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?
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.