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# Tell Your Agents That’s Not Their Job

 27 Apr 2026

![Picture of Texas REALTORS®](https://app.hubspot.com/settings/avatar/b642b4217b34b1e8d3bd915fc65c4452) [Texas REALTORS®](https://info.texasrealestate.com/broker-advantage-features/author/texas-realtors)

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Your agents cannot advise on matters outside the scope of their real estate licenses. But do they understand what that means? Remind them to avoid the following scenarios.

Transactions outside of their competence   
TREC Rule 531.4 requires agents to be knowledgeable and competent on both local market issues and on real estate brokerage activity in general.  Agents must have geographic competency in their markets. If they don’t, they’re putting themselves and their clients at risk. Market conditions can be completely different elsewhere in the state, region, or even metro area. 

In addition, your agent is not qualified to assist in other areas of real estate without training and experience. TREC Rule 535.2(i)(5) states that at a minimum, when a sales agent performs an activity for the first three times, the broker must require that sales agent to receive coaching and assistance from an experienced license holder competent for that activity. Therefore, if your agent has only sold houses, he or she can’t sell commercial property unless he or she partners with a license holder who has for the first three transactions. Similarly, if your agent primarily works on sales transactions, he or she will need to partner with another license holder for the first three transactions when handling property management. 

The unauthorized practice of law  
Section 1101.654 of the Real Estate Licensing Act, TREC Rule 537.11 and Article 13 of the National Association of Realtors Code of Ethics prohibit the unauthorized practice of law. So, unless your agent is also an attorney, your agent cannot amend clients’ contracts or offer legal advice. Even sharing what an attorney told them could put your agents and your brokerage at risk for liability. Your agents need to encourage clients to seek their own legal counsel when legal questions arise. Encourage your agents to stay vigilant: even answering a client’s casual question or offering reassurance in certain situations could veer into the unauthorized practice of law depending on the circumstance. 

Practicing other professions  
It’s unlikely that your agent is also a trained and/or licensed appraiser, contractor, loan officer, inspector, or other professional who helps clients buy and sell real estate. Remind your agents to stay in their lane. Agents should refer clients to other experts and professionals rather than practice outside of their competency.  

Being overly helpful  
Make sure your agents understand that some tasks that go above and beyond what’s required could put you and your brokerage at risk. Refer clients to other professionals to help them with their questions and concerns. 

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## Texas REALTORS®

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