What is the maximum value of a referral gift a licensee can give to an unlicensed individual?

In Texas, the Texas Real Estate Commission (TREC) stipulates that a licensed real estate agent may provide a referral gift to an unlicensed individual, such as someone who has referred clients or leads to the agent. The maximum value of such a gift is capped at $50, which is designed to encourage referrals without allowing commission-like compensation for activities that would require a license.

This regulation ensures compliance with the laws governing real estate transactions and maintains the integrity of the licensing system. The limit is set to prevent any appearance of compensation for services typically reserved for licensed professionals, thereby ensuring that only licensed individuals are rewarded for fulfilling professional duties related to real estate transactions.

Hence, the correct answer reflects this established cap on referral gifts for unlicensed individuals in Texas real estate practice, maintaining the boundaries of licensing requirements while also allowing agents to express appreciation for referrals.