OUTLINE |. SALIENT POINTS OF RA 9646 Il. SALIENT POINTS OF IRR OF RA 9646 III.CODE OF ETHICS SALIENT POINTS OF RA 9646 REAL ESTATE SERVICE ACT OF 2009 (RESA) Real Estate Service Practitioners: DEFINITION 1) registered, licensed natural persons who, for a fee , compensation or other valuable consideration, ...... * anatural person can only be a licensed real estate broker or practitioner. A juridical person or entity, corporation, government agency, or a non-human entity with legal identity cannot be a real estate service practitioner or brokerDefinition of a Real Estate Broker in RA 9646 2) “Real Estate Broker - an agent of a party in a real estate transaction to offer, advertise, solicit, list, promote, mediate, negotiate or effect the meeting of the minds on the sale, purchase, exchange, mortgage, lease or joint venture, or other similar transactions on real estate or any interest therein’. Definition of a Real Estate Broker in RA 9646 FUNCTIONS TRANSACTIONS: 1)OFFER Sale, 2)PROMOTE Purchase, 3)ADVERTISE Exch 4)SOLICIT See 5)LIST Loan/mortgage, 6)MEDIATE NEGOTIATE Lease 8) EFFECT THE MEETING J V, or other similar OF THE MINDS @ > transactions REAL ESTATE SERVICE ACT : RA 9646 - IRR a. Effectivity - July 30, 2009 b. Purposes: * To regulate real estate practice through PRBRES “The Board” Create Professional Regulatory Board of Real Estate Service Carry out, administer and enforce the provision of IRR RA 9646 Rule 1 - Title, Declaration of Policy, Definitions Section 1: Implementing Rules and Regulations of RA 9646LEGAL REQUIREMENTS FOR REAL ESTATE SERVICE : RA 9646 - IRR: Section 2: Declaration of Policy a. State recognizes the vital role of real estate service practitioners; b. Develop them to be at par with global competitors through effective regulation ane supervision; c. Promote growth of the real estate industry through them. d. Section 3: Definition of Terms e. Accredited and Integrated Professional Organization (AIPO) - national integrated organization of natural persons duly registered and licensed as real estate service practitioners, pursuant to Sec. 34 of RA 9646 REAL ESTATE SERVICE PRACTITIONERS * Real Estate Service Practitioners - registered, licensed natural persons who, for a fee , compensation or other valuable consideration, - + Real Estate Consultant - renders professional advice and judgment on + the acquisition, enhancement, preservation, utilization or disposition of lands or improvement thereon; + the conception, planning, management and development of real estate projects. + Real Estate Appraiser - performs or renders, services in estimating real estate values, such services of which shall be finally rendered by the preparation of the report in acceptable written form. REAL ESTATE SERVICE PRACTITIONERS * Real Estate Assessor - works in a LGU to perform appraisal and assessment of real properties, including plants, equipment, and machinery, essentially for taxation purposes. Maybe exempted in taking the appraiser's examination. + Real Estate Broker - an agent of a party in a real estate transaction to offer, advertise, solicit, list, promote, mediate, negotiate the sale, purchase, exchange, mortgage, lease or joint venture, or other similar transactions on real estate or any interest therein. General qualification: At least college graduate (4-year course)REAL ESTATE SERVICE PRACTITIONERS Real Estate Salesperson - a duly accredited person who performs service for, and in behalf of a licensed real estate broker for or in expectation of a share in the commission, professional fee, compensation or other valuable consideration. No examination needed Must be under a licensed broker to be accredited General qualification: At least with 72 units in college Section 14: Qualification of Applicants for the Board Examinations Filipino Citizen; BS degree holder ( institution recognized by CHED ), completed 120 credit units from accredited service providers; but as soon as a BS degree in Real Estate Service is implemented by CHED, this course will be a requirement for taking the “licensure examination; and Good moral character and must not have been convicted of any crime involving moral turpitude Additionally, for real estate consultants - 10 years experience as licensed real estate broker or an assessor, or as a bank or institutional appraiser or an employed person performing real property valuation, or at least 5 years experience as a licensed real estate appraiser. DEADLINE FOR REGISTRATION: + Per IRR, the original date was July 30, 2011 for deadline of admission to taking