas
Occupations Code by granting access to potential buyers to a property without
the authorization of the seller or seller’s agent
Woodruff, Beverly Jean
(Midlothian); license #476600
Agreed 3 months suspension of salesperson license fully probated for 2 years,
effective January 23, 2006; Agreed administrative penalty of $500, entered
January 19, 2006; failed to disclose to a buyer information about prior flooding
on a property she listed for sale, after learning of the flooding while representing
the sellers in their previous purchase of the property, in violation of §1101.652(b)(4)
of the Texas Occupations Code; acted negligently or incompetently in failing
to review her records from the previous transaction after the sellers (her
clients in the previous transaction) asked for guidance regarding how to complete
the seller’s disclosure in light of the prior flooding, in violation
of §1101.652(b)(1) of the Texas Occupations Code
Reed, Robin
(Dallas); license #474484
Agreed 3 months suspension of salesperson license fully probated for 1 year,
effective January 30, 2006; Agreed administrative penalty of $2,500, entered
January 19, 2006; acted negligently or incompetently in advertising and promoting
the sale of a property belonging to a friend who had defaulted on the mortgage,
in violation of §1101.652(b)(1) of the Texas Occupations Code; advertised
a “foreclosure auction” in the newspaper and by e-mail and stated
that the property would sell to the highest bidder at a given time, when the
property was not yet in foreclosure, and the winning bidder was not guaranteed
to have his or her bid accepted, in violation of §1101.652(b)(23) of
the Texas Occupations Code; told a prospective buyer that he owned the property
and had already received a bid at a certain price but would consider a bid
at a higher price, when he did not own the property and had not received a
written offer at the price he claimed, in violation of 22 TAC § 535.156(d)
Fore, Kristi
Care
(Houston); license #442505
Agreed reprimand of salesperson license, entered December 19, 2005; Agreed
administrative penalty of $250, entered December 19, 2005; failing to pay
the $200 fee within the 60-day period provided by 22 TAC §535.92(f) of
the Rules of the Texas Real Estate Commission
Ferril, Jon Wynn
(Plano); license #455104
Agreed reprimand of salesperson license, entered December 27, 2005; Agreed
administrative penalty of $250, entered December 27, 2005; failing to pay
the $200 fee within the 60-day period provided by 22 TAC §535.92(f) of
the Rules of the Texas Real Estate Commission
Wheeler, Lorisa May
(Grand Prairie); license #442545
Agreed reprimand of salesperson license, entered December 27, 2005; Agreed
administrative penalty of $250, entered December 27, 2005; failing to complete
mandatory continuing education hours and pay the $200 fee within the 60-day
period provided by 22 TAC §535.92(f) of the Rules of the Texas Real Estate
Commission
Waddell, Sheryl Lynn
(Mansfield); license #476129
Agreed reprimand of salesperson license, entered December 28, 2005; Agreed
administrative penalty of $250, entered December 28, 2005; failing to complete
mandatory continuing education hours and pay the $200 fee within the 60-day
period provided by 22 TAC §535.92(f) of the Rules of the Texas Real Estate
Commission
Graham, John Kevin
(Dallas); license #468912
Agreed reprimand of salesperson license, entered December 30, 2005; Agreed
administrative penalty of $250, entered December 30, 2005; failing to complete
mandatory continuing education hours and pay the $200 fee within the 60-day
period provided by 22 TAC §535.92(f) of the Rules of the Texas Real Estate
Commission
Long, Tammy Lee Hines
(Fort Worth); license #469826
Agreed reprimand of salesperson license, entered December 29, 2005; Agreed
administrative penalty of $250, entered December 29, 2005; failing to complete
mandatory continuing education hours within the 60-day period provided by
22 TAC §535.92(f) of the Rules of the Texas Real Estate Commission
McKenzie, Deryl Wayne
(Houston); license #241149
Agreed reprimand of salesperson license, entered December 29, 2005; Agreed
administrative penalty of $250, entered December 29, 2005; failing to pay
the $200 fee within the 60-day period provided by 22 TAC §535.92(f) of
the Rules of the Texas Real Estate Commission
Harris, Cynthia
(Dallas); license #398818
Agreed reprimand of salesperson license, entered December 30, 2005; Agreed
administrative penalty of $250, entered December 30, 2005; failing to complete
mandatory continuing education hours within the 60-day period provided by
22 TAC §535.92(f) of the Rules of the Texas Real Estate Commission
Ibarra, Gricelda E.
