PROP7201 Investigating the Impact of Disruptors on the Residential Property Market in Regional Queensland

01866900 Legislation and Compliance

Legislation and Compliance

03114675CPPREP4003 Access and interpret legislation in real estate

CPPREP4005 Prepare to work with real estate trust accounts

CPPREP4003 Access and interpret legislation in real estate

CPPREP4005 Prepare to work with real estate trust accounts

-10382257467600Real Estate Institute of New South Wales RTO 90117 30-32 Wentworth Ave Sydney 2000

Phone (02) 9264 2343 Email training@reinsw.com.au Web www.reinsw.com.au

Real Estate Institute of New South Wales RTO 90117 30-32 Wentworth Ave Sydney 2000

Phone (02) 9264 2343 Email training@reinsw.com.au Web www.reinsw.com.au

0635

0560705

Learner Declaration

Complete ALL sections including your legal name and contact details. Your assessment will not be marked if this page is not complete. Indicate with Y for Yes or N for No

I submit this assessment and certify that:

All work submitted has been completed by me YNo part has been completed or copied from any other person YI have referenced and/or acknowledged all necessary authors YI have kept a copy of my assessments YWhere necessary, I have attached supporting documents which are clearly identified in line with the specific question YWhere required, I have completed any agreements, forms and documents required for this assessment. I understand that partial completion will not be accepted YI understand that federal and state agencies have the right to access any of my assessment materials for auditing and monitoring purposes YI consent that REINSW may use my de-identified assessment for internal moderation and validation purposes YI understand that if a third party requests my results that REINSW will only do so with my written permission YLearner Legal Name (print) Dany semaanUnique Student Identifier 2EP9GCPWU2Contact Number 410485234Learner Signature Dany sDate 26/01/23My study method Day * Evening (Choose one of the following) eLearning Weekend

Assessment Information

Assessment for this unit covers the elements and performance criteria for the unit of competency:

CPPREP4003 Access and interpret legislation in real estate

CPPREP4005 Prepare to work with real estate trust accounts

The unit(s) form part of the CPP41419 Certificate IV in Real Estate Practice under the Australian Qualifications Framework.

Performance Criteria and Elements

Every assessment for a Unit of Competency within the Australian Qualifications Framework (AQF) is structured around Performance Criteria and Elements. To access the performance criteria and elements go to www.training.gov.au and search for unit code(s).

Assessment Structure

Part 1 Short Answer Questions

Part 2 Extended Answer Questions

Part 3 Workplace Situation Activities

This assessment is written at AQF Level 4, which means that your answers must show your depth of understanding and your ability to demonstrate the skills and knowledge required to complete tasks in a real or simulated real estate workplace. You should pay attention to spelling, grammar and punctuation and write in full sentences and use appropriate language.

Finding information to answer your assessment questions

To answer questions, you will need to refer to your Learner Guide, the Assessment Activity Workbook and conduct research on various websites including but not limited to:

NSW Fair Trading

Australian Legal Institute

Federal Register of Legislation

Real Estate Institute of NSW

NSW Civil and Administrative Tribunal

Tenants NSW

Whilst conducting research, it is important that you ensure that the websites accessed are relevant to this state and not from other states of Australia or overseas. You must reference all sources of information.

Learners with Difficulties

REINSW recognises the individual needs of each learner and will provide reasonable adjust when required. If you are experiencing difficulties, please call (02) 9264 2343 and ask for assessment help.

Submission of Assessment

All assessment documents must be submitted via the learning portal. Ensure that you submit all required documents as your assessment will not be marked if it is not complete. In this instance you will receive an email saying that your assessment attempt was not successful, and you will be required to resubmit the missing documents.

Assessment Results

The assessment result will be either Competent or Not Yet Competent, there is no pass or fail in competency based assessment.

Your assessment results will be available within 14 - 28 days after submission.

If your assessment is found to be not yet competent, you will be provided with clear feedback on what additional information is required via the Assessment Marking Feedback document and within the assessment itself.

You will be given a further 14 days to resubmit your assessment.

If you require clarification on the requirements of your resubmission, please call (02) 9264 2343 and ask for assessment help or email training@reinsw.com.au

Part 1 Short Answer Questions

For this section, you will need to provide answers that directly address the question, you may answer in point form. Ensure that you answer all parts of the question.

To complete this section, type your answer where you see the I insertion symbol. You have limited formatting options.

Question 1

What assistance or guidance material could you access to help read and interpret legislation?

What common mistakes are made when reading parts of legislation?

What consequences could there be for misinterpreting legislation?

Answer

1 The guide only to provide general information, and to assist in the interpretation of legislation.2 Ambiguous words, broad phrases.3 An offence under this legislation can attract up a penalty.

Question 2.1

Explain the role that the regulator has in administering the legislation. Include how they enforce compliance and any penalties that may apply for breaches.

Answer

2 The role is to ensure individual and industry comply with legislation requirements, and to response to instances of non compliance. Penalty 110000 for individuates

220000 for corporation.

Question 2.2

Research state legislation that is applicable to real estate for property sales, property management, licensing and agents conduct. Complete the table

Answer

Details Property Sales Property Management Licensing

Name Property and stock Agents Act 2002Residential tenancies Act 2010Property and Stock Agents Act 2002Commencement By proclamation By proclamationBy ProclamationVersion Act 66 2002No 42 2010Act 66 2002Part Part 4 agency agreements Part 2 residential tenancy agreementsPart 2 Licence and certificates of registrationDivision Division 1 requirements for agency agreementsDivision 2 terms of residential tenancy agreementsDivision 1 Requirement for licence or certificateClause 57 agency agreements must disclose rebates, discounts and commissions 19 prohibited terms 8 Agents required to be licensedSchedule Not applicableNot applicableNo applicableOther information eg: penalty units Maximum penalty 100 point individual

200 point corporation Maximum penalty 20 penalty units 100 penalty pints

Question 3

Research and list Commonwealth or State legislation that relates to:

Privacy

Fair trading and consumer protection

Anti-discrimination and equal opportunity

Work Health and Safety

Environment and sustainability

Employment and industrial relations

Planning and zoning

Foreign investment

Secret commissions

Trust accounting

Answer

1 Privacy Act 1988: https://www.legislation.gov.au/details/c2022c00135

2 Australian consumer law: https://consumer.gov.au/australian-consumer-law/legislation

3 Disability discrimination Act 1992: http://www.legislation.gov.au/details/c2022c0087

4 Work health and safety Act 2001 nu 10: https://legislation.nsw.gov.au/view/html/inforce/current/act2011-2010

5 Environmental planning and assessment Act 1971 nu 203:http://legislation.nsw.gov.au/view/html/enforce/current/act 1979-203#fmt-lt

6 Fair work ombudsman: https:www.fairwork.gov.au or industrial relation(commonwealth power) Act 2009 nu 115: https://legislation.nsw.gov.au/view htmlinforce/current/act-2009-115

7 NSW government department of planing and environment: https://www.planning.nsw.gov.au/policy-and-legislation 8 Foreign investment review board: https://firb.gov.au/general-guidance/legislation

9 Section 57 of the property and stock agents Act 2002: https://lrgislation.nsw.gov.au/view/html/inforce/current/act-2002-066#sec.57

10 Part 7 trust account in the property and stock agents Act 2002: https://legislation.nsw.gov.au/view/html/inforce/current/act-2002-066#pt.7

Question 4

Explain the basic principles for reading legislation.

Explain the difference between a Rule of Conduct contained in legislation and a Code of Practice.

Answer

1 Legislation should be construed an the basic , that it is intended to give effect to harmonicas goal, and to operate coherent 2 The rule of conduct form part of legislation( eg shedule 1 of the proprety stock and business agent regulation and the code of practice is the best practice recommendation produce by real estate industry body.

Question 5

As an assistant agent explain your responsibility for understanding and adhering to legislation.

Explain techniques used to access current versions of the legislation and the importance of keeping up to date with legislation and ensuring the legislation you are accessing is current/point in time legislation?

What techniques would you use to track changes and amendments to legislation?

Answer

1 An assistant real estate agent acting to the extend permitted under the act and the regulation, for a buyer or prospective buyer or land. Follow the rules of the business. 2 Legislation ensure that the public is protected again unfair practice and unscrupulous dealing. 3 Keep following the governement website for any change like fair trading website, or ACCC

Question 6

Name 3 levels of government and how laws are made.

