G'day
One aspect of this rather dog-eared debate:
Every time (about every 12 weeks or so) that it appears on the forum, there is this rabid self-defence of amateurs by amateurs, accusing estate agents of making the rules to suit themselves (and just about printing their licenses themselves).
The amateurs almost always refer to this 'finding' or spotting' or whatever cute term is being used, in an 'any fool can do it' way. For example, it is almost always the person with no money, no experience, and no investments themselves, who think they can just 'find' wonderful investments which they can then quickly introduct to 'buyers', and make a fee for doing so.
Or the 'flippers' who, supposedly, are making zillions buying properties and 'quickly selling for a good profit'.
Wow! If it was all so easy, why isn't everybody doing it?
If any mug can be an agent, why isn't everybody doing it 'on the side'?
The answer to all this, and which just casually dissapears as the debate degenerates into a slanging match, is
IT'S ALL ABOUT PROTECTING THE INTERESTS OF THE CONSUMER.
The Vendor as the Consumer
The Purchaser as the Consumer
The Landlord, the Tenant, in fact, everybody involved who is going to be putting their hard earned dollars on the line.
Agents have to be licensed so that the Department of Justice (Vic) or whatever department each state has which regulates business licensing can hold full records, can monitor, can act as a venue for complaints, or as an investigator and/or prosecutor of any complaints.
It is the State Government which determines the licensing criteria. Study, work experience, character and capacity all come into the equation.
Agents are impartial. They are not meant to be anybody's friend. They are working for the vendor, they are not the vendor's mate. They are not the buyer's advocate unless engaged as such. You don't have to like them.
I made an offer on a property today. Perhaps I had offended the sensibilities of the agent. She got up and left the room. I tried to keep a straight face. I once worked with an agent who used to throw himself off his chair shouting 'what!' at the first offer the buyer made. He always got good offers for his vendors. However, my agent today obviously was not trained to come back into the room. So I politely asked for the Contracts so I could put the offer in writing. I know how much the property is worth. I know how much I am prepared to pay. I also know the opportunity of a lifetime comes around every Tuesday.
Does she care if I like her? Nope. Does she care if the vendor likes her? Nope, but she cares if she does a good job for the vendor or not, because if she is going to build up a career with a reputation for good, honest service, then like her or not, her actions have to be above suspicion, transparent, open and honest.
It is easy to serve self interest. It is easy to think 'Well, I have a choice: work in the local takeaway shop or! I know! I'll be an estate agent! Any dill can be an agent, and I'm a bit of a dill, so I can be an agent, too!!'
So next time any of our unqualified forumites think 'Yay! How hard can it be!' please remember:
IT'S ALL ABOUT PROTECTING THE INTERESTS OF THE CONSUMER.
Next time, you may be the consumer - of fish & chips (aren't you glad we have the best health regulations in the world?), perhaps filling your tank with petrol (aren't you glad we still have those silly old Weights & Measures Unions), perhaps buying a house (aren't you glad that agents have to be licensed, have the name of the license holder on display at their shop & their licenses available for inspection, and that we have the most transparent, Government guaranteed Title system in the world?), or when you got home the handle fell of the saucepan you just bought (aren't you glad we have Retail Trading Acts and Consumer Protection Acts?).
They say the price of freedom is eternal vigilence.
The price of protecting the interests of the consumer (read: all of us!) is that the government, on behalf of all of us, sets minimum standards of conduct which come into play as soon as we interact - particularly when money is involved - with any other person.
And I, for one, would not have it any other way.
Cheers
Kristine
By the way Joshwaly
Good luck with your studies and with your own investment plans for the future.
Confucious say: Journey of a thousand miles (1,600 kilometres) starts with the first step.