What can a non-resident broker earn in Texas?

A non-resident broker can earn referral commissions in Texas as long as they comply with applicable laws and regulations. Referral commissions refer to fees paid by a broker for referring business to another broker. This is significant because non-resident brokers are typically not licensed to conduct real estate transactions directly in Texas, but they can still participate in the Texas real estate market by referring clients to licensed Texas brokers.

This arrangement allows them to earn income while adhering to the legal requirements of the state. In contrast, non-resident brokers cannot earn listing fees or commissions from direct transactions within Texas without first obtaining a Texas real estate license. They also cannot receive a salary from a Texas firm unless they are properly licensed, as salaries imply employment that involves active participation in real estate transactions, which is restricted to licensed individuals within the state.