'Business as usual' despite EAAB debacle

Posted On Friday, 10 August 2012 16:50 Published by eProp Commercial Property News
Rate this item
(0 votes)

Things came to a head with the Estate Agency Affairs Board (EAAB) last week when Minister of Human Settlements, Tokyo Sexwale, decided to place the Board under administration. The Minister has also requested the Special Investigation Unit to look into the board’s dealings

 Tokyo Sexwale“From the Machanik saga, a board member at the time, to the unfortunate events around Mrs Mapetla and her successors all contributed to a less effective controlling body for the industry being in place, “ says Jan le Roux, CEO of Leapfrog Property Group. He goes on to indicate that the Minister’s intervention is a welcome move and that matters can only improve from here on in.

It will take some time to delve to the bottom of the mismanagement and to turn the board around. The most pertinent question for the public however is how - if at all - the affairs of the EAAB affect us? Broadly speaking, not at all; “it’s business as usual for the average buyer and seller,” believes Jan le Roux, “estate agents are better trained than ever before and mostly the very experienced, successful agents survived the credit crunch and are still in business today. It is fair to say that the level of service consumers can expect from agents today is possibly higher than any point in time in our history.”

What exactly does the EAAB do and why is it imperative to have it operating correctly? Possibly the Estate Agent’s Affairs Board’s most vital function is that of regulating the industry – ensuring that practicing agents are issued with a Fidelity Fund Certificate (FFC) in order for them to work legally. The Board is also tasked with inspections, investigations and complaints.

As such the board serves an important function, to the public’s benefit, in terms of enforcing compliance amongst agents; hence ensuring proper service is rendered to the public.

“We have been assured by the Minister that agent registrations and such like will continue and the public can therefore rest assured that it is business as usual”, says le Roux.

That being said, an item that is very often forgotten is that apart from the Agencies Affairs Act, there is also a Common Law. The relationship between agent and principal stems from Roman times and clients have recourse in the case of mishaps in terms of the law of the land as well.

However, as with every other business, it remains the prerogative and duty of the consumer to contract with qualified people who they like and trust. The old Roman adage of caveat emptor (buyer beware) applies as far as the appointment of an agent to sell your property is concerned, as well. In this, our industry is no different from any other. I advise clients to properly interview agents, look at the proposed marketing plans, obtain references from other satisfied sellers and the rest.

The old adage remains true – do your homework when buying a property, both in terms of the home you purchase and the estate agent you choose to work with – it’s business as usual.

Last modified on Tuesday, 27 May 2014 22:26

Most Popular

Three stocks to boost your portfolio in 2020

Jan 22, 2020
Dr Adrian Saville CEO Cannon Asset Managers
After enduring a trying decade under the mismanagement and malfeasance of Jacob Zuma,…

Africrest Properties completes mixed-use development, Stanley Studios in Johannesburg

Jan 21, 2020
39 Stanley Avenue
What could be better than living in an extremely well-priced apartment or working in…

New hotspots driving cost hikes in key data centre markets - thriving market in South Africa

Jan 21, 2020
Dan Ayley Turner and Townsend
Major global data centre markets are seeing soaring construction costs as development in…

Equites Property Fund Limited to develop a R1.3 bn warehouse for Pepkor

Jan 21, 2020
Andrea Taverna Turisan  CEO Equites Property Fund
Equites Property Fund Limited (Equites) today announced an agreement with leading…

2020 Commercial Property Themes –Electricity supply and cost will be a key wildcard for the Commercial Property Sector this year

Jan 23, 2020
John LoosFNB
Will electricity supply reliability and cost increases become a key issue again in 2020?

Please publish modules in offcanvas position.