Tennessee Real Estate Commission Core Course Topics 2027–2028

Tenn. Comp. R. & Regs. 1260-05-.12 CONTINUING EDUCATION.

1. The Commission may, in its discretion, designate that portion of the continuing real estate education required of licensees by T.C.A. § 62-13-303 to be composed of specific topic(s).

This is the rule that gives the Tennessee Real Estate Commission (TREC) the authority to require a mandatory Core Course as part of the sixteen (16) hours of continuing education. The outline below pertains to the required six-hour Core Course, as mandated by applicable rules and regulations.

I. Trec History, Purpose, Law & Regulation

Relevant Authority: T.C.A. §§ 62-13-101 – 62-13-604

Learning Objectives:

• Explain the history and purpose of the Tennessee Real Estate Commission (TREC).
• Identify TREC’s authority under Tennessee law.
• Understand recent law, rule, and policy updates affecting licensees.
• Recognize licensing, education, E&O, and disciplinary requirements.
• Know the different types of licenses and requirements for each.
  1. TREC History and Purpose
  2. Tennessee Real Estate Broker License Act of 1973
  3. Commission Structure (T.C.A. § 62-13-203)
  4. E&O Insurance Requirements
  5. License Reinstatement – T.R.A.C.E. Course
  6. Licensing Types – Affiliate Broker, Broker, Real Estate Auctioneers, Designated Agent
  7. Electronic Records
  8. Commissions Earned by Affiliated Licensees
  9. TREC vs Trade Associations Learning Objectives:
     • Distinguish regulatory responsibilities from trade association functions.
     • Understand differences between license law compliance and ethical obligations. 
       • TREC:
         • State regulatory agency created by statute.
         • Licenses and disciplines real estate professionals.
         • Enforces T.C.A. Title 62, Chapter 13 and TREC Rules. 
       • Trade Associations:
         • Voluntary membership organizations.
         • Could enforce a code of ethics.
         • Provide MLS access, advocacy, education, and professional resources.
         • Cannot issue, suspend, or revoke a Tennessee real estate license.

II.  Agency & Brokerage Relationships

Relevant Authority: T.C.A. §§ 62-13-401 through 62-13-405

Learning Objectives:

• Differentiate agency, designated agency, and facilitator relationships.
• Identify duties owed to clients and customers.
• Apply agency disclosure requirements correctly.
  1. Agency Disclosure
  2. Designated Agency
  3. Facilitator Status
  4. Fiduciary Duties
  5. Compensation and Brokerage Relationships

Ill. Advertising 

Relevant Authority: T.C.A. § 62-13-310; Tenn. Comp. R. & Regs. 1260-02-.12; Tenn. Comp. R. & Regs. 1260-02-.33

Learning Objectives:

• Identify compliant advertising practices.
• Recognize prohibited misleading advertisements.
• Apply team advertising and internet advertising requirements.
  1. Internet Advertising
  2. One-Click Rule
  3. Team Advertising
  4. Signs on Property
  5. False, Misleading, or Deceptive Advertising
  6. Gifts, Prizes, Guarantees, and Claims
  7. Civil penalties for violating advertising rules.

IV. Contracts, Disclosures & Transactions

Relevant Authority: T.C.A. §62-13-405; T.C.A. §§ 66-5-201 through 66-5-213; T.C.A. § 62-13-208 Learning Objectives:

• Understand required disclosures in Tennessee transactions.
• Apply contract formation principles.
• Properly handle earnest money and transaction documentation.
  1. Contract Formation and Execution
  2. Agency Disclosure Forms
  3. Residential Property Disclosure Requirements
  4. Electronic Transactions
  5. Earnest Money Procedures
  6. Interpleader and Release of Earnest Money (Tenn. Comp. R. & Regs. 1260-02-.34)
  7. Real Estate Education and Recovery Account (T.C.A. § 62-13-208)

V. Property Management

Relevant Authority: T.C.A. § 62-13-312; Tenn. Comp. R. & Regs. 1260-02 Learning Objectives:

• Apply trust account and escrow requirements.
• Identify supervisory obligations in property management.
• Recognize common violations and sanctions.
  1. Escrow Account Setup
  2. Trust Account Requirements
  3. Security Deposits
  4. Property Management Compliance
  5. Sanctions and Disciplinary Actions

VI.  Commercial Real Estate

Learning Objectives:

• Understand key commercial leasing terminology.
• Identify common commercial brokerage practices.
• Compare residential and commercial transaction issues.
  1. Net Lease
  2. Double Net Lease
  3. Triple Net Lease
  4. Gross Lease
  5. Modified Gross Lease
  6. Common Area Maintenance (CAM)
  7. Commercial Brokerage Considerations
  8. Commercial Property Management

VII. Property Condition Disclosure

Relevant Authority: T.C.A. § 66-5-210 Learning Objectives:

• Understand seller disclosure obligations.
• Identify exemptions from disclosure requirements.
• Explain licensee responsibilities regarding disclosures.
  1. Residential Property Condition Disclosure Form
  2. Exemptions
  3. Licensee Responsibilities

VIII. Principal Broker Supervision

Relevant Authority: T.C.A. §§ 62-13-310 and 62-13-312; Tenn. Comp. R. & Regs. 1260-01-.04; Tenn. Comp. R. & Regs. 1260-02-.01 through .06

Learning Objectives:

• Understand Principal Broker supervisory responsibilities.
• Apply trust account and record retention requirements.
• Recognize responsibilities for affiliated licensees and teams.
  1. Unlicensed Branch Offices
  2. Advertising Oversight
  3. Earnest Money and Trust Accounts
  4. Teams and Team Supervision
  5. Independent Contractor Relationships
  6. Record Retention
  7. Broker Responsibility for Affiliated Licensees

IX. Vacation Lodging Services

Relevant Authority: T.C.A. § 62-13-104; Tenn. Comp. R. & Regs. 1260-07 Learning Objectives:

• Define Vacation Lodging Services.
• Understand the role of a Designated Agent.
• Identify types of VLS properties.
  1. Types of Properties Covered Under VLS
  2. Legal Requirements for Operating VLS in Tennessee
  3. Escrow/Trust Account Management
  4. Designated Agent Responsibilities