Give a definition for 2 of the following:

Common law

Contract law

Statute law

Equity law

Answer

1 Federal government, state and territory government, local government.Law made by parliament.

2 Common law is inherited law that isnt written down as legislation but recorded as case law.Statute law is : start out as a bill or proposal, voted by majority in the parliament by yes then the bill became law (Act of parliament ).

Question 7

Research and give an overview of government and industry bodies that provide advice to agents on legislation and legislative changes.

What steps would you take if you were aware that an ethical or legislative breach has occurred in the workplace.

Answer

1 Government of commonwealth, state of australia, constitution of the commonwealth of australia, NSW fair trading , ACCC, ASIC2 Cheque the fact first,

Steps is first speak with your boss, call fair trading 3

Question 8

Explain the purpose of the trust account

What are the regulatory requirements for:

Opening a trust account

Maintaining a trust account

Closing a real estate trust account.

What requirements are there for keeping a computerised trust account system.

How would an agency ensure the security and confidentiality of the trust account records?

Answer

1 Trust money is other peoples money, all money received or held by a real estate or any member of an estate agent staff, on behalf of any person selling or buying.

2 3 Keep statement up to date for buyer and lessee for any money transaction (in and out).date and name very clear and year.4 Ensure an agency agreement for each client, use only IFT and cheque. Keep record up to date. Statement .

2- under the property and stock agent regulation 2014 a licensee when opening a trust account must notified NSW fair trading and get unique identify number

to maintaining a trust account by keeping trust account receipt, cheque requisitions, record of authorities to withdraw by EFT.

To close a real estate trust account by, a licensee must within 14 days after closing trust account, notify NSW fair trading by online through service nsw or fill up green form and send it to nsw fair trading

Question 9

Research and list the legislative requirements for trust account:

Research the Property and Stock Agents Regulations 2014 and complete the table below.

Part Section

Receipts 423

Banking 418Payments 424Cashbook 426Ledgers 428Reconciliations 429

Answer licensees need to notify the authority deposit taking institution in writing that the account is trust account

if the trust account held by corporation must be in the name of the corporation.

Question 10

Legislation requires the trust account to be reconciled at the end of each month. Explain how this is done?

What would happen if the reconciliation did not balance? How would we locate the inaccuracies?

Explain the requirements for auditing the trust account.

Answer

1 A law practice that maintain one or more general trust account must reconcile the trust records for each account. and can be done last day of each month. Must be completed within 21 days following the end of the month for the previous month.2 The trust account reconciliation is the act of making our bank statement compatible with our trust accounting software or manual records.

The trust account must auditing random not only the end of financial year. 3 The licensee must notify the secretary(fair trading), in writing within 5 days of become aware that the trust account is overdrawn : name and number of the account, the amount overdrawn, and the reason for the overdrawn. And to keep transparency, and clear.

Question 11

Explain the responsibilities and limitations of the following roles in relation to the trust account:

Your role

Which staff members are able to make entries into the trust account?

Who can authorise the payment of money out of the trust account?

Answer

1 May required to assist in the operation of the trust account, taking rent from tenants, sale deposit from buyer, or entry of data into the trust accounting system. And for not complying with legislation and policies and procedures of the agency they are penalty and fine.2 The licensee is responsible for every transaction that occurs in the trust account or the authority of the licensee in charge, and should be signed and dated for every activity.3 The licensee 4

Question 12

What are the responsibilities of the licensee or person in effective control if the trust account becomes overdrawn or if they discover some sort of fraud?

How will this impact the agency? What could be the outcome of an investigation into fraudulent activities?

What do you think would be the clients reaction to this information?

Answer

1 The licensee must notify the secretary(fair trading), in writing within 5 days of becoming aware that the trust account is overdrawn. And should give this information: name and number of the account, amount and the reason being overdrawn. And bank also must notify the regulator.

2 Lost of license, jail, bad reputation, fine3 No trust, court, maybe lost of contract,

Part 2 Extended Answer Questions

For this section, you will need to provide answers that are in depth, referenced and supported by additional documentation.

Answers to questions need to be approximately 50 to 100 words, if you consult websites or publications to construct your answer, you MUST reference your source.

Read each question or scenario carefully and ensure that you answer all of the facets of the question.

To complete this section, type your answer where you see the I insertion symbol. You have limited formatting options.

Question 1

You are going to deliver a session to your team to familiarise them on how to read a piece of legislation. The session needs to include the following topics:

Legal framework in Australia and states

Key components of legislation

The structure of legislation

How to access the most recent version of an Act or Regulation

How to access information in the Act and Regulation

What is contained in Schedules

How to find amendments

Tips for reading and interpreting legislation

Use each of the bullet points above as headings and then add a brief summary under each heading that will be your guide for the presentation.

Answer

Legislation consist of law, made by parliament(people vote) and its two kind of legislation Act and subsidiary legislation.1-NSW fair trading, Australian competition and consumer commission (ACCC). Australian security and investment commission (ASIC)

2-how legislation made(as a bill voted and passed and dated by parliament)

3-federal and state, local government.

4-NSW legislation website(find the current act or regulation)

5-NSW Access information law

6-schedules are components of the bill,Act and some instrument

7- to be read as a whole, section to be read in the light of the act, section reading as sequences

Question 2

Access and analyse two pieces of legislation that may be applicable consumer protection in real estate and prepare a report.

The report should include:

Full titles of the legislation

The purpose of the legislation

The current version of the legislation

The role of the regulatory body responsible for the legislation

Two breaches and the penalties for each breach and the value of the penalty points.

Answer

1-property and stock agents regulation 2022: their primary role is to mange consumer laws and to look after the right of consumers. And to regulate national infrastructure service.

For the act, section 216 : each offence created by a provision specified in the schedule is an offence for which a penalty notice may be issued and the amount payable is specified opposite the provision

2-residential tenancies act 2010 nu 42: an act with respect to the right and obligation of landlord and tenants, rent, rental bond, and other matters related to residential tenancy agreement and for other purposes.

Proceeding for an offence under this act or the regulation may be dealt with summarily before the court and fine applied under section 105H,120(1)

Question 3

You have been given the responsibility for ensuring that your team is up to date with all legislation that affects their day to day practice as a real estate agent.

Develop a list of tasks to achieve this responsibility.

The task list should include techniques to access the most current/point-in-time legislation and track changes and amendments.

As an introduction to your task you will need to give an overview of the importance of agents taking responsibility for their own knowledge and understanding of legislation.

Answer :

Real estate Agents need to demonstrate their competency before are issued a licence or certificate, they should remain professional and up to date with regulation and law. They are 22 rule of conduct to follow by how work under this agency of real estate. The regulation : property and stock agents regulation 2022. agents and assistant agents may have to comply with other laws. Example strata managing agents also have obligation under the strata schemes management act 2015.

Question 4

Review Case Study 1

Yesterday you overheard one of your salespeople talking on the phone. They were discussing a property that has recently been listed by the agency. The salesperson was saying that they were not going tell the vendor about their personal relationship with the landscaper. From the way the conversation was progressing it appeared that the other person was reluctant to believe what they were saying.

The salesperson very firmly stated that there is nothing in the legislation that requires them to disclose that they are related. Afterall it is only a small landscaping job, costing less than $5000 and the vendor is keen to get the property ready to show.

They salesperson concluded the conversation by saying that they would send an email to the vendor, that should be enough.

Use this Case Study to write a brief report that outlines the mistakes the agent made in reading and interpreting the legislation. Ensure you refer to the key principles for reading and interpreting legislation.

Answer

Any job small or big on any property need to get at least 3 quotes, to save yourself from any breach of rule of conduct or breaking any legislation or law, so to protect yourself need to be very clear, and transparency. Property and stock agent act 2002 nu 66 can be follow to understanding the rule. And avoid penalty. Anyway, up to vendor to go with any repair he chose at the end. But to protect your self follow the legislation and law.

Question 5

Case Study 2

Bryan has recently been employed in a sales role at REAL Property Professionals but has not yet received his certification. You are aware that there are limited duties that he can do until he receives his certification, however your supervisor has insisted that he go to a listing presentation and sign up a prospective vendor.

