Real estate ethics is the set of rules and fundamentals that regulate the conduct of the different actors in the real estate sector, in order to guide relationships in the sector along a fair, correct path in which the common good is put before.
In real estate ethics there are moral bases to guide good behavior, comparing the possible gaps left by the law and that must be filled to guarantee a fairer activity without deviations.
In each country there is a code of real estate ethics by which agents and professionals in the sector must abide, however, each agency or independent professional could add a code that has a greater scope and attached specifications.
Points that the ethical real estate advisor does not forget:
Values such as respect, honesty and loyalty prevail in real estate codes of ethics. These apply in the different business relationships, with colleagues, customers, society and the state.
1. Don’t lie about costs to your customers
Within Article 2 of the ANPI code of ethics, it is clearly mentioned about the obligation that real estate developers or agents have to provide truthful and complete information about real estate. This includes both property and transaction costs such as fees, taxes, and administrative costs.
In the same way and as mentioned in Article 12 of the same document, the agents must mention the price and all the characteristics inherent to the property in the advertisements, notices and communications about the properties. All this information must be verifiable.
2. Do not set aside properties
To separate a property, the real estate agent must adhere to the legal aspects that make said separation official, such as a purchase or sale contract.
This practice should never occur informally, as it would be incurring an ethical breach that goes against equal opportunity for potential buyers and may put the seller’s interests at risk.
3. Do not hide vices of the properties
It is true that the real estate agent is not obliged to discover latent defects in the properties or to advise buyers on areas that are beyond their knowledge and skills, however, they do have an ethical obligation not to hide those details or irregularities of the properties. have knowledge.
As indicated in Article 14 of the code, the real estate developer must protect the public from fraud and practices of dubious reputation, informing the competent authorities and warning clients about this type of finding.
4. Do not lie in the valuation
The first thing to keep in mind is that a professional and ethical real estate agent will never perform a valuation or pricing without the specialized knowledge and legal permission to do so.
Now, the agents who are legally authorized to carry out the valuation must act with total transparency and make use of their knowledge of the market and of the different classes of properties to make an honest and fair assessment based on professional criteria.
5. Advise assertively
The real estate agent must be permanently trained and updated in the regional and national market in which they carry out their activity. As well as in the different areas inherent to his trade, such as real estate legislative and fiscal, in the different types that he sells.
The foregoing, in order to be able to give an assertive judgment and advice that really adds value to its clients, and with this they can make better decision-making.
In the same way, the real estate agent must refrain from giving judgments or recommendations on areas that are not within their competence and that could be taken as a personal, non-professional judgment.
6. Show loyalty to your real estate allies
Within the code of ethics, obligations are contained in relation to real estate developers and colleagues, in which loyalty is privileged as a fundamental value.
What it is about, is to show respect and show a moral commitment towards industry partners and colleagues who are engaged in the same activity, in order to maintain positive relationships among all and healthy competition.
Some of the practices that the code mentions and that can guide you on what this loyalty towards real estate allies and other colleagues means are:
- Avoid unfounded judgments about other professionals or real estate companies.
- Respect the exclusivity contracts of colleagues.
- Respect the free development of activity in allies and colleagues.
- Do not carry out unfair competition practices.
- Do not negatively influence colleagues’ clients for private gain.
Real estate ethics distinguishes the best agents
The high competition that exists in the real estate industry requires generating added value to stand out. One of the best ways to do this is with an ethical activity that reflects the professionalism and transparency sought by consumers in this sector, in which investment is very high and a high sense of confidentiality and trust is required.
Real estate ethics is a set of rules and principles that agents and different actors in the sector must abide by in order to gain credibility and position themselves in the long term.
Within the code of ethics that defines each country, there are common values such as respect, honesty and loyalty, towards clients, colleagues, the general public and society.