I found this question in my site logs this morning.
In Texas only active salespersons and brokers can be paid or receive any form of compensation. Compensation is defined as anything of value including commissions and referral fees.
That's where a Limited Function Referral Only (LFRO) brokerage such as Referral Agents of Texas comes in.
Our salespersons are active agents with the Texas Real Estate Commission. The only difference between our agents and other agents is that our agents cannot practice real estate because of the Independent Contractor Agreement. The only thing they can do is to refer out business. In return, they do not have to pay dues to NAR, TAR or the local association; no MLS fees; and no keycard rental.
See our Frequently Asked Questions for more information on LFROs.
Photo: Licensed from iStockPhoto
Originally posted at http://www.referralagentsoftexas.com/2011/12/28/can-an-inactive-texas-agent-receive-a-commission/
Tom Branch and Gina Branch, The Branch Team with RE/MAX Dallas Suburbs, service the greater North Dallas suburbs including Dallas, Plano, Allen, McKinney, Frisco, Lewisville, and Carrollton. While Gina concentrates on traditional listings and buyer/tenant representation, Tom specializes in assisting distressed homeowners to avoid foreclosure. Tom and Gina have published two books (Achieving Rock Star Status and The Field Guide to Short Sales) and are available for speaking engagements in the greater Dallas - Fort Worth Metroplex. Subscribe to The Branch Team Blog.
Copyright 2009-2012 - The Branch Team
The Branch Team - Texas Real Estate Broker 547597 | Team Members are Texas Licensed Real Estate Professionals
Tom Branch - National Mortgage Licensing System 341963
Important Notice: The Branch Team with RE/MAX Dallas Suburbs is not associated with the government, and our service is not approved by the government or your lender. Even if you accept this offer and use our service, your lender may not agree to change your loan. If you stop paying your mortgage, you could lose your home and damage your credit rating.
All information provided is deemed reliable but is not guaranteed and should be independently verified. Properties subject to prior sale or rental.
