The Texas Real Estate Commission requires the Texas Residential Service Company Bond.
The Texas Residential Service Company Bond states that the bond holder will faithfully perform its obligations to the persons contracting for its services. It also states that they will comply with all rules and regulations of the Texas Real Estate Commission pertaining to it. The purpose of this bond is to provide financial compensation for those your company may have wronged. It protects both the state and the public from financial harm and it offers a mechanism for compensation. The Texas Residential Service Company Bond does not act as the license, nor does it act as insurance. Surety bonds such as this one are a form of consumer protection, not a license or insurance.
The Texas Residential Service Company Bond must be in the amount of $25,000. The Texas Real Estate Commission requires this bond as a part of the application process for the Residential Service Company License. This bond must be on file in order to apply for the license and in order to maintain the license.