BrokerageIndustry News

Texas rule would alter some discount brokerage models

Opponents expect FTC comments

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Members of the Texas Real Estate Commission voted this week to propose a state rule that would change the way some discount brokers do business in the state. Under the proposed rule, real estate brokers would be forced to accept and present offers and counteroffers to buy, sell or lease property on behalf of their clients; assist clients in developing, communicating, and presenting offers, counteroffers and related notices; and answer their clients' questions relating to offers, counteroffers and notices. Opponents of the rule argue these minimum-service requirements would alter some limited-service and discount models that allow consumers to choose and pay for only the real estate services they want. The commission, after considering an opinion by the Texas Attorney General's Office and hearing public comments, formally proposed the changes at a Monday meeting. In November 2002, the commission adopted an amendment to state administrative code to establish service standards, though t...