Australian Real Estate Law and Market

This assignment delves into the complexities of Australian real estate law and its influence on the market. Students are tasked with examining legal frameworks governing property transactions, understanding concepts like property rights and contracts, and analyzing relevant case studies. The assignment encourages critical thinking about market trends, competition laws, and the impact of regulations on the real estate industry in Australia.

Office use only
Date received Method of receipt
E-mail
Post
Fax
Assignment Box Level 4
Assignment Box Ground Floor
Hand Delivered
CPPDSM4080A Work in the real estate industry
CPPDSM4008A Identify legal and ethical requirements of property sales
CPPDSM4007A Identify legal and ethical requirements of property management

CPPDSM3019B Communicate with clients as part of agency operations
STUDENT
DECLARATION
I hereby submit these assessment tasks for the unit listed above and certify
Y
e
s
 that all work contained therein has been completed by me
Y
e
s
 that no part thereof has been completed or copied from any other person
Y
e
s
 I have referenced and/or acknowledged all necessary authors
Y
e
s
 I have kept a copy of my assessments
Y
e
s
 I understand REINSW is not responsible for assessments lost in transit
Y
© REINSW CORC Course Assessment v1 October 2016 Page 2 of 65

e
s
 I will resubmit at my own cost and time in the event I do not keep a copy of my
assessment
Y
e
s
 I understand that REINSW will provide my employer upon request, access to my training
records and results (where the employer is funding this learning)
Y
e
s
 I understand that federal and state agencies have the right to access any of my assessment
materials for auditing and monitoring purposes
Y
e
s
 I consent that REINSW may use my de-identified assessment for internal moderation and
validation purposes
Y
e
s
 I understand that if a third party requests my results that REINSW will only do so with
my written permission
Y
e
s
Student Full Name (print)
© REINSW CORC Course Assessment v1 October 2016 Page 3 of 65

Student ID
Contact Number
Home Address
Student Signature Date
© REINSW CORC Course Assessment v1 October 2016 Page 4 of 65

STUDENT INSTRUCTIONS
1. I have read the Student Handbook found at: http://www.reinsw.com.au/Student-
Handbook/default.aspx
2. I will keep my documents safe and secure at all times
3. If I am unclear of any part of this process, I will contact the REINSW Assessment
Centre
Phone: [phone]
Email: [e-mail]
4. I will answer all questions using the Study Guide and/or Information as reference
tool.
Note: the number of lines provided for each response is indicative only and it is not
a requirement that you fill all lines
5. Where necessary, I have attached supporting documents which are clearly identified
in line with the specific question
6. Where required, I have completed any agreements, forms and contracts required for
this assessment. I have done so in FULL and understand that partial completion
will not be accepted
7. I have read, dated and signed the Student Declaration at the front of this Assessment
8. I have authenticated this work is mine and signed each page of this assessment
9. I have taken a photocopy of my completed Assessment and any written
submissions.
Note: REINSW take no responsibility for lost assessments during transit.
10. I will return my completed assessment to:
Post : REINSW House, PO BOX A624, Sydney South, 1235
Email: [e-mail]
© REINSW CORC Course Assessment v1 OctobAustralian Competition and Consumer Commission. 2017er 2016 Page 5 of 65

Your Results
If your assessment is found to be not competent, you will be provided with clear feedback on what
additional information is required via the student assessment record form and/or verbally.
 To check the progress of your assessment, you are welcome to call [phone].
© REINSW CORC Course Assessment v1 OctobAustralian Competition and Consumer Commission. 2017er 2016 Page 6 of 65

Assessment Information
Assessment for this unit covers the elements and performance criteria for the unit of competency:
 CPPDSM4080A Work in the real estate industry
 CPPDSM4008A Identify legal and ethical requirements of property sales
 CPPDSM4007A Identify legal and ethical requirements of property management
 CPPDSM3019B Communicate with clients as part of agency operations
These units, form part of the CPP40307 Certificate IV in Property Services (Real Estate) under the
Australian Qualification Framework and;
Licensing under NSW Fair Trading.
Assessment structure
 Part A – Short Answer Questions
 Part B – Extended Response Questions
 PART C – Workplace Situation Activities
Performance Criteria and Elements
Every assessment for a Unit of Competency within the Australian Quality Framework (AQF) is
structured around Performance Criteria and Elements. To access the performance criteria and
elements go to www.training.gov.au and search for unit code:
© REINSW CORC Course Assessment v1 OctobAustralian Competition and Consumer Commission. 2017er 2016 Page 7 of 65

© REINSW CORC Course Assessment v1 OctobAustralian Competition and Consumer Commission. 2017er 2016 Page 8 of 65

PART A – SHORT ANSWER
QUESTIONS
For questions in Part A, you will need to provide
answers that directly address the question, you may
answer in point form. Ensure that you answer all parts
of the question.
Question
1
Research and explain the roles and responsibilities of the following agencies
1. Australian Competition & Consumer Commission
2. Real Estate Institute of NSW
3. NSW Fair Trading
4. Australian Securities and Investments Commission
5. Tenants NSW
1. The Australian Competition and Consumer Commission is regarded as independent
common wealth statutory authority who possess the role of enforcing the competition
as well as consumer act 2010. Further it also include range of additional legislation,
promotion of competition, fair trading as well as regulation of national infrastructure
for the welfare of Australians (Australian Competition and Consumer Commission,
2017). Its primary responsibility is to make sure that individual and business follow
Australian competition, fair trading as well as consumer protection laws.
2. Real estate institute possess the role towards making sure that agent is up to date with
all the regulation that exists in their state or territory. Further its responsibility is to
examine that agents are upholding greater standards of ethics in real estate.
3. The role of NSW Fair trading is to safeguard the rights of all the customers as well as
offers advice to the organization and trader regarding fair and ethical practice. It
possess the responsibility towards disclosing the vendor bids, development of several
guidelines etc.
4. This agency has role to contribute towards Australia's economic reputation as well as
© REINSW CORC Course Assessment v1 OctobAustralian Competition and Consumer Commission. 2017er 2016 Page 9 of 65

well being through making sure that financial market within Australia are fair as well
as transparent. Moreover it has responsibility to supervise operators of financial
markets, regulators of clearing as well as settlement facilities and of financial market
participants.
5. Tenants NSW possess the role towards making sure that needs of tenants are complied
with and agreement is followed in an effective manner. Further their responsibility is to
check whether tenant is involved in fair practices.
Question
2
In property management there are a number of different types of tenancies other than
residential. Give an overview of another type of tenancy and explain the tenancy
agreement that would be signed.
There are four types of tenancies that includes Assured Shorthold tenancies, excluded
tenancies, assured tenancies as well as regulated tenancies.
 Assured Shorthold tenancies: Tenancy can be considered AST when it presents that
property is privately rented, and it is the main accommodation.
 Excluded tenancies: It is one in which tenant lodge with the landlord and share rooms
with them such as kitchen as well as bathroom.
 Assured tenancies: Such tenancy agreement presents increase in protection from
eviction (Jennings, 2013).
 Regulated tenancies: It includes applying fair rent that is established by valuation
office agency.
 Service tenancy: It implies for the one when employer provides employee with the
land for living. Such kind of agreement is signed at the time of employment contract
and ends on retirement, termination whether it is voluntarily or by the company.
 Boarding houses: In such case, tenant occupies a room as compared to the whole
property. Hence, in boarding house, all the tenants share kitchen, garden and other
additional facilities offered by landlord.
There are different tenancy agreement which needs to be signed as it set out the role
and responsibilities of landlord and tenant which they have on one another and over the
property.
© REINSW CORC Course Assessment v1 OctobAustralian Competition and Consumer Commission. 2017er 2016 Page 10 of 65

Question
3
Research the specific legislation that applies the following types of tenancies:
 Residential Tenancy
 Retail Tenancy
Give an overview of the main legislative requirements of each; eg: disclosure to
tenants, rent increase, term of agreement.
Residential tenancies act 2010: Covers the people who are renting home in residential park.
It requires copy of residential tenancy agreement, a condition report that is accomplished by
landlord or agent as well as NSW Fair trading new tenant checklist
Retail leases Act 1994: Requires copy of lease and retail tenancy guide that can be provided
at negotiation stage (Gregory and Chase, 2008).
Question
4
1. What are the responsibilities of a property manager to the landlord in relation to
maintaining the condition of the property?
What are the responsibilities of the property manager to the tenant, whilst the tenant
is occupying the property
1. The responsibility of the property manager towards the landlord with respect to
maintenance of condition of property is towards hiring someone who can check for leaks,
shovel snow and remove trash that assist in keeping the property condition appropriate.
2. According to the laws and legislation, property manager has accountability to ensure
proper and high level of property maintenance. Thus, property manager is required to fulfill
such responsibility when tenant occupying the property.
© REINSW CORC Course Assessment v1 OctobAustralian Competition and Consumer Commission. 2017er 2016 Page 11 of 65

