Real Estate Industry Ethics
After decades of mounting pressure from real estate consumers, the Real Estate Authority was established under the Real Estate Agents Act 2008. Their job is to improve the standard of service and professionalism of the real estate industry and help protect buyers and sellers of property.
Until this reform, meaningful change was resisted by an industry that many felt put their own interests ahead of those of real estate consumers.
Reform was necessary because real estate transactions account for a colossal flow of money. During the past 12 months alone over 1.2 billion dollars’ worth of residential real estate changed hands in Hawke’s Bay.
For most consumers the sale or purchase of a property is relatively infrequent, which means consumers lack the experience or knowledge to inform their real estate choices. Instead they rely on real estate agents for information and advice. Now the REA provides several useful resources for sellers and buyers and provides an independent forum for consumer concerns.
While the regulatory framework in the real estate industry has improved, we believe there is a big difference between agents acting within the law and behaving ethically. At best, rules and laws only prescribe a minimum standard of ethical behaviour.
We don’t see ethics as a business issue, a social issue or a political issue – it’s a PERSONAL issue. The “Golden Rule” guides our business decisions in the same way as it informs our personal choices. In any situation we ask, “How would I like to be treated in this circumstance?”
Ethics is good business.
Yet it breaks my heart to see Real Estate Agents continuing to rank amongst the bottom five of the least trusted professionals (along with politicians, car salesmen and sex workers!).
In our view, there is one significant obstacle to a significant improvement in the integrity of the industry – REMUNERATION. Most real estate salespeople are paid commission-only, and this tends to lead to a high staff turnover, and an overly aggressive, self-interested culture in most real estate offices.
Research shows that the best high-performing teams exist in a blended compensation environment, which offers a good base income with incentives that reward achievement. After witnessing success within other industries, Cox Partners introduced a blended remuneration system 15 years ago. When combined with the right business culture, we now see that sales performance can be augmented by three – four times using a blended compensation system.
Three other factors are also necessary for these exceptional results:
choosing and developing the best people for the team;
implementing proven systems that deliver the best results; and
maintaining a high-performing, collaborative culture fully focussed on creating “delighted” clients and customers.
If you’re thinking real estate, call Cox Partners Estate Agents first.
We guarantee our results! Let’s talk: (06) 835 4321
Lest we forget...
On this ANZAC Day, let's take a moment to remember and honor the brave men and women who have served and continue to serve our country.
Tell us who are you honouring today. Whether it's a story from the battlefield or a memory of a family member who fought in the war, we'd love you to share your stories below.
Poll: Does the building consent process need to change?
We definitely need homes that are fit to live in but there are often frustrations when it comes to getting consent to modify your own home.
Do you think changes need made to the current process for building consent? Share your thoughts below.
Type 'Not For Print' if you wish your comments to be excluded from the Conversations column of your local paper.
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91.4% Yes
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8.3% No
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0.3% Other - I'll share below!
Food and product recalls
These items have been recalled during the last month. If you have any of these items at home, click on the title to see the details:
Product recalls
Avanti, Malvern Star & Raleigh bicycles
Yoto Kids Speaker
Anko Kids Pyjamas
Battery drill chainsaw attachment
Industrial pedestal misting fan
Yamaha adaptor
Zero Tower safety harness
Naturacoco moisturising cream
Thule child bike seat
Food recalls:
Maketū pies mussel pie
The Catering Studio cottage pie
Matakana Smokehouse gravlax/salmon
Our Fruit Box fruit juices
ProLife Foods value packs - nuts, raisins.
YY Dumplings & Fu Yuan ready-to-eat meat products
Waiheke Herbs italian herb spread
We hope this message was helpful in keeping your household safe.