As Bryan is new at the agency, he doesnt want to upset your supervisor and goes to the listing presentation.

You are sure that this is not something that he should be doing and have mentioned this to the supervisor. The supervisor has told you not to worry as Bryan has a partially completed agreement that has already been signed by the supervisor and all he must do is get the vendors signature; all the other details can be added later.

Use Case Study 2. You are very worried about the possible impacts of their behaviour but are unsure whether Bryan is acting legally.

What investigations would you undertake and who could you consult prior to taking any action?

Explain what notes you would make and where you would record them.

How will the agents behaviour impact on the agent, other agents and the agency?

Answer

Its simple NO CERTIFICATE MEAN NO SIGNING ANY CONTRACT. EVEN IF YOUR SUPERVISOR SAID SO. Discussion the mater with another partner, call fair trading for any legal advise, penalty apply, loose of registration, its illegible bad reputation for the agency.

Question 6

Your manager has asked you to induct a new employee. As part of the induction you will need to explain their responsibilities in relation to the trust account. As you have not done this before you decide to prepare a guide to use.

You will need to explain the following topics:

The purpose of the real estate trust account including applicable legislation.

Legislative requirements for operating both a manual and electronic trust accounting system.

Different types of trust accounts and functions of the software packages

Requirements for the integrity and security of the trust account eg: passwords and backups, authority

The role and responsibilities of personnel of the agency in the operation of the trust account.

Use each of the bullet points above as headings and then add a brief description under each heading that will help you with your explanation.

Answer

1-Trust money its people money in course of an real estate agents business and should be a agency agreement for each client. Property and stock agent regulation 2014 part 4 trust account. This legislation to protect trust account.

2-for operating trust accounting system, must accordance with rules and regulation. The licensee in charge or working in a corporation required to authorise all payment from the trust account, or nominate by writing and dated and signed.

3-under the requirements of the act and regulation a real estate agency MUST operate at least two type of trust account: property management and property sale.

4- A full set of records must be maintained so all transaction can be easily traced from open to close. The record must kept in manner complies with requirement of the act and regulation. And their other legislation obligation about keeping general record (taxation and corporation law).

5-operation of the trust account must be maintained, the licensee is responsible for every transaction that occurs in the trust account under the act state, or by give authority for other by writing signed and dated.

Role is to assist in the operation of the trust account by taking rent from tenants, sale deposit from buyers (very limited) as an assistant agent. And if not complying with legislation and policies penalties apply.

Transaction of money can be done by cheque or EFT. For transparency, and always on the next business day.

Question 7

Part 1

Access the Annexure and review each of the documents. Explain the transaction that took place that resulted in the documents below. Who can complete each of the above transactions?

Receipt

Banking

Cashbook

Ledger

Cheque

Answer

1 Receipt

receiving on the 2 may 200x from paul bell the sum of 450 dollars(1 week rent), for the property (j brown ,address )

2 Banking

on 3 May a cheque of 570 dollars been paid to A thomas from bbc bank (wedgement). On behalf of the trust account excellent property .

3 Trust Cashbook

paul bell pay 450 dollars (1 week rent to jason brown)cash. Date 2

Andy short pay 350 dollars (1 week rent to jason brown)cash date 2

peter edgar pay 1000 dollars( 2 weeks rent to steve smith)cash date 3

alison sommers pay 1200 dollars (2 weeks rent to steve smith )cheque date 4

alfred thomas pay 570 dollars (1 weeks rent to grant roberts)cheque date 3

4 Trust Ledger

on 3 May steve smith receive from p edger 2 week rent amount 1000 dollars

on 4 May steve smith receive from A sommers 2 week rent amount 1200 dollars

5 Trust Cheque

cheque paid to Property plus on the 15 May 20xx expense (advertising of the property amount 600 dollars, (R hamilton ,LPS. )

Question 7

Part 2

When you review the following documents, you will find that there are some mistakes in them. The mistakes could be missing information, incorrect addition or subtraction or non compliance to the regulations.

1. Explain the mistakes that have been made in the following transactions:

Receipt

Cashbook

Ledger

Cheque

2. What needs to be done to address these discrepancies?

Answer

1 Trust Receipt

mistakes: year, dollars , 1 week or 2 week , area, period from 22 May to 29 May, methode cach or cheque.

2 Trust Cheque

the sum of nine hundred and fifty dollars

3 Trust Cashbook

49650651733550

total balance:88010

4 Trust Ledger

balance total zero

to address discrepancies , auditing and double review.

Question 8

At the end of each month the trust account must be balanced and reconciled, in accordance with Section 26 and 29 of the Property and Stock Agents Regulation 2014.

Review the regulations and give a summary of what is required.

Access Schedule 1 of the Regulations and explain what is required for a residential property management trust account.

Answer

1-A licensee who receives trust money must pay it into the licensee trust account at next business day or soon as possible, maximum penalty 40 unit for corporation and 20 unit for individual . Need to get a unique identifying number from the fair trading.

Keeping record at all time, for any trust account and safe access .

A licensee must within 21 days after the end of each month compile with the records of each balance and prepare statement for each month.

2-schedule 1 of the regulation for residential property management trust account, as an agent must have a knowledge and understanding of the act and regulation, and other law related, of the category of license of certificate of registration (fair trading, consumer protection and descrimination, and privacy).

So as an agent must comply with fiduciary obligation, honesty, skills, care

to act in clients best interest , authority and instruction and confidential.

Question 9

Research the regulators requirements for auditing real estate trust accounts.

Give an overview of why trust accounts should have both internal and external audits.

Answer

The purpose of auditing a trust account is to make sure that trust money been properly kept and up to date, and for compliant with legislation. Anyway Failure to comply can result fine and lose of license.

Question 10

Review Case Study 3

REAL Property Professionals has a policy that all rents should be paid by cheque or electronic funds transfer, but occasionally they will accept cash from tenants. The senior property manager is always contacted when a tenant pays in cash to confirm the amount and put it in the safe until it is banked.

The receptionist is responsible for receipting rents that are paid in the office and to do the daily banking. On two occasions she has been given cash but has not followed the correct process and has taken the money without issuing a receipt and put the money in her desk drawer.

Several weeks later she sees the money in her drawer and as she cannot remember which tenants it belongs to; she takes the money and puts it in her wallet.

Explain the impact of case study 3 to the agency.

What could have been done to prevent this from happening?

Answer

When receiving money specially in cash make sure writ a receipt for who belong and for what purpose (rent, deposit ). named, and dated, and the sum of the money. The impact of the steeling money it very serious, dishonest, bad reputation, loosing clients, some cases, loosing of licences and heavy fine and penalty.

Part 3 Workplace Activities

For this section, you are required to read the scenario and complete the required documents. There are templates provided. If you are required to develop your own document, it should be presented in a professional manner and saved as a PDF before uploading to the portal.

There is a checklist with each question to ensure that you complete all the required documentation.

To complete this section, type your answer where you see the I insertion symbol. You have limited formatting options.

Question 1

Go to NSW Fair Trading website and find the recent property reforms page. Find legislation, you will see a number of reforms to legislation. Click on the hyperlink to find the url.

Enter the information into the table below

Document Register

Legislation Version URL Changes Date

This act is the property, stock and business agents amendment (property industry reform)Act 20185http://legislation.nsw.gov.au/view/whole/html/inforce/current/act-2018-005 Assented to 21march 2018This act is fair trading legislation amendment (reforrn)Act 201865http://legislation.nsw.gov.au/view/whole/html/inforce/current/act-2018-065Schedule 1 amendments relating to disclosure of information and prescribing information standards Current version for 27 october 2020 to date accessed 14 feb 2022 at 14:13Better regulation legislation Amendment Act 201923http://legislation.nsw.gov.au/view/html/inforce/current/act-2019-023Amend various acts and regulation administerded by the minister for better regulation and innovation and other related mattersAssented to 26 nov 14:13Property, stock and agents Amendment regulation 2019627Http://legislation.nsw.gov.au/pdf/asmade/sl-2019-627 Amend the property, stock and business agents regulation 2014 as follow-point f including licencing and code of condauct detail.The regulation commence on 23 march 2020 and is required to be published on the nsw legislation website Property and stock agents(qualification)order 2019628http://legislation.nsw.gov.au/view/pdf/asmade/sl-2019-628The objects of this order are 1- to repeal the property, stock and business agents(qualification) order 2009 and the property stock and business agents(auctioneers qualifications) order 2009, and 2- to update Dated thi 6th day of december 2019

Question 2

Refer to your answer in Extended Answer 5.

