How to Become a Qualified Real Estate Agent in South Africa
Category News
At one time, getting qualified as a real estate agent was fairly easy but today that is no longer the case. There are several steps in this process each of which must be completed within a specific but limited time-frame and must meet with the educational requirements stipulated by the applicable regulatory body.
The regulatory body for estate agents in South Africa, the Estate Agency Affairs Board (EAAB). (https://www.eaab.org.za/) ensures "that all persons carrying out the activities of an estate agent as a service to the public are registered with the EAAB. A fidelity fund certificate, which is to be renewed each year, is issued as evidence of such registration and confirmation that such person is legally entitled to carry out the activities of an estate agent".
Let's have a look at the process of becoming a qualified real estate agent in South Africa.
1. Find Employment at an Estate Agency
Find employment with an Estate Agency. At this stage you will be classed as an intern estate agent and will begin your 12 month internship.
2. Register with the Estate Agency Affairs Board (EAAB)
Register as an intern agent with the EAAB in order to receive a Fidelity Fund Certificate (FFC) by providing the following:
- Completed application form.
- Certified copy of a valid South African ID book OR a certified copy of a valid passport, and valid work permit, if not a South African.
- Payment or proof of payment required for this registration.
- Official Letter of employment signed by the Principal of your firm.
Your FFC certificate must be renewed annually, if remaining in the industry.
3. Complete the 12 Month Internship
Internship is an obligatory continuous period of 12 months from the date of the first issue of your FFC. During this period, you will gain relevant practical and theoretical knowledge of the industry under the mentorship of the principal/coach/supervisor assigned to assist you. You will undergo training on, and gain practical knowledge of, the following: Industry, Law, Finance, Marketing, Management, Administration, and Paralegal.
Intern estate agents must complete and maintain 2 files - a Logbook and a Portfolio of Evidence (PoE).
The Logbook will contain completed activities which are signed-off by the mentor.
The Portfolio of Evidence (PoE) is aligned with the prescribed logbook activities and will contain all the "naturally occurring workplace evidence generated over the twelve month internship period" and will reflect "the workplace learning experience of the intern estate agent" such as:
- Listings completed
- Show houses arranged with registers
- Mandates negotiated
- Sales/lease contracts concluded
- Property values established
- Agendas for and meetings/training attended
- Proof of time management and time/log sheets
At the end of your 12 month internship, you must submit the PoE and Intern Logbook to the EAAB for assessment.
4. Complete NQF 4
The intern estate agent must also:
- complete their FETC (the Further Education and Training Certificate) in Real Estate at level NQF 4 through an accredited provider and
- receive a certificate of competence from Services SETA, the Services Sector Education and Training Authority (SSETA).
The NQF4 covers the following topics:
- Estate Agency Affairs Act and Code of Conduct
- Real estate product and services
- Legal environment - acts
- Legal environment - contracts
- Financial process FICA/tax/accounting
- Marketing and selling/leasing - immovable property
- Estate agency management
- Agency administration and systems
- Paralegal environment
This NQF4 qualification has 150 credits, which equates to approximately 1 500 hours of study needed to complete the course. SSETA requires 30% of the study time to be spent in the classroom and the rest to be self-study which allows the intern estate agent to complete the course at their own pace but within the stipulated time-frame.
All interns are required to complete the FETC Real Estate (NQF4) within the first 12 months of the first issue of their Intern Fidelity Fund Certificate (FFC).
5. Complete the PDE4 (Professional Designation Examination)
Once the intern has successfully complied with the Intern Logbook and has had their the NQF4 approved by SETA, the intern estate agent may apply to the EAAB to write the Professional Designation Examination for non-principal estate agents (PDE4), which combines a test of industry knowledge and a case study..
As per the Education Regulations, no person may be registered as a full status estate agent unless that person has successfully completed the PDE4 conducted by the EAAB.
To successfully complete the PDE4
- Interns need to achieve 65% or more in order to pass and be certified.
- Upon passing PDE4, the intern's status will be upgraded to a full status and designated as a Professional Practitioner in Real Estate (PPRE).
- Once upgraded to a PPRE, the intern estate agent may operate independently within the company they are employed by.
All intern estate agents must upgrade from an intern estate agent to full status within a 24 month period as no intern estate agent will be allowed to renew their FFC beyond the 24th month.
And still it doesn't stop here...
Continuing Professional Development (CPD)
All registered full status agents need to continue to maintain their status and professional designation. To do this, they are required to accumulate and maintain 60 CPD points in a rolling 3 year cycle (about 60 hours of training).
They earn these CPD points by attending road shows, talks or seminars presented by the EAAB across South Africa on relevant topics such as new legislation, changes, updates and amendments. This way the EAAB ensures that all agents are familiar with and stay abreast of the ever-changing real estate industry regulations, as well as any new laws and acts.
Qualifying as a full status real estate agent, or PPRE, is not for the faint-hearted as prospective real estate agents will not only have to balance their work and home life but will also have to make time to complete the required studies.
For more information on becoming a qualified real estate agent contact us:
https://www.homesofdistinction.co.za/
To contact us, follow the link: https://www.homesofdistinction.co.za/
To contact one of our Real Estate Agents, follow the link: https://www.homesofdistinction.co.za/agents/
Author: LV Digital
