Real estate and property reforms passed by the Queensland parliament last month will mean less red tape around property transactions.
The Property Agents and Motor Dealers Act (PAMDA) has been divided into industry-specific Acts that will make buying and selling real estate in Queensland a more straightforward process, according to Real Estate Institute of Queensland (REIQ) Chairman Roy Honeycombe.
“Previously, the real estate sector has long been legislatively bundled in with a variety of other occupations and the REIQ always felt that our profession deserved its own specific legislation,” Mr Honeycombe said in a May 7 statement.
“The new laws will also empower consumers as never before, making it easier than ever for them to navigate the entire spectrum of real estate transactions.”
The new industry-specific laws are the Property Occupations Act, Motor the Dealers and Chattel Auctioneers Act 2014, the Debt Collectors (Field Agents and Collection Agents) Act 2014 and the Agents Financial Administration Act 2014.
The new Property Occupations Act outlines regulations for property agents and resident letting agents, such as licencing and deregulating real estate commissions. For example, under the new act property developers will not need a licence. However, auctioneers will need an auctioneer licence to stage property auctions.
It will also affect how property agents display their licences. They no longer need to display it in their place of business, but must show it to any client upon request.
A resident letting agent will have the ability to manage more than one property and is no longer required to live on site.
The deregulation of real estate commissions means that consumers will have more flexibility to negotiate commissions with property agents. The act is also for the protection of consumers against disreputable practices of promoting residential property.
The new acts will come into effect later this year.
If you or your business are looking to invest in property in Queensland talk to a property lawyer about how the changes will affect you.