IEASA National - News

Institute increases membership by eight percent   Article Date :11 Aug 2005 Report from 68th annual general meeting of the IEASA. The Institute of Estate Agents of South Africa (IEASA) recorded an eight percent increase in membership numbers from 5 167 in June last year to a current 5 576 at the end of June, its national president Bill Rawson told committee members attending the body’s 68th annual general meeting in Cape Town on August 4. The number, he noted, could have been substantially higher but for resignations prompted by a fine of R522 400 imposed on the industry’s most powerful body by the Competitions Tribunal for its publication of a recommended commission tariff. Rawson, acknowledging that the fine had been a heavy drain on Institute finances, said it had been ultimately borne by the eight regions, and was still in the process of collection. . The decision to pay the admission-of-guilt fine had been made rather than exposing the body’s members to individual investigations, which had been the only other option offered by the Tribunal. A sour note to the process, and one that had still not been cleared up to the satisfaction of the Institute was that the South African Property Owners Association (SAPOA) appeared to be still publishing commission guidelines in the form of “research surveys”, which Rawson believed was inconsistent with the Tribunal’s treatment of his organisation. An explanation had been sought as the treatment “smacked of favouritism towards SAPOA and/or victimisation of the Institute,” but the lack of a satisfactory explanation by the tribunal had left the Institute no option, but to drop the matter. Rawson, who has gained substantial respect for his commitment to the industry at a time in its history when the Institute’s importance has been downplayed by some of the larger companies, in his address frequently emphasised the Institute’s role to professional education. In an obvious dig at the Estate Agency Affairs Board’s (the industry’s statutory body) tardy processing, Rawson said the Institute was waiting for the implementation of the long-awaited unit standards for national qualifications that had been registered with the SA Qualifications Authority. The EAAB had in fact initiated the process of their development eight years ago and the Institute is now awaiting that body’s decision on when and how to implement them. Consideration was being given by the IEASA to revive its “old” Certificate of the IEA (CIEA) qualification after a 22-year absence, but this can only be done once the standards are made known. Rawson said that while the draft transformation charter for the property sector was likely to be implemented in January 2006 it bore little relevance to the residential estate agency industry. He understood that a separate scorecard was to be produced for the residential property industry. Like other sectors’ charters it is based on five-year objectives and a scorecard with the key points being quotas for black ownership, but its suitability was more focussed on developers and corporate property investors. Rawson noted that the Institute, which was a party to the charter and because it should lead by example, would also have to meet its transformation objectives. This could mean amendments being made to the body’s national and regional articles of association and methods of appointing directors to ensure race quota compliance. Turning to the recently high media coverage given the subject of foreign ownership of local property, Rawson said the Institute had made a formal submission to the Department of Agriculture & Land Affairs Panel of Experts on foreign ownership, which was investigating the issue. “In it we concluded that foreign investment in South African property was modest and that it was a sign of confidence in the country and had a generally positive effect. We also made several recommendations including a definition of “foreign buyer.” The Institute during the period under review maintained its alliances with the Estate Agency Affairs Board, the National Association of Realtors and its representation on the EAAB, the SA Property Education Trust and Services SETA. However, it intended leaving the Services SETA on expiration of the present term, as it was not delivering worthwhile results. Rawson said the Institute was confronted with several challenges in the year ahead. These include increasing membership; playing a leading role in the implementation of the Property Charter and particularly in the consideration of changes needed within the Institute to meet the charter’s targets. It was also important that the Institute adopted a higher profile to ensure it was included with other important property sector role players in the decision-making processes. CLICK HERE TO RETURN TO THE MAIN NEWS PAGE