A Wanaka member of the new Real Estate Agents Authority, Joan Harnett-Kindley, believes problems members of the public have with agents will be sorted out more quickly in future.
The Real Estate Agents Act 2008 comes into force today, allowing the new Crown authority to take over the regulatory functions of the industry from the Real Estate Institute of New Zealand.
The authority, of up to seven members, is chaired by Government-appointed Kristy McDonald QC, who recently was chairwoman of the Judicial Control Authority for Racing.
It is responsible for investigating complaints, taking disciplinary action, licensing real estate agents and companies, setting industry standards and providing information about the Act to consumers.
Ms Harnett-Kindley, who was until yesterday a member of the institute's disciplinary board, said the main focus of the change was to provide "more transparency" for consumers, and she believed matters would now be dealt with in a "more timely" fashion.
"I think probably you could say in the past perhaps the institute was a little bit slow in getting things done.
"That's just the way it was."
And she noted "much greater fines" could be imposed under the new legislation.
She said "$750 was about the limit for an individual case under the old Act".
"Under the new Act now, it can be anything up to $100,000."
Consumers could also get compensation.
Ms Harnett-Kindley has been appointed for a three-year term.
She has been helping with preparations for the new authority since July but would not be travelling to Wellington for today's launch.
She understood only the chairwoman of the authority would attend.
In her speech to the launch of the authority, Ms McDonald said the change brought "those working in the real estate industry in line with what is required of other more traditional occupations", with the aim being to raise industry standards and enhance professionalism.
"The authority brings independence, openness and transparency to the regulation of the real estate industry and ensures that consumers are provided with information to assist them."
Ms McDonald said "clear and good communication" was an essential quality of professionalism and would be a feature of the way the authority would operate.
The Government provided the establishment funding of $6.3 million for the authority and its disciplinary tribunal.
The industry will repay the amount over five years, and there will be no ongoing cost to taxpayers.
Real estate changes
• Key changes under the Real Estate Agents Act 2008.
Compulsory licensing and qualifications for agents.
Register of agents showing previous disciplinary action.
Independent and transparent complaints process.
Compulsory code of professional conduct and client care.
Help for consumers buying and selling.
• Licensing people and companies in the real estate industry.
Investigating complaints.
Taking disciplinary action.
Setting industry standards.
Providing information to consumers.
