Texas Real Estate Brokerage Sales Apprentice Education (SAE) Practice Exam

Can unlicensed persons help in arranging financing?

1. Yes, they can act as brokers

2. No, it is illegal for them to assist

3. Yes, but only in a financial capacity

4. Yes, but only in an administrative capacity

The correct answer is: Yes, but only in an administrative capacity

Unlicensed persons can assist in an administrative capacity, which aligns with the answer provided. This means they can perform tasks that support the financing process, such as gathering documents, organizing information, and facilitating communication, without actually performing acts that require a license, such as negotiating terms or providing professional advice on financing options. In Texas, the law delineates specific activities that require a real estate license, particularly those involving negotiating on behalf of others or taking part in financial transactions in a way that could be considered brokerage. This restricts unlicensed individuals from acting in a more involved role, which is why roles outside of administrative support are not permitted. By sticking to administrative tasks, unlicensed persons can still provide valuable support in the financing process while staying compliant with legal regulations.