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Updated over 7 years ago,
Texas: $50 referral fee question
I'm checking into something that came up in a meeting last week. Someone mentioned that amounts paid to existing residents who refer new residents to a multifamily community are capped in the state of Texas at $50.
My research so far has led me to Section 535.20 of the Texas Administative Code, which, according to my reading, limits payments, gifts, concessions or discounts made by licensed real estate brokers to nonlicensed people to $50.
Does such a cap, or do any other limits, exist on payments made by other personnel or entities? For example, are there any limitations on such compensation being paid by the owner or the management company? If so, a citation would be appreciated.
Thanks.