Question
5
Your Landlord contacts you to ask for the phone number of his tenant, he is going to
install new carpet in the lounge room and needs access for the tradesman to give a
quote. He is very insistent that he must get access asap.
1. What will you do?
What legislative requirements will affect your decision?
1. Being property manager, property manager is required to get consent of landlord before
the installation of any equipment. Hence, whether landlord is required to take permission
from tenant in relation to the installation of carpet or not is highly influenced from the
aspects mentioned in tenancy agreement.
2. The legislation in relation with the privacy is influenced in this as it is important for the
property manager to ask tenant in situation of sharing his contact detail with landlord. This
is not being complied with such case as the landlord possess urgent requirement and want
immediate access as he wants to install carpet in the rented property. This has greater
impact on the decision on the property manager (Davenport and Dobbs, 2006).
Question
6
Choose one of the Divisions in Part 3 Rights and obligations of landlords and
tenants from the Residential Tenancy Act and summarise what the Division refers
to.
Ensure that you include the responsibilities of both the tenant and landlord.
There is presence of several divisions under Part 3 that is Rights and obligations of
landlords and tenants from the Residential Tenancy Act. The one chosen is division 7 that is
security and safety of the residential premises. It includes the responsibilities of both
landlord and tenant. Landlord has the responsibility to provide locks and other security
devices (Marron and Gill, 2003). Along with this tenant is responsible for changes of the
locks and other devices of security. The copies of changed locks and other security devices
has to be provided to other party is also the responsibility of tenant. The section also covers
the remedies for security of residential premises.
© REINSW CORC Course Assessment v1 OctobAustralian Competition and Consumer Commission. 2017er 2016 Page 12 of 65

Question
7
1. Explain the process and timeframes for terminating a tenant’s agreement under the
following circumstances:
 Non payment of rent
 End of the fixed term
Explain the tenant’s responsibilities when they need to terminate their lease during
the fixed term of the agreement. (if the break lease clause is included)
1. Non payment of rent: Landlord can terminate the tenancy of duration that is not longer
than 6 months as a reason when tenant has not made payment of rent. In this case the
step which must be complied with includes serving minimum 14 days warning notice
for failing to payment of rent. Further it includes serving 28 days notice of termination
of tenancy. In the case of non-payment of rent, landlord should follow the part 4
tenancy termination notice such as:
 Serving the warning notice of minimum 14 days in the case of arrear
 Landlord is also required to give 28 days’ notice before the termination of tenancy
By following such two step process one can terminate the tenancy as per the rules
prescribed by concerned law or legislation.
2. End of fixed term: a fixed term tenancy is one that lasts for certain time which is stated
on the tenancy agreement. If fixed term is for greater than 90 days then tenancy would
become periodic tenancy that expires when either landlord or tenant give notice
regarding they do not want expiry of agreement. The notice has to be given among 90
and 21 days prior to the end of fixed term (Ling and Archer, 2012).
2. A tenant who is breaking the tenancy agreement prior to the end of term can experience
substantial liability. In case of termination in prior the tenant needs to give 3 weeks notice in
writing.
Question
8
When must a trust receipt be created? What specific information must be present on
a trust receipt for rent?
Trust receipt is created when the amount of rent is received from the tenant and the landlord
© REINSW CORC Course Assessment v1 OctobAustralian Competition and Consumer Commission. 2017er 2016 Page 13 of 65

provides receipt for the money deposited. The information that is required to be present on
trust receipt for rent is comprised of the date on which the amount is paid and receipt is
created. Further it must has the exact amount paid. Moreover the receiver of rent needs to
sign the receipt. Along with this the name of tenant must exist on the trust receipt. Further
the manner in which the money is obtained that is cash, cheque, electronic fund transfer
needs to be mentioned.
Question
9
1. At the end of the month the agency will disburse funds to their landlords. What
specific income and expenditure would be noted on that statement?
At the end of the month the agency would made disbursement of the funds to their
landlords. Here the income and expenditure statement would include commission received,
repairs in rental property, rent received.
Explain the process you would undertake on a day to day basis to ensure all of this
information is correct on the end of month statement.
The procedure that will be undertaken on daily basis for making sure that all the
information is correct on end of month statement is to take the information regarding the
expenses made by tenant on daily basis and the commission or income received by the
property manager. This is for the sake of matching the resultant at the end of month (Levitt
and Syverson, 2008).
© REINSW CORC Course Assessment v1 OctobAustralian Competition and Consumer Commission. 2017er 2016 Page 14 of 65

Question
10
What are the two (2) documents that are needed before an agent can promote a property for
sale? What is the Section and name of the legislation that outlines this requirement?
The documents that are needed for promoting the property for sale includes copy of title
documents. Hence, parties involved in this must have an agency agreement and contract.
Further it needs to be comprised of drainage diagram and Zoning certificate (s 149). Such
regulation is covered under the fair trading NSW within Australia (McDonald and
McMillen, 2010).
Question
11
1. Explain the key differences between Joint Tenants and Tenants in Common
Explain the key differences between Torrens Title and Strata Title property
There There is significant differences take place between joint tenants and tenants in common.
Hence, in the form of common tenancy individuals can claim for the specific area of property
because they have different ownership interest. However, on the other side, joint tenants
enjoy equal share of property. In other words, it can be said that joint tenancy implies for
home ownership in which each party has equal ownership rights. Whereas, tenancy in
common may be defined as ownership rights which individuals have on property without any
right of survivorship. Besides this, rules in relation to the death of one of tenants also differ
significantly in the case of both joint tenancy and tenancy in common.
In the case of Torrens title purchaser has right on both house as well as land on which it is
built. It may be served as a tradition form of property ownership in which individual authority
is solely responsible for each and every aspect. On the other hand, in the case of strata title
action of owner and occupiers are controlled through the means of laws in terms of parking,
noise etc.
© REINSW CORC Course Assessment v1 OctobAustralian Competition and Consumer Commission. 2017er 2016 Page 15 of 65

Question
12
1. Explain what information is contained in a Certificate of Title.
2. Explain how encumbrances affect the title?
3. Give an example of one type of encumbrance and what effect it would have.
Certificate of title may be served as documentary evidence which offers protection to property
owner in against to the defendant party. Such certificate includes information regarding
registered owners, date of issuance and signature of concerned authorities (Davenport and
Dobbs, 2006).
Encumbrance may be defined as a right to or interest in the real property that does not place
emphasis in prohibiting the passing the title. However, encumbrance has negative impact on
the value of property to a great extent but it does not have high level of influence on property
title. Moreover, in encumbrance liability against real property is held by other authority as
compared to the fee owner of property so it has impact on the title to some extent.
There Two impediment namely financial and non-financial that closely influences the title.
For instance: error in public records and illegal deeds may be served as a non-financial
encumbrance.
Question
13
A purchaser and a vendor have exchanged contracts with a 5 day cooling off period, answer the
following questions:
What is the deposit amount required on exchange of contracts?
Where is this money deposited and within what timeframe?
At what point are we allowed to disburse the deposit held in the trust account to the vendor
of the property?
What document is required prior to disbursement of deposit?
According to Australian law 10% deposit amount is required on the exchange of contract
during cooling-off period (Contracts and Deposit, 2017).
From assessment, it has been identified cooling off period starts on exchanging contract and
ends on 5 pm of fifth business days.
© REINSW CORC Course Assessment v1 OctobAustralian Competition and Consumer Commission. 2017er 2016 Page 16 of 65

Purchaser cancels contract within cooling off period then it may result into
disbursement of deposit held in trust account (The complete guide to cooling off periods
when selling a property, 2017).
ency agreement is required for the disbursement of deposit. Bt signing such agreement
agent would become able to take commission.
Document in relation to the cancellation of exchange contract must be signed.
© REINSW CORC Course Assessment v1 OctobAustralian Competition and Consumer Commission. 2017er 2016 Page 17 of 65

Question
14
1. What are the essential elements, as prescribed in legislation, of a valid agency
agreement? (Refer to Property Stock and Business Agents Regulations 2014
Schedule 7)
Essential elements for valid agency agreement according to Property, Stock and Business
Agents Regulation, 2014 is as follows:
 Assessment of property, business and professional practice
 Parties involved in agreement
 Information regarding the address of party on behalf of whom agent in
performing, licensee’s license number
 Stating the name of authority for whom agent is acting
 Level of authorization to which rights have given by person to licensee
 Agreement’s duration
 Time of termination
 Reimbursement and detailed information about the remuneration of licensee
How would ensure that you do not lose your entitlement to commission and/or
expenses.
Schedule7 of Property At contains information regarding the reimbursement of
expenditure. On the basis of such regulation, licensee is entitled for the reimbursement
of expenses if they are incurred for the services provided under agency agreement. In
addition to this, under the sale or purchase if land concerned authority has right to get
commission.
Question
15
1. Explain the features including advantages and disadvantages of opening an agency
under the following types of ownership:
 Sole Trader
 Partnership
 Corporation (Company)
© REINSW CORC Course Assessment v1 OctobAustralian Competition and Consumer Commission. 2017er 2016 Page 18 of 65

