The REIV is currently in the midst of consultation process on how to address the issue of underquoting in the state, which chief executive officer Enzo Raimondo said is “clearly impacting on members of the public” in Victoria.
But while Raimondo said underquoting is a serious issue in Victoria, he said it’s also a symptom of wider problems with educational standards within the state’s real estate industry.
“We currently have a situation in this state where a Certificate III is all that is required to sell or manage real estate,” Raimondo said.
“This is the same level as that [which is] required to work in hospitality as a waiter or barista,” he said.
In particular, Raimondo said consumers are being put at risk by real estate professionals who receive their qualifications from registered training organisations who are offering full real estate licences via accelerated courses.
“These fast-tracked courses are clearly impacting on the industry, and creating poorly trained, inadequately qualified real estate agents,” he said.
“The agents receiving this training are a significant threat to consumers.”
The REIV is not alone in their calls for tougher education standards, with their counterparts in New South Wales also beating the same drum.
NSW Fair Trading is currently reviewing education standards for real estate agents in the state and the Real Estate Institute of New South Wales (REINSW) has called for tougher entry standards, as well as on-the-job training.
“We suggest a higher entry level education standard,” REINSW president John Cunningham said.
“REINSW has also called for additional on the job training. Under the Institute’s suggested educational regime the student will take seven units of competence into the workplace and receive an additional 17 units of competence within the context of practical application and repetition,” Cunningham said.
NSW has also recently introduced a raft of more comprehensive underquoting laws.