Develop a flowchart to show the process for addressing breaches in legislation for personal and agency practice. You will need to create your own document and upload to the portal.

Include organisations that could be accessed for advice.

Document uploaded Y for Yes

Flowchart. Under the property and stock agent act 2002 and the property and stock agent regulation 2022, the secretary(fair trading), can take disciplinary action against licensee and certificate holder. Fine penalty, loose of certificate, suspension of licence ,

NSW fair trading is a governement can give advise on any matter relateded to the business.

Question 3

Using your notes from Extended Answer 6 and Extended Answer 8 create a word document that could be used for new team members to help them understand the trust account process.

Induction Document

Understanding the trust account process by easy and simple, by complying under the property and stock agent act 2002 and obey the law. Licensee in charge to authorise trust account withdraw from trust account or nominate a person by signing and dated a letter for the person

Question 4

Review the end of month documents below.

Explain what these documents are showing.

Answer

This trust cashbook show us day by day and date for every transaction made in this month, so will explain all this money came from. Or to who.Rent , expenses, management fee.

Will show us too how we got this money by EFT or cheque or cash.

290512519050Trust Cashbook

Trust Cashbook

-132715332105End of Month documents

0635Trial Balance

Trial Balance

438086515875Ledger

Ledger

-3263901492254166235223520

-175260176530Statement of Account

Statement of Account

-151130273685

-38023802038350

-47625177800

952592075Professional Practice Assessment

Professional Practice Assessment

-10687055445125Real Estate Institute of New South Wales 30-32 Wentworth Ave Sydney 2000

Phone (02) 9264 2343 Email training@reinsw.com.au Web www.reinsw.com.au

Real Estate Institute of New South Wales 30-32 Wentworth Ave Sydney 2000

Phone (02) 9264 2343 Email training@reinsw.com.au Web www.reinsw.com.au

95251054735CPPREP4001 Prepare for professional practice in real estate

CPPREP4002 Access and interpret ethical practice in real estate

CPPREP4004 Establish marketing and communication profiles in real estate

CPPREP4001 Prepare for professional practice in real estate

CPPREP4002 Access and interpret ethical practice in real estate

CPPREP4004 Establish marketing and communication profiles in real estate

Learner Declaration

Complete ALL sections including your legal name and contact details. Your assessment will not be marked if this page is not complete. Indicate with Y for Yes or N for No

I submit this assessment and certify that:

All work submitted has been completed by me yNo part has been completed or copied from any other person yI have referenced and/or acknowledged all necessary authors yI have kept a copy of my assessments yWhere necessary, I have attached supporting documents which are clearly identified in line with the specific question yWhere required, I have completed any agreements, forms and documents required for this assessment. I understand that partial completion will not be accepted yI understand that federal and state agencies have the right to access any of my assessment materials for auditing and monitoring purposes yI consent that REINSW may use my de-identified assessment for internal moderation and validation purposes yI understand that if a third party requests my results that REINSW will only do so with my written permission yLearner Legal Name (print) Dany semaanUnique Student Identifier 2EP9GCPWU2Contact Number 410485234Learner Signature dsDate 13/02/23My study method Day yEvening (Choose one of the following) eLearning Weekend

Assessment Information

Assessment for this unit covers the elements and performance criteria for the unit of competency:

CPPREP4001 Prepare for professional practice in real estate

CPPREP4002 Access and interpret ethical practice in real estate

The unit(s) form part of the CPP41419 Certificate IV in Real Estate Practice under the Australian Qualification Framework.

Performance Criteria and Elements

Every assessment for a Unit of Competency within the Australian Quality Framework (AQF) is structured around Performance Criteria and Elements. To access the performance criteria and elements go to www.training.gov.au and search for unit code(s).

Assessment Structure

Part 1 Short Answer Questions

Part 2 Extended Answer Questions

Part 3 Workplace Situation Activities

This assessment is written at AQF Level 4, which means that your answers must show your depth of understanding and your ability to demonstrate the skills and knowledge required to complete tasks in a real or simulated real estate workplace. You should pay attention to spelling, grammar and punctuation and write in full sentences and use appropriate language.

Finding information to answer your assessment questions

To answer questions, you will need to refer to your Learner Guide, the Assessment Activity Workbook and conduct research on various websites including but not limited to:

NSW Fair Trading

Australian Legal Institute

Federal Register of Legislation

Real Estate Institute of NSW

NSW Civil and Administrative Tribunal

Tenants NSW

Whilst conducting research, it is important that you ensure that the websites accessed are relevant to this state and not from other states of Australia or overseas. You must reference all sources of information.

Learners with Difficulties

REINSW recognises the individual needs of each learner and will provide reasonable adjustment when required. If you are experiencing difficulties, please call (02) 9264 2343 and ask for assessment help.

Submission of Assessment

All assessment documents must be submitted via the learning portal. Ensure that you submit all required documents as your assessment will not be marked if it is not complete. In this instance you will receive an email saying that your assessment attempt was not successful, and you will be required to resubmit the missing documents.

Assessment Results

The assessment result will be either Competent or Not Yet Competent, there is no pass or fail in competency based assessment.

Your assessment results will be available within 14 - 28 days after submission.

If your assessment is found to be not yet competent, you will be provided with clear feedback on what additional information is required via the Assessment Marking Feedback document and within the assessment itself.

You will be given a further 14 days to resubmit your assessment.

If you require clarification on the requirements of your resubmission, please call (02) 9264 2343 and ask for assessment help or email training@reinsw.com.au.

Part 1 Short Answer Questions

For this section, you will need to provide answers that directly address the question, you may answer in point form. Ensure that you answer all parts of the question.

To complete this section, type your answer where you see the I insertion symbol. You have limited formatting options.

Question 1

Choose one from list A and one from list B, explain the features and benefits of each structure.

A: Form of ownership B: Organisational structure

Sole trader Independent operator

Partnership Franchise

Corporation Marketing group or other

A: Key personnel B: Service Provided

Property Manager Residential property

Sales Person Stock and Station

Licensee in charge or person in effective control Commercial, industrial, retail property

Corporate support Buyers Agent or Business Broker

Choose one from list A and one from list B, explain the role and responsibility of the person and the services offered.

Answer

1 A-sole trader: is a simple structure where individual carries on the business, and will protect the business by register the business name and obtain ABN number for gst purpose

B-independent operator : operate totally independently and has no permanent formal ties with other agent

2 A: property manager: is responsible to the real estate agent and the owners for the effective management and control of properties managed by the agency( collect and monitoring rental payment, arranging and supervising necessary repair).

B-residential property: is considering to be a single parcel of land on which a place of residence is constructed or being constructed, or vacant land in residential area.

Question 2

In real estate the principal/ agency relationship is unique to real estate. Explain the term principal and the basis of the relationship that the agent/agency has with the principal.

Explain the relationship between the agency with the following:

Vendors/sellers

Purchasers/buyers

Landlords/ lessee

Tenant/ lessor

Third parties to the transaction (other agents, solicitors etc)

Answer

1 Principal is the client.the relationship between the principal and the agency should always be respectful, lot of care, in good faith. And build on trust.

follow the clients lawful instructions, keep everything recorded (trust account), keep the principal informed of all relevant information.

2 -The common law duties that the agent owes the seller, landlord. To perform all obligation of the contract, act in client best interests, follow the client instructions, account for money, comply with statutory obligations.-the duties toward buyer, tenant: the agent legal and ethical responsibility to act fairly and professional in the conduct of real estate agency practice, honestly, and fairly.

-relationship between agency and other parties like solicitor or other agents have not any legal relationship other then respect and treated fairly

Question 3

Explain the requirements to work in real estate, include education, eligibility and legislative requirements.

Identify the regulator for real estate activities and explain their role.

Choose a real estate industry body and explain what they do for members and the public.

Access the industry bodys code of conduct or ethical practice guidelines and summarise the key points.

Answer

1 To work in real estate must start as a assistant agent(cpp41419 ) 5 core unit and and register with fair trading to obtain certificate of registration. Class 2 real estate agent must complete 12 months experience.(cpp41419)

Class 1 licensee in charge (cpp5119)must have 2 years experience.