 Sole trader: Sole proprietors imply for the one who takes decision by their own
without any interference of others. Hence, sole traders are free to operate which
is one of the main advantages of such kind of agencies. However, sole traders
are fully responsible for the loss suffered in business.
 Partnership: When, two or more people start an agency through combined
efforts then it is called as partnership firm. In this, all the profit and losses are
shared by partners equally which in turn offers security to them in financial
terms. However, without taking permission of other partners one cannot execute
highly competent plan (Corones, 2014). This in turn closely influences the
significance of partnership for of agency.
 Corporation: It includes both public and private units which are responsible for
following specific rules, regulations and guidelines. Hence, government and
other authorities provide high level of assistance to both public and private
firms in both monetary & non-monetary terms.
What are NSW Fair Trading licensing requirements for each type of ownership?
 Sole trader: Business entity can start business with the name which is not
registered under Business Name Registration Act, 2011 previously. Hence, by
administering the name according to ASIC sole trader can start business.
 Partnership: In the case of limited partnership firms, NSW is accountable for
administering and registering the name (Jennings, 2013).
 Corporation: According to laws and legislation co-operatives have separate
legal identity from its members.
Question
16
1. If you were looking for information about the supervision requirements of the
licensee in charge of the agency, (as required under the Property Stock and
Business Agents Act), what would you do?
Section 32 of PASB (2002) contains information regarding the supervision requirements and
© REINSW CORC Course Assessment v1 OctobAustralian Competition and Consumer Commission. 2017er 2016 Page 19 of 65

related aspects. Hence, it is the responsibility of supervisor to make supervision of employees
who are engaged in business. Besides this, licenses should monitor that all the procedures are
properly followed.
2. Explain the steps you would take to access this information.
In PASB, 6 supervision guidelines are included that can be followed by licensee for the
purpose of supervision (Gregory and Chase, 2008). On the basis of such aspect, by giving
instructions to the staff in written format evaluation of performance can be made. Besides this,
supervision can also be done through the means of continuous review of trust account’s cash
flow. Further, licensee also needs to ensure that agency is complying with the pricing policy
ortot or not. Concerned authority has also requirement to make assessment of the aspect that
all the agents involved in selling process are following standardized property sales process or
notm. By documenting compliant handling process supervision of performance can be done
by licensee. This in turn will provide deeper insight about the extent to which all the
complaints of customers are addressed satisfactorily. According to the section 105, licensee is
required to follow documentation aspect within the agency regarding the maintenance and use
of agency. Thus, by complying with such aspect supervision can be done by licensee in an
appropriate manner.
Which Section of the Act relates to supervision requirements?
Section 32(1), 32 (2), 32 (3) and 3.2 (4) of PASB 2002 is highly related or
associated with the supervisory req1uirements. Thus, by following such sections
concerned authority can get suitable information.
© REINSW CORC Course Assessment v1 OctobAustralian Competition and Consumer Commission. 2017er 2016 Page 20 of 65

Question
17
An agency must operate a trust account for all money received on behalf of their
clients. It must be maintained in accordance with the Act and Regulations. Refer to the
PSBA Regulations Part 4 Trust Money and explain
1. The main provisions for receiving money into the trust account
Main According to Property, Stock and Business Agent Regulations (part 4), provisions in
relation to receiving trust money is as follows:
 Licensee must prepare receipt in accordance with the specified laws and
legislation.
 Besides this, date of issue, receipt number, name of licensee, amount received
etc. requirements must be fulfilled in such case.
 Further, individual entity must follow section 75, 76 of Strata Schemes
Management Act and Community Land Management Act in the case of
receiving money.
2. How money can be paid out of the trust account.
According to the laws and legislation trust money can be drawn according to need from
licensee’s trust account through the means of cheque and EFT.
What trust money records must be kept by the licensee
Record which licensee must be kept in relation to trust money is enumerated below:
 Licensee should comply with all the clauses and sub-clauses mentioned in the
part 4 of PASB.
 Further, concerned authority should maintain the record of place where
business conducted or transacted. ‘
 Licensee must compile the record within 21 days after according to the clause
of 29. Further, authority is also obliged to disclose all the information in
relation to trust money in trial balance statement.
© REINSW CORC Course Assessment v1 OctobAustralian Competition and Consumer Commission. 2017er 2016 Page 21 of 65

Question
18
When showing a property for sale or lease, what would you do to ensure the
security of the property and the safety of persons who attend the inspection?
At the time of sales and lease investing party lays high level of emphasis on evaluating the
security aspect of property. Moreover, security of both human and non human being is one of
the main aspects which have direct impact on decision making of individuals. Thus, by
evaluating the number of thefts, illegal activities happened in the specific area individuals can
make idea about the level of security. As per the section 32 of Sale of Land Act 1962, by
disclosing all the information about insurance policies and claims vendor can ensure the
security of property to the significant level. In accordance with 32 (2) (g) vendor is required to
furnish information about the kind of damages and destructions are covered by the insurance
policy. Further, by including detail about each and every aspect in the contract vendor can
secure the right of possession to a great extent.
Question
19
You have been given the task of updating and archiving records for active and inactive
property management files. Prior to undertaking this task, you refer to the Document
Management Policy (look in the Employee Handbook). Explain how you would go about the
following, including the legislation that would apply:
 Changing/updating current records
 Archiving records where required
 Providing access to records to appropriate personnel
 Ensuring safety and security of records whilst you are completing this task
 Disposing of client information
Rules and regulations contained in PASB must be followed by concerned
authority for archiving and updating records. Such law of Australia also provides
information about the manner through which client’s details can be accessed and
disclosed. Further, it also furnishes information about the manner in which safety and
security of records can be ensured. Privacy Act and legislation of Australian law lays
high level of emphasis on regulating and handling the personal information of
individuals. In Privacy Act, 13 principles are included by Australian board about
© REINSW CORC Course Assessment v1 OctobAustralian Competition and Consumer Commission. 2017er 2016 Page 22 of 65

handling, holding and access of personal information. Thus, for ensuring high level of
safety of records rights and obligations are set out by the legal authorities.
Question
20
If the purchaser paid a 10% deposit on exchange of contract and decides to withdraw during
the cooling off period what penalties would they incur?
On the case of given case situation if buyers decide to withdraw the contract during cooling
off period then they will be liable to pay penalty in relation .25% of purchase price or value
of property.
If a property was bought at auction what is the cooling off period?
No cooling off period is considered when property was purchased at auction unless vendor
agrees the terms and conditions presented by buyer.
If a purchaser wishes to waive their cooling off rights, what document would they need to
sign and who can prepare the document?
contract to change must be signed by the purchaser if they wish to waive their cooling off
right. Such agreement of document is prepared by purchaser through following specific rules
and guidelines.
© REINSW CORC Course Assessment v1 OctobAustralian Competition and Consumer Commission. 2017er 2016 Page 23 of 65

Question
21
You have just achieved your Certificate of Registration and you have been offered a casual position as a
Property Management Associate. They want you to come for 2 hours a day to cover the lunch period
and will pay you $20 per hour.
As this is just a casual position the employer tells you there is no need to have an employment
agreement.
1. Explain why this offer of employment does not comply with the Real Estate Industry
Award 2010
What are your minimum rights?
According to Real Estate Industry Award (2010) hourly wage of property management
associate must have average hourly wage is $22.13 respectively. Cited case situation shows
that business unit will pay to such newly hired personnel according $20 per hour rate. By
considering such aspect it can be stated that offer of employment failed to comply with Real
Estate Industry Award, 2010.
Casual employees are entitled to take annual, personal, and compassionate and community
service leaves. Besides this, casual employees have obligation to give prior notice before
leaving job. Other regulatory requirements are:
 Working hours for casual employees = 38
 Annual leave = 4 week’s paid
 Personal leave = 10 days paid leave
 Compassionate leave = 2 days paid
Harry has been a licensed agent for 6 years and every year undertakes his CPD before renewing his
license. This year he hasn’t had time to do his CPD and forgot to renew his licence. He has been
operating for 3 months without a licence.
1. What are the breaches that have occurred and what are the disciplinary actions that NSW
Fair Trading could impose on him?
According to the case scenario, Harry operated his business for 3 months without
having any license. NSW fair trading has right to impose penalty on Harry and also
accountable to cease license if any undesirable activity occurred during such period.
© REINSW CORC Course Assessment v1 OctobAustralian Competition and Consumer Commission. 2017er 2016 Page 24 of 65

Question
22
Why is it important to give your client space and time to evaluate agency services? Give an
example.
How could you use this time to your advantage?
Why would it be beneficial to schedule an appointment with client to discuss agency services?
Why is it important to take notes when communicating with clients?
By giving space and time to the client concerned agency can develop satisfaction among
them. Moreover, now individuals prefer to access the services of authority that is highly
reliable. In this way, by giving both space and time agency can evolve faith and develop
distinct image in the mind of individuals.
During such time period business entity of agency should place emphasis on advertisements
and finding the best ways to resolve queries of clients.
Scheduling of appointment aspect is highly significant which in turn helps and offers
opportunity to agency service provider to discuss each and every aspect in detail. By
preparing presentation and showing other aspects service provider can discuss with the
individual more effectually.
By taking notes service provider can prevent confusion from the mind of clients. Moreover,
notes enable service provider to do detailed discussion and present fair picture in front of
clients.
© REINSW CORC Course Assessment v1 OctobAustralian Competition and Consumer Commission. 2017er 2016 Page 25 of 65

