Today, we shall look into how we can improve to be better, and more competitive in Real Estate Services. One of our required tools to achieve Professional prestige, is by using advance research methods, in making Real Estate reports, studies, and publication of Data and Informations on Real Estate in the Philippines. Credible research surveys and studies are necessary to meet international standards for Real Estate Consultants, as we prepare for the ASEAN Integration.
In our Observation, it is unfortunate for our Filipino Real Estate Consultants , are generally short of the necessary technical and higher academic levels that would be acceptable by the International Real Estate Top players. That is one of the reasons why, it is the Foreign Multinational Real Estate corporations who are engaged in the Service of Property Advisory, who Dominate and have cornered a big market share, in providing Advisory Services to the Top Development Corporations and International conglomerates.
We see that there is the predominant practice also of ” misinformed ” Local Developers who hire unlicensed salespersons with a false and illegal designation; that of using ” real estate consultant ” or ” property consultant” designation.
This illegal practice, is an indicator that the ” abuse” of utilizing the term ” real estate consultant” for one who is just handing out flyers and sales information to the general public. It reflects the lack of appreciation of the true meaning and significance of the Professional Practice of Real Estate Consultancy.
That is why, We are far from being globally competitive and short of technical competence. To illustrate, it is expected that a professional real estate consultant must be well-versed or at least familiar with International Market Research. A book written by C. Samuel Craig and Susan P. Douglas states; “Industry consolidation of research firms has accelerated as they strive to better serve global clients. The Internet has burst on to the scene as an alternative way to gather information and conduct surveys rapidly”
The third edition of the book is completely updated to reflect changes in both the structure and practice of international marketing research.
This is particularly true within the EU and nearby countries, where market integration means that researchers continually face the challenges of conducting research spanning multiple cultures and countries. At the same time, as firms continue to expand operations in Asia and Latin America, the need for information to plan or adopt strategy to these markets is growing.
There is also a Disparity between commercial and academic international marketing research and methods of undertaking field surveys, interviews, data gathering and the like. Commercial research suppliers must respond to this and be able to provide the types of information that businesses require to make accurate and timely decisions.
Another important area that needs to be improved by our licensed real estate consultants is in t areas of Real Estate Finance and Investments, authors, William B. Brueggeman and Jeffrey D. Fisher. They quoted on the book that “This is to understand the risks and rewards associated with investing in and financing both residential and commercial real estate. Concepts and techniques included in investing, development financing, appraising, consulting, managing real estate portfolios, leasing, managing property, analyzing site locations, and managing corporate real estate.
The recent turmoil in world financial markets, which has been closely tied to events in the real estate market, suggests that investors, lenders, and others who participate in the real estate market, need to better understand how to evaluate the risk and return associated with the various ways of investing and lending. This requires an understanding of legal issues that can impact the rights of lenders and investors, the characteristics of the various vehicles for lending and investing in real estate, the economic benefits of the loan or investment, the importance of the local economy where properties are located and the goals of the particular lender or investor.
Republic Act No. 9646 or also known as “Real Estate Service Act (RESA)” Law develop and nurture through proper and effective regulation and supervision a corps of technically competent, responsible and respected professional real estate service practitioners whose standards of practice and service shall be globally competitive and will promote the growth of the real estate industry.
Real estate consultant is a duly registered and licensed natural person who, for a professional fee, compensation or other valuable consideration, offers or renders professional advice and judgment on: (1) the acquisition, enhancement, preservation, utilization or disposition of lands or improvements thereon; and (2) the conception, planning, management and development of real estate projects.
In Article IV Section 29 of RA 9646 or RESA Law, “no person shall practice or offer to practice real estate service in the Philippines or offer himself/herself as real estate service practitioner, or use the title, word, letter, figure or any sign tending to convey the impression that one is a real estate service practitioner, or advertise or indicate in any manner whatsoever that one is qualified to practice the profession.
Base on Real Estate Service Act (RESA) Law, Article 3 Section 12 or the “Licensure Examination”, that every applicant seeking to be registered and licensed as a real estate service practitioner, except a real estate salesperson, shall undergo an examination as provided for in this Act. Examinations for the practice of real estate service in the Philippines shall be given by the Board at least once every year in such places and dates as the Commission may designate.
An examination shall be given to the licensure applicants for real estate consultants which shall include, but not limited for real estate consultants. Fundamentals of real estate consulting; standards and ethics; consulting tools and techniques, which include project feasibility study and investment measurement tools; real estate finance and economics; real estate consulting and investment analyses; consulting for specific engagement, which includes consulting for commercial, industrial, recreation and resort and hotel properties, and consulting for government and corporate and financial institutions; land management system and real property laws; and any other related subjects as may be determined by the Board.
In Conclusion, I would like to suggest and urge our Professional Real Estate Consultants need to associate and unite. This can be done by way of Higher Academic Institutions or forming a Real Estate Research Academy. This way, the Real Estate Consultant may undertake Advance Studies at par with International and Global Standards of Research. Having Group discussions, Round Table Meetings and form a ” Think Tank ” group of Real Estate Experts who specialize in Real Estate Finance, Economics, Markets, LAW , Geology, Geography and other disciplines.
Real Estate Finance and Investments by William B. Brueggeman and Jeffrey D. Fisher
International Marketing Research by C. Samuel Craig and Susan P. Douglas