(Flower Mound); license #470726
Revocation of salesperson license, effective December 30, 2005; failing to
complete mandatory continuing education hours and pay the $200 fee within
the 60-day period provided by 22 TAC §535.92(f) of the Rules of the Texas
Real Estate Commission
Bolar, Sherri Nicole
(Houston); license #519443
Revocation of salesperson license, effective January 11, 2006; failing within
a reasonable time to make good a check issued to the Commission and pay the
processing fee, in violation of §1101.652(a)(4) of the Texas Occupations
Code
Ngo, Kim Loan
(Houston); license #481248
Agreed reprimand of salesperson license, entered January 12, 2006; Agreed
administrative penalty of $250, entered January 12, 2006; failing to complete
mandatory continuing education hours and pay the $200 fee within the 60-day
period provided by 22 TAC §535.92(f) of the Rules of the Texas Real Estate
Commission
Gallego, Olga M.
(San Antonio); license #357840
Agreed reprimand of salesperson license, entered January 13, 2006; Agreed
administrative penalty of $250, entered January 13, 2006; failing to complete
mandatory continuing education hours and pay the $200 fee within the 60-day
period provided by 22 TAC §535.92(f) fo the Rules of the Texas Real Estate
Commission
Davis, Dana Ann
(Houston); license #486894
Agreed reprimand of salesperson license, entered January 18, 2006; Agreed
administrative penalty of $250, entered January 18, 2006; failing to complete
mandatory continuing education hours and pay the $200 fee within the 60-day
period provided by 22 TAC §535.92(f) of the Rules of the Texas Real Estate
Commission
Chapa, Francisco Leal
(Richardson); license #434555
Revocation of salesperson license, effective January 19, 2006; failing to
complete mandatory continuing education hours and pay the $200 fee within
the 60-day period provided by 22 TAC §535.92(f) of the Rules of the Texas
Real Estate Commission
Coates, David Allan
(Dallas); license #303720
Revocation of salesperson license, effective January 20, 2006; failing to
complete mandatory continuing education hours within the 60-day period provided
by 22 TAC §535.92(f) of the Rules of the Texas Real Estate Commission
Gulotta, Cory Paul
(Austin); license #479161
Agreed reprimand of salesperson license, entered January 27, 2006; Agreed
administrative penalty of $250, entered January 27, 2006; failing to complete
mandatory continuing education hours and pay the f$200 fee within the 60-day
period provided by 22 TAC §535.92(f) of the Rules of the Texas Real Estate
Commission
DON’T FORGET: You must still renew your license even if you choose to be inactive.
Got A Question About A Relocation Company?
Through a link maintained on the TREC web site, licensees may directly access
The Real Estate Coalition for Cooperative Business Practices (the Coalition)
of the
Employee Relocation Council
by clicking on “The Interchange” on the Coalition’s website
at
http://coalition.erc.org
Licensees may raise concerns about their dealings with a
relocation company and send a message to the appropriate company for response.
Calendar of Events
Commission
Meetings: May 1, 2006 and June 5, 2006
Broker-Lawyer
Committee Meetings: May 11-12, 2006
Inspector Committee Meetings: March 20, 2006
Web site: http://www.trec.state.tx.us
Phone: (800) 250-TREC (8732) or (512) 459-6544
Official publication of the
Texas Real Estate Commission
Volume 17, Number 2
March 2006
Rick Perry
Governor
Commission Members:
| John
Walton, Chairman |
Elizabeth
Leal, Vice-Chair |
William H. Flores, Secretary SUGAR LAND |
James N. Austin, Jr. FORT WORTH |
|
Mary Frances Burleson |
Ramon
"Mick" Cantu HOUSTON |
Louise E. Hull VICTORIA |
Lawrence
D. Jokl BROWNSVILLE |
Paul H.
Jordan GEORGETOWN |
TREC Administrator
Wayne Thorburn
Desktop Publisher
Patricia Holder
The TRECAdvisor (ISSN 1047-4579) is published by the Texas Real Estate Commission (TREC) as an educational service to licensees in the state of Texas. The purpose of the newsletter is to promote a better understanding of the Real Estate License Act and to inform all licensees of changes affecting laws and practices in the real estate industry. The TRECAdvisor is funded through legislative appropriations and subscriptions collected from TREC licensees. The official text of TREC rules is filed with the Office of the Secretary of State, Texas Register. TREC encourages reproduction of this newsletter with the appropriate acknowledgments. Subscriptions are available for $4.00 for two years. Single issues are $1.00. To order a subscription or a single issue write to TRECAdvisor, Texas Real Estate Commission, P.O. Box 12188, Austin, Texas 78711-2188. For information regarding TREC, contact:
Texas Real Estate Commission
P.O. Box 12188
Austin, Texas 78711-2188
(512) 459-6544 or (800) 250-TREC
http://www.trec.state.tx.us