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Renfrewshire Council Annual Report 2008 - 2009 Estate agents
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The Estate Agents Act 1979 regulates your work as an estate agent. Its purpose is to make sure that you act in the best interests of your clients, and that both buyers and sellers are treated honestly, fairly and promptly.
You should note:
- if you don't comply with the law, you could be banned from working as an estate agent
- if you ignore a ban, you could be prosecuted and fined.
Under section 1 of the Estate Agents Act 1979, the legal definition of what constitutes estate agency work is very wide and even if you don't call yourself an estate agent you may be seen to be one in law when you do certain things. Subject to certain limited exceptions you will be engaging in estate agency work if, in the course of business and acting on instructions from a third party (your client) who wishes to either buy or sell property (an interest in land), you do either (or both) of the following:
- things for the purpose of, or with a view to, effecting the introduction to your client, of someone who either wishes to buy or sell property;
- things after such an introduction has been made by you to secure the sale or purchase of the property.
Exemption
If you are merely 'publishing advertisements or disseminating information' then you will not be acting as an estate agent. However, this exemption is a very narrow one.
Activities of those acting as estate agents
Below is a non-exhaustive list of examples of the types of activities typically carried out by property retailers that is considered would take them beyond the exemption of merely publishing advertisements or disseminating information. If you engage in such activities, you will be, or are likely to be, engaging in estate agency work:
- sending out property particulars and arranging viewings;
- receiving and fielding queries from potential sellers or buyers and passing on details to your clients;
- providing clients with a 'For Sale' board and/or putting it up outside their property where the board contains your contact details.
You will be misleading consumers if you state that you are not doing estate agency work when you are. If you are acting as an estate agent, you must comply with your legal duties such as providing your clients with information on their prospective liabilities (e.g. be clear and up-front about charges) and declare to buyers and sellers any personal interest that you or a connected person (such as a business associate or a relative) may have in any properties detailed on your website. Further information about what you need to know if you are engaged in estate agency work can be found in the OFT publication The Estate Agency Guide.
It is also a criminal offence under the Property Misdescriptions Act 1991 for those acting as estate agents to make false or misleading statements about specified matters relating to property.
Estate Agent Redress Scheme
From 1 October 2008 the Act was amended to introduce a requirement for persons engaging in estate agency work in residential property to be a member of an OFT approved estate agents redress scheme. Details of schemes that are currently approved and available for estate agents to join are on the main Estate Agents Redress Scheme pages. Further details of the approved estate agents redress schemes, including how to join, are available on the redress schemes' own websites or by contacting them direct.
Fur further information, please contact us.
Contact information
- email: ts.es@renfrewshire.gov.uk
- phone: 0141 840 3184 (select option 2)
- call in or write to us at:
- Renfrewshire Council
Environmental Services
Trading Standards
Renfrewshire House
Cotton Street
Paisley
PA1 1BR