2 Nsw fair trading, their primary role is to mange consumer laws and to look after the right of consumer and to achieve fairness for all in the marketplace and to know their right and responsibility. 3 Real estate Association of NSW (REA) registered and act as a union for real estate employees and negotiates pay rates, terms and conditions on their behalf. 4 A range of ethical and conduct standards apply to all real estate practitioners and their operations. Client and customers are also protected by consumer protection principals. So ethics refer to the principal that guide how a person behaves. With respect, responsibility, care, trustworthiness, fairly, and citizenship.

Question 4

Research ethical practice and ethical behaviour.

Develop your own definition of ethical practice and behaviour and explain how you could work ethically as a real estate agent.

Answer

1 Ethical standards are important part of the real estate industry, and they role to protect seller, landlord, buyer, tenant. The legal protection is common law, the Australian consumer law and the property and stock agents act 2022. act honest, fairly and follow the law and legislation. And act with responsibility and care.

Question 5

Research equal employment opportunity and anti-discrimination.

Explain how the principles and laws relate to real estate activities.

Answer

1 Equal employment opportunity and anti discrimination are related on every day activity within the real estate business to protect both parties, such employment whats your right and responsibility or signing a contract what to do or not to do, by avoiding discrimination base on gender, sex, disability, homosexuality.So I give a example for discrimination; rental property for a person with wheelchair ground floor its against the rule.

Question 6

Choose 3 of the following areas of legislation and government. Identify and provide a short summary of the roles and responsibilities of the government agencies.

Privacy

Work health and safety

Environment sustainability

Employment and industrial relations

Fair trading and consumer protection

Foreign investment

Secret commissions

Discrimination

Answer

1 Privacy act1988, protect your privacy right in nsw by making sure that your personal information is properly collected, stored used or released by nsw public sector agencies via the information protection principal.2 Work health and safety act 2011 is protecting workers and other person against harm to their health, safety and welfare in the workplace. 3 Anti Discrimination act 1977. treated unfairly, less favourable 4 5 6 7

Question 7

Give an overview of the National Employment Standards that apply to all employers and employees.

Find the appropriate award for working in real estate and for each category, list requirements and minimum weekly pay rates. Summarise requirements for payment of commission, bonuses or incentives and commission only employment.

Answer

1 The national employment standers are the minimum standards of employment which cover the following: maximum weekly hours of work 38h/w, plus reasonable additional hours. With flexible working arrangement.2 Full time and part time (adult)

real estate employee level1(associate level)first 12 month.$ 849.60 weekly pay rate . ($22.36 hours). First 2 hours $33.54 .after 2 hours $44.72.

public holiday $44.72/h. Casual $27.95/h. $55.90 Public/H

real estate employee level1 (associate level)after 12 month.$894.60/w.($23.54)/h. First 2 h$35.31. After 2 hours $47.08. public holiday $47.08/h. Casual $29.43. $58.86/h. Public/H

real estate employee level2 (representative level)$940.90/w. $24.76/h

first 2 hours 37.14. after 2 hours $49.52. public holiday 49.52.

casual $30.95/h. $61.90 Public/H

real estate employee level3(supervision level) $1035/w. $27.24/h. First 2 hours$ 40.86/h . after 2 hours 54.48/h. Public holiday 54.48/h.

Casual $34.05/h. $ 68.10 public/H

real estate employee(in charge level) $1082.20 .$28.48/h. First 2 hours 42.72/h . after 2 hours 56.96/h . public holiday$56.96.

Casual$ 35.60/h. $71.20 Public/H.

Commission base on sale about 2%. plus bonuses for employee like car, phone.

Question 8

Explain the regulatory requirements of Continuing Professional Development (CPD). Include in your answer the evidence to be kept, timeframes and any additional requirements for different categories of licence.

Explain the consequences of not complying with CPD requirements.

Answer

1 Continuing professional development or continuing professional education is the means by which people maintain their knowledge and skills related to their professional lives. And to help your employees sharpen their skills and fill more fulfilled at work. 2 The consequences of not complying with CPD requirement are poor knowledge on whats going on within the industry, legislation, news, data.So need to keep up to date with your study and skills.

Question 9

Give an overview of the importance of three of the following attributes in agency practice and how they would be used to build relationships with clients, customers and external agencies or address complaints:

Trust and mutual respect

Open and timely communication

Prompt follow up and feedback

Sensitivity to diversity and needs

Empathy and understanding

Answer

1 an agent has a legally fiduciary relationship with their client. Good faith, confident, and care, trust.

Keep document and contract safe and follow the instruction of the client, communication very important as to follow up about any situation came up

follow the legislation and law. Any damage will effect the business. Keep clear .

Question 10

Read the case study Jennifer Reilly.

Jenifer has just listed a magnificent property for rent and is thrilled that she was able to convince the landlord to pay 7.7% management fees and an administration fee of $25 per month. It was an easy task as the landlord does not speak English well and cannot read or write in English. The landlord did not question the rate after Jennifer explained that this is the standard rate for the agency. While they may occasionally get this rate, most of the time it is 5.5% and $10 per month administration fee.

Jennifer also convinced the landlord that the property needed new guttering before they could allow tenants to move into the property. Jennifers brother has a roofing company and she has given him the landlords personal details without the landlords consent.

As Jennifer knows that the landlord has financial difficulties and needs to have the property rented as quickly as possible, she has given the landlord a rental estimation that is well below the current market rate.

Identify the risks to the agent, the agency and consumer and make comments on the impact to all parties from the fraudulent activities.

Answer

1 To avoid any fraudulent activities, first in this case to do is:

- landlord giving the agent the trust, but he have the right to get a translator to read the contract and understand whats in this contract.

Rate jump from 5.5% to 7.7% and admin fee from 10 to 25 a month. And if he agree with fee.

Fixing the gutter at least getting 3 quotes to keep transparency, and up to him to get whatever suit him. The cheap quote is more likely. Financial difficult.

The agency will get bad name, cause always the agent should behave on the best client benefit.

Question 11

Ethics and law differ in that ethics are social guidelines based on moral principles and values, whilst laws are rules and regulations that have specific penalties and consequences when breached.

Ethics do not have punishments, fines or associated penalties when people fail to abide by them.

Locate the REIA National Principles of Conduct (these are the fundamental principles of conduct for REI members). Based on the above explanation of how ethics differ from law:

List one (1) of the REI Principles of Conduct that relates to law (state which Act etc)

List one (1) of the REI Principles of Conduct that is ethical behaviour but not law

Answer

1 Agent to act in the best interest of their client and in accordance with their instruction. the property and stock agent act 20022 To act fairly and honestly with dealing with all parties.

Question 12

In your own words describe ethical marketing and communication.

How does being ethical enhance relationships with your clients?

What key concepts could be included in your ethical personal profile?

Answer

1 As an agent the ability to build trust and credibility to maintaining relationship, 2 Certainly, meeting a customer face to face, over a lunch or casual meeting, through social skills. Show client they are appreciated with provide high customer service, greeting them warmly. Engaging with the community.3 Be honest, fairness, caring, respectful, and trustworthy. And lot of communication with other.

Question 13

What does a vendor or landlord expect from their real estate agent? Would a buyer or tenant have different expectations?

Explain what the general community expects from real estate services.

What role does marketing and communication play in community expectations?

Answer

1 Vendor or landlord expectation from real estate agent is to get the high price of their property (sale or rent). Buyer and tenant expectation is find the best property with best price.

2 Real estate agent have personal relationship with their area and surrounding communities. You must know whats happening in your area, were to shop, local school, eatery. Connection we can say.3 Exchanging of information or news and specifically, mean creating connection between people and places. Plus to ensure that the community needs are being met.

Question 14

When developing your own personal profile what key areas will you highlight to attract clients?

How will you align your personal practice to the expectations of your clients and customers?

How would you resolve any outstanding matters or complaints?

Answer

1 Meeting a customer face to face listen to them, social skills, focus on what the client needs, show customer they are appreciated by providing excellent customer service. Build trust, high level of education and skills.2 Be friendly and honest, and respectful. Provide good product and service.3 In order to maintain the relationship between client and the agency, any matter or issues or complain should be resolved as quickly as possible in way benefit for both. Remain calm and quite, apologise, remain positive and polite. Listen to the customer, and offer solutions and options.Whether or not you agree with the customer. Must always accept that they are making a complain and let them know that you are taking them seriously.

