The Intermediary Relationship Notice (TXR 1409) is used for two purposes:

1) It serves as a reaffirmation by the seller and the buyer of the prior consent they both gave in writing to the broker to act as an intermediary in the transaction.

2) It is used by the broker to satisfy the requirement to give written notice to all parties of the appointment of associates to each side of the transaction if such appointments are to be made.

This form is not a substitute for the initial written consent that both parties gave when they each signed brokerage agreements with the broker. The Intermediary Relationship Notice should only be used if the seller and the buyer have given their written consent to the broker to act as an intermediary in the listing and buyer representation agreements. This form may also be used when the broker is acting as an intermediary in a landlord-tenant situation.

The intermediary is required to treat the parties fairly and honestly and to comply with TRELA. The intermediary is prohibited from favoring one party over the other and may not reveal confidential information obtained from one party without the written instructions of that party, unless disclosure of that information is required by TRELA, court order, or the information materially relates to the condition of the property. The intermediary and any associated license holders appointed by the intermediary are prohibited from disclosing, without written authorization, that the seller will accept a price less than the asking price or that the buyer will pay a price greater than the price submitted in a written offer.

During negotiations, the associated license holder who is appointed to one party may provide advice and opinions to the party. An associated license holder who has not been appointed must act in the same manner as the intermediary, not giving opinions and advice and not favoring one party over the other.

The intermediary broker is authorized to facilitate a transaction between the parties but may not give advice or opinions to either party in negotiations. An associated license holder who is appointed to a party may provide advice or opinions to that party. Both intermediaries and associated license holders who are appointed to parties are obligated to treat the parties honestly and are prohibited from revealing confidential information.

No.

No. The Real Estate License Act requirements apply to other types of real estate transactions, including leasing, commercial, new home, and farm and ranch sales.

No. In the case of a for-sale-by-owner or other seller who is not already represented by a broker, the broker representing the buyer is not considered an intermediary. When a broker represents the buyer only, the buyer is the broker's client, and the seller is a customer. In those instances, the broker is obligated to act in the buyer's best interests. It is recommended to provide the Representation Disclosure (TXR 1417) form to the unrepresented seller, so that they know clearly that the broker only represents the buyer. Alternatively, the broker could secure the consent of both parties to act as an intermediary and have the seller sign a representation agreement. The TXR listing agreements and buyer/tenant representation agreements contain the requisite consents.

Only a broker can contract with the parties to act as an intermediary between them. In that sense, only a broker can be an intermediary. If, however, the broker intermediary does not appoint associated license holders to work with the parties in a transaction, any associated license holders of the intermediary who function in that transaction would be required to act just as the intermediary does, not favoring one party over the other.

Yes. The solo broker may act as an intermediary, but that broker cannot make appointments of associated license holders to each of the parties.

No. Appointing yourself, the firm’s broker, to represent one party and appointing an associated license holder to represent the other party in an intermediary situation is not considered fair and impartial under TRELA.

Yes.

No. The law requires the intermediary to appoint different associated license holders to work with each party.

Yes. If the intermediary authorizes another associated license holder to make the appointments, that person must not appoint himself or herself, as this would be an improper combination of the different functions of intermediary and associated license holders.

No. A second written consent is not required by TRELA, but a written notice of any appointments is required. A broker is not prohibited from obtaining a second consent as a business practice to identify and resolve potential conflicts.

No. The broker could represent one of the parties and work with the other party as a customer rather than a client. For example, the buyer may agree to terminating the buyer representation agreement and the broker will represent the seller and work with the buyer as a customer. When a broker represents the seller only, the seller is the broker's client, and the buyer is a customer. In those instances, the broker is obligated to act in the seller's best interests. In such instances, it is recommended to provide the Representation Disclosure (TXR 1417) form to the unrepresented buyer, so that they know clearly who that the broker only represents the seller.

