Broker
A Texas license holder who may operate a brokerage independently, hold trust money, and sponsor and supervise sales agents.
A broker is a license holder who may operate a real estate brokerage independently, maintain a trust account, and sponsor the sales agents who work under the brokerage. The broker is responsible for the brokerage activities of each sponsored sales agent.
Becoming a broker requires qualifying experience as an active license holder and additional education beyond the sales agent level, plus passing the broker exam.
On the exam
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Licensing (3% of the exam)
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- Sales Agent
A Texas license holder who performs real estate brokerage only under the sponsorship and supervision of a broker.
- Sponsoring Broker
The Texas broker who sponsors a sales agent, supervises the agent's brokerage activity, and is responsible for the agent's acts.
- Escrow / Trust Account
A separate account where money belonging to others is held apart from a broker's own funds, often at the title company in a Texas sale.
This definition is Texas real estate exam-prep education, not legal, tax, or professional advice. Verify current rules against the official source before relying on them for a real transaction. Back to the full glossary.