Question
23
Review the Certificate of Title and the Contract for Sale of Land note any problems or
mistakes.
Who would be able to correct mistakes.
Compare the Certificate of Title to the agency agreement and note any problems or errors.
Explain how these errors would affect the validity of the agreement.
What other areas in the agreement need improvement?
1. Certificate of title is regarded as official land ownership record. This offers information
regarding the current ownership detail, volume and folio, survey plan number as well
as type. Further the contract of sale of land is considered void unless it follow the
property law. It is important that copy of such is not created as it can affect the title and
contract to a greater extent.
2. The mistakes can be corrected by the one who are entering in the contract. Such has
greater role in assisting towards attainment of the targets associated with the contract.
3. Certificate of title is necessary to be provided to the one who owns the land. The errors
can be made in terms of the name of the person who owns. This has greater impact on
the validity of the agreement in terms that the name of the owner is not suitable which
implies that the title is not being written in correct manner.
4. For the purpose of improvement in Certificate of Title and the Contract for Sale of
Land concerned authorities are required to attach all the disclosures in a clear
manner. Further, selling agency, party who make purchase of the property and
seller, price, deposit and cooling off period etc. must be included in such
contract.
Question
24
Access the condition report from the resources and use your home to complete. You
must include:
2 Bedrooms (if possible): There can be or might not be possibility to have two bedroom. It
depends on the landlord. It is considered as the space where one can relax.
Kitchen: This is important as here the food can be prepared.
© REINSW CORC Course Assessment v1 OctobAustralian Competition and Consumer Commission. 2017er 2016 Page 26 of 65

Bathroom: This is also one of the important resource for home complete. The bathroom
needs to have all the facilities so that one can enjoy bath.
Hallway / Entrance: Proper entrance must be there as it ensures that home in built in an
effective manner.
Outdoors: Proper outdoor space has to be kept so that children can enjoy playing in that
area.
Ensure that you give detailed descriptions of features such as blinds, carpets etc and well
as any damage or problems.
© REINSW CORC Course Assessment v1 OctobAustralian Competition and Consumer Commission. 2017er 2016 Page 27 of 65

Question
25
1. Create a Letter that will be sent to all Landlords who have a swimming pool at their
property that advises them of the requirements of swimming pool compliance.
2. Access the Landlord database (Located in the Excellence Property Database) and create
a list of Landlords who will receive the information.
1. To,
The landlord
As there is presence of swimming pool in the area thus it is advised that several aspects
are required to be followed. Proper hoarding needs to be put towards guiding the individual
regarding the depth. Also tubes must be there for one who are not the swimmers. Such needs to
be complied with in order to ensure that life of individual is safe. On the basis of NSW fair
trading it is the accountability of landlord to undertake effectual cleaning measures. Further,
landlord is required to ensure that pool does not impose any kind of risk in front of the
individuals pertaining to trapping hairs, fingers, toe as well as other part of the body. Thus,
landlord should ensure that no child is playing around the swimming pool. Besides this,
landlord should also display resuscitation chart near the pool area. Hence, by considering all
such aspects landlord would become able to reduce or prevent risk to the significant level.
Regards
Property manager
Landlords who sale or lease their property have authority to receive information
regarding the tenant, their trustworthiness, credibility etc.
PART B – Extended Answer Questions
For questions in Part B, you will need to provide answers that are in depth, referenced and supported by
additional documentation.
Responses to questions need to be approximately 150 words (minimum), if you consult websites or publications
to construct your answer, you MUST reference your source.
It is expected that you would provide your evidence in a word document, professionally formatted, with
attention to grammar, spelling and punctuation.
© REINSW CORC Course Assessment v1 OctobAustralian Competition and Consumer Commission. 2017er 2016 Page 28 of 65

Read each question or scenario carefully and ensure that you answer all of the facets of the question.
Question
1
One of your landlords is going to do some significant work on his property, which will
require a number of tradespeople to be at the property. He demands that you give him the
tenants details so that he can call them to organise. You are not aware of the proposed
works and have no idea of how it will affect the tenant.
 What action will you take
 What are the tenants’ rights in this situation?
 What legal and ethical responsibility does your agency have, as the landlord
representative, in this situation.
In your answer cite sections of the Residential Tenancies Act and Regulation 2010 to
support your answer
Type Answer Here It is required that proper action should
be there so that landlord can perform the required work
successfully. Landlord is wishing to do some significant
work in his property and he has demanded for providing
tenant details. He required the details so that he can invite
them for organizing. I will initially collect necessary
information about the proposed work and so that I can
provide necessary details to them. Tenants details
required to be given to the landlords so that he can
complete his work properly (Murray and Dainty, 2013).
In this case tenants deserve rights to take legal
actions as landlord has not provided sufficient
information regarding vacating the place. We have ethical
responsibility that we should provide authentic and
reliable information to the landlord so that appropriate
actions can be taken by them. Resident tenancies act 2010
mentions about guidelines that have been issued for
landlords and general provisions of this act gives
information and inspection sheet about landlord. With
this guidelines regarding the short fixed term tenancies
and exempted agreements have been mentioned. Limit of
© REINSW CORC Course Assessment v1 OctobAustralian Competition and Consumer Commission. 2017er 2016 Page 29 of 65

amount of bond and security bond also have been
described in detail. With this items for which a housing
cooperative is not responsible is also defined under this
act (Cavusgil, Knight and Rose, 2014)
Question
2
As a property manager you would be expected to assist with the growth of the property
management portfolio.
1. Explain how you could increase your property management portfolio and what would
you do to attract new landlords to your agency.
2. Once you have been approached by a prospective new landlord explain in detail the
process you would undertake to secure the management.
3. How would you get a good understanding of the landlord’s requirements? How would
you explain to them, their responsibilities as a landlord?
Type Answer Here Property management portfolio can be
enhanced by making use of strategic approaches. It can be
done by making positive improvements in skills and
capabilities of the staff members that are working in the
company. A definite set of personal skills such as
intelligence, customer focused and effective
communication skills. Use of digital technology is also an
innovative approach that could be used for making
enhancement in portfolio (Rossini and Kupke, 2014).
Budget can be allocated for boosting the
marketing tactics so that more number of consumers can
be attracted for selling the services to a a larger consumer
base. Business can be promoted on google map and use
of social networking sites can also be taken so that
success of the property management company can be
ensured. Company's description can be improved on
Home way and it will aid for quality rentals can be
managed through this. Property management award can
also be launched by businesses for providing free
© REINSW CORC Course Assessment v1 OctobAustralian Competition and Consumer Commission. 2017er 2016 Page 30 of 65

publicity for the entity. Once the prospective landlord is
approached than presentation will be given for them so
that management can be secured. Good understanding of
Landlord's requirement can also be made by asking from
them detailed question and through this needs and
requirement of landlords can be identified.
© REINSW CORC Course Assessment v1 OctobAustralian Competition and Consumer Commission. 2017er 2016 Page 31 of 65

Question
3
Manjek Singh has recently signed a Management Agency Agreement with Excellence
Property, this is her first property investment and she is keen to ensure that she
understands the process of marketing the property and finding suitable tenants. To help
her understand the legislative requirements of selecting a tenant you are going to prepare
a fact sheet for her. In the fact sheet you will cover:
 How you will market the property
 The process of showing the property
 Tenancy application and how would select a suitable tenant
 What questions would you ask when you are completing reference checks
 The initial payments required from the tenant before signing the agreement
 The importance of the tenancy agreement and condition report
The process of marketing the property so that
Manjek Singh can suitably find a tenant involves use
of social media largely. The increasing access of
individuals for this platform has helped businesses to
flourish at a great scale. I will use Facebook and
online platform for marketing properties as a
marketing tool.
I will personally assist the inquiring person for
showing the property without causing any trouble to
Manjek Singh. If there is a possibility of
confirmation then a meeting will be organised with
Manjek Singh.
The tenancy application will be developed with
certain clauses involved in it as per Manjek Singh's
requirements. These shall be helpful in finding the
right tenant.
During the reference checks, I would ask the
prospective client about his family background, past
experiences while living in the city and certain social
habits like drinking, smoking or roaming late night.
Further, I would also ensure these by getting
© REINSW CORC Course Assessment v1 OctobAustralian Competition and Consumer Commission. 2017er 2016 Page 32 of 65

reference contacts from him so that these attributes
are confirmed.
Considering the initial payments, the tenant has to
pay complete rent of 6 months with additional one
month rent as security. All these payments have to
be made through cash.
Importance of tenancy agreement and condition
report is realised when any sort of conflict or clash
arises with the client. These are helpful in
safeguarding the tenant as well as Manjek Singh.
Question
4
James and Grace Smith are ready to sell their property with your agency, whilst you have
briefly discussed the documents needed in your office prior to marketing his property,
James is still relatively unaware of the sales process. You now you need to prepare for a
listing presentation with James and Grace.
1. When and how would you present this information to the client. Explain how you
would maintain your professional image
2. What documents would you access and take with you to the listing presentation?
3. What sales and marketing options are available to James and Grace
4. Fees and charges that they will need to pay before and after the sale
5. Once they have signed a sales agency agreement with you, what documentation
do you need prior to marketing?
6. How you will deal with offers from prospective purchasers
The information regarding necessary documents and
matter related with the property will be disclosed to
the client in the form of written agreement.
Furthermore, I being a professional dealer shall
present clear guidelines of ethical functioning and
will not cause any inconvenience to James and
Grace.
A virtual tour to the site is always presented in the
listing and main features of the property are also
displayed. I would carry the identity proofs of James
© REINSW CORC Course Assessment v1 OctobAustralian Competition and Consumer Commission. 2017er 2016 Page 33 of 65

and Grace with supporting documents of the
property.
The sales and marketing tools available with James
and Grace include social media tools and certain
agents that shall help as brokers of property.
Property price, agent commission and cost of
marketing are major fees and charge which James
and Grace have to pay.
After signing the sales agency agreement, I have to
make sure that party is aware about the charges
involved in marketing.
Identity proofs and clear background evidences have
to be catered by me before completing the marketing
processes.
Prospective purchasers shall be dealt one by one and
on a first cum first basis.
© REINSW CORC Course Assessment v1 OctobAustralian Competition and Consumer Commission. 2017er 2016 Page 34 of 65