This is a judgment call for the intermediary. The intermediary relationship does not exist until the parties who have authorized it are beginning to deal with each other in a proposed real estate transaction; an example would be when the buyer begins to negotiate to purchase the seller’s property. Prior to the creation of the intermediary relationship, the broker will typically be acting as an exclusive agent of each party. If appointments are going to be made, they should be made before the buyer begins to receive advice and opinions from an associated license holder in connection with the property listed with the broker. If the broker appoints the associated license holders at the time the listing agreement and buyer representation agreement are signed, it should be clear that the appointments are effective only when the intermediary relationship arises. It is important to remember that both parties must be notified in writing of both appointments. If, for example, the listing agent is “appointed” at the time the listing is taken, care must be taken to ensure that the buyer is ultimately also given written notice of the appointment. The Intermediary Relationship Notice (TXR 1409) can be used for this purpose. When a buyer client begins to show interest in a property listed with the firm and both parties have authorized the intermediary relationship, the seller must be notified in writing as to which associate has been appointed to work with the buyer.

Yes. If the intermediary makes appointments, the law provides that the appointments are made by giving written notice to both parties. To give notice, the intermediary must identify the party and the associated license holder(s) appointed to that party. The Intermediary Relationship Notice (TXR 1409) can be used for this purpose. The law does not require notice if no appointments are made.

Both. Initially, the broker makes a decision in determining the policy of the firm. If the broker does not wish to act as an intermediary, nothing requires the broker to do so. If the broker’s policy is to offer services as an intermediary, both parties must authorize the broker in writing before the broker may act as an intermediary or appoint license holders to work with each of the parties.

Yes. The TXR listing agreements adhere to this practice.

When the listing agreement or buyer representation agreement has come into existence but no intermediary status yet exists, the broker may advise the parties generally on these matters. Once the intermediary status has been created, the intermediary broker may not express opinions or give advice during negotiations. When asked questions by the client, the intermediary broker may supply information about matters that do not constitute an opinion or advice. For example, the intermediary could tell the buyer what the prevailing interest rate is without expressing an opinion or giving advice. These same rules apply to an associated license holder acting as an intermediary without appointments made by the intermediary broker. If appointments have been made, the associated license holder who has been appointed to a party may provide opinions and advice during negotiations to that party.

Yes, Texas REALTORS® created the Representation Disclosure (TXR 1417) to allow you to disclose to a party who you represent in the transaction. Don’t confuse this representation disclosure with the written notice about brokerage services, Information about Brokerage Services (TXR 2501, TREC IABS 1-1), which is required unless you know the party is represented by another license holder, the transaction involves a lease of less than one year and a sale is not considered, or the communication occurs at an open house. Such disclosure of representation should be done upon the first substantive communication with another party to the transaction or with another license holder representing a party to the transaction. In this scenario, your call or email response will be the first contact with this prospective buyer, so if verbally disclosed make sure to follow up with the required written disclosure notice.

If a contract is subsequently executed by your seller client and this prospective buyer, a written notation of who you represent will also be provided in the Broker Information section of the TREC contracts.

Yes. At times, it may be appropriate to amend an existing Buyer’s Representation Agreement. Any amended agreement must meet all requirements of the practice changes and reflect the buyer’s informed consent. Per NAR, REALTORS® should:

• Always act in good faith when agreeing with a buyer on services and compensation.
• Ensure compensation in the written buyer agreement is objectively ascertainable—clearly defined as a specific dollar amount, flat fee, percentage, or hourly rate, and not open-ended or a range.
• Not create multiple or alternative agreements with a buyer to bypass these requirements, or base compensation on what the seller or seller’s agent offers.
• Not amend a buyer representation agreement solely to “match” a higher offer of compensation; any amendment must have a valid legal basis and be made with the buyer’s fully informed consent.

Additionally, REALTORS® must implement these requirements fully and in good faith.

Generally, no. Under NAR’s settlement, buyer brokers may not receive compensation for brokerage services from any source that exceeds the amount or rate specified in the written agreement with the buyer. This means that you cannot accept bonuses or any additional payments from a seller or other source beyond what was agreed to with your buyer. However, per NAR’s settlement guidelines, a buyer representation agreement may be amended if there is a valid legal basis and with buyer’s fully informed consent. Therefore, if these criteria are met, a buyer broker could enter into an amendment to receive the bonus.

Yes. You can show property for sale or lease without representation if all the following conditions are met:

1. You have not agreed to represent the prospect.
2. You are not acting as the prospect’s agent at the time of the showing.
3. You do not provide advice or opinions regarding the property or real estate transactions.
4. You do not perform any other act of real estate brokerage for the prospect.