Question 15

List three property features that an agency or franchise would use to market a property to attract clients. Eg: renovated kitchen

List three differences in marketing approach for properties for sale and rent.

How does the agency align the marketing activities to the type of property and the market?

Why does the agency use their property marketing to promote their brand image?

Answer

1 Renovated bathroom, new painting, renovated kitchen with open plan.

2 Price, location, convenience. 3 Promotion relate to communication information about the property and the location, and sound knowledge of the market. Share feedback and communication.4 To attract client, and more business.

Question 16

Identify two risks to an agency from poor marketing and communication practices?

What legal or ethical ramifications may arise from false or misleading statements?

Answer

1 Lack of resources, not tracking result, will direct us of Loose business, bad reputation. 2 Is guilty of an offence against the legislation, and can be costly, bad reputation to the agency, and could be fines apply.

Question 17

Explain the following marketing and communication techniques (keep in mind ethical practice considerations):

People profile

Environmental profile

Target market analysis

Competitor analysis

Answer

1 Background resource, your biography, what can do for you. Polite honest.

2 Close to shop, beach, pool, doctor and medical centre. Stage of life, direct people how close this property to everything. 3 Group of customers interested, they convince to make a purchase 4 Business offering a substitute or similar product or service. Lead to loos of business, new competition.

Part 2 Extended Answer Questions

For this section, you will need to provide answers that are in depth, referenced and supported by additional documentation.

Answers to questions need to be approximately 50 to 100 words, if you consult websites or publications to construct your answer, you MUST reference your source.

Read each question or scenario carefully and ensure that you answer all of the facets of the question.

To complete this section, type your answer where you see the I insertion symbol. You have limited formatting options.

Question 1

Review the information about the sample agency, organisational chart and related documents. Annexure 1

Prepare a draft report, outlining the business structure of the agency and the services it provides to the public, include the principal/agency relationship

Answer

Property professionals Pty Ltd ( ACN 456359249) acting in corporate structure company (11892).

trading as REAL property professionals (ABN 123456359249).

this company has duties and responsibility, can engage in business activity in real estate as corporate. (Sale, rental)

Licensee in charge is Allan Roberts.

Office manager: Annette Houghton

property management supervisor: Susan Watts

property sales supervisor: Thomas chung

property management associate: Angela Pannini

property management representative: Sun Lee.

Property sales Associate: Jane Burns. Stephan Mantino.

Property sales representative: Max ford.

Marketing executive: Abraham Lourde.

Finance Assistance: Geoffrey Singh.

Receptionist: Alex Cox.

Question 2

Continuing from previous question Extended Answer 1

Your draft report needs to include information about the role and responsibilities of the Licensee in charge and two other roles within the agency. In your answer include:

Role and responsibilities

Licensing limitations

Qualifications, eligibility and licensing requirements

Services provided

Answer

Licensee in charge:

Is a person who is licensed to own, operate or mange a real estate business. To administer the day to day affairs of the office.

Has a duty under the provision of the Act (property and stock agents act 2002)

to monitor the conduct of business in a manner that will ensure all complied with.

Class 1 CPP5119 diploma of property (agency management). Must have 2 years experience and a licensed agent and complete the prescribed experience tasks. All application for licence and certificate made to NSW Fair trading.

The licensee in charge must properly supervise the business of the principal licensee carried on at that place.

Property management supervisor:

Is responsible to the real estate agent and to the owners for effective management and control of properties manged by the agency.

Obtain new rental properties, communication with landlord and tenants, collecting and monitoring rental payment.

Class 1 diploma of property (agency management) .

The procedure associated with remedying breaches of tenancy agreements and the terminations of tenancies.

Regularly inspecting properties and reporting on their condition(photo).

Receptionist: no need for certificate, liaison between clients, customer and agents. By taking appointment, taking money, insuring and sending email.

Question 3

Each agent working in the agency must act ethically and professionally. Research from the regulator the legislative requirements that relate to ethical standards.

Summarise the key points of these guidelines.

Answer

The agency- principal relationship and legislation require the agent professional conduct.

To follow the client lawful instruction.

Act in good faith and care.

Keep and open trust account and secure them.

Keep the client informed on any information or issue. Update .

Relation not to be breached in any way. The agent could be sued. Or fined.

The property and stock agents regulation 2014 control the action of estate agents. Maximum penalty individual $11000, party $22000.

Question 4

You are wanting to find employment at REAL Property Professionals but are not sure what area of real estate you would prefer. Investigate and report on employment opportunities for three of the following categories:

Residential sales and property management

Commercial, industrial and retail sales or management

Auctioneering

Stock and station

Buyers agent

Business broker

Your report should include why you have chosen the area of practice and outline the minimum education and licensing requirements.

Answer

Residential sales and property management, are very important in real estate industry, cause are managing the sale and rental property listed in the agency.

So the real estate sale agent role is marketing activity, offers and negotiation, assisting with exchange of contract and settlement, communication with vendor and buyer.

Property management is responsible to the real estate agent and to the owners to management and control of property manged by the agency.

Collecting and monitoring rental payment, finding and selecting suitable tenants, arranging and supervising necessary repairs.

Anyway management is related straight with customer and clients, should have high level of customer service and be trusted, faithfully, and caring.

Buyers agent must have a real estate licence, and only can work on behalf of a buyer in a sale transaction. Must ensure to comply with provision of property and stock agent act 2002. and the rule of conduct.

Auctioneer activity is to sell or offering of sale or resale any property by way of auction. And only a licensed real estate agent can apply for auctioneer accreditation.

At the end must complete the study and get a license and register with NSW fair trading for any employment you apply for.

Question 5

Continuing from previous question Extended Answer 4

Research courses that may be suitable for you to develop your skills and knowledge for two of your chosen categories of employment.

Explain why you chose them and how they will assist you in your professional development and the attainment of regulatory CPD requirements.

Answer

My focus is to get into management sales or property rental, need to complete

a class 2 real estate agent CPP41419 certificate IV in real estate practice and must include group A residential property sale and group B residential property management and 3 elective unit, must have 12 months experiences as certificate holder and completed task.

And must follow the rules and regulation, and rule of conduct, and be ethical practice, treat people with respect, trust, fairness and care.

This area can be hard to work for as management, but as focusing on customer and clients with high level of customer service, and with good skills and respect can obtain good result and name in the industry.

Question 6

Refer to the case study- Anna Thompson.

Anna Thompson is a new landlord at your agency. She has had her investment property for 10 years and during this time she has had five different agencies handling the management. It is clear to say that her experiences have not been good and as a result, she has little faith in property managers.

Anna Thompson appears to be pedantic and difficult, but when discussing the issues she has faced, you soon realise that she has a right to be feeling apprehensive and nervous about placing her property with another property manager. The issues over the past ten years include:

A lack of communication Anna felt that she was always left in the dark. She always had to initiate telephone contact, as there appeared to be no strategy as to when and how the previous manager made contact.

No follow up when there was an issue with the property, Anna would always have to do the follow up.

Poor problem correction previous property manager had poor conflict resolution skills. When there was a problem, it appeared that it was not dealt with until it reached crisis point.

Lack of information Anna would read about changes to legislation and again it was Anna who had to ring the agency to get clarification. Anna felt that tenants rights were more important than that of the landlord.

Anna just wants to feel that her property manager has her best interests at heart.

Develop an individual communication strategy checklist for each of the following areas:

Nurture and maintain client relationships

Address complaints

Clear representation of consumer rights

Answer

First step in this relationship and to be clear is to obtain a contract. Management agreement. And open a trust account. Plus to follow the regulation and law.

To do is obligation of the contract, act in client(Anna Thompson) best interest, exercise full caring and follow the client instruction.

Keep the client informed of any change about rules and regulation, keep up to date, follow up if any repair needed for the property by calling and show the client caring and respect. Keep communication always on high level, by email or phone call. Give customer full attention.

If any complain must be dealing with a positive manner and use feedback to make improvement to the business. Always listen to customer be fair and polite. Apologise to customer, and offer solutions and options.

Document complain and register.

