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Legal FAQs for REALTORS® — Licensing
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I sponsor several agents who work out of their homes. I have a license for the main office, but another broker told me that I’m required to also have a branch-office license for every agent’s home. Is that true? (Updated May 29, 2015)

It depends on the activities your agents perform in their homes. Section 1101.552 of the Real Estate License Act provides that a broker who maintains more than one place of business must obtain a branch-office license for each additional office.

But what is “a place of business”? TREC rule Section 535.112 defines it as a place where a real estate license holder meets with clients and customers to transact business.

So, if your agents meet with clients or customers at their homes to transact business, you must obtain branch-office licenses for each of those homes. If your agents never meet with clients or customers at their homes to transact business, then no branch-office license would be required.

Legal Disclaimer: The material provided here is for informational purposes only and is not intended and should not be considered as legal advice for your particular matter. You should contact your attorney to obtain advice with respect to any particular issue or problem. Applicability of the legal principles discussed in this material may differ substantially in individual situations.

While the Texas Association of REALTORS® has used reasonable efforts in collecting and preparing materials included here, due to the rapidly changing nature of the real estate marketplace and the law, and our reliance on information provided by outside sources, the Texas Association of REALTORS® makes no representation, warranty, or guarantee of the accuracy or reliability of any information provided here or elsewhere on TexasRealEstate.com. Any legal or other information found here, on TexasRealEstate.com, or at other sites to which we link, should be verified before it is relied upon.

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