Property & Real Estate

The Act defines a real estate agent as a person (whether or not the person carries on any other business), who for reward (whether monetary or otherwise), carries on business as an auctioneer of land or as an agent:

a) for a real estate transaction – ie. the purchase, sale, exchange, lease, assignment or other disposal of land, whether or not an auction is involved or
b) for inducing or attempting to induce or negotiating with a view to inducing any person to enter into, or to make or accept an offer to enter into, a real estate transaction or a contract for a real estate transaction or
c) for the introduction, or arranging for the introduction, of a prospective purchaser, lessee or licensee of land to another licensed agent or to the owner, or the agent of the owner, of land or
d) collecting rents payable in respect of any lease of land and otherwise providing property management services in respect of the leasing of any land or
e) for the sale or purchase of rural land with an area of up to 20 hectares or
f) for a buyer or
g) for the sale of residential premises in a retirement village.
A licence holder who wishes to act solely as a buyer’s agent may have a condition placed on their licence noting that they may only act as a buyer's agent.

The Act defines a stock and station agent as any person (whether or not the person carries on any other business) who, for reward (whether monetary or otherwise), carries on business as an auctioneer of rural land or livestock or as an agent for:

a) performing the functions of a real estate agent in relation to rural land or
b) a livestock transaction (the purchase, sale or other disposal of livestock, whether or not an auction is involved) or
c) inducing or attempting to induce or negotiating with a view to inducing any person to enter into, or to make or accept an offer to enter into, a livestock transaction or a contract for a livestock transaction or
d) providing agistment for livestock or collecting of fees for the agistment of livestock.

The Act defines a business agent as any person (whether or not the person carries on any other business), who for reward (whether monetary or otherwise), carries on business as an agent for exercising any of the following functions:

a) selling, buying or exchanging or otherwise dealing with or disposing of businesses or professional practices or any share or interest in or concerning or the goodwill of or any stocks connected with businesses or professional practices
b) negotiating for the sale, purchase or exchange or any other dealing with or disposition of businesses or professional practices or any share or interest in or concerning or the goodwill of or any stocks connected with businesses or professional practices.

The Act defines an on-site residential property manager as a person (whether or not the person carries on any other business) who, for reward (whether monetary or otherwise):

a) carries on business as an agent for giving possession of residential premises under a lease, licence or other contract or
b) carries on business as an agent for collecting bonds, deposits, rents, fees or other charges in connection with any such lease, licence or other contract.

An on-site residential property manager’s licence is subject to the condition that the licensee must not carry on business as an on-site residential property manager in respect of premises unless:

a) the licensee’s principal place of residence is situated at those premises and
b) the licensee owns, or has an interest prescribed by the regulations in, that principal place of residence.
This condition prevents a person from being an on-site residential property manager for more than one residential complex. To do that, a person must hold a real estate agent’s licence.

Salespersons and registered managers require a certificate of registration and must not act as or exercise any of the functions of a real estate salesperson, stock and station salesperson, business salesperson or registered manager unless the person does so as an employee of the holder of a licence under the Act.

The Act defines a registered manager as a registered strata manager, registered community manager or registered on-site residential property manager.

The Act defines a registered strata manager as a person (other than the holder of a strata managing agent's licence) who, as an employee of a strata managing agent or a corporation that carries on the business of a strata managing agent:

a) exercises any of the functions of a strata managing agent or
b) engages in any other activity that is prescribed by the regulations for the purposes of this definition.

Similar definitions in the Act describe a registered community manager and a registered on-site residential property manager.

For the purposes of the Act, a person who acts as a community managing agent or a strata managing agent must hold a strata managing agent’s licence.

A community managing agent is a person who is engaged or appointed, for monetary or other reward, to exercise the functions of an association constituted for a scheme under the Community Land Development Act 1989, or any other function that is prescribed by the regulations under the Act.

A strata managing agent is a person (whether or not such person carries on any other business) who, for reward (whether monetary or otherwise), exercises any function of an owners corporation within the meaning of the Strata Schemes Management Act 1996 or any other function that is prescribed by the regulations under the Act.

A person who wishes to carry on business as a conveyancer must hold a conveyancer’s licence issued by NSW Fair Trading, unless they are a legal practitioner. A corporation can also hold a conveyancer’s licence.

A conveyancer’s licence permits the licence holder to carry out certain legal work in relation to property transactions, such as:
- a sale or lease of land
- a sale of a business
- the grant of a mortgage or other charge on property.

Conveyancing work may involve preparation of documents such as leases and contracts, giving advice on conveyancing documents, exchanging sale contracts, organising surveys and building inspections, arranging registration of title documents and attending settlement.

A licensed conveyancer with an unrestricted licence can carry out a range of work including residential and commercial property conveyancing, preparing and advising on mortgages, the sale of businesses and the sale of rural property. Holders of restricted licences are limited to doing work relating to specific kinds of transaction eg. residential conveyancing.

A conveyancer is not authorised to carry out work for the purpose of:

- a non-residential mortgage exceeding $7 million
- commencing or maintaining legal proceedings
- establishing a corporation or varying the memorandum or articles of association of a corporation
- creating, varying or extinguishing a trust
- preparing a testamentary instrument
- giving investment or financial advice
- investing money (other than in a trust account in accordance with Part 5 of the Act).