Piotr Oleinik, Dmytro Tereburke
The question is topical. When buying or renting real estate, citizens are far from indifferent to the professional level of the person to whom they turn for mediation, often entrusting him with their only asset.
In 2023, real estate market participants again raised the issue of the need for a special law. At that time, according to some estimates, there were about 40-45 real estate agencies and about 1.5 thousand agents providing such services in Moldova. But no one really knows how many of them there are, as the entry into the market is not regulated in any way. This not only creates risks for clients, disloyal competition, etc., but also contributes to abuse, lack of transparency in real estate transactions and difficulties in protecting consumer rights, according to the initiators of the draft law.
The deputies refer to the practice of developed European countries, in which the profession of real estate agent is regulated by one or another model.
Among the main provisions of the bill – the establishment of specific conditions for access to the profession, which implies the mandatory receipt of real estate agents certificate of professional competence issued by an accredited educational institution. In the “Real Estate Price Register” system, a “Real Estate Agents” module will be created, which will include certified agents.
Real estate agents will be required to enter into written contracts with clients, specifying the rights and obligations of the parties. In addition, they are required to provide accurate and transparent information about the properties they work with and to comply with rules governing the protection of personal data. Unfair commercial practices, such as misleading advertising or the use of hidden fees, are prohibited.
Offenses related to the activities of real estate agents will be identified and dealt with by the State Inspectorate for Supervision of Non-Food Goods and Consumer Protection. And the Agency for Geodesy, Cartography and Cadastre is authorized to regulate, certify and control the activities of realtors and real estate intermediaries.
However, not all real estate market operators unequivocally perceive the introduction of the new law. Moreover, some do not see any need for it.
“I do not see anything positive in this law, – says the director of real estate agency Nika Imobil Petr Oleynik. – I agree that there are unscrupulous agents, but there are such participants in any kind of activity. But this does not mean that each must write its own law. Some countries have a law on real estate activity, while others do not. We have a one-gate game. The state tightens the regulation of economic entities, but does not provide any assistance in their activities”.
He notes that a real estate agent is not a profession, it is a service. And the service is very difficult to regulate. And where it is regulated, the client must also fulfill his responsibilities. That is, the responsibility should be two-sided.
In the US, for example, if a realtor has entered into a contract with a client to buy or sell real estate, and the client refuses the deal, he is obliged to pay compensation.
“I am not saying that no order is needed, it is needed,” the expert believes. – But it can be achieved not by an additional law, but by strict compliance with existing ones. After all, there is the Civil Code, the Law on Entrepreneurship and Enterprises, the Code of Administrative Offenses, etc., in accordance with which it is possible to punish unfair activities”.
At the same time, the executive director of the Society of Independent Appraisers of the Republic of Moldova, Dimitri Tăreburca, believes that the bill demonstrates a limited understanding of the role of real estate in shaping the socio-economic structure of the state. “The focus on legalization, database and certification is certainly important, but does not cover the broader aspects of real estate’s influence on territorial development and value creation. Agency activity, under the proposed draft law, is reduced to buying and selling operations in Chisinau and its surroundings, ignoring its potential in optimizing the use of land resources, stimulating investment in infrastructure and creating a favorable environment for innovation.”
In his opinion, agency activity should be aimed at improving the efficiency of real estate use, not just mediating transactions. Without taking these factors into account, the law risks becoming a formal instrument unable to have a significant impact on the development of the real estate market and the economy as a whole.
Dmitri Tereburke is sure that the consequences of the adoption of this law may stop the rudiments of market development, lead to a decrease in investment attractiveness and inefficient use of land resources. The creation of certified but incompetent agents, as in the case of the Law “On Appraisal Activity”, will lead to the devaluation of professional standards and a decrease in confidence in the real estate market.
