News Release Archive
NEWS RELEASE (CNS982) -->> BUSINESS AND CONSUMER SERVICES--REAL ESTATE TRADING ACT BUSINESS AND CONSUMER SERVICES--REAL ESTATE TRADING ACT ------------------------------------------------------------- The Nova Scotia government is enabling the province's real estate industry to become self-regulating, a move that will benefit real estate buyers and sellers, taxpayers and the industry. The Real Estate Trading Act, recently passed by the provincial legislature, will empower the Nova Scotia real estate industry to regulate itself, including the licensing and setting of professional standards for its members. "Right now, the taxpayers of Nova Scotia are subsidizing the regulation of the real estate industry," Business and Consumer Services Minister Sandy Jolly said. "The industry has been asking government for some time now to allow it to regulate itself, as is done in six other provinces." Real estate sales persons are licensed by the Consumer and Commercial Relations Division of Business and Consumer Services. Division staff also investigate complaints and, if necessary, conduct hearings into disciplinary matters. These and other administrative matters will become the responsibility of the Nova Scotia Real Estate Commission, whose members will be appointed from government, the real estate association and licensed sales persons. The commission will also eliminate confusion and duplication by creating a single point of contact for the public for real estate issues, rather than the two that exist today: the Nova Scotia Real Estate Association and government. Ms. Jolly said the industry has shown it is ready for this responsibility. "The Real Estate Brokers Licensing Act had not kept pace with the changes in the industry, and Nova Scotia's real estate professionals have made up for this by introducing their own measures to protect buyers and sellers," she said. For example, the Nova Scotia Real Estate Association has established a code of ethics for sales persons and brokers. Also, a potential buyer must sign a form indicating that he or she consents to a sales person acting on behalf of both the buyer and the seller. Both these items are not covered by current legislation but are initiatives of Nova Scotia's real estate professionals. In 1994-95 the government held only five hearings involving the province's 1,350 agents and brokers. Also, licensing agents is a fairly routine matter once the applicant passes the examination. "With this in mind, our staff and financial resources could be put to better use protecting consumers where it is really needed," the minister said. "The public will still have representation on the new commission, just as the public is represented on the self-governing bodies of the legal and medical professions. "This is another example of government getting out of a business it shouldn't be in, and focusing our resources where they are most needed," Ms. Jolly said. It costs the province approximately $160,000 annually to administer the current process, but it only takes in $50,000 in licensing fees. Speaking on behalf of the industry, Marg Bowlen, president of the Nova Scotia Real Estate Association, said realtors support the legislation. "This is the most important regulatory change in the past 40 years to effect the real estate business, both for industry members and the public," she said. -30- Contact: David MacNeil 902-424-2933 mfm Dec. 27, 1996 - 2:30 p.m.