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    Texas State Law cheat sheet

    Texas Agency and Brokerage Texas Real Estate Exam Cheat Sheet

    This is the largest Texas state-law area. It tests IABS delivery, representation, intermediary practice, minimum services, broker supervision, and the proper use of unlicensed assistants.

    Download one-page PDFRead the full lesson
    PortionTexas State Law
    Scored items11
    Approximate weight9%
    Study rule

    Draw the relationships. Identify the broker, the represented party, any appointed license holder, and the written consent before deciding who may advise whom.

    What Pearson tests

    • Agency disclosure, IABS timing, representation agreements, and duties to clients
    • Intermediary consent, appointments, confidentiality, and limits on advice
    • Broker-sales-agent relationships, supervision, minimum services, and unlicensed assistants

    Three traps to catch

    1. IABS is a notice, not a representation agreement.
    2. Texas uses intermediary practice with written consent. Do not import another state's dual-agency rule.
    3. An intermediary can exist without appointments. Without appointments, the intermediary does not give opinions or advice favoring either party.

    Essential vocabulary

    Texas Agency and Brokerage terms to know

    Open the full glossary
    IABS
    The Information About Brokerage Services notice explaining Texas brokerage relationships.
    Intermediary
    A broker representing both parties in the same transaction with the written consent required by Texas law.
    Appointed license holder
    A license holder appointed to communicate with and advise one party during an intermediary transaction.
    Client
    A party represented by the broker under the brokerage relationship.
    Customer
    A party receiving services or information without client representation.
    Minimum services
    Statutory services a broker representing a party must provide and may not contract away.
    Sponsorship
    The broker relationship that authorizes and supervises a sales agent's brokerage work.
    Unlicensed assistant
    A person who may perform administrative tasks but may not perform activity requiring a license.

    Check your recall

    Can you answer these without notes?

    1Does delivering IABS create representation?

    No.

    2What consent is required for intermediary practice?

    Written consent from both parties.

    3May the same associated license holder be appointed to both parties?

    No.

    Use the sheet, then retrieve

    Test the rules while they are still fresh.

    Read the full lesson when a definition is fuzzy. Then answer the topic questions without looking back at this sheet.

    Practice Agency & BrokerageSee the Pass Texas app

    Primary sources

    This is exam-prep education, not legal, tax, or transaction advice. Confirm the current law, form, and official exam materials before relying on a rule in practice.