Government Finalises New Codes of Conduct for Property Industry

A new code of conduct for real estate agents, sales representatives, settlement agents and land valuers came into effect last week.  

The new codes, which aims to increase transparency for people buying or selling property in Western Australia, are made up of profession specific duties and obligations.

Under the ‘Real Estate and Business Agents and Sales Representatives Code of Conduct 2016,’ property sellers will receive the real estate agent’s opinion as to market price in writing, along with reasons to support that opinion.  In addition, agents will be required to communicate all offers to clients and not just those made in writing. 

 The ‘Settlement Agents Code of Conduct 2016’ will prevent settlement agents from acting for both the buyer and seller in certain circumstances where one of the parties may be unfairly prejudiced.

Under the ‘Land Valuers Code of Conduct 2016,’ licensed valuers will be required to complete valuation work within a reasonable time and in accordance with the client’s reasonable instructions.

The new codes were developed following detailed consultation between the regulator (Consumer Protection) and industry, including representatives from the Real Estate Institute of Western Australia.

For information about the changes please visit the Department of Commerce website.