Special category of valuers to be created to facilitate the registration of suitably qualified estate agents



The Institute of Valuers of South Africa (IVSA) has supported a request by the Institute of Estate Agents of SA (IEASA) that a special category of valuer be created to facilitate the registration of suitably qualified estate agents for single residential valuations. The request was made by the IEASA to the South African Council for the Property Valuers Profession (SACPVP), which is the statutory body for valuers. The subject was discussed at a December meeting in Pretoria between representatives of the three bodies as a direct result of IEASA investigations establishing that anyone can legally value residential property valuations for capital gains tax purposes. SAIV president Philip de Sylva writing in a lead article in the South African Valuer says, the national executive of the IVSA had decided a special (valuer) category ought to be created in addition to that of Professional Associated Valuer or Professional Valuer. However, he says that certain criteria will have to be met by estate agents. These have still to be formulated and finalised. De Sylva, who notes in his personal capacity the likelihood of the SACPVP creating a special category for suitable qualified estate agents, says he believes every possible attempt should be made to encourage estate agents to become valuers. "In so doing, we are promoting the profession, we are protecting the public's interests and also improving standards of professionalism." He also commends the IEASA for their responsible approach to the issue of valuations for capital gains tax purposes. De Sylva airs serious concerns in the article that the decline in the number of valuers in recent years means the profession will not be a position to meet the demand for single residential valuations imposed by CGT and the Property Rating legislation. He calls for a review of the current practice of registration in order to encourage new recruits. The national executive of the IVSA has recommended to the SACPVP that estate agents meet the following criteria before being allowed to do single residential valuations. * Exemption of accreditation for at least six subjects from the National Diploma for Property valuations to be mandatory. *Estate agents must be mentored (i.e. valuations will be supervised pending registration). * Estate agents must pass the EAAB fundamentals of estate agency and Certificate of Estate Agency exams. * Estate agents must pass the practical examination set by the SACPVP. * Agents must attend the amended Practical Work School of the SACPVP as presented by the SAIV. * Agents must submit a synopsis of all properties valued as a candidate valuer. * Estate agents registered by the SACPVP in terms of the special category to be created will be restricted to the valuation of single residential property and to the residential area in which they are active. * Valuations undertaken by agents registered by the SACPVP in terms of the special category to be created will be restricted to purposes for buying/selling and capital gains tax an they will not be permitted to undertake valuations for mortgage bond purpose. ·An 'Oupa" type of registration process is being considered by estate agents with at least five years experience. Article: 4 April 2002 RodneyHayter The Property Professional On-line Edition 41 email: hayter@icon.co.za