[ADVOCACY SERIES] - The Code of Ethics and Responsibilities in Real Estate Service shall have provisions that will spell out the DONT's and DO's to protect the customer and clients of real estate professionals. This Code is not being followed by, and not being implemented, on unlicensed and unregistered real estate practitioners.
If you have read the pre-RESA Code of Ethics, all provisions are somewhat DONT'S. What is new is that the the Section 35 of the RA 9646 is titled Code of Ethics and Responsibilities for Real Estate Service Practitioners. Take note that RA 9646 wants the Responsibilities to be spelled out.
Meaning, the DO's are yet to be developed by the IPORESP. Section 35 says: "The Board shall adopt and promulgate the Code of Ethics and Responsibilities for real estate service practitioners which shall be prescribed and issued by the accredited and integrated professional organization of real estate service practitioners".
THE PRE-RESA CODE OF ETHICS ON PROTECTING CUSTOMERS/CLIENTS
Section 3 of the Code of Ethics enumerates the following provisions that protects the customers and clients of real estate professionals.
[A] The Practitioner, in accepting an appointment or authority to act for and in behalf of a client or customer should pledge himself with utmost fidelity and good faith to protect and promote the interest of his client without, in any manner, sacrificing the legitimate interest of the other party in the transaction.
[B] For the sake of justice and fairness to his client who have reposed confidence in him, the practitioner should endeavor to be well informed of current legislation, policies and programs of the government including proposed legislation which may affect the interest of his client.
[C] He should not accept any commission, fee or any valuable consideration from any party in any transaction except from his client unless with the full knowledge and consent of all the parties in the transactions. He shall not also introduce or work for an overprice either from the buyer or seller, except the usual standard rate of commission on any real estate transaction.
[D] He should charge or collect only such fees or commissions as are fair and reasonable in accordance with local practice in similar transactions.
[E] He should not acquire an interest in or buy for himself or members of his family within the fourth civil degree, his firm or any member thereof or a corporation or partnership in which he or his relatives within the fourth civil degree have at least 20% property interest, without making his true position known to the owner, buyer or seller.
[F] He should not advertise any property without authority and in any offering, the price quoted should be in accordance with the price agreed with the owners as the offering price.
[G] In the event that more than one formal offer on a specific property is made before the owner has accepted a proposal, all written offers should be presented to the owner for his decision.
[H] He should endeavor to make his client and customer conclude a fair contract advantageous to both.(i) He should assist his customer acquire possession and ownership of the property bought in accordance with the terms and conditions agreed upon.
[I] In case he is called upon to act as witness in a court proceeding he should give his testimonies in the most unbiased, honest, truthful and professional manner.
[J] As a real estate appraiser, he should not render an opinion without a careful and thorough analysis and interpretation of all factors affecting the value of the property. His counsel and advice constitutes a professional service for which he should make a fair and reasonable charge.
[K] As an appraiser, he should not undertake to make an appraisal or render an opinion that is outside the field of his experience and competence unless he obtains the assistance of another practitioner familiar with such type of property or unless the facts are fully disclosed by the client.
The question for all of us to think about is, what are the possible DO's that will spell out the responsibilities of the professional real estate practitioner? I hope you can bring out ideas during the National Convention of IPORESP.
I dedicate this blog to my Facebook friend/s who celebrate their birthday today. Alaiza B. Mañoso, Annie Lae Ching, Ferdinand Ian Ray Tan, Neil Villanueva, Nhing Sandel.