Tenancy Applications: Privacy Guidelines
The Office of the Privacy Commissioner (OPC) has produced a new set of guidelines outlining what information should and should not be collected by landlords and property managers when assessing tenancy applications.
The guidelines are designed to assist landlords/property managers in making reasonable decisions about what kind of personal information to collect from potential tenants. It is a colour coded system and covers information that is ‘always justified’, ‘sometimes justified’ and ‘almost never justified’.
REINZ notes that the guidelines do not replace the requirements of the Residential Tenancies Act (s13A, in particular).REINZ is concerned that there are discrepancies between the new Guidelines, the requirements of the Residential Tenancies Act and information published for landlords by MBIE and is raising these concerns with the Privacy Commission on behalf of members.
Click here to read REINZ's view
REINZ welcomes any feedback on the guidelines. To provide your feedback, please email the Advisory team.
REINZ Survey
Last Friday you will have all received a link to the new REINZ Survey. If you did not receive your unique link, please email ceo@reinz.co.nz
We would sincerely appreciate any feedback you have to give and encourage you to complete the survey - it should only take 15 minutes to complete.
Everyone that completes the survey, goes in the draw to win a Nespresso Essenza Mini Breville Pure Black thanks to REINZ Member Benefits supplier Noel Leeming.
Agent failed to warn vendor of double commission risk
The complainant in this case was the General Manager of Agency 1 and the complaint was made against the Licensee who was engaged by Agency 2.
The complaint was that the Licensee put the vendor at risk of paying two commissions and did not warn the vendor of this risk.
Double commission risk
The vendor initially had a Sole Agency Agreement with Agency 1 which then rolled over into a General Agency Agreement.
Eventually, the property was listed with Agency 2 and the property was sold to purchasers who had already been introduced by Agency 1. This meant that both Agency 1 and Agency 2 were entitled to commission.
The Licensee was aware at the time he presented the offer to the vendor, that if the vendor accepted it then, the vendor would be liable to pay full commission to Agency 1. The Licensee still chose not to warn the vendor of the double commission risk.
Agency 2 was paid full commission and Agency 1 was not.
The Licensee claimed that there was no need to discuss the commission issue with the vendor because he was of the understanding that if another agency were to claim commission on the same deal then Agency 2 would not require payment of commission.
Finding
The Complaints Assessment Committee (CAC) stated that the Licensee should have informed the vendor once he received the offer from the purchasers as this would have enabled the vendor to make a fully informed choice as to whether or not to accept the offer, given that it would give rise to a contractual liability to pay double commission.
The CAC further stated that even if the Licensee genuinely believed that Agency 2 would not have left the vendor liable for double commission, he should have still informed the vendor because as soon as the offer was accepted, a contractual obligation to pay double commission resulted. Whether the vendor would be required to pay double commission was up to the agencies and was not the vendors choice. The Licensee should have assumed that Agency 1 would claim commission, which they did. The commission fee was significant, and the Licensee should have informed the vendor of the potential legal liability.
The CAC accordingly found that the Licensee had engaged in unsatisfactory conduct.
You can find the decision here.
Tips:
1. Agents must always inform their clients about any risk of paying double commission so that their client can make an informed decision on whether or not, they wish to proceed with the transaction.
2. Agents should be informing their clients of the double commission risk in writing.
Verifiable Training
Hamilton Verifiable Training - LAST CHANCE!
Wednesday 29 & Thursday 23 May
Registration deadline Thursday 9 May - a $50 per person late fee will apply after this date.
Taupo Verifiable Training
Wednesday 5 & Thursday 6 June
Registration deadline Thursday 30 May - a $50 per person late fee will apply after this date.
Invercargill Verifiable Training
Wednesday 12 & Thursday 13 June
Registration deadline Thursday 6 June - a $50 per person late fee will apply after this date.
Check online for a full list of regional training sessions or the newly released online training packages!
Please note: In 2019 the AML Verifiable training topic is mandatory and no exemptions apply.
Auctioneering Rising Stars Workshop - LAST CHANCE!
Monday 27 May
Mark Sumich Chief Judge says "if you want to enter and potentially win this years' Colin Brown Memorial (for best Rising Star) at the REINZ National Auctioneering Champs, it would be prudent to come to the 1-day refresher course in Auckland on the 27th of May - this will hone the skills you already have into a potentially winning performance in June."
Book in now!
Webinar - Appraisals and You presented by Graham Crews
This webinar ensures you have the clarity and understanding required when it comes to appraisals. This detailed session will get right to the heart of appraisals covering off what you need to know in order to be compliant.