Question
5
Part 1
Part 1
You have been employed as a Property Sales Associate and have been given your
employment contract to read and subsequently sign. As you are reading it you find that
you do not understand a number of items in the agreement. You realise that you will need
to discuss it with someone. To assure that you cover everything at the meeting, you will
research the following items prior to your discussion. The items focus on:
 Allowances
 Wages
You understand that your wages will be different in the first 6 months of your employment.
You are unsure of what allowance you will be entitled to if you use your own car which is 3
years old and has an engine capacity of 2.6 litres.
You also need some clarification about the professional standards required by the agency,
you will consult the policy manual for information to discuss with your licensee.
1. Refer to the Real Estate Industry Award 2010 and document your entitlements
2. Prepare a plan of what you will discuss with your employer including professional
standards
3. Who would you consult if your employer does not pay you your entitlements or
provide suitable working conditions.
Part 2
Part 2
Research courses that may be suitable for you to attend to develop your skills and
knowledge and meet your CPD requirements, explain why you chose them. Include
websites accessed.
Type Answer Here Minimal wags and piecework rates
that will be needing to paid by the employer. Details
about casual and part time loading, other penalties that
will be imposed by government and information about
holidays including Saturdays, Sundays and other public
holidays.
Discussion will be made with the employer about the
working conditions and other issues related to work.
Fair work commission will be approached if employment
© REINSW CORC Course Assessment v1 OctobAustralian Competition and Consumer Commission. 2017er 2016 Page 35 of 65

conditions will not be met successfully (Lockie, 2013).
Part 2 Course available at Deakin university will be
selected and in this course Bachelor of property and real
estate course are offered to the students.
website link - http://www.deakin.edu.au/course/bachelor-
property-and-real-estate
Question
6
1. NSW Fair Trading has the responsibility to ensure that consumers are protected in
commercial transactions. Explain (in your own words) how NSW Fair Trading regulates
the property industry, and ensures real estate compliance. This could include licensing,
rules of conduct and more.
2. As an agent how would you ensure that clients consumers rights and privacy are
protected. Explain how you would achieve this, in your answer cite particular
legislation that you would consult.
3. What are the penalties for breach of your fiduciary and ethical responsibilities, what
impact could such a breach have on your agency/self? Explain how you would minimise
the risk of breaching a client’s rights to privacy
Type Answer Here 1- NSW fair trading regulates the
activities of property industry. Rules and regulations have
been formed by them it is vital that all individuals and
companies should comply with the guidelines.
2- As an agent I would make ensure that rights of
consumers should be protected. Property, stock and
business agent act 2002 and property, stock and business
agents regulations 2003 will be followed.
3- The maximum penalty for a breach of the rules is
$11,000.
© REINSW CORC Course Assessment v1 OctobAustralian Competition and Consumer Commission. 2017er 2016 Page 36 of 65

Question
7
“The relationship between principal and agent places an agent in a position of trust, confidence and
responsibility in which their foremost duty is to act in the best interests of their client and deal ethically with all
parties involved in property transactions.” Go to NSW Fair Trading website (in the search box type
duty of disclosure) and review the section Duty of Disclosure.
1. Explain the requirements of Section 49 ‘Restrictions on obtaining a beneficial
interest in property, how it affects you as an agent and what you would need to do
to if you or a member of your family wished to purchase property from your
agency.
2. Choose another disclosure requirement. Give a detailed explanation of its
requirements, an example of how a breach could occur and include penalties for
breaches and any documentation requirements or approved forms.
Type Answer Here Section 49 is for an gent who is
seeking permission from the seller for obtaining a
beneficial interest in property being sold. The form is
about dealing with the concerns about conflict on interest.
Agent needs to briefly explain about the reasons for
purchasing property. Contravention of rules of conduct by
agent creates breach of the regulations.
Issue of penalty notice or a disciplinary action can also
occur if actions not being taken against the agents
concerned.
Securities Exchange Act of 1934, is one of the
disclosures requirements that helps in gaining all the
relevant information with the prospective client.
Question
8
As an agent, your clients expect you to be experts in all manner of property matters
including building construction and faults, swimming pools, asbestos, window and blinds
safety, health and safety …. the list goes on. As we are not experts in any of these fields we
would need to consult specialist advice when asked questions on such matters.
1. Explain how you would go about finding the appropriate specialist, what
documentation should you keep to show the results of your investigations.
2. Legislation also prescribes actions that agents must take in regards to swimming
pools and pre-sale building inspections reports. Explain the requirements of both.
© REINSW CORC Course Assessment v1 OctobAustralian Competition and Consumer Commission. 2017er 2016 Page 37 of 65

Type Answer Here Documents that will be required
includes
1 Document copy o valid certificate of compliance
2 A valid occupational certificate
3 A valid certificate for Non compliance
Requirement for swimming pools :- Agents needs to meets
with the requirement of swimming pools and it is essential
that agents should check whether the property with a
swimming pool should have a valid certificate or
compliance.
For building inspection reports :- property inspection
reports will be needing to checked by agents and after the
inspection contract of sales is prepared (Corones, 2014).
The review and reporting of swimming pools and
pre-sale buildings have to included in the
documentation provided by the sales. The
functioning of amenities which are included in the
building and earth leakage safety switch checking,
etc. have to be performed.
Question
9
You have successfully negotiated a deal and agreed on terms for the sale of a property. You
are now need to explain the exchange and settlement process to both the purchaser and
the vendor.
1. Provide an outline of what happens from the purchaser’s perspective, including
exchange of contracts, deposit amounts, cooling off periods and pre settlement
inspections.
2. Provide an outline of what happens from the vendor’s perspective, including
exchange of contracts, deposit and banking of deposit, cooling off periods and pre
settlement inspections, order on the agent, disbursement
Type Answer Here Exchanging contracts are prepared for
selling and buying a property. Two copies are made for
© REINSW CORC Course Assessment v1 OctobAustralian Competition and Consumer Commission. 2017er 2016 Page 38 of 65

sales of contract and purchaser needs to sign the copy
after having discussion about the contract with the
solicitor or the licensed conveyor. With this, proper
inquiries and necessary financial arrangements will be
made and deposit will be needing to pay.
Vendor :- Vendor can ask for 10% Deposits and a
different amount can be agreed on and recorded on
contract.
Vendor's perspective is quite different from that of a
seller. They have to have the deal for earning profits
and fulfilling their needs. The solicitor has to be
informed for drafting respective contract
documentation. Furthermore, vendor's willingness is
visible in the readiness to sign the documents. The
exchange and completion date are highly important
for the vendor because these shall help in gaining
complete transaction.
© REINSW CORC Course Assessment v1 OctobAustralian Competition and Consumer Commission. 2017er 2016 Page 39 of 65

Question 10 Part A
Sione a sales representative who is in the process of negotiating a sale is finding it difficult
to get both parties to come to an agreement. Sione knows the purchaser really wants the
property and that the Vendor needs to sell quickly, but the negotiation has come to a stop
with only $10,000 difference in price.
Neither party wants to budge, but both want the same outcome.
1. Explain the negotiation techniques that Sione would use to enable the parties to come
to an agreement.
2. How could Sione persuade the purchaser to make a better offer?
Part B
Lee Kang, a tenant enters your office and yells at the receptionist that they need to speak
with the Property Manager.
“I have been waiting for 6 weeks to get it fixed”.
Unfortunately, the Property Manager is not available and when the receptionist tells the
tenant he continues yelling “I am not going until I see someone about it!”
The receptionist asks you to help.
Lee makes a call on his mobile phone and starts speaking very loudly in a foreign language.
There are a number of people waiting in the reception area and they appear very
uncomfortable.
1. Discuss how you would approach Lee in this situation, what conflict resolution
techniques would you use, how could you diffuse the situation.
After speaking with Lee, you find that he has requested repairs to the front porch light for
over 6 weeks ago and last night his wife tripped up the stairs and seriously injured her leg.
You are finding it difficult to understand him as his English is not good.
2. What communication techniques would you use to enable both Lee and yourself to
discuss the situation and come to a satisfactory resolution.
Type Answer Here
Part A
Sione can use mediation technique for bringing all
the parties together and purchaser and seller can both be
© REINSW CORC Course Assessment v1 OctobAustralian Competition and Consumer Commission. 2017er 2016 Page 40 of 65

asked for negotiating to come to a final outcome so that
both the parties get satisfied with the deal.
I will try to talk with Lee in calm and compose
way and will make efforts for resolving the issues faced
by him. I will immediately call the property manager and
tell him about the difficulties faced by Lee.
© REINSW CORC Course Assessment v1 OctobAustralian Competition and Consumer Commission. 2017er 2016 Page 41 of 65

