Significant changes to buyer and tenant representation in Texas real estate will take effect on January 1, 2026, following legislation passed during the 89th Texas Legislative Session. The amendments to The Real Estate License Act (TRELA) introduce new requirements for written agreements and clarify the circumstances under which non-representation is allowed when showing properties.
Two new sections have been added to TRELA: Section 1101.562, which addresses real property showings without representation, and Section 1101.563, which requires written agreements for certain activities.
Under Section 1101.562, license holders may show residential, farm and ranch, or commercial property to a buyer or tenant without representing them if specific conditions are met. These include not having agreed to represent the party in any form and refraining from offering advice or opinions about the property or transaction. License holders must also disclose whether they represent the owner and provide the Information About Brokerage Services (IABS) form if not representing the owner. The information that can be shared with buyers or tenants is limited to factual details such as size, price, and terms of available properties.
Section 1101.563 establishes that license holders working with prospective buyers of residential property must enter into a written agreement before showing any residential real estate or presenting an offer on behalf of a buyer if no property will be shown. This requirement does not apply to commercial purchasers or tenants.
Written agreements required by Section 1101.563 may either specify non-representation limited solely to showings or establish formal representation arrangements. Both types must detail services provided, termination date (no more than 14 days for non-representation), exclusivity status (non-representation agreements must be non-exclusive), whether the agent represents the buyer, compensation details including how it is determined, and clearly state that broker compensation is negotiable.
The intent behind these changes is “to help protect consumers by requiring use of written agreements that clearly outline the obligations the license holder and prospective buyer owe to each other.”
Regarding open houses, requirements differ based on agency affiliation:
– If an agent hosting an open house belongs to the listing broker’s office, there is no need for a written agreement with visitors; however, disclosure of representation of the owner remains necessary.
– If an agent from outside the listing brokerage hosts an open house without representing the seller—such as a showing agent—the IABS form must be provided and a written agreement entered into before showing begins.
If a visitor refuses to sign such an agreement at an open house hosted by someone outside of the listing brokerage office, they cannot view the property: “If a buyer refuses to sign the agreement, then the agent cannot show the property… License holders can face disciplinary action if they fail to enter into a written agreement as required by state law under 1101.563.”
Brokers retain discretion over allowing agents from other brokerages to host their open houses by setting relevant policies.
Additionally, two references to subagency have been removed from TRELA. While this limits situations where subagency could arise in practice, it does not eliminate subagency as a legal concept entirely.