If you don’t represent the seller, you must provide the IABS prior to showing. If you represent a seller, you can also show the property without representing the customer but must disclose who you represent either orally or in writing.

Note: Even though there is not a requirement to have this representation disclosure in writing, Texas REALTORS® recommends that you do have it in writing to comply with the NAR Code of Ethics and to protect the license holder by providing evidence that the disclosure requirement was satisfied. The Representation Disclosure Form (TXR 1417) can be used for this purpose.

Whether the Information About Brokerage Services form and a written agreement are required depends on whether the agent hosting the open house is a member of the listing brokerage.

If the agent hosting is with the listing brokerage, no IABS or written agreement is required but the agent must still disclose, orally or in writing, that they represent the seller. The Representation Disclosure Form (TXR 1417) may be used if the agent wants to disclose in writing.

If the agent hosting is not with the listing brokerage (such as a showing agent hosting for another brokerage), the agent must provide the IABS to prospective buyers and have them sign a written agreement. Agents may use a showing-only without representation agreement such as the Unrepresented Customer Showing Form (TXR 1508) or a representation agreement attendees sign at the entry of the property. A representation agreement such as TXR 1501 or 1507 can be as short as one day, can be for showing a single property, and can be for a fee or no fee, it’s up to the broker and the client.

If the agent hosting the open house is not with the listing brokerage and the prospective buyer is already represented but attending the open house without their agent present, the hosting agent must still provide the IABS and enter into a written showing-only without representation agreement such as the Unrepresented Customer Showing Form (TXR 1508) before the buyer can view the property.

No, the Broker Contact Information section is not a substitute for the Texas REALTORS® Intermediary Relationship Notice (TXR 1409). The purpose of the Broker Contact Information section is to identify the brokers and sales agents involved in the transaction and provide their contact information. It does not contain the disclosures regarding intermediary representation, the broker’s role as intermediary, or the acknowledgements included in TXR 1409.

The notice serves important functions that are not addressed by the Broker Contact Information section. Specifically, TXR 1409:

• Serves as reaffirmation by the seller and buyer of the prior consent they gave in writing to the broker to act as an intermediary in the transaction
• Allows the broker to satisfy the requirement to provide written notice to all parties of the appointment of associated license holders to each side of the transaction if such appointments are made.

If an intermediary relationship exists, license holders should continue to comply with the applicable requirements of the The Real Estate License Act (TRELA) and any brokerage policies regarding intermediary disclosures. The addition of the Broker Contact Information section does not eliminate the need for TXR 1409 when that form is otherwise being used to document the intermediary relationship and any appointments.

Nothing in TREC rules prohibits the co-listing of property. However, anyone wishing to co-list property would need to check with their local MLS to verify that co-listing is permitted since it is up to individual MLS boards to decide whether their rules will allow for co-listing. Texas REALTORS® does not have a co-listing form so brokers would need to consult with a private attorney who could draft one for them to address each broker’s obligations, liabilities, division of commission, and any other issues. Additionally, the NAR Code of Ethics provides that they cannot knowingly require a party to pay more than one commission except with their informed consent.

It depends. Brokers and agents must provide a link to the IABS form on their business website. According to the Texas Real Estate Commission, a business website means a website used to attract or conduct real estate brokerage activity. This may include a business Facebook page or other social media channels you use for business.

No. These are two separate requirements. The IABS form does not meet the law's requirement to disclose representation of a party. TXR Form 1417, Representation Disclosure, may be used to disclose representation of a party.

A license holder must disclose which party she represents at the first contact with another party or another license holder representing a party in a proposed transaction. For example, disclosure must be provided when a seller's agent meets the buyer (who is unrepresented or working with an agent), or when a buyer's agent meets the seller's agent. In either scenario, the disclosure can be oral or in writing, but its easier to prove you've made the disclosure if its in writing. There is no required language for this disclosure, however, you may use Representation Disclosure (TXR 1417), to the unrepresented party can satisfy this requirement.

At the first substantive communication with a party about a property, a license holder must provide the Information About Brokerage Services form (TXR 2501, TREC IABS 1-0). The IABS form is promulgated by TREC to satisfy The Real Estate License Act’s requirement that a license holder provide written notice in at least 10-point font that:

• Describes the ways a broker can represent a party to a real estate transaction, including as an intermediary
• Outlines the basic duties and obligations a broker has to a party the broker represents
• Describes the basic obligations a broker has to a party to a real estate transaction that the broker does not represent; and
• Provides the name, license number, and contact information for the license holder and the license holder’s supervisor and broker, if applicable.

