EAA and Global Real Estate Agency Firms Adopt RICS Standards

HONG KONG, April 2, 2012 /PRNewswire-Asia/ -- The Royal Institution of Chartered Surveyors (RICS) welcomed Estate Agents Authority (EAA)'s Best Practice Checklist (BPS), which incorporated RICS Real Estate & Brokerage Standards (REABS), which was jointly launched by the Independent Commission Against Corruption (ICAC) last Friday.

There are 33,000 estate agents in Hong Kong, taking care of transactions amounting to over HK$10 billion every year, including those of lands, office buildings, industrial buildings, residential units, etc. RICS strongly believes that the BPC is a major step in elevating the professionalism of estate agents, and protecting consumer interest in the real estate market.  In the long run, RICS would like to see the principles under BPC become mandatory industry regulations.

Multinational property services agency firms, including CBRE, Colliers International, Cushman & Wakefield, DTZ, Jones Lang LaSalle, Knight Frank and Savills, have declared to comply with the RICS Real Estate Agency Code (see below) and to subscribe to the BPC both on a company level as well as individual agents level.

Real Estate Agency Code

1. To conduct business in an honest, fair, transparent and professional manner.
2. To carry out work with due skill, care and diligence, and ensure that staff employed have the necessary skills to carry out their tasks.
3. To ensure that clients are provided with terms of engagement which are fair and clear, incorporate details of complaints handling procedures and, where existing, an appropriate redress scheme and meet all other legal requirements and relevant codes of practice.
4. To do the utmost to avoid conflicts of interest and, where they do arise, to deal with them openly, fairly and promptly.
5. Not to discriminate unfairly in any dealings.
6. To ensure that all communications are fair, clear, timely and transparent in all dealings with clients.
7. To ensure that all advertising and marketing material is honest, decent and truthful.
8. To ensure that any client money is held separately from other monies, and is covered by adequate insurance.
9. To have appropriate professional indemnity/ errors or omissions insurance, to ensure customers do not suffer loss as a result of any negligent act.
10. To ensure that it is made clear to all parties for whom you are acting, the scope of your obligations to each party.
11. Where provided as part of the service, to give a realistic assessment of the likely selling, buying or rental price or associated cost of occupancy, to the client based on market evidence and using best professional judgment.
12. To ensure that any property viewings are carried out in accordance with the client's wishes, having due regard for the security and personal safety of all parties.

Mr. Kenneth Kwan, Chairman of RICS Hong Kong said: "RICS Hong Kong is extremely delighted to see its Real Estate Agency & Brokerage Standards being recognized by the EAA and ICAC with many of the global agencies committed to subscribe. This will go a long way in improving the image of the real estate agency industry, and we would suggest the government consider progressively migrate the BPC into a set of compulsory regulations."

About RICS & RICS Asia

RICS is the world's leading qualification when it comes to professional standards in land, property and construction. In a world where more and more people, governments, banks and commercial organisations demand greater certainty of professional standards and ethics, attaining RICS status is the recognised mark of property professionalism.

Over 100,000 property professionals working in the major established and emerging economies of the world have already recognised the importance of securing RICS status by becoming members.

RICS is an independent professional body that, since 1868, has been committed to setting and upholding the highest standards of excellence and integrity -- providing impartial, authoritative advice on key issues affecting businesses and society. RICS is a regulator of both its individual members and firms enabling it to maintain the highest standards and providing the basis for unparalleled client confidence in the sector.

The RICS Asia supports a network of over 11,000 individual professionals across the Asia Pacific region with an objective to help develop the property and construction markets in these countries, by introducing professional standards, best practice and international experience. It promotes RICS and its members as the natural advisors on all property matters. It also ensures that services and career development opportunities are provided to members.

The RICS Asia region covers national associations and local groups locating in Brunei, Malaysia, Singapore, Thailand, The People's Republic of China and the SAR Hong Kong. It also has members working across the region such as Bangladesh, Bhutan, Burma/Myanmar, Cambodia, Indonesia, Japan, Kiribati, Laos PDR, Macao, Mongolia, Nepal, North Korea, South Korea, Taiwan, The Maldives, The Philippines, Timor East and Vietnam. For more information, please visit: www.ricsasia.org

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