20180324 (Sat)
Why is a Registered Estate Agent ever be needed in the first place?
The word is “Trust”. You may not agree. Take for example, you buy a car from Jerry. Jerry takes the money from you and disappear. You will be left high and dry – Jerry denies everything.
On the other hand, if Jerry gives you the car and green card, you might drive away the car without even paying him! So, you look for a trusted man – Mr Agent. You pay the money to this Mr Agent. Jerry goes to JPJ and effect the name transfer.
Mr Agent won’t pass the money over until name transfer is done and the keys & car are handed over to you. Mr Agent is accountable for any wrong that might happen in between. Now, this “Trust” cannot be standing on air. It has to be regulated by an independent third party. What you claim as your “tepuk dada tanya selera” or in English “Do as you please” is not fiduciary duty you can guarantee.
The regulator MUST ensure that this duty is carried out. So that is being professional. S.22C (2) of VAEP Act 1981 says owner can sell their property without Mr Agent, why? He can trust himself as he takes all the risks on his own. The other side of the story is when the Mr Agent is not regulated, like unlicensed broker, nobody regulates him, that trust is … Well, is there any? Even if there is… It is just as much as you can imagine.
