The Real Estate Agent Act 2008 comes into force tomorrow
and is touted to significantly alter industry practice.

The Act changes the duties imposed on estate agents and creates a new complaints process, and also creates a new authority for hearing complaints.

Agents will be obliged to advise clients that they could and might need to seek legal advice before signing a contract.

Real Estate Institute of New Zealand president Peter McDonald insists the industry welcomes the move.

Dunedin based Solicitor Anna Irving says the new rules mean agents will no longer be able to take advantage of a client or purchaser’s inability to understand a contract.