What Do Malaysians Look For When Buying A House
In the real estate industry, one often comes across many technical and marketing terms that may not make sense to those who are unfamiliar with the industry. Like other industries, real estate has many different professionals who specialise in different aspects of the industry.
Here we will be focusing on two terms which are often used synonymously, although they mean different specialisations: real estate agent and real estate negotiator.
In normal everyday conversation, when we say real estate negotiator, we automatically associate it with a real estate agent and vice versa. However, these two professionals/terms have very little in common with each other.
So how does one differentiate a real estate agent from a real estate negotiator?
First of all, we need to clarify one thing;
In Malaysia when we say real estate agent we are actually talking about a real estate negotiator or REN for short, and when we talk about a realtor, we are actually talking about an REA or a Registered Estate Agent.
All real estate professionals need to be registered under the Board of Valuers, Appraisers and Estate Agents (BOVAEA).
A Real Estate Negotiator (REN) is a person who has been hired or contracted by a company to list and market properties, all the while under the supervision of a registered real estate agent. This means that a negotiator cannot work independently and must be supervised by a real estate agent.
Anyone who wishes to become a negotiator must first attend a 2 Day Negotiator Certification Course (NCC), a prerequisite to formal registration as a negotiator with BOVAEA.
Here’s a sneak peek of what it’s like to be a real estate negotiator in IQI:
A Registered Estate Agent (REA) is someone who is registered under the BOVAEA as an estate agent.
In order to become a REA one must first become a Probationary Estate Agent (PEA), and undergo a two year post practical training alongside a registered real estate agent before taking the Test of Professional Competence (TPC). After taking and passing the TPC, the agent may apply to register with the BOVAEA as a full-fledged Real Estate Agent. When it comes to Malaysia, only those who are registered under the BOVAEA may act as Estate Agents. Their services include buying, selling and leasing of properties for clients with the aim of achieving optimum returns. Registered estate agents are also authorised to start their own agency practice should they wish to do so.
Besides registering with the BOVAEA, REAs must follow a strict code of standards called the “Malaysian Estate Agency Standards”. These standards are set by the BOVAEA and dictate a set of rules, regulations and a code of conduct and ethics which explains how an agent must conduct their business and the way they must approach and treat clients and fellow agents. Failure to follow these standards may lead to grounds for the suspension or termination of that agent’s license.
The real estate business is filled with serious responsibility which is why Malaysia’s BOVAEA makes a clear distinction between the various terms and forms of professionals in the business, including that of Real Estate Negotiators and Registered Estate Agents.
We hope that this article has helped make clear the distinction between the two and that you can now make a more informed choice when you are dealing in the property market.
Article by: IQI Global