Question
11
1. Complete the end of month
statement using the following
information. (Complete the Tax
Invoice below)
Landlord: Nicita
Robinson
Landlords Address:
23 York Rd
Jamisontown 2754
Property: 56 River
St Padstow
Rent: $590 per
week
Letting fee: 110% of
1 weeks rent
Management fee:
$7.7%
Administration fee:
$11 per month
Rent collected: 4
weeks
Strata fees: $370
2. You have also taken a 4 week
bond from the tenant. What do
you need to do with this bond
and when should you do it?
Excellence Property
30-32 Wentworth Ave
© REINSW CORC Course Assessment v1 OctobAustralian Competition and Consumer Commission. 2017er 2016 Page 42 of 65

Sydeny NSW 2000
ABN:31 007 167 278
TAX INVOICE
Landlord: Nicita Robinson
Address: 23. York Rd Jamisontown 2754
Your Rental Property 56 River St Padstow
Rent Collected $590 per weeks @ $2360 per month Total Income: $ 2360 per
month
Our fees and charges Item
Strata fees
Amount
$ 370
Letting fee $110% of 1 weeks rent
$ 649 for 1 week's rent
Management fee $$7.7%
$ 45.43 in 1 week's rent
$ 182 for a month
Total fees $ 1064.43 for a week's rent
Other Payments Administration fee: $11
per month
$ 11
Total Deductions $ 236
Your Payment $ 2124
If you wish to discuss any
aspect of this statement,
please call our accounts
department on 8267 7895
or email
accounts@excellenceprop
erty.com.au
© REINSW CORC Course Assessment v1 OctobAustralian Competition and Consumer Commission. 2017er 2016 Page 43 of 65

Question
12
Your tenants Jacob and Naomi, have asked to terminate their tenancy agreement.
Originally they took out a 12 month tenancy agreement and have been living in the
property for 7 months. Jacob has been transferred to a new position in Victoria and must
start in 3 weeks time.
1. What are the options for Jacob and Naomi?
2. Explain the steps you would take to finalise the end of tenancy and the outgoing
inspection
3. What would you do if the property was damaged or left in a dirty condition and the
tenants do not think they are at fault? How would you resolve this dispute?
Type Answer Here In this case both the tenants have not
served the notice and due to that it is clear that they have
not used the correct procedure. It will create extra cost for
them and as proper notice has not been served than due to
that it is unethical and illegal procedure that have been
used by them. For serving the notice there is need for
making changes in serving contract. For ending tenancy it
is required that notice should be served to the landlords
and the notice period required will be different depending
upon the situation.
Minimum 14 day prior notice is required to be given
so that landlord can be made fully aware about the terms of
tenancy. The notice can be given upto and including the last
days of fixed terms. Inspection is made by landlord for
checking whether any damage to property has been
occurred. If all the conditions are OK that permissions are
given to tenants for vacating the property (Cavusgil, Knight
and Rose, 2014).
If property will be damaged or left in a dirty condition
and the tenants do not think they are at fault than a
written notice will be given to them and they will be
asked for fixing the damages that have been made by
them. In case they fail in fixing the property that penalties
© REINSW CORC Course Assessment v1 OctobAustralian Competition and Consumer Commission. 2017er 2016 Page 44 of 65

will be imposed on them. The dispute among both the
parties will be resolved by carrying out the mediation
process.
The break fee for Jacob and Naomi is penalty which
tenants have to agree for breaking the contract before its
completion date or end of the fixed term. This break fee
for Jacob and Naomi shall be atleast 25% of the amount
that is required in developing the advertisements and
hiring agents for future invitations to tenants.
© REINSW CORC Course Assessment v1 OctobAustralian Competition and Consumer Commission. 2017er 2016 Page 45 of 65

PART C – Workplace Situation
Activities
For Part C of the assessment you are
required to read the scenario and complete
the required documents. There are
templates for all practical activities. You
may be required to refer to Excellence
Property Policies and Procedures that are
included in the resource section.
Workplace Situation Activity 1
Front Desk
You have been working at Excellence Property
for two weeks. As most of the property
management and sales staff are away from the
office doing training, you have been asked to
look after reception today
There are a number of documents, checklists and
flowcharts available to help you handle any issues or
problems that you may encounter, these include:
 Agency profile
 Organisational chart
 Document Management Policy
 Client Services Policy
 Key Handling Policy
 Handling Money Policy
You have a list of task to do during the day that includes
organising a meeting for Property Management on
Thursday, booking opens for the sales and property
management teams. See List, complete weekly calendar
© REINSW CORC Course Assessment v1 OctobAustralian Competition and Consumer Commission. 2017er 2016 Page 46 of 65

In the first fifteen minutes of your day you receive a
phone call from a prospective vendor, wanting to get
information about selling his property. You take all his
details in the enquiry log.
James Smith has a 3 bedroom house with ensuite in
Market Street. James and his wife Grace have been living
in this house for 15 years and they are wanting to down
size. They’re not in a hurry, but would like to know how
much their property is worth in today’s market. See
Enquiry Log
Once you have all his details you advise him that as all
the sales staff are at training you will get a sales
representative to ring as soon as they get back to the
office. You consult the organisational chart for the
appropriate person. See Organisational Chart and write
file note
To ensure that you are giving James top service, you
spend a few minutes giving him an overview of the sales
process and the documents he needs before the agency
can sell his property. You make a note of this
conversation, which you email to one of the sales agents.
Write email
Thomas has asked you to prepare a document that
explains the different options for selling property, what
the advantages and disadvantages are and how the
method of sale will affect the way the property is
marketed.
© REINSW CORC Course Assessment v1 OctobAustralian Competition and Consumer Commission. 2017er 2016 Page 47 of 65

Continued on next page ….
This document will be added to the current listing kit.
Thomas has given you a template to use. Complete
template
Later in the day A tenant Alan Young comes in in with a
cheque to pay his rent, as you do not have access to the
Property Management Database, you will need to
complete a manual receipt. Details are:
Property 40 George St Redfern
Rent $520 per week
Paid From: 12.09.16
Amount Paid: Two weeks rent
Complete Receipt
Document
Completed
Weekly Calendar
Enquiry Log
File Note
Sales and Marketing Template
Email 1 – to sales agent
Receipt
© REINSW CORC Course Assessment v1 OctobAustralian Competition and Consumer Commission. 2017er 2016 Page 48 of 65

Workplace Situation Activity 2
Spiros Papalous (a property developer), has a partly
completed development site. Stage 1 an apartment
complex has been completed. The majority of these
apartments have been sold. The developer owns 2 of
these apartments and also has another apartment
available for sale.
Stage 2, of the development on the rear of the site, will
be townhouses and building will commence shortly. This
area is fenced off from the existing apartment complex.
The properties for sale have been inspected by the
property Sales Supervisor Thomas has developed a
Comparative Market Analysis (CMA). Using the CMA, you
are required to write a letter to the Vendors explaining
your suggested method of sale and price range. In the
letter you outline the prescribed documents you will
need prior to marketing the property. Write Letter
After discussions with Sprious and his partner Yoland
Minnette, you have decided that the best method of sale
is Private Treaty, with a marketing budget of $3,500
(refer to the listing sheet). Using this information, you
will need to prepare an Exclusive Sales Agency
Agreement. The agreement will go for 3 months from
today’s date with a selling fee of 2.2% GST inclusive.
Prepare an Exclusive Sales Agency Agreement
Spiros doesn’t want you to mention the proposed
second stage of the development and does not want any
photographs of the building site to appear in the
marketing. You will need to write to him and explain the
requirements of the section 52 of the Property Stock and
Business Agents Act that refers to misrepresentation by
© REINSW CORC Course Assessment v1 OctobAustralian Competition and Consumer Commission. 2017er 2016 Page 49 of 65

licensee or registered person. Write letter
To enable the marketing team to prepare the advertising
campaign, you complete the Marketing Summary and
list the features and benefits of the property and a draft
advertisement.
Once you have developed the documents, you email
the Vendors for approval. Write email
Document
Completed
Letter 1 re method of sale and marketing
Exclusive Sales Agency Agreement
Letter 2 re misrepresentation
Marketing Summary
Email – re approval of marketing
© REINSW CORC Course Assessment v1 OctobAustralian Competition and Consumer Commission. 2017er 2016 Page 50 of 65

Workplace Situation Activity 3
Now that the agency agreement has been signed you can
start your marketing campaign.
You have a database of prospective buyers that you can
contact who may be interested in the apartment. When
reviewing the database you find a potential buyer for
one of the properties for sale. You will email them and
see if they are still interested. Write email
Your sister is also interested in looking at one of the units
and is keen to make an offer. You will need to make the
appropriate disclosure to the Vendors. Complete S49
disclosure form
Margaret and Casey Todd want to give you $1,000 as an
expression of interest deposit when they submit their
offer (the offer is $20 000 below the listed price). They
want to take the property off the market while they
organise their finances. You will need to explain to them
what happens if you accept their deposit and that you
would suggest that they obtain specialist advice in
relation to pest and building inspections. Write email
You give the offer to Spiros over the phone and
follow up in writing, Spirous and Yoland have
instructed you to negotiate a price no more than
$10,000 below the asking price. After a number of
phone calls with counter offers you finally get
agreement between buyer and seller. To confirm the
offer and acceptance you complete a sales advice.
Complete Sales Advice
Document
Completed
Email 1 – to database buyers
Section 49 Disclosure Form
© REINSW CORC Course Assessment v1 OctobAustralian Competition and Consumer Commission. 2017er 2016 Page 51 of 65

