Well it looks like we’ve gone full circle, with a return to the good old days where Property Management was regulated by REINZ (or the Real Estate Institute of New Zealand).
That was one of the Labour government’s promises if re-elected – and here we are!
The past 100 years in a nutshell:
Dominion Estate Agents and Land Auctioneers Association was formed in Wellington on July 22, 1915. That body eventually became the Real Estate Institute of New Zealand (REINZ), and regulated real estate transactions whether it was real estate sales or property management.
The Real Estate Agents Authority or REAA was formed, and property management was deregulated. At this time only licensed agents could charge a letting fee.
The National government removes the requirement for property managers to hold a real estate licence to charge a letting fee. Essentially anybody can do property management without any education/license.
The Labour government makes it illegal for landlords to charge tenants letting fees (regardless of license held). Owners now pay this fee in NZ.
The Labour government investigates regulation of the industry, which begs many questions. Will it apply to property managers only; or private landlords too? Who will be the regulator?
For a great read on this, David Faulkner from Real iQ has a brilliant blog online.