NV = 2 hours
Book Now
Verifiable Dates for 2019
| Region | Dates | Location | |
|---|---|---|---|
| May | |||
| Hamilton | 29 - 30 | Workingmen's Club | Book Now |
| June | |||
| Taupo | 5 - 6 | Suncourt Hotel & Conference Centre | Book Now |
| Invercargill | 5 - 6 | Ascot Park Hotel | Book Now |
| Rotorua | 19 - 20 | Copthorne Rotorua | Book Now |
| Timaru | 19 - 20 | The Grosvenor | Book Now |
| July | |||
| Palmerston North | 3 - 4 | Hotel Coachman | Book Now |
| Nelson | 24 - 25 | Trailways Hotel | Book Now |
| August | |||
| Kerikeri | 7 - 8 | Kingston House | Book Now |
| Napier | 21 - 22 | Napier Conference Centre | Book Now |
| September | |||
| Tauranga | 4 - 5 | Waverly on Wairoa | Book Now |
| Auckland 2 | 25 - 26 | Events on Khyber | Book Now |
| October | |||
| Christchurch 2 | 16 - 17 | The Atrium | Book Now |
YPIRE Regional Meetups
YPIRE Wellington: Success your way
Tuesday 11 June, 5:30pm - 7:30pm, The Arborist Rooftop Bar and Eatery
Our special guests are: Ben Stevens (Ray White Central), Jess Platt (Tommys Central), Rupert Kemey's (Kemeys Brothers Lower Hutt) & Sam McIntyre (Tall Poppy Real Estate).
Join us as our panel discusses the different ways to be success, and what it means to each individual.
For more information, please contact events@reinz.co.nz
YPIRE Auckland: Becoming your brand
Thursday 13 June, 4:30pm - 6:30pm, Events on Khyber, Level 2 REINZ, 155 Khyber Pass Road
Our special guests are: Jadyn Dixon, Harcourts Cooper & Co; Genevieve Taylor - Ford, Bayleys Auckland Central and Caleb Paterson, First National Telos Group.
Join us as our panel discusses building and becoming your brand.
For more information, please contact events@reinz.co.nz
2019 RPM Conference - Thriving in Changing Times
Friday 2 August, Hilton Hotel Auckland
This not-to-be missed Property Management Conference is hosted by Simon McKinney and filled with a great line-up of speakers such as Lisa O’Neill, Dr Annette Beautrais, Steve Watson, Lisa Gerrard and Sheree Nicholas.
Breakout sessions will be available for Property Managers and Business Owners.
Registration includes Cocktail Networking Drinks where the winner of the ‘2019 Recognition of Contribution to the Property Management Industry’ will be announced.
Inspire | Motivate | Connect - 2019 YPIRE Conference
Wednesday 18 September
For young professionals in real estate, those new to the industry, the young at heart or anyone interested in the amazing speaker lineup.
With a great lineup of speakers including Tom Panos, Jake Millar and Lisa King, the 2019 YPIRE Conference is one you do not want to miss!
Grab your earlybird tickets before 31 May for the best pricing!
For all REINZ Events, click here.
Please note: The Taupo Regional Meeting has been cancelled.
| June | |||
| YPIRE Wellington Meetup | 11 June | 5.30pm - 7.30pm | The Arborist Rooftop Bar & Eatery |
| YPIRE Auckland Meetup | 13 June | 4.00pm - 6.30pm | Events on Kyber, REINZ |
| NZ Auctioneering Championships - Draw | 23 June | 5.30pm - 7.30pm | REINZ, Auckland |
| NZ Auctioneering Championships - Heats | 24 June | 10am - 5pm | REINZ, Auckland |
| NZ Auctioneering Championships - Finals | 25 June | 10am - 6pm | REINZ, Auckland |
| Septmber | |||
| Inspire | Motivate | Connect Conference | 18 September | 10am - 7pm | Shed 10, Auckland |
FlexiSign
The platform that supports real estate agents negotiate and sign an agreement online, all in one place.
Once the agreement has been approved by the parties, the agreement can be sent for signing in two steps.
Warning: Insulation deadline looming
Bindi Norwell, REINZ Chief Executive says it’s imperative that landlords, who haven’t already acted, take action now – particularly as stories are emerging about suppliers running out of insulation materials ahead of the deadline.
Potential increased building control and resource consent fees
Bindi Norwell said: "Given that house prices in Auckland are already unaffordable for so many, this may push house prices up even further."
REINZ works in partnership with NetYourJob recruitment to provide maximum industry coverage when you’re looking for real estate staff. NetYourJob can provide REINZ Members with competitive marketing rates for job advertising. Contact NetYourJob on 0800 638 968 to find out more or click here to view new jobs this week.
