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REISA cautiously welcomes consultation on reform

2 Jul 12

The Real Estate Institute of SA has welcomed the consultation process over the final set of reforms to the real estate laws.

“REISA and the Government have been talking about the final set of reforms for some time now, so we are glad to see change is imminent,” REISA Chief Executive Officer, Mr Greg Troughton said.

“Our first reaction is that some changes still need to be made in the area of auction practice, but largely, the reforms incorporate REISA’s key points such as clarification of the word ‘immediately’, the way in which the Form R3 has be delivered and the ability to extend a Sales Agency Agreement for a second term more easily.”

“It’s fair to say that the majority of the changes are to ensure that the system operates effectively both for consumers and for agencies.”

“The Government has focused on the reforms around under-quoting which REISA strong supports. Our best practice recommendation has always been for agents to provide evidence around the prices used in advertising, so we are pleased tightening in this area will occur.”

“What we are looking for is more discussion on the operation of auction, and how pricing models may apply in this context. Auction is a very transparent method of selling and we don’t want to deter people from using auction to sell their property.”

“We are also very keen to talk about standards of practice, as we are gravely concerned that national licensing may water down entry standards which will be detrimental to consumer protection.”

REISA will now set about analysis the draft bill, word for word, to ensure that any changes are positive, benefit industry and adequately protect consumers.

“This is our opportunity to ensure that the process of buying and selling is as professional as possible, without un-necessary red tape,” Mr Troughton said.

REISA will also be consulting with members during the three-week consultation process.

To view the draft bill and discussion paper, visit www.cbs.sa.gov.au
 

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