Introduction
The Code of Conduct is a principle that binds all irwa members. It is the most important founding stone of the association. This document lists the guidelines and a mandatory set of laws that all members have to implement and abide by.
The aim of this Code of Conduct for the members is to maintain the honor and dignity of the fellow members in general and also the Developers, Promoters and Builders to secure the spirit of friendly co-operation between us, the Developers, Promoters and their customers in promotion of highest standards to establish transparency, and fair dealing between all; and to establish a spirit of brotherhood within the Associations and ensure they discharge their responsibilities tot eh community in general.
1. STANDARDS OF PROFESSIONAL CONDUCT
The Realtor must comply with fiduciary obligations to the client.
The Realtor must act in good faith and deal fairly with all parties engaged in a transaction.
The Realtor must not engage in any conduct likely to bring disrepute to the industry.
The Realtor must neither mislead a customer or client, nor provide false information, nor withhold information that should by law or in fairness be provided to a customer or client.
2. DUTY TO REPORT MISCONDUCT OR UNSATISFACTORY CONDUCT
The Realtor who has reasonable grounds to suspect that another realtor has been guilty of unsatisfactory conduct may make a report to the Association.
The Realtor who has reasonable grounds to suspect that another Realtor has been guilty of misconduct must make a report to the Association.
The Realtor must not use, or threaten to use, the complaints or disciplinary process for an improper purpose.
3. DUTIES AND OBLIGATIONS OF AGENTS
The Realtor who is operating as a business must display these rules prominently in the public area of each office or branch , and provide access to them on every website maintained by the agent for the purposes of the business.
The Realtor must make these rules available to any person on request.
4. SUPERVISION AND MANAGEMENT OF SALESPERSONS
The Realtor who is operating as a business must ensure that all salespersons employed or engaged by the agent are properly supervised and managed.
The Realtor who is operating as a business must ensure that all employed or engaged by the agent have sound knowledge of the real-estate practices, regulations, rules issued by the competent Association and other Government legislation relevant to real estate Industry from time to time.
The Realtor who is operating as a business must ensure that his employees engaged are aware of and have the opportunity to undertake any continuing education required by the Association.
5. CLIENT AND CUSTOMER CARE
The Realtor must act in the best interests of a client and act in accordance with the client’s instructions unless to do so would be contrary to law.
The Realtor must not engage in any conduct that would put a prospective client, clients, or customer under undue or unfair pressure.
The Realtor must communicate regularly and in a timely manner and keep the client well informed of matters relevant to the client’s interest, unless otherwise instructed by the client.
The Realtor must not mislead customers as to the price expectations of the client.
The Realtor must take due care to. . .
Avoid risks of damage that may arise from customers or clients that are not the owner of the land or property, accessing the land or property.
Unless authorized by a client, through an agency agreement, the Realtor must not offer or market any land or business, including by putting details on any website or by placing a sign on the property.
The Realtor can operate open listings of properties duly offered by clients thru a mail, letter, etc, and advertise the same thru web, media or putting up sign boards at the property.
6. AGENCY AGREEMENTS AND CONTRACTUAL DOCUMENTS
Before a prospective client, client, or customer signs an agency agreement, a sale and purchase agreement, or other contractual document, the Realtor must
Recommend that the person seek legal advice; and
Ensure the person is aware that he or she can, and may need to, seek technical or other advice and information; and
Allow that person a reasonable opportunity to obtain the advice.
The Realtor must not take advantage of a prospective client’s or customer’s inability to understand relevant documents where such inability is reasonably apparent.
The Realtor must not submit an agency agreement or a sale and purchase agreement or other contractual document to any person for signature unless all material particulars have been inserted into or attached to the document.
The Realtor must advise the client in writing and obtain confirmation by the client that the realtor would claim a commission, were he/she to conclude a transaction for property/properties seen through him/her.
When authorized by a client to incur expenses, the Realtor must seek to obtain the best value for the client.
7. CONFLICTS OF INTEREST
The Realtor must not act in a capacity that would attract more than 1 commission in the same transaction.
The Realtor must not engage in business or professional activity other than real estate agency work where the business or activity would, or could reasonably be expected to, compromise the discharge of his obligations.
8. CONFIDENTIALITY.
The Realtor must not use information that is confidential to a client for the benefit of any other person or of the Realtor.
The Realtor must not disclose confidential personal information relating to a client unless
a. The client consents in writing; or
b. The Realtor is required by law to disclose the information.
9. CLIENT AND CUSTOMER CARE FOR SELLERS’ AGENTS
This rule applies to an agent (and any realtor employed or engaged by the Realtor) who is entering, or has entered, into an agency agreement with a client for the grant, sale, or other disposal of land or a business.
An appraisal of land or a business must
(a) Be provided in writing to a client by the Realtor,
(b) Realistically reflect current market conditions; and
(c) Be supported by comparable information on sales of similar land in similar locations or businesses.
Where no directly comparable or semi-comparable sales data exists, The Realtor must explain this, in writing, to a client.
An advertised price must clearly reflect the pricing expectations agreed with the client.
Relationship between prospective client’s choices about how to sell and Realt or’s benefits.
Before a prospective client signs an agency agreement, the Realtor must explain to the prospective client how choices that the prospective client may make about how to sell or otherwise dispose of his or her land or business could impact on the individual benefits that the Realtor may receive.
10. AGENCY AGREEMENTS.
Before a prospective client signs an agency agreement, The Realtor must explain to the prospective client and set out in writing
a. The conditions under which commission must be paid and how commission is calculated, including an estimated cost of commission payable by the client.
b. when the realtor agreement ends;
c. how the land or business will be marketed and advertised, including any additional expenses that such advertising and marketing will incur:
11. DISCLOSURE OF DEFECTS.
The Realtor is required to discover hidden or underlying defects in land, property and disclose known defects to a customer. Where it would appear likely to a reasonably competent or obtain confirmation from the client, supported by evidence or expert advice, that the land/property in question is not subject to defect in title, etc,.
12. ADVERTISING AND MARKETING.
The Realtor advertises any land or business on terms that are authorized by the client.
13. CONTRACTUAL DOCUMENTATION AND RECORD KEEPING.
The Realtor must submit to the client all offers concerning the lease/rent, sale, or other disposal of any land or property, provided that such offers are in writing.
A Realtor must retain, for a period of 12 months, a copy of every written offers submitted. This rule applies regardless of whether the offer was submitted by the realtor regardless of whether the offer resulted in a transaction.
14. INFORMATION ABOUT COMPLAINTS
An agent must develop and maintain written in-house procedures for dealing with complaints and dispute resolution. A copy of these procedures must be available to clients and consumers.
The Realtor must ensure that prospective clients and customers are aware of these procedures before they enter into any contractual agreements.
15. BROKERAGE
All irwa Members should by default have written communication with all developer/landlords and customers on the fee that has to be paid also clearly mentioning the Government levied/taxes as well. However, if there is a special package offered by builders applicable to all irwa members it should be incorporated in the documentations that we enter into with our customers, the prevailing standard clauses or particulars as prescribed by irwaBangalore’s executive committee.