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MEDIA RELEASE 4 March 2002 |
| Issued by Queensland Resident Accommodation Managers Association Inc | |
| Resort News Article | |
| Managed Buildings and the PAMD - | |
| Holiday Guests have Rights Too | |
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While
QRAMA continues its work to respond to the review of the Body Corporate
and Community Management Act and its amendments and the issues
surrounding the licensing of body corporate managers, further issues
with legislation continue to impact on the industry. QRAMA
has been pleased with the results of the ongoing liaison with the Office
of Fair Trading and the further practical changes being made to
streamline the administrative process with forms and requirements. Since
the GST holiday accommodation input tax issue, the Ansett collapse, the
export market development
grant cases and the PAMD review, there is now a better understanding of
the economic and services contributions made by managed units to the
Queensland and Australian tourist industry. Governments
are now more aware and conscious of the extent of holiday accommodation
and the specialist services provided by resident accommodation managers. Conflict
between selling agents and restricted letting agents has caused problems
for agents, guests, owners and resident managers and a clear
understanding of the rights and objectives of the parties involved needs
to be promoted. Owners
of managed units have a right to sell their property at any time. This
is done by appointing a selling agent. However,
the rights of the selling agent to inspect the property and the
requirement of the letting agent to attract guests to generate income
for the owner and the letting agent can obviously become conflicting
objectives. Under
the Real Estate Agency Practice Code of Conduct in the PAMD Act, clause
37 requires the real estate agency (selling agent) to immediately give
written notice of their appointment to sell to any agent (restricted
letting agent) responsible for the management of the property. This
step is an important new requirement in that no inspection should be
arranged until this written notice is received and the selling agent is
identified. Now
while most owners as a courtesy will inform letting agents of their
plans, at times this does not happen. We
have asked QRAMA members to make sure that they have made owners aware
of all problems, including this activity. Where
the unit has permanent tenants, the position of inspections is addressed
by the requirements of the Residential Tenancies Act. The
Act requires the selling agent to provide to each of the letting agent
and the tenant a copy of the RTA Form 10 “Notice of Lessors Intention
to Sell the Property” on receiving the listing. The Act further
requires an RTA Form 9 “Entry Notice” to be provided to the letting
agent and the tenant for each inspection with a prospective buyer.
Failure to comply under this Act attracts a penalty of $1500 if
prosecuted by the RTA. But
the sale process for holiday units is quite different as there is no
process under any legislation to interrupt the holiday guest. The
holiday guest has the right to a holiday free of hassles of property
inspections. The
letting agent, selling agent and owner must reach satisfactory
arrangements regarding inspection times and possible sale. Holiday
guests have made successful claims for compensation against letting
agents because of their lack of pleasure and enjoyment resulting from
interruptions for property inspections. On
another issue, QRAMA members have raised with the Office of Fair Trading
the issue of real estate agents contravening the PAMD Code of Conduct by
soliciting letting appointments from owners when the real estate agent
should know there is an appointment in force with another agent
(resident manager), in contravention of Code of Conduct sections 12 and
5. There have recently been cases at Maroochydore, Mooloolaba and Bribie Island where real estate agents have sought appointments clearly in breach of the Code of Conduct. This disregard for the Act by real estate agents makes professional co-operation difficult.
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