If a complain breach the legislation, is to be deal with NSW fair trading, other regulators and government agencies, police, and (ICAC).

Question 7

Review the Case - Jennifer Reilly.

Jenifer has just listed a magnificent property for rent and is thrilled that she was able to convince the landlord to pay 7.7% management fees and an administration fee of $25 per month. It was an easy task as the landlord does not speak English well and cannot read or write in English. The landlord did not question the rate after Jennifer explained that this is the standard rate for the agency. While they may occasionally get this rate, most of the time it is 5.5% and $10 per month administration fee.

Jennifer also convinced the landlord that the property needed new guttering before they could allow tenants to move into the property. Jennifers brother has a roofing company and she has given him the landlords personal details without the landlords consent.

As Jennifer knows that the landlord has financial difficulties and needs to have the property rented as quickly as possible, she has given the landlord a rental estimation that is well below the current market rate.

1. Summarise the risks to:

The consumer

The Agency

The Industry

The Agent (personal)

2. what impact would this fraudulent activity have on the consumer and the agency?

Answer

The consumer: its is unlawful for real estate agent to lead you to wrong conclusion or impression, give you false impression, leave or hide important information, make false or inaccurate claim.

The agency: non disclosure of property detail, conflict of interest, client lawsuit.

The industry: legal risk, liquidity risk, financial risk

the agent: loose accreditation, court, reputation, entrusted.

Agency can be in bad reputation, lost of customer, lost of business, court.

Question 8

Using Case study - Mr Ferraro

Last week an agent met with an elderly man, Mr Ferraro from Lennox St, who is hoping to sell his home and buy into a retirement village.

Mr Ferraro is adamant that he must achieve a sales price of $850,000, otherwise there is no point in him selling.

He has made it very clear that hes not interested in what the agent thinks the selling price should be.

He doesnt want any fuss, reports or paperwork, just a quick sale at his price. He is most enthusiastic about getting the property on the market as soon as possible and wants the agent to show the property whenever there is a suitable buyer. The agent has advised him that they need to go back to the office and start the paperwork, and on the way out Mr Ferraro shows where he hides the spare key in case hes not home.

Although not officially listed, the agent has decided to show the property to a potential buyer who is keen on buying in Lennox St and has recently exchanged contracts on their property and they are starting to get desperate. Even though the agent believes Lennox St is overpriced at $850,000, they realise that the buyers situation will overcome the high price.

The agent meets the buyer at the property and proceeds to use the spare key to gain access, (Mr Ferraro is not at home and has not responded to voice mail). Unfortunately, Mr Ferraro was hospitalised three days ago and is unlikely to return home.

The agent proceeds to open up and show the buyer the home. Hearing a noise out the front, the agent suggests to the buyer that they wait out the back whilst they see whos at the door. The agent is greeted by a man (Mr Ferros son) who is yelling and demanding to know what is going on and has called the police.

Loud barking is heard from the backyard and both the agent and son race around the back to find the buyer bailed up along the fence by two viciously growling and barking dogs. Fortunately, the son could calm the dogs and no physical harm has befallen the buyer.

Answer the following questions

Explain the unethical behaviour of the agent and how it affects the client, the agent and the agency.

What would you do if you were faced with a Vendor like Mr Ferraro?

Answer

1-first should sign the contract (paperwork), the agent enter the property without permission, police involved, mean a court case. And can sue you.

Get a valuation for the property, to be clear about the price market.

Lost of customer, unclear and unprofessional.

What I do if I faced same situation, sign contract to protect myself and the buyer, or no business, if they refuse.

Have to be professional, and follow the ethical practice, responsible, fairness and trustworthy, and caring for everyone involve in this situation the buyer and who selling the property.

Question 9

You are working in an agency where you have serious concerns about the ethical conduct of one of your co-workers, you are not sure if what they are doing is illegal or just unethical. You are hesitant to bring this matter up to your employer, but you dont want to put yourself or the agency at risk.

Explain what you would do to address the matter.

Answer

Speak with your manager, and try to keep professional attitude and quite about this situation if no response by righting to NSW fair trading about the situation.

Let the management deal with it, by doing extra courses, and changing their behave. And to be a good citizen and caring. Its all about to be a good person cause you are representing the agency you work for, and building a name for yourself.

Question 10

Marketing is a vital component for all real estate services and the ability to market both the agency and property through effective communication is essential to the success of any agency. Explain how marketing:

Engages clients and the community through real estate services

Benefits the agency profile by having an ethical and legal approach to practice.

Answer

Market yourself on real estate website, schedule email and text message to your nurturing clients,

building strong relationship with buyers at every stage of the sale, and lead get more info about the product.

Reach the right people with the right message at the right time to increase sale. Well help you create the optimal marketing solution to achieve the business goal.

Ethical and legal act in real estate are the main keys for success, its lot of benefit to behave in good ethical and follow the rules of the industry. Good reputation good name, more business. You will have a good profile and trust.

Question 11

What do clients and prospective clients generally expect from real estate services? How, as an agent, can you meet these expectations?

Explain the importance of your personal profile and ethical behaviour in meeting these expectations and how you would resolve any outstanding matters that may arise from your interactions with clients. Eg: questions not answered, communication issues etc

Answer

The agent must ensure this trust relationship is not breach in any way, follow the client lawful instruction, opening trust account, be trustworthy, responsiblecaring, respectful, follow up by phone or email or visit.

And if any matters arise, try to solved with professional and confidential, apologise, and remain positive and polite. Offer any solution and options can be profit for both party.

So keep communication open with client, and with follow their instruction and what they want( good tenant, repair, good sale result)

Question 12

Choose an agency or franchise (it may be where you are working or one of your choice).

Examine in detail the relationship of the agency brand to the properties they are marketing, include the type of service being offered.

Answer

I chose Ray and White in my area.

Ray and white know how to get more for your property.

We have knowledge, skills, and experience in the gong and the Illawarra about the property market for over 30 years. You can sell with confidence.

We have a good and professional team in property management, sale, auction.

Our goal is to to creating wealthy for our clients.

We are dedication and real passion for customer service, so you can be sure whether you list, sale, rent or buy with us, youre getting real estate expert with a local feel.

Question 13

Part 1

Using the same agency or franchise review the methods they use to engage with the community.

In your answer choose one method used and explain how this aligns to community expectations.

Answer

engaging with the local soccer club by funding their uniform, and the club advertise for the agency by putting our name on their shirt and big sign on the field.

Its very important that will give the agency a good advertising name and people can see it. And community will be happy from this arrangement between a local real estate and a local soccer club. Lot of benefits. As we belong for this community, building a database, connecting with them may they need our service.

Question 13

Part 2

Review the property advertisement in Annexure 2

Identify any risk the agency may have, relating to poor marketing and communication practices and make recommendations for improvement.

Answer

Advertising a property is important as you describe the property and should be a good presentation. Poor marketing can lead us to many thing.

-impact sale

-reputation

what we can do for improvement: marketing should be complement the goal and resources of the property. Use appropriate methods of promotion and make sure have knowledge of the local are to accurately target the right market.

Address customer preference and choices.

Make sure have enough resources, and use well trained employees.

Monitor and evaluate marketing results and be prepared to embrace change and not be complacent.

Follow the rules and legislation.

Question 14

Draft a personal marketing profile that would be appropriate for the area that you would like to work in (or are working in).

Ensure that it is engaging and highlights your attributes.

Answer

Lived in this beautiful coastal city, love the beach.

Dany is an assist real estate agent, have a majority interest in the local area. and understanding of the way how its growing, with dany knowledge and study as business and high level of customer service by running his own mix business for the last 15 years and knowing what people need.

His also member of the local charity group, and engaging and participate with the local netball team were his kids play.

Dany is motivated by nothing less then achieving the best possible outcome for every one of his clients.

Feel free to contact or email dany for chat.

Phone number: 0410485234

email: danysemaan_4@hotmail.com

Question 15

Develop a list you could use when marketing a property for sale, for each point explain how the feature would to appeal to potential clients.

Answer

Property need to appeal quickly to the potential buyer. It need to capture their interest and engage their emotional response.

-Price must be realistic, selling the right price.

-beautiful image, emotional connection. Chose professional photography.

-location, thing lifestyle. Beach, mountain, shopping centre. Medical centre train and bus close by.