the board examination without the BS Real Estate Management degree, however, it was extended until the end of December 2011. Thus, after this deadline, NO high school graduate salesperson can apply for a salesperson’s license anymore.For the rest of the information about these legal requirements, see PRC website: wwwpregov.ph Section 39: Penal Provisions: violation by licensed practitioner + Fine not less than P100,000.00 or Imprisonment not less than 2 years or BOTH (court decides) + Violation by unlicensed practitioner, penalty is doubled. + Fine of not less than P200,000.00, or Imprisonment of not less than 4 years or BOTH Section 35: Code of Ethics. + BASI ROFESSIONAL REGULATORY BOARD OF REAL ESTATE (PRBRES) -- RESOLUTION NO. 39 Series of 2019 + Pursuant to Section 5 (f), Article Il and Section 35, Article IV of Republic Act (RA) No. 9646- ‘Real Estate Service Act of the Philippines”, PRC - Professional Regulatory Board of Real Estate Service (Board), adopts/promulgates the + “Codes of Ethics and Responsibilities for Real Estate Service Practitioners’, OR “The Code of Ethics and Responsibilities’, WHY A CODE OF ETHICS? a. The Real Estate Service practice isan honorable profession ~-has a vital role in the social, political and economic development and progress of the country. b. The PRC-PRBRES aspires to produce/develop/ nurture --technically competent, responsible and respected professionals whose standards of practice - nationally and globally competitive. c. Thus “The Code of Ethics and Responsibilities" is adopted /promulgated to ~-govern the duties and responsibilities of the real estate service practitioners, & the Accredited and Integrated Professional Organization (AIPO).Art. III. PROFESSIONAL RULES OF ETHICS AND RESPONSIBILITIES to the FIVE (5) STAKEHOLDERS 1. To the Government a) The practitioner shall seta good example as a law-abiding citizen b) Secure all licenses, permits / authority, req'd by law, ordinance, rules/ regulations. ©) Pay correct taxes /fees and not encourage /tolerate /participate, in the evasion or illegal reduction of payment due the gov't 2. To the General Public ‘THE PRACTITIONER SHALL a)... contribute to the promotion of the common. good by engaging in social responsibility activities .. b) .cooperate with the government and the AIPO in protecting the public against fraud, misrepresentation & unethical practices of licensed, unlicensed & unauthorized individuals or parties that adversely affect the integrity of the profession c) .enhance his/her competency, proficiency and expertise in the practice by keeping abreast of the latest trends and developments in the field of real estate service through the involvement in Continuing Professional Development act d) ..participate in the proactive development of real estate service by imparting knowledge, technical training, experiences, studies or research, except those that are classified which may only be disclosed upon the consent of the parties concerne 3. To the Client ‘THE PRACTITIONER SHALL a) .be honest and trustworthy & shall observe sincerity, impartiality, fairness & loyalty in /her professional practice. b)...exercise good faith in protecting and promoting the interest of the client vis-a-vis that of the concerned parties. ) ..strictly observe client-practitioner confidentiality. 4d)... fully & truthfully disclose all pertinent & material facts involved in the engagement.¢) ..charge or collect professional fee which is fair and reasonable in accordance with real estate industry practice £)..not accept professional fees or valuable consideration from other parties unless with full disclosure and permission from the client. g) - always maintain transparency in all dealings with the client. 4. To Fellow Practitioners /Brokers THE PRACTITIONER SHALL a) .., in the exercise of his/her rights and in the performance of his/her duties and responsibilities, act with fairness, justice and good faith. b) ...respect the dignity, honor, good reputation and privacy of fellow practitioners. c) . use or furnish transactional document(s), only upon the written consent of the practitioner/s from whom such documents originated. REFERENCES + REPUBLIC ACT 9646 : REAL ESTATE SERVICE ACT OF THE PHILIPPINES OR RESA, EFFECTIVE JULY 30, 2009, PHILIPPINE GAZZETTE, + IMPLEMENTING RULES & REGULATIONS (IRR), OF RA 9646, APPROVED JULY 21,2010, Published July 24, 2010, Effectivity date : August 8, 2010 + LAWS RELATED TO THE REAL ESTATE PRACTICE IN THE PHILIPNES, ANN V. VILLAREAL & RHIA C. FRIO, CENTRAL BOOKS SPPLY, INC. 2012