The principal client of the salesperson is the broker who is authorized to act as agent of the sellers. In a straightforward legal arrangement, the broker is the agent and the salesperson is the sub-agent. However, in the case of Philippines, although it is against the RESA Law, it has become customary that sellers directly hire the services of the salesperson without passing through the broker.
We have a scenario now wherein the law is in conflict with the overwhelming culture and customary practice of the free market. The conflict of the law and culture is a symptom that the law did not pass through extensive stakeholder consultation.
Just look at the mandate of INTEGRATION, we can observe two things now (1) that the very people who will benefit from integration are not integrating because of fierce competition and garapatic behavior, and (2) many licensed RESPs are not worthy to be called professionals for the very reason that they can't even comprehend the simple english of the law.
It is a big disadvantage to the law-abiding real estate practitioners if the government will not have the capacity to fully implement the RESA Law sincerely. It will tie the hands of the lawful RESPs while they struggle helplessly in the free market full of lawless elements. For the time being, I am just granting this RESA Law the benefit of the doubt because I trust the government. However, if the time comes that I see that the RESA Law is just being used as a regulatory mechanism with discriminatory applications that will only facilitate corruption and make the garapata fat, I would not hesitate to change direction towards the abolition of the law. The law can provide a good level playing field, but the free market can provide the best.
The law talks about Consumer Protection, but it has no provision that protect consumers. The consumers in the Philippines are less protected, not because of the absense of RESA Law, but because we lack Exclusive Buyer Agents (EBA).
What we have in our system in the real estate sector now is like a justice system that only have Judges and Prosecutors, no defense attorneys. How do you expect the people who are accused to get fair and professional expert representation in court? In the real estate sector, it is the EBA who protects the consumers, but who is the EBA in Philippines other than me?