-use of social media for marketing or local newspaper, spreed the word with other, drop a post mail about the property.

Understand your target market is important when deciding how to promote the property. making appealing to customer is a challenge for successful income.

Part 3 Workplace Activities

For this section, you are required to read the scenario and complete the required documents. There are templates provided. If you are required to develop your own document, it should be presented in a professional manner and saved as a PDF before uploading to the portal.

There is a checklist with each question to ensure that you complete all the required documentation.

To complete this section, type your answer where you see the I insertion symbol. You have limited formatting options.

Question

Using the research, you have done in previous questions, prepare a formal report to contain the following:

Agency structure and services offered

Licensing requirements of agents

Roles and responsibilities of key personnel

Opportunities for employment

Terms and conditions of employment

Professional development

Ethics and ethical conduct, regulatory requirements

Formal Report

ray and white warrawong was opened in 1996 by directors giovanni and angela zappia and rade brveski who have an excess of 91 years combined real estate experience. Situated in a prime location on a busy cpwper street in warrawong. Our team who will endeavour to get the best result for you. Whether it be selling or managing your property.

Our team:

giovanni zappia- director and licensee, licensed real estate agent, auctioneer and business agent.

Rade brbeski- director, licensed real estate agent, auctioneer, J.P. and business agent.

Angela zappia- director and property manager.

Ellie sukara- anita vasileski mikayla stephanes (assistant agent)

our superior sales team has sold over 2000 property within the local area and we manage the largest rent roll in the area.

Ethical at work include: full and honest disclosure of relevant aspects of the commercial transaction. Open communication which involves clear and articulate information exchange and each party exercising effective listening skills.

Both employer and employee in the real estate agency have specific responsibility. Pay a minimum weekly salary, workcover, provide staff with group certificate for tax, pay super.

For employee responsibility: honesty, punctuality and attendance, obey law.

Safety and care in workplace, knowledge of term and condition of their employment agreement( must sign before start work).

Remuneration: wages, commission, allowances( car, phone).

Real estate employees are governed by the real estate industry award 2020.

professional development: by continuing education, and training, to improve their performance and updating their skills, ethical behaviour, and professionalism of agents.

Continuing professional development(CPD) give educational program for agents.

The agency principal relationship and legislation require the agent professional conduct to: follow the client instructions, keep necessary book of account((trust account). Keep the client informed with any information changed. Act in good faith at all time and care. Keep trust relationship.

The general rule of conduct apply to all licensee and registered person from schedule 1 of the property and stock agent regulation 2014.

Question 2

Consult the communication strategies you developed in Extended Answer 8 and develop a fact sheet that could become part of an agencys communication policy.

Fact Sheet

Perfect and nice dress,and style to impress clients

use form method to keep the client engaged.

Listen to the clients.

Answer client question with honest and integrity.

Make use of body language.To creating a communication plan are: establishing your goals, specifying a timeline for moving forward, and identifying key messages.

Question 3

Research and find a published real estate prosecution where consumer protection requirements have been breached. Develop a summary report that includes:

An overview of the unethical practice

How the practice affected the consumer

Legislative and ethical codes of conduct that were breached

How you would respond to the unethical behaviour and include sources of specialist advice.

Summary Report

its is unlawful for real estate agents to:

-intentionally mislead you

-lead you to a wrong conclusion or impression

-give you a false impression

-leave out or hide important information.

Consumer protection took disciplinary action against the agency after it was found the agency had:

-withdrawn money without authority from a trust account to pay rent to an owner and property management

-made withdrawn from a trust account without authority to pay a cleaning contractor invoice.

-failed to properly record transactions in the trust account book.

-and failed to reconcile trust account balance between feb and march.

To respond to a unethical behave:

Always follow the principal(client) lawful instructions, keep trust account book up to date, keep the client informed of all relevant information(call, email).

Agent need to be mindful of the obligation imposed under the general rules of conduct. And carrying on the business of the real estate agent under the schedule 1 of the property and stock agent regulation 2014.

Question 4

Develop a resource list (the list can be URLs or websites) of government departments or publications that you can refer to for information.

Choose 5 of the following:

Real estate legislation

Ethics and professional conduct

Risk management

Licensing and CPD

Employment and industrial relations

EEO, privacy and anti-discrimination

Fair trading and consumer protection

Work health and safety

Foreign investment

Secret commissions

Environment and sustainability

Resource List

-real estate legislation: http://www.accc.gov.au/- ethical and professional conduct: http://www.fairtrading.nsw.gov.au/rulesof-conduct.

- licensing and CPD: http://reaa.com.au/nsw courses/assistant-agent. http://acop.edu.au/cpd-training/australia .- fair trading and consumer protection: http://www.fairtrading.nsw.gov.au/real-estate-agent-license- work health and safety: http://www.realestate.com.au/healthandsafety

Question 5

Using your draft information from Extended Answer 5 create a personal profile that could be sent to prospective clients.

Personal Profile

lived in this beautiful coastal city, love the beach.

Dany is an assist real estate agent, have a majority interest in the local area. and understanding of the way how its growing, with dany knowledge and study as business and high level of customer service by running his own mix business for the last 15 years and knowing what people need.

His also member of the local charity group, and engaging and participate with the local netball team were his kids play.

Dany is motivated by nothing less then achieving the best possible outcome for every one of his clients.

Feel free to contact or email dany for chat.

Phone number: 0410485234

email: danysemaan_4@hotmail.com

Question 6

Design a flyer that could be used to promote an agency to the community.

Document uploaded Y for Yes

Flyer

hello neighbour

Im your local real estate agent

dany semaan

I know that buying or selling a home can be hard task.

But thats what I am here for.

I would love to help guide you through the process of selling your current home, buying a new home, or even both.

If you have any question, please dont hesitate to reach out, lets connect

professional real estate: 0242781119

phone: 0410485234

email: danysemaan_4@hotmail.com

Question 7

Redesign the property advertisement from Annexure 2 to enhance its appeal to a target audience.

Explain why you believe the enhancements have added to appeal.

Answer

FOR SALE .LUXURY LIFESTYLE

price range 1200000 - 1500000

4 bedroom, 2 bathroom, 3 garage

wonderful 2014 build home, located in quite street, 5 minute to the local shops and to the river.

This house had magnificent views of the George river from the back balcony.

The house has been well maintained both inside and outside.

Freshly painted, and renovated bathrooms and as new kitchen.

With open plan living area and modern kitchen with quality appliance.

This home as ideal for a lovely family with kids and pets as this house fully fenced and with beautiful barbecue area can fit up to 30 peoples.

Landscape are fully looked after, with lovely tree and flower around the yard.

The home have a triple garage, with space for a workshop, the ideal man shad. So lot of room to grow. and Fully air conditioning.

The house is two level up stair plan living area kitchen and bathroom and large three bedrooms with all build wardrobe. Balcony

downstairs self contained studio with kitchen and bathroom. Ideal for teenager retreat or a visitor.

Dont miss out call now prestige property 88880000 for inspection

target market is important when deciding how promote the property.

The property need to appeal quickly to the potential buyer, it need to capture their interest and engage their emotional response:

beautiful image, great headline, lot if information about the property, location, price.

Annexure

Annexure 1 Company Details

Company Property Professionals Pty Ltd ACN 456 359 249

Corporation Licence Number 11892

Trading as REAL Property Professionals ABN 123 456 359 249

Licensee in Charge Allan Roberts

Real Estate Agent

Stock and Station Agent

Accredited Auctioneer LIC Number 265398

333375473710Organisational Chart

Annexure 2 Property Advertisement

For Sale

Lifestyle Guaranteed

With magnificent views of the River from the back balcony this home has been well maintained both inside and out.

Ideally located within a short stroll to local shopping and some of the area's popular eateries

On entering the home you are welcomed by a spacious foyer which leads up the timber stair case to the open plan living area and modern kitchen with quality appliances and finishes.

Downstairs is a self-contained studio space with kitchenette and bathroom tiled throughout for low maintenance and an ideal space for granny flat or teenagers retreat.

Adding to the home is: A triple car garage, with space for a workshop the ideal man shed Landscaped gardens and fully fenced yard Air-conditioning Ability for a lift to be installed

Dont miss out call now

Prestige Property

8888 0000

Sales@presprop.com.au

Location shot