Email – re acceptance of offer
Sales advice
© REINSW CORC Course Assessment v1 OctobAustralian Competition and Consumer Commission. 2017er 2016 Page 52 of 65

Workplace Situation Activity 4
As Spiros Papolous wants you to manage Unit 1/15
Apartment Drive Redfern, you will need to complete a
managing agency agreement with him.
You have negotiated a commission rate of 6.6% and a
monthly administration fee of $8.80. You will charge 1
weeks rent +GST as a letting fee.
Spiros would prefer that the initial lease be for 12
months. Your rental appraisal suggests the rent be
between $660 - $700 per week, however Spirous has
previously indicated that he would like to get $750 per
week.
You will need to use all your persuasion skills to help him
understand that this amount is not attainable in the
current market and that he should agree to an amount
within your range. In a letter explain the comparable
analysis process for your rental decision. Write Letter
You have reached agreement on the rental amount of
$680 per week and finalise the Management Agreement
for signatures. Management Agency Agreement
The process of showing the property and reviewing
tenants applications has begun. After an open for
inspection you have received a number of applications
and after doing the appropriate checks you now have 4
suitable tenants. Review tenant applications and
complete short list
Spiros has asked you to send him a summary of your
selected tenants with an explanation of why you believe
they will be good tenants. Write email
© REINSW CORC Course Assessment v1 OctobAustralian Competition and Consumer Commission. 2017er 2016 Page 53 of 65

Spiros has indicated that he and Yolande would be happy
with any of your prosed tenants and instructs to enter
into a tenancy agreement with your preferred applicant.
You contact the successful applicant and email them
with the details of what money they will need bring with
them when they sign the agreement. You also ask them
for a holding deposit to be paid immediately and explain
what will happen if they don’t sign the agreement. Write
email
Your new tenant has come in to sign the tenancy
agreement and pay their bond. Complete Tenancy
Agreement and Bond Lodgment Form
Prepare the end of month statement for Spiros
Complete End of Month Statement
Document
Completed
Letter – re management of property
Managing Agency Agreement
Tenant Application Review short list
Email to Landlord – re tenant selection
Email to Tenant – re signing lease
Residential Tenancy Agreement
Bond Lodgment Form
End of Month statement
Workplace Situation Activity 5
© REINSW CORC Course Assessment v1 OctobAustralian Competition and Consumer Commission. 2017er 2016 Page 54 of 65

Robert Redman, Penny Yung and Enrico Lomas have
been renting an older style 3 bedroom house with
Excellence Property for nearly 15 months.
At the beginning of their tenancy they were model
tenants, their rent paid in advance and the property was
well maintained. Over the last month, their rent
payments have been up to 5 days late, they haven’t been
paying the full amount and as such are now in arrears.
You have contacted them and found that Robert is
currently out of work and has not been able to pay his
part of the rent. Robert is starting a new job next week
and will start paying his share of the rent then.
You have discussed the issue with your Landlord (Krista
Miles) and have come to an agreement the tenants, that
they can make up the back rent by paying an extra $20
per week until the arrears have been paid. You confirm
this arrangement with the tenants by email. Write email
You decide at this point that it would be a good time to
do a periodical inspection and Krista would like to be
present at the inspection. You send a letter to the
tenants (ensuring the appropriate notice period is
observed), advising them of the details of the inspection
and that the Landlord will be in attendance. Write letter
for inspection
During your inspection you notice that the kitchen
window frame has been broken, the lawns are
overgrown and there is a large brown stain on the carpet
in the hallway. There are a number of palings missing
from the side fence and there is evidence that they have
© REINSW CORC Course Assessment v1 OctobAustralian Competition and Consumer Commission. 2017er 2016 Page 55 of 65

had a home-made BBQ in the back yard.
Krista is appalled at the state of the property and
demands that you evict them immediately. You assure
Krista that you will attend to the situation immediately
and will contact her with the outcome.
Back at the office you prepare the termination notice
and a letter that explains the reason for the termination
notice. for You serve the notice by hand. Termination
Notice and Letter to Tenants
Robert and Penny contact you to discuss the necessary
repairs and confirm with you that they will pay all costs.
They will vacate the property at the end of the month.
Email to Landlord
You agree to send them a letter that explains the process
for vacating the property and how they can ensure that
their bond is refunded. Letter to tenant
You have organised for your handyman Adam Walker
to fix the window frame and fence; he will pick up the
keys on Friday on his way to the property. Complete
key register
Document
Completed
Email to tenants – re rent payments
Letter to tenant - re property inspection
Termination Notice
Letter to tenants – re termination notice
Email to Landlord re tenant’s leaving property
Letter to tenant – re outgoing inspection
Key register
© REINSW CORC Course Assessment v1 OctobAustralian Competition and Consumer Commission. 2017er 2016 Page 56 of 65

Workplace Situation Activity 6
Spiros has now begun work on Stage 2 of the
development. The townhouses are in the process of
being built. This has resulted in trucks and other building
machinery entering the property and hindering the
access for residents in the apartment building. Some
minimal damage has been done to pedestrian areas
which most residents are accepting as part of the
building process. However, it has caused some additional
access issues for Mohammad, the resident from
apartment 3 who is wheelchair bound.
Mohammad has notified the agency on 2 separate
occasions of the issue, but a resolution has not been
reached. Mohammad has put in a formal complaint,
which you record in the complaints register. Complete
Complaints Register (see Complaint Letter)
Mohammad has requested that the footpaths be
repaired but Spiros is reluctant to complete this work
until the machinery is no longer required on site. There
are plans for redevelopment of the communal pathways
and gardens surrounding the apartment building as part
of Stage 2 of the development. It is estimated that this is
likely to take another 12 months.
You need to remind Spiros about the rights of the
tenant, especially as he is disabled and the potential
options that could appease Mohammad.
Spiros recognises Mohammad’s needs but also has a
priority to complete the building project on time and
within budget. He has authorised you to negotiate a
© REINSW CORC Course Assessment v1 OctobAustralian Competition and Consumer Commission. 2017er 2016 Page 57 of 65

temporary solution costing up to $5 000.
The developer has suggested that it would be beneficial
for the property manager to resolve this issue as quickly
as possible to avoid any further negative public
exposure.
You write to Mohammad explaining the offer to install a
temporary ramp and suggest that he takes a little time to
evaluate the offer. Write letter re ramp
After considering the offer, Mohammad has decided
that he is not happy with this solution, as he feels
that his safety will still be at risk. He feels that the
developer is discriminating against him and is
threatening to take the matter further. Write Letter
re discrimination concerns
Document
Completed
Complaints register
Letter to Mohammad re ramp
Letter to Spiros re – discrimination concerns
© REINSW CORC Course Assessment v1 OctobAustralian Competition and Consumer Commission. 2017er 2016 Page 58 of 65

Part C Workplace Situation Activities
Activity 1
While handling the work at reception desk, it is essential for the person to ensure that proper
scheduling is being made so that all the activities can be managed effectively. Since, it is a property
management business; therefore it is crucial for the person handling desk work to pay appropriate
attention towards the phone call as that is the only source through which all the activities can be
managed suitably.
Enquiry log
Name of the person- James Smith
Area of interest – selling the property
Details of property – 3 bedroom house with ensuite in Market Street
Description – James and his wife have been residing in the house for 15 years; however now they
want to downsize the same. Henceforth, they would like to sell the property.
Communication with James
We would like to inform you that all our staff members are swamped in training sessions;
hence at present nobody is available to assist you. Therefore, once the staff gets free, we will try to
revert back to you. Moreover, for your information we would like to specify that we work according
to the organizational chart that includes various stages. Thus, within the period of 3 days, we will try
to communicate with you regarding your property selling offer.
Final email to James
Hii, James
Since, you have shown interest to sell your property through Excellence Property Company;
so we would like to appreciate your interest. Reviewing your case, we came know that your property
holds more value as currently the market conditions are changing constantly. After advertising the
property, we received interest from several agents; thus we would like you to review the list which
gives more profit to you against the property. However, for the same procedure, you are requested to
give your presence for the entire trade part. Prior, we start the process of selling, we need several
legal documents from you; therefore you are requested to visit our place once so that we can proceed
further. At the same time, the purchasing party has also shown interest in meeting you; hence in this
context we would like to invite you for the same.
Hope you like the service we deliver.
Thanks
Excellence Property
Case of Thomas
© REINSW CORC Course Assessment v1 OctobAustralian Competition and Consumer Commission. 2017er 2016 Page 59 of 65