Yes. A license holder is not required to provide the notice if any of these situations applies:

• The proposed transaction is for a residential lease of less than one year and a sale is not being considered

• The license holder meets with a party who the license holder knows is represented by another license holder

• The communication occurs during an open house for any prospective buyer or tenant and the communication concerns that specific property.

Yes. The IABS form can be delivered in the following ways:

• Personally delivered by a broker or sales agent

• Through first-class mail or overnight common carrier delivery service

• In the body of an email

• As an attachment to an email, or a link within the body of an email, with a specific reference to the form in the body of the email, which is the part above your name and contact information in your signature block.

Yes. You may do so in the body of an email. You can also add it as an attachment to an email or a link within the body of an email, as long as there is a specific reference to the form in the body of the email above your name and contact information. License holders can reproduce the IABS form provided that the text is copied verbatim and the spacing, borders, and placement of the text appears identical to that of the published IABS form, except you should complete the Broker Contact Information section.

Here’s an example of an appropriate way to link to the IABS form in an email:

Hi John,

I’m thrilled Sally referred you to me and I’d love to help sell your home. I always give a listing presentation to prospective clients. Do you have time to meet on Saturday so I can explain what my services entail?

By the way, Texas law requires all license holders to provide the Information About Brokerage Services form to prospective clients. Please review the linked document before we meet.

Thanks, Jane Doe, REALTOR® 1234 Main St. 800-555-1213

Note that the hyperlink above goes to a blank IABS form. You must link to an IABS form that has your information in the Broker Contact Information section to comply with the law. Find information on how to link to your completed form in the May 2016 issue of Texas REALTOR® magazine.

No. A link to the IABS form in a footnote or email signature block does not meet The Real Estate Licensing Act’s requirements.

Yes. TREC rules require all active real estate brokers and sales agents to provide a link to the IABS form in a readily noticeable place on the homepage of their business website. The link must say “Texas Real Estate Commission Information About Brokerage Services” and must be in at least 10-point font. This requirement is in addition to the delivery requirements.

There are two alternatives for the brokerage firm and the parties to consider in an intermediary relationship:

1) If the firm has obtained permission in writing from both parties to be an intermediary and to appoint associated license holders to work with the parties, the intermediary broker may appoint one associated license holder to the seller and a different associated license holder to the buyer. The associated license holders may provide opinions and advice during negotiations to the party to whom the license holder is appointed.

2) If the firm has obtained permission in writing from both parties to be an intermediary but does not appoint different associated license holders to work with the parties, then neither the broker nor any associated license holder may give advice or opinions to the parties. Instead, the broker and all associated license holders must remain neutral and not favor one party over the other.

No. If you’ve provided a link on your business website and delivered the form electronically according to the requirements (see TREC rule 531.20), you do not have to provide it again in person.

Follow this order of signing documents so you have written agreements for payment of your fee before the parties sign a contract:

1. Have your buyer sign a buyer’s representation agreement. If the buyer signs the Residential Buyer/Tenant Representation Agreement – Long Form (TXR 1501), you may want to point out that under Paragraph 7B the buyer may be obligated to pay you if the seller refuses or fails to pay your fee.
2. Provide the seller with the Information About Brokerage Services (TXR 2501, TREC IABS 1-1) and discuss the agency relationships involved in this purchase. You may want to use the Representation Disclosure (TXR 1417) to put in writing that the required representation disclosure has been made to the seller and to confirm in writing that you are representing the buyer and not the seller.
3. Give the seller the Seller’s Disclosure Notice (TXR 1406) to complete and sign.
4. Either complete the Compensation Agreement Between Broker and Owner (TXR 2401) and check the box in Paragraph 7A that indicates you are representing the prospect only, or complete Paragraph 12A(1)(b) of the One to Four Family Residential Contract (Resale) (TXR 1601, TREC 20-18), which will obligate the seller to pay the buyer’s broker compensation.
5. Present your buyer’s offer for the seller’s consideration and signature.

