In accordance with the Code of Ethics, agents must provide a completed application to

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Agents need to demonstrate their competency before they are issued a licence or certificate.

Agents must also undertake continuing professional development each year to make sure they remain up to date and competent in the skills and knowledge needed to do their jobs.

It's also a condition of every licence that the holder is insured under a professional indemnity insurance policy that complies with the requirements specified in the regulations.

Download the professional indemnity insurance information sheet

The comprehensive set of rules of conduct under the Property and Stock Agents Regulation 2022 (the Regulation) exists to support this approach to competency and professionalism.

These rules provide agents with specific guidance on the professional and ethical standards to which the public expects them to adhere.

There are 21 core rules which apply to all licence and certificate holders, and additional specific rules which apply to the various categories of agency work.

The rules of conduct can be found in Schedules 1-4 of the Regulation as follows:

• All licence and certificate of registration holders - Schedule 1
• Real estate agents and assistant real estate agents including business agents, buyer's agents and on-site residential property managers - Schedule 2.
  • Schedule 2 Part 1 applies to real estate agents and assistant agents exercising functions relating to the sale or purchase of land, or business agent functions.
  • Schedule 2 Part 2 applies to real estate agents and assistant real estate agents who exercise functions in relation to lease of land, or on-site residential property manager functions.
• Stock and station agents and assistant stock and station agents - Schedule 3.
• Strata managing agents and assistant strata managing agents - Schedule 4.

In addition to complying with the rules of conduct, agents and assistant agents may have to comply with other laws, including the Property and Stock Agents Act 2002, in relation to their conduct and in carrying out their functions.

For example, strata managing agents also have obligations under the Strata Schemes Management Act 2015. Further information about strata schemes and their management can be found here.

Some examples of the rules of conduct are outlined below.

Payment of rental income monthly to landlord

An agent must pay rental money received on behalf of the landlord under a residential tenancy agreement to the landlord at the end of each month, unless the landlord has instructed the agent in writing to do otherwise.

This ensures that any rent owing is passed on in a timely manner and landlords are aware if there has been a failure to account for their rental income.

Gifts and benefits generally prohoibited where there could be a conflict of interest

Section 53F of the Property and Stock Agents Act 2002 establishes a general prohibition on agents receiving or requesting gifts or benefits for themselves or for another person in circumstances that could reasonably be considered to give rise to a conflict of interest.

However, this does not apply to:

• anything provided by the agent’s employer
• anything provided as part