What is required for all real estate transactions in Texas regarding brokerage services?

What is required for all real estate transactions in Texas regarding brokerage services?

• A. It must be verbally communicated
• B. It is mandated by law
• C. It can be waived by mutual agreement
• D. It is only necessary for residential sales

Answer: (B)

In Texas, all real estate transactions require certain brokerage services to be mandated by law. This legal requirement ensures that key aspects of the transaction process are transparent and that both buyers and sellers are protected. These laws stipulate the necessity for proper disclosures, the execution of contracts, and the adherence to ethical standards in the practice of real estate. By establishing these legal requirements, Texas aims to maintain a standard that promotes professionalism and accountability among real estate professionals in the industry. The other options imply conditions or circumstances that do not capture the statutory necessity established by Texas law. Verbally communicating brokerage services lacks the formal structure and protection that written agreements provide. Waiving the requirement by mutual agreement isn't permissible because certain obligations must be fulfilled to protect all parties involved in a transaction. Additionally, the statement that it's only necessary for residential sales overlooks that these legal requirements apply across various types of real estate transactions, not just residential ones. This broad applicability reinforces the importance of law in ensuring sound practices in real estate.

In Texas, all real estate transactions require certain brokerage services to be mandated by law. This legal requirement ensures that key aspects of the transaction process are transparent and that both buyers and sellers are protected. These laws stipulate the necessity for proper disclosures, the execution of contracts, and the adherence to ethical standards in the practice of real estate. By establishing these legal requirements, Texas aims to maintain a standard that promotes professionalism and accountability among real estate professionals in the industry.

The other options imply conditions or circumstances that do not capture the statutory necessity established by Texas law. Verbally communicating brokerage services lacks the formal structure and protection that written agreements provide. Waiving the requirement by mutual agreement isn't permissible because certain obligations must be fulfilled to protect all parties involved in a transaction. Additionally, the statement that it's only necessary for residential sales overlooks that these legal requirements apply across various types of real estate transactions, not just residential ones. This broad applicability reinforces the importance of law in ensuring sound practices in real estate.