Azmi & Co (Sarawak) Sdn. Bhd, Kuching
In Malaysia property market, many property owners do not know how to differentiate between a licensed real estate agent and a bogus. So often they were either cheated or not happy with the way bogus agents conduct their business.
In order to become a licensed agent, one must study and passed all the exams set by the Board of Valuers, Appraisers and Estate Agents under Ministry of Finance (the Board). The whole process may take several years to complete. Once a member passed the entire exam, a license will be granted bearing an E number, eg. E1234. If he wishes to run a Real Estate firm, he needs to register his company with the Board and another E number will be given for his firm. The E number together with the Board logo will appear on his business card and all advertising medias.
All licensed agents are regulated and governed by and subject to rules and guidelines set by the Board. Any licensed agent found to have violated the rules will be penalized by the Board, depending on the seriousness of the case, the Board might at it discretion to suspense or terminate the license holder.
All licensed agents are required to renew their license on a yearly basis. Before a licensed agent could renew his license, he must proves to the Board that he has obtain sufficient credit hours by attending courses or training programs approved by the Board throughout the year. This is to ensure all licensed agents are equipped with the latest market information and are aware of the changes in the Real Estate Business both locally and globally. This also serves to maintain the professionalism of a licensed agent.
Real Estate Negotiator
Licensed agents will employ real estate negotiators to assist in the day-to-day real estate transactions. Real estate negotiators are sales person employ by registered estate agencies and regulated by the Board. They are not allowed to act independently of the estate agency firm and they must work for one estate agency firm at any given time on a full time basis.
To become a Real estate negotiator, an individual must attend a 2-days course conducted by the Board and having successfully done so will be given a REN tag with a REN number, eg: REN4567. Negotiators must wear their REN tag during property inspections and viewings. Furthermore, each real estate negotiator is also required to attend continuous professional development program and fulfill the required CPD hours in order to renew their license on a yearly basis.
The role of negotiators include listing a property for sale, coordinating the marketing of the property, showing the property, negotiating the price and terms and conditions, closing, follow up on closed sales and handing over of vacant possession.
Real estate negotiators are governed by the Board and therefore must act in line with the rules and regulations of the Board. This is to ensure that negotiators carry out their property transactions with professionalism and ethics.
As buying a home and real estate investments represent the largest investment in most people lives, sellers and buyers are advised to engage and only deal will licensed estate agents and real estate negotiators to prevent being cheated by bogus agents or negotiators and also to ensure that the entire property transactions are carried out professionally by licensed professionals.
The Board maintain a registry of licensed estate agent and negotiator at their website at https://lppeh.gov.my. The public can visit their website and go to the section under ‘LPPEH Search’ to verify the legitimacy of any agent or negotiator. If they are genuine licensed and registered agent or negotiator, you will be able to find their E or REN number with their name and contact details in the registry.
Article by Terry Teo
Azmi & Co (Sarawak) Sdn. Bhd, Kuching