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Get a clear answer to “Can I refer clients with an inactive Texas real estate license” and learn the key Texas real estate licensing rules, steps, and requirements prospective agents should know.
By Leap Real Estate Team | 2 minutes read
Start your licensing education with LEAP's Texas real estate pre-licensing course, designed to help you complete the required coursework online.
An inactive Texas real estate license does not authorize you to keep doing brokerage work for pay. In particular, you should not make new compensated referrals while your license is inactive, because referral activity can create licensing and compensation problems.
In Texas, the difference between having a license and being allowed to practice matters. An inactive license means you still hold the credential, but you are not in active status and cannot perform brokerage services that require an active license.
That means you generally should not receive commissions, referral fees, or other compensation tied to business you generate while inactive. Even a simple introduction can become an issue if it is treated as a paid referral or lead-generation arrangement connected to your license.
If you are taking a break from the business or planning to return later, it is best to stay away from any new referral activity until your license is active again. When in doubt, do not arrange anything that could be viewed as licensed activity.
If you are preparing to reactivate or want to return with a stronger understanding of Texas licensing rules, a Texas pre-licensing refresher can help. Leap Real Estate offers a Texas pre-licensing course here: https://leaprealestate.com/state-licenses/texas-pre-licensing.
It is also wise to confirm your obligations directly with the Texas Real Estate Commission. TREC can help clarify the current rules on inactive status, renewals, education, and any limits that apply to your specific situation.
Bottom line: do not make new compensated referrals with an inactive Texas real estate license. Verify your status, complete any required steps to return to active practice, and check with TREC before arranging any referral compensation.
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