Real estate changes will cut costs

Once implemented the law changes will benefit tenants, lessors and real estate agents, says the Real Estate Institute of Western Australia.

TENANTS, lessors and real estate agents in Yanchep and Gingin will all benefit from Bills and amendments passed by the WA Parliament, according to the Real Estate Institute of Western Australia.

The Residential Tenancies Amendment Bill 2015 and the Licensing Provisions Bill 2015 together with amendments to the Residential Tenancies Act, the Real Estate and Business Agents Act, and the Auction Sales Act passed on Wednesday, November 16.

But the Bills and amendments still have to be proclaimed and gazetted as Acts in the coming weeks before real estate businesses can start implementing the changes.

Real Estate Institute of Western Australia Neville Pozzi said the changes were the result of initiatives put forward by the institute, which had been advocating for the major changes which he said would create direct savings for the real estate industry.

Mr Pozzi said the amendments would not only result in a reduction in administrative burden and cost savings for tenants, lessors and real estate agents, but also increased efficiencies, which were expected to contribute towards keeping downward pressure on rental costs for tenants.

“REIWA commends the Barnett Government, the Minister for Commerce and the Opposition for passing the Bills, which will reduce compliance costs, save the industry money and make it easier to conduct real estate business in WA,” he said.

He said Residential Tenancies Act changes would simplify the process when a lessor was required to issue a notice of proposed entry to the tenant, would enable the service of notices and documents under the Act by electronic means and would remove the requirement for notices of abandoned goods to be advertised in a newspaper circulating throughout the State.

Real Estate and Business Agents Act change would remove the prohibition on real estate agents from receiving commission prior to settlement from an off-the-plan strata sales transaction (as defined by the Act).

Auction Sales Act changes would allow auction licensing renewals to align with other industry license renewal periods, up to three years.

He said the institute would notify real estate agents about the changes and when they took effect.