Welcome to Property Professional’s speakers corner. Every week we get asked pertinent questions that pertain to the real estate industry and therefor is relevant to any real estate practitioner across all services. This is the place where we bring all these questions and answers together and make it available to our valued subscribers.
Why managing agents can be defined as property practitioners
Since most managing agents do NOT manage property or become involved with letting or selling, why would it be necessary for them to register as property practitioners? Surely this vocation is absolutely unlike anything relating to estate agents.
Coenie Groenewald, COO of National Association of Managing Agents (NAMA) answers: To assume that most managing agents do not engage into selling and letting is not correct. Managing agents, mainly manage property but may also engage in the business of letting and selling.
Most managing agents will facilitate and operate their letting and selling departments under a different business name and entity and as such these companies and persons are indeed registered with the Estate Agency Affairs Board (EAAB).
Thus a letting agent or sales agent will be considered as a property practitioner.
We are still debating the fact whether managing agents should fall under the definition based on various aspects but support licensing and accreditation.
Do I understand the Property Practitioners Bill correctly, i.e. agencies with a turnover of less than R2.5 million and no trust account will no longer be required to provide an auditor’s report?
Jan le Roux, CE of Rebosa answers: Audit reports remain a requirement. The Bill merely allows agencies with a turnover of less than R2.5 million to have a “review process” done by an accountant instead of a full audit by a chartered accountant. It only saves a bit on the audit report. All agencies, unless the minister makes some ruling, are still compelled to have trust accounts.
Comment by Peter Tsikoe
My concern has more to do with, how does government laws protect those practitioners that regularly ensure that their ffc matters are up to date. Are there measures taken to rid the property practice of those that are illegal, i.e. non FFC holding agencies and agents. The property discipline seems to have become a laissez faire. Consumers are as a result at the mercy of fraudsters and money launderers.
Jan le Roux is CE of Rebosa and Chairman of Private Property. Does he have any shareholding/interest in Private Property?
No, he has no shareholding, directly or indirectly, in Private Property.
Does Property Professional (or the owner/s of Property Professional) have any interest/shares in Private Property?
No, neither directly nor indirectly.
Following our stories on FNB’s banking app, our readers had many questions, so we wanted to find a way to answer them that would benefit all our readers. Speakers Corner is the result. This will from now on be a regular feature in our newsletter where we’ll find experts to answer your questions. This week for the questions around FNB and Private Property, we asked Jan le Roux, chairman of Private Property and CE of Rebosa to answer the questions.
How safe are the data listings on ABSA?
We don’t have detailed information on the contractual arrangement between P24 and ABSA but think it is very probable that the same can happen. We also not sure if agents are aware of this arrangement.
What has Rebosa done to promote agents to consumers?
Rebosa has been running a print campaign in all major property papers for more than two years at a value of more than R1,800,000 – Click Here to see ads.
Promises have been made about shares in Private Property being made available to the entire industry. When will that happen and will shareholders enjoy preferential rates, etc.?
Shareholding in the Estate Agency Property Portal Company and in Private Property will be made available to the entire industry in the first half of next year. Shareholders will not get preferential treatment over other advertisers. Like in any other business shareholders qualify for dividends should profits be made and dividends declared.
The entire industry was caught by surprise by the FNB APP. Did Private Property have any prior knowledge before the launch?
Private Property was as surprised as the rest of the industry.
You are welcome to email your questions for consideration for inclusion in Speakers Corner to firstname.lastname@example.org