Remember, even though your client is the buyer, you have an obligation to treat the seller fairly and honestly. Avoid actions that might be construed as pressuring the seller to sell the property to your client.

No. Your buyers would still be represented by your previous broker. A buyer-representation agreement is a contract between a buyer and a broker, not a sales agent. When agents move from one sponsoring broker to another, they cannot take clients with them and should not attempt to persuade those clients to leave their current broker. However, if your buyers wish to do so, they can ask the broker to be released from the buyer-representation agreement.

While it is proactive for you to provide the form on your Web site, Section 1101.558(c) of the Real Estate License Act requires that a licensee furnish the written statement contained in the form to a party to a real estate transaction at the time of the first substantive dialogue with the party. The Real Estate License Act defines "substantive dialogue" to mean a meeting or written communication that involves a substantive discussion relating to specific real property. The term does not include a meeting at an open house or a meeting or written communication that occurs after the parties to a transaction have signed a contract or lease. In the situation you describe, the Real Estate License Act would require you to provide the form to the prospective buyer when you first meet him at the listed home. Note: A license holder is not required to provide the written statement (the form) if the proposed transaction is for a residential lease for not more than one year and no sale is being considered, or the license holder meets a party who is represented by another license holder.

At the time of the first substantive dialogue with a seller or a prospective buyer, a license holder must provide the party with a copy of the Information About Brokerage Services (TXR-2501, TREC IABS 1-1) as required by The Real Estate License Act (TRELA). The IABS form includes an explanation of the intermediary relationship.

Before a broker may act as intermediary, TRELA requires the broker to obtain written consent from both parties. A written representation agreement between a broker and a seller or buyer will satisfy the consent requirement if the agreement: 1) authorizes the broker to act as an intermediary between the parties; 2) lists the conduct an intermediary is prohibited from performing in conspicuous bold or underlined print; and 3) states who will pay the broker. The agreement must also authorize the broker to appoint associated license holders if the broker intends to make appointments when the intermediary relationship arises. The Texas REALTORS® promulgated listing agreements and buyer/tenant representation agreements contain language necessary to fully comply with TRELA when creating an intermediary relationship.

When it becomes evident that the buyer represented by the firm wishes to purchase property listed with the firm, the intermediary status comes into play.

The appointed licensee may not, except as permitted by Section 1101.651(d) of the Real Estate License Act, disclose to either party confidential information received from the other party. A licensee representing one party would not be prohibited from revealing confidential information to the licensee’s principal, and if the information were material to the principal’s decision, would be required to reveal the information to the principal.

Yes, on the first contact with the licensee representing the buyer.

The Real Estate License Act contains provisions that impose requirements on all brokers and agents regarding client communications and negotiations. At a minimum, brokers or agents must ...

1. inform their client if they receive material information related to the transaction
2. answer their client’s questions
3. present any offer to or from their client.

These duties exist regardless of the agreed-upon compensation payable to the broker. Agents cannot avoid these requirements by removing themselves from negotiations. The minimum-services provisions also prohibit a seller’s agent from instructing a buyer’s agent to negotiate directly with the represented seller. Likewise, a buyer’s agent is prohibited from instructing a seller’s agent to negotiate directly with the represented buyer.

There are certain circumstances in which an agent may deliver an offer to a represented party without violating the Real Estate License Act, but the agent must have the other broker’s consent to the delivery and send him a copy of the offer. At no time may the agent cross the boundary into negotiations with the represented party.

If seller’s brokers aren't fulfilling the minimum duties required of them, there’s not much you can do in the short-term. You have a fiduciary duty to look after your client’s best interests; however, you may not interfere with the other broker’s agency relationship or do anything to prevent the transaction from closing. Continue to make every effort to contact the seller’s broker to discuss your concerns, and keep a record of your communications.

If you believe the seller’s broker violated any rules or the REALTOR® Code of Ethics, you may take steps to file a complaint with the Texas Real Estate Commission or Texas REALTORS®.

If you believe that you deserve an additional fee, you may seek compensation through arbitration or other legally available means after the transaction closes.

