Earlier this year, the NSW Commissioner for Fair Trading implemented reforms to the regulation of real estate and property agents. Here’s everything you need to know.
The real estate licensing system in NSW has been overhauled, with the new property reforms coming into effect on 23 March. The reforms target licensing for industry professionals, as well as how agents communicate with clients. It’s aimed at making our industry even more professional and accountable.
Changes to licensing
A new real estate licensing system has been put in place. The new system has three levels of certification:
- certificate of registration as an assistant agent
- class 2 licence as a licensed agent
- class 1 licence as a licensed agent or licensee in charge of a business.
New agents receive certification as an assistant agent. They can then work towards gaining the experience needed for certification as a fully licensed class 2 or class 1 agent.
The changes aim both to increase agent qualifications and better define the work that can be carried out under each type of licence. All of Chadwick’s agents have now transitioned to the new levels of licence,
As an agency we are also committed to the continuing professional development requirements brought in with these reforms. We look forward to building on our team’s already impressive wealth of real estate expertise and deep knowledge of the Upper North Shore property market.
Regulations around agent disclosure
The new reforms also cover what an agent is required to tell you about a property.
Importantly, an agent is required to disclose material facts about a property. If you are considering buying, this means an agent must tell you if:
- within the last five years the property has experienced natural flooding or bushfire
- the property is subject to significant health or safety risks
- the property is listed as containing asbestos
- within the last five years the property has been the scene of a murder
- within the last two years the property has been used to manufacture or supply drugs
- the property contains external combustible cladding
- a development application has been lodged for the property.
Agents are expected “reasonably to know” facts that can be uncovered through regular enquiry and research, such as whether a property has ever experienced bushfire, which is sometimes an issue on the Upper North Shore.
Under the new regulations, if an agent claims they didn’t know such facts they could still be in breach of the law. Silence or omission is considered misleading in some circumstances, and it is up to agents to be open and honest in their dealings with clients.
Chadwick: leading by example
At Chadwick we value trust. With over 60 years of real estate experience in the Upper North Shore, we know how to work effectively with buyers and sellers, ensuring you get results. We take the time to understand you and your individual needs.
Our team prides itself on an impeccable level of professionalism. We are proudly compliant with all real estate laws and requirements, and each of our agents is fully certified and licensed.
Looking for a team you can trust? Contact Chadwick today.