Will the REINSW make the leap from lobby group to political party?

If the Real Estate Institute of New South Wales (REINSW) can't achieve their goals by lobbying political parties, they have an alternative strategy in place: become one.

According to REINSW president Malcolm Gunning, the group is considering the formation of a political party to change legislation regarding the real estate industry.

It is now too late for the industry group to form a political party to run in the March 2015 New South Wales election. However, Gunning tells Property Observer the REINSW has already made connections with the head of one party, which he declines to name.

"We've been approached now by another industry based single party to support them, which we'll consider," Gunning says.

"If we get co-operation by state government, we'll review it. But if we don't, if again we're pushed off, there's the framework in place."

He likens the potential real estate focused party to the Shooters and Fishers party, which holds two seats in the New South Wales Upper House. As a result of their government deals, hunters are now allowed onto public land in New South Wales.

"It's really about putting pressure on both sides of government to make sure property practice and agency practice is in line with public expectations."

The REINSW's potential political ambitions come after their sister organisation, the Real Estate Institute of Victoria, was criticised by some for running an anti-Liberals campaign ahead of last week's Victorian state election. 

Gunning claims any REINSW affiliated political party won't be campaigning on behalf of any major party.

"We're apolitical, we're policy driven," Gunning says.

"From an REINSW point of view, we prefer to argue policies in both sides of government, and not necessarily back any particular party."

Their main concern, he explains, is the standard of real estate professionals in the state.

"We've been lobbying state government and various ministers, and the Office of Fair Trading, for some time about improving the educational standards for entry into our industry," he says.

"And it's been really falling on deaf ears."

Gunning says despite the existence many qualified and long-practicing real estate agents in New South Wales, lax educational standards have allowed unqualified or unprofessional agents to practice, particularly in migrant populations.

"Through our international chapter, they're saying there's a sub-market taking place within Melbourne and Sydney's immigrant groups, and it's slipping under the radar of Fair Trading.

"A lot of the immigrants won't report real estate agents, and don't understand the legislation," claims Gunning.

He says the state's poor agent standards extend beyond selling agents, to property managers.

"A profile of a current property manager is a 26 year old female, maybe with a week of training," he explains.

"If that's the case, that young woman, or that person, has got to be mindful of swimming pool legislation in New South Wales, fire place safety, or people hanging themselves with blind cords.

"So you've got people who are assumed to be taking on responsibilities which they aren't equipped for."

He claims the increasing educational requirements for new agents will not negatively impact competition in the industry, with agents previously required to train for 12 months and then have two years of probation.

"So when it came to opening their own business, they were pretty well prepared," says Gunning.

Land tax and stamp duties would be another area a REINSW party would hope to reform after addressing their industry standard concerns.

"There are about 70% of Australians who have some interest in property.

"If you own a bit of real estate, you hope to have a voice in government," says Gunning.