Yes, it is OK for you to represent the seller in this situation. However, you should make it clear to this new client that you cannot reveal to him any confidential information provided to you by your former client unless that client consents to the release of that information to the seller. While there may be little confidential information obtained from the buyer that would be of interest to the seller, it should be noted that information about material defects in the property is not considered confidential information under the Code of Ethics or the Real Estate License Act. Thus, if you had obtained material information about the property while representing your former buyer client, you would be required to disclose that information to the seller and any subsequent buyer of the property during your representation of the seller.

Standard of Practice 1-9 requires that REALTORS® preserve confidential information provided by clients in the course of the agency relationship after the termination of the relationship. But it seems clear that sales data provided to the MLS upon the sale of the property would not be considered confidential information protected under this obligation. Publication of the sold data in the MLS would remove any possible confidentiality protection that might be given to that information under agency law. A more difficult issue might be presented if the former sale was conducted outside of an MLS and no sales data was made available to parties outside the transaction. Under those circumstances, an argument could be made that the sales price might be entitled to confidentiality treatment by the buyer's agent, and he should obtain the consent of the former client to release that information to the potential buyer. Absent some confidentiality agreement between the buyer and seller and their agents in the former transaction, the sales data probably would not be considered to be protected confidential information since it was known to the seller and his agent. Furthermore, Section 1101.804 of the Real Estate License Act specifically provides that a licensee shall not be liable to any other person for providing sales prices or terms of sale information for the purpose of facilitating the sale of real property unless the disclosure of that information is otherwise specifically prohibited by statute.

The disclosure may be verbal or in writing. The license holder should clarify which party he represents and make that representation clear to all parties. The license holder may use the Representation Disclosure (TXR 1417) for this purpose. Additionally, license holders must provide the parties with the Information About Brokerage Services (TXR 2501, TREC IABS 1-1) at their first substantive communication.

This information simply defines several types of agency relationships. The Information About Brokerage Services form encourages the consumer to enter into a written agreement with a broker if the consumer wants to be represented. Also, the new MLS policy requires the license holder working with a buyer who is touring a home to enter into a written buyer agreement. Effective January 1, 2026, the Real Estate License Act also requires that a license holder who performs any act of real estate brokerage for a prospective buyer of residential real property to enter into a written agreement with the prospective buyer before showing any residential real property to the prospective buyer or if no residential real property will be shown, presenting an offer to purchase residential real property on behalf of the prospective buyer. Either the Residential Buyer/Tenant Representation Agreement - Long Form (TXR 1501), or Residential Buyer-Tenant Representation Agreement - Short Form (TXR 1507) can be used for this purpose.

Section 1101.561 of the Real Estate License Act provides that if the broker will represent both the buyer and the seller in the transaction, the broker must act as an intermediary. One may not agree to act as a dual agent and comply with the Real Estate License Act.

To disclose their representation of a party upon the first contact with a party or licensee representing another party. The Representation Disclosure (TXR 1417) can be used for this purpose. Effective January 1, 2026, a license holder may also show property to a prospective buyer or tenant without representation and to do so, they must disclose if they represent the owner or provide the Information about Brokerage Services (TXR 2501, IABS 1-1).

At the time the property is listed, the license holder is obligated to advise the owner as to the license holder's opinion of the market value of the property. Once appointments have been made, the appointed associates are permitted, but not required, to provide the party to whom they have been appointed with opinions and advice during negotiations.

Assuming an agreement with the listing broker as regards cooperation and compensation, you may represent the buyer as an exclusive agent. You cannot be appointed by the intermediary because you are not an associate of the listing broker, and from the facts as you describe them, no intermediary status is going to arise. Confidential information obtained from the seller when you were acting as the seller's agent, of course, could not be disclosed to your new client, the buyer.

It depends. If any license holder including a broker is working with a buyer to tour a home, then MLS guidelines require MLS participants to enter into a buyer written agreement. Similarly, effective January 1, 2026, state law will require any license holder working with a prospective buyer who wants to tour a home or a submit an offer on a residential purchase to have a written agreement signed by the prospective buyer. However, a relationship between a broker and a client can legally exist without a written document generally. Nevertheless, there are four good reasons why the relationship should be evidenced by a writing, whether it’s with a buyer, seller, landlord, or tenant:

1. A broker cannot sue for a commission unless there is a written agreement signed by the party agreeing to pay that commission.

