Property 24.
You might have heard about a ‘qualified real estate agent’ or perhaps even considered a career in the property industry, but chances are you started and then discarded your search due to all the jargon used, or the various resources you needed to work through in order to get the full picture.
“We take an in-depth look at the process and what a real estate specialist has to do in order to earn their commission,” says Lara Machado, sales trainer at Engel & Völkers Southern Africa. “Getting qualified as an estate agent today is not as easy as it was in the past.”
She says it is imperative for an aspiring estate agent to be provided with the correct training opportunities, so they are well equipped to earn a decent income working in an industry that is extremely competitive.
Machado shares insight on what you need to know before you get started:
Definitions:
Who needs to have a real estate qualification?
A real estate qualification is required by anyone who buys or sells property as a profession or:
What costs are involved?
As with any professional qualifications, there are fees applicable and the costs are not payable all at once, but rather at the various stages of the process. The total in fees for the two-year period is approximately R25 000.
What are the basic requirements?
The intern estate agent needs to complete the 12-month internship of being mentored by a professional and experienced estate agent. This requirement will ensure the intern is provided with a personal record of all practical tasks completed and experience gained at the workplace.
The intern estate agent must complete their Further Education and Training Certificate (FETC) in Real Estate at level NQF 4 through with an accredited provider and receive a certificate of competence from the Services Sector Education and Training Authority (SETA).
Lastly, an intern must also write and pass the Professional Designate Exam (PDE) after they have been found competent by Services SETA in their NQF Level 4 portfolio of evidence.
If an agent wants to further extend their education in order to become a principal and run their own business, they must be found competent in NQF level 5 and PDE level 5.
It will take between two to three years for an intern estate agent to complete the whole process and three to four years for a principal. An intern agent may sell property in the meantime, but no legal documentation – mandates or contracts – may be signed off without the presence of the principal or full-status agent.
Professional, registered designations are as follows: Professional Practitioner in Real Estate (PPRE) (PDE 4) and Master Practitioner in Real Estate (MPRE) (PDE 5).
The 5-step process
Step 1: Apply for a position at a registered estate agency as an intern
All persons seeking to enter the real estate agency profession are required to serve as intern estate agents, acting under the supervision of a principal estate agent or of a full-status estateagent who has continuously held a valid fidelity fund certificate issued by the EAAB for a period not less than three years, thereby creating a mentor-protégé relationship, regardless of any academic, professional or other qualifications which they may hold.
Once the potential intern estate agent has decided on an employer of choice, they will still need to apply for the position, and go through the interview process.
“We have set a procedure of interviews which are completed before we select our agents, as we only take on individuals who will live up to the company values. The first interview after receiving a CV will be a telephonic one, if you meet the basic criteria, you will be invited for an official interview,” says Craig Hutchison, CEO of Engel & Völkers Southern Africa.
“Should a candidate pass the second phase, they are given an online test to complete which aids us in ensuring the candidate will be successful. This is quite an important step, as the choice of employer could determine the success or failure of the potential intern estate agent.”
Step 2: Register with the Estate Agency Affairs Board (EAAB)
Once the intern estate agent has successfully been employed, they need to register as an intern agent with the Estate Agency Affairs Board (EAAB) to receive their ‘intern’ Fidelity Fund Certificate (FFC).
In order to register, a candidate needs to lodge a completed application comprising of:
Step 3: Complete your 12-month internship
All new entrants to the estate agency profession are obliged to serve as intern estate agents for a continuous period of 12 months from the date of the first issue of their FFC.
The aim of the compulsory internship period is to equip the intern estate agent with the relevant practical and theoretical workplace knowledge required to operate successfully in the sector. Each intern has to undergo training and practical knowledge of all of the following: Industry, Law, Finance, Marketing, Management, Administration, and Paralegal.
The intern estate agent is expected to complete and maintain a logbook in which accomplished activities are recorded and signed-off by the principal/mentor/coach/supervisor assigned to assist and provide the intern with logistical support during the internship period.
Tasks recorded in the logbook include:
Step 4: Complete NQF 4 through an accredited provider (150 points / 1 500 hours)
It is expected, that after having served as an intern estate agent for a continuous period of 12months and having been certificated against the FETC: Real Estate, the newcomer to the sector will have attained a similar degree of knowledge, skills and expertise as a practitioner who hasalready been active in the estate agency profession for quite some time.
What topics are covered in the NQF4?
The criteria for NQF4 qualification
The entrant must complete their internship training NQF4 Qualification with an accredited provider and receive a certificate of competence from services SETA.
The intern estate agent must maintain a Portfolio of Evidence (PoE) reflecting the various estateagency functions and activities that have been undertaken and performed during the course ofthe internship period. The PoE & Intern logbook is submitted to the EAAB for assessment and granting of NQF 4 status:
The Portfolio of Evidence (“PoE”)
Exemption:
Should the intern estate agent apply for exemption, their application will also be included in their PoE, and the following documentation should be added:
Some approved Institutions are:
UNISA
National Diploma: Real Estate
www.unisa.ac.za
University of Johannesburg
National Diploma: Real Estate
www.uj.ac.za
University of Cape Town
Bachelor of Science: Property Studies
www.uct.ac.za
Institute of Estate Agents of South Africa
Various Courses
www.ieasa.org.za
Assessment and Training Centre (ACEA)
Various Courses
www.assesscent.co.za
Agent Training
Various Courses
www.agenttraining.co.za
Estate Agent Training Academy
Various Courses
www.eata.co.za
MSE Training
NQF 4: National Certificate: Real Estate; NQF 5: National Certificate: Real Estate
www.msetraining.co.za
Step 5: Write and pass your Professional Designate Exam (PDE4)
The PDE is an integrated test of knowledge and case study for estate agents. After the internship or after the 8th month, the intern estate agent may apply to take their PDE4 exam with the EAAB.
After successful submission of the logbook and PoE, the intern will be allowed to enrol and undertake the Professional Designation Examination for non-principal estate agents (PDE4). TheEducation Regulations provide that no person may be registered as a full-status estate agentunless that person has successfully completed the PDE4 conducted by the EAAB.
The criteria for PDE qualification
Earning CPD points
Continuing Professional Development (CPD) is the future in real estate, as it is in most other professional industries. This happens via road shows and seminars presented by the EAAB across South Africa on relevant topics including new legislation, changes, updates and amendments.
It helps all agents and principals to stay abreast of ever-changing industry regulations relating to real estate, as well as new laws and acts. In order to maintain status and professional designation, every registered agent/principal is required to accumulate and maintain 60 CPD points in a rolling 3-year cycle (equivalent to 60 hours of training).
“The process of becoming a Professional Practitioner in Real Estate may seem to be a long, tedious and intimidating one. We understands it is crucial for an intern estate agent to be provided with all the necessary tools, guidance and on-going training to assist them every step of the way,” says Hutchison.
For the full guide, visit the website.
Engel & Völkers is recruiting!
Have you made your mark and looking for a career change? We are recruiting professionals now!
Contact Clarence van Vuuren for a confidential interview on 072 628 9407, or submit your CV to Stellenbosch@engelvoelkers.com.