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  • Profile photo of DaVinci Property GroupDaVinci Property Group
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    @davinci-property-group
    Join Date: 2011
    Post Count: 1

    Investing in Real Estate is no different to other types ov investment, but I certainly agree that compared to other industries, there is a BIG gap in legislative requirements.

    Real Estate assets are usually the largest and most expensive 'investments' a consumer will make in their lifetime.

    Just like the financial planning industry, that contains MANY ex insurance salespeople that have 'grandfathered' their way through the education process (and subsequently should not be allowed to offer advice to a house cat), there are a lot of cowboys in the RE industry also.

    The solution, I believe, would seemingly be pretty straight forward.

    A higher level of education/qualification and a separate professional certification for RE agents that are able to sell to investors.
    Each state currently requires that the purpose of the property be stated at the time of purchase to determine stamp duty etc ie Owner occupied OR Investment use. If the Investment box is ticked, then the agent should be required to hold an 'Investment property sales' qualification.

    I have met countless agents that have no idea how to calculate a rental return, a yield or understand the difference between the two. That is honestly a disgusting situation, and should not be allowed to continue.

    Even a basic 'cash flow assessment' should be provided, for the borrowers and agents protection.

    I think that the ethical and experienced operators out there would welcome a higher level of training.

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