Thomas has different selling options to sell the property; however every option has many
advantages and many disadvantages. The most important aspect that comes here is setting of
appropriate pricing of the property so that adequate amount of profit can be derived. The options
which Thomas has are discussed as follows:
 Selecting a broker who can sell the property with an appropriate amount. It is
beneficial in saving time and efforts both; however at the same time, it is essential for
Thomas to analyse the whole background of Thomas. Paying compensation to broker
is yet another responsibility and burden for Thomas.
 Proper adverstiment is another option through which property can be sold; thus
Thomas can make use of social media tools. However, sometimes social media does
not gives accurate responses.
Articulating the above facts, it can be said Thomas is accountable to consider the fact that
proper selecting of advertisement tool will only help him to get more profits and advantages.
Activity 2
Letter to the vendors
This email has been prepared for the purpose of informing you that Spirous Papalous is
interested in selling the property which is a development site. There are several apartments in the
complex among which various apartments are remained left to be sold. The price of each apartment
is specified in the offer letter below. However, we would like to suggest you that purchase of such
apartment will be beneficial for you because it is located in the major area of the state. We have
decided to opt for direct selling method so that to avoid variations in selling price. The interested
party is requested to showcase all the documents so that we can proceed with further stages.
Thanks
Spirous Papalous
Sales Agency Agreement
Date – 20th May 2017
Between: Spirous Papalous and Yoland Minnette
Now, therefore, in consideration of the mutual agreements and covenants, herein contained
the parties which agrees for the following conditions.
1. Marketing budget - $3,500
2. Duration – 3 months from today’s date
3. Selling fee – 2.2% GST inclusive
Thanks
Letter to Spirous regarding Property Stock and Business Agents Act
© REINSW CORC Course Assessment v1 OctobAustralian Competition and Consumer Commission. 2017er 2016 Page 60 of 65

To, Spirous Papalous
We would like to inform you that under section 52 of Property Stock and Business
Agents Act, it is vital for you to add the pictures of the development site in the agreement.
The guidelines are intended to assist licensees and certificate holders to comprehend all the
legal obligations not to misrepresent the attributes of the property which is offered for sale.
Hope you would agree for the same
Thanks
Advertisement for selling the property of Spirous Papalous
This is to inform you that Spirous Papalous is intended to sell the property in which
the complex has several apartments which are fully furnished and properly ventilated. A few
apartments are remaining and rest all are sold; hence we would like to get your consent if
interested. The property is beneficial for you since it will assist you to get long term benefits.
Thanks
Activity 3
Email to the prospective buyer
This is to inform you that we have received an interest from your side regarding the
apartment. We came to know this by reviewing the database. We would like to tell you that the
property is still not sold to anyone; therefore in this respect we would like to know if you are still
interested in getting the property.
We will be waiting for you to revert back.
Thanks
Disclosure form to the vendors
Since, you are interested in purchasing the property; therefore I would to like you to look at
the disclosure form which specifies each and every prospect of the property. According to Section
49 it is essential for the party (interested in purchasing the property) to get a license when the
property holder has all the legal aspects to be done. However, at the same time, it is also crucial for
the agent to get consent from the interested party so that further proceedings can be managed
accordingly.
Thanks
Email to Margaret and Casey
This is to inform you that it is essential for us to sign a contract so that you can get the right
to hold the property. However, for the same aspect then only we will be able to take the property off
from the market. According to the Contract Act, it is essential for us to get a booking amount which
© REINSW CORC Course Assessment v1 OctobAustralian Competition and Consumer Commission. 2017er 2016 Page 61 of 65

signifies that you have booked your application as a tenant. For further inquiries you can contact us
so that doubts shall be cleared before participating in the contract.
Thanks
Sales Advice
As per our conversation over phone, the selling price of the property is fixed for $10,000.
Despite of receiving a number of invites from various other parties, we have decided to engage in
contract with you and sell the respective property. However, we would require quick response from
your side as soon as possible as the deal has to be made. It is advisable to have a face to face
conversation so that entire sales process can be completed over your visit. We shall also provide the
necessary details which will facilitate further dealing.
Thanks
Activity 4
Letter
This is to bring you notice that as decided we will be renting the apartment in $750 per week;
hence you are requested to consider the amount so that we can start the proceedings accordingly.
Further, you are also requested not to change the amount as we will be finalising the deal on $750
only.
Kind regards.
Management Agency Agreement
For your information, we would like to inform you that after negotiation, we have come up
with an amount of $680 per week; however we need endorsement for the same. We would like to
inform you that we need consideration for the same; hence kindly give your presence for the same.
Please find the attached documents.
Thanks
Short list the candidates
As we have received a number of applications; hence we would like to share that very soon
the process of shortlisting the parties will be started. The list will be provided to the concerned
parties as early as possible.
Thanks
Email regarding summary of tenants
Please find the attached list which is about the tenants that have shown interest in getting the
property. They are good tenants because according to their financial statements, they have the ability
to pay the amount of rent on continuous basis.
Thanks
© REINSW CORC Course Assessment v1 OctobAustralian Competition and Consumer Commission. 2017er 2016 Page 62 of 65

Email to the tenants
This is to inform you that under tenancy agreement, all the tenants are requested to give their
presence with appropriate amount so that they can hold the property. Further, they are also required
to submit a specific amount to the property holders as per the agreement. However, you do not have
to sign the agreement; but then you are requested to show your presence.
Thanks
Completion of the tenancy bond
This is to bring you notice that we are all set to initiate with the tenancy agreement; however
according to the agreement, it is vital for the parties to pay the amount which is written in the bond.
Hence, kindly come for the same.
Thanks
Activity 5
Email to the landlord
For your information, I would like to state that after discussing with the tenants, it is clearly
ascertained that the remaining amount will be paid off within the next given time. The entire amount
of arrears will be compensated as early as possible.
Thanks
Letter for inspection
An inspection process has been decided to conduct by Krista Miles so that; hence you all are
suggested to ensure that the property is well managed.
Thanks
Termination notice to the tenants
Since, we have noticed many issues from your side; therefore we would like to tell you that
we will be terminating the contract of tenancy. All the necessary reasons are being specified in the
detailed letter.
Thanks
Email to landlord
We apologize for the inconvenience caused and we are also ready to pay for the necessary
repairs; hence we will fix up all the costs accordingly. However, in the month end, we will vacate
the house.
Thanks
Letter to tenant
© REINSW CORC Course Assessment v1 OctobAustralian Competition and Consumer Commission. 2017er 2016 Page 63 of 65

Since, you have asked for one month provision; therefore we would like you to complete all
the essential requirements while vacating the property. At the same time, the bond needs to be
refunded within the time period.
Thanks
Complete key register
As per the requirements, it is essential for the guards to complete all the requirements so that
security aspects can be maintained.
Thanks
Activity 6
Complaint letter
This is to inform you that we have been experiencing several issues in developing the sites;
hence additional costs are required to be implemented for the same. However, we have not received
a resolution; therefore kindly look into this matter.
Thanks
Letter re ramp
Such letter has been written for the purpose of installing a temporary ramp; hence we would
like to request for the specific amount.
Thanks
Letter re discrimination concerns
I would like to express that I am feeling threatened because of the safety issues and risks;
hence please look into this matter.
Thanks
© REINSW CORC Course Assessment v1 OctobAustralian Competition and Consumer Commission. 2017er 2016 Page 64 of 65

REFERENCES
Murray, M. and Dainty, A., 2013. Corporate social responsibility in the construction industry. Routledge.
Cavusgil, S.T., Knight, G., Riesenberger, J.R., Rammal, H.G. and Rose, E.L., 2014. International business.
Pearson Australia.
Rossini, P. and Kupke, V., 2014. Understanding the short-and long-run relationship between vacant allotment
and established house prices: A case study of Adelaide, Australia. International Journal of Managerial
Finance, 10(2), pp.200-217.
Janda, K.B., 2014. Building communities and social potential: between and beyond organizations and
individuals in commercial properties. Energy Policy, 67, pp.48-55.
Wrigley, J.W. and Fagg, M., 2013. Australian native plants.
Lockie, S., 2013. Market instruments, ecosystem services, and property rights: assumptions and conditions
for sustained social and ecological benefits. Land Use Policy, 31, pp.90-98.
Corones, S.G., 2014. Competition law in Australia. Thomson Reuters Australia, Limited.
Jennings, M.M., 2013. Real estate law. Cengage Learning.
Gregory, R.W. and Chase, L.D., 2008. Real Estate Law. U. Rich. L. Rev., 43. pp.379.
Davenport, P.H. and Dobbs, L.H., 2006. Real Estate Law. U. Rich. L. Rev., 41. pp.257.
Marron, B.R. and Gill, C.M., 2003. Real Estate Law. U. Rich. L. Rev., 38. pp.223.
Ling, D. and Archer, W., 2012. Real estate principles: A value approach. McGraw-Hill Higher Education.
Levitt, S.D. and Syverson, C., 2008. Market distortions when agents are better informed: The value of
information in real estate transactions. The Review of Economics and Statistics. 90(4). pp.599-611.
McDonald, J.F. and McMillen, D.P., 2010. Urban economics and real estate: theory and policy. John Wiley
& Sons.
Australian Competition and Consumer Commission. 2017. [Online]. Available through:
<http://www.australia.gov.au/directories/australia/accc>. [Accessed on 20th May 2017].
Contracts and Deposit. 2017. Online]. Available through: <
http://www.fairtrading.nsw.gov.au/ftw/Tenants_and_home_owners/Buying_property/
Contracts_and_deposits.page>. [Accessed on 20th May 2017].
The complete guide to cooling off periods when selling a property. 2017. Online]. Available through:
<https://www.finder.com.au/selling-a-house-cooling-off-period>. [Accessed on 20th May 2017].
Buying property: Cooling off period. 2017. [Online]. Available through:
<https://www.eaab.org.za/article/buying_property_cooling_off_period2>. [Accessed on 20th May 2017].
© REINSW CORC Course Assessment v1 OctobAustralian Competition and Consumer Commission. 2017er 2016 Page 65 of 65