2. If office policy permits a broker to act as an intermediary (the broker has a broker-client relationship with both the seller and the buyer in the same transaction), then the broker must obtain the written consent of each party and it must state who will pay the broker. The Texas REALTORS® buyer's representation agreements and listing agreements include the necessary written consents and other statutory requirements for a broker to act as an intermediary.

3. Written agreements between a broker and his client help ensure that all parties have mutually agreed on the terms of representation.

4. Article 9 of the Code of Ethics requires that REALTORS®, for the protection of all parties, assure whenever possible that all agreements related to real estate transactions are in writing.

It depends. If you are showing residential property for sale for a prospective buyer, you must have a written agreement in place before showing the property. The Unrepresented Customer Showing Form (TXR 1508) may be used to satisfy this requirement. If you are showing property for lease or any non-residential property for sale, you are not required to have an agreement in writing. Remember, however, that Article 9 of the NAR Code of Ethics states that whenever possible all agreements should be put in writing. Therefore, it is still recommended to have written agreements in place for all transaction types even though the law only requires written agreements for residential sales.

Yes. If all the conditions for showing without representation are satisfied—no advice or opinions, no agreement to act as the prospect’s agent, etc.—any property type may be shown without representation, including commercial property.

No. A written agreement is only required when showing residential property to a prospective buyer. Remember, however, that Article 9 of NAR Code of Ethics states that whenever possible all agreements should be put in writing. Therefore, it is still recommended to have written agreements in place for all transaction types even though the law only requires written agreements for residential sales.

If you are showing a property where you do not represent the seller or the buyer, you can use the Unrepresented Customer Showing Form (TXR 1508). Prior to showing the property, fill in the property address at the top of the form and complete the signature block at the bottom of the form. Make sure the customer initials and dates the form.

You are not required to enter into a written agreement with that unrepresented prospective buyer because you are showing the property on behalf of the seller. However, you are required to disclose at your first contact with that buyer that you represent the seller. Texas REALTORS® recommends that you also provide the Representation Disclosure Form (TXR 1417) to provide evidence to the buyer that you represent the seller only and to comply with Sections 1101.558(b) and 1101.562(b)(1), Texas Occupations Code.

If you decide to find other properties for this customer, you can no longer work with the customer without representation because locating property for sale is an additional real estate brokerage activity. Before providing additional services for the customer, you should enter into a written buyer representation agreement. Either a Residential Buyer/Tenant Representation Agreement – Long Form (TXR 1501) or a Residential Buyer/Tenant Representation Agreement – Short Form (TXR 1507) may be used for this purpose.

The Unrepresented Customer Showing Form TXR 1508 is not a representation agreement. It’s a form that complies with the statute (Section 1101.563, Texas Occupations Code) and can be used when you don’t represent the seller or buyer and are only performing the service of showing real property.

The Residential Buyer/Tenant Representation Agreement - Short Form (TXR 1507) is a representation agreement. It allows you to limit the scope of your representation as permitted by Texas law. When using this agreement to provide showing services, you must still meet your legal and ethical duties while performing the limited services you’ve agreed to provide. Section 1101.557 of the Texas Occupations Code requires you to, at minimum, answer the party’s questions and present any offer to or from the party.

No. Unrepresented showings are one option available to license holders and consumers, but a broker may decide that the broker’s business model is best suited to working with clients who have signed a representation agreement. In that case a Buyer/Tenant Representation Agreement - Long Form (TXR 1501) or Buyer/Tenant Representation Agreement – Short Form (TXR 1507) can be used. The short form is a simple, one-page form that can be used for one day, for showing a single property, and can be for a fee or no fee. It’s up to the broker and the client.

No. The form is intended for use with one property that the customer wants to see. If the customer has found multiple properties and asks you to show each of those properties, you can use a separate Unrepresented Customer Showing Form for each property.

If the customer asks you to look for more properties that meet the customer’s criteria, a representation agreement must be executed prior to showing any additional properties. Searching for properties is considered “other brokerage activity,” which disqualifies you from showing property without representation.

To avoid having to execute separate Unrepresented Customer Showing Forms for multiple properties, you may instead enter into the Buyer/Tenant Representation Agreement-Short Form (TXR 1507) with the customer, list a market area that covers the properties that the customer wants to see, and select showing services only. You and the customer can agree to any term and amount of compensation for these showing services, for example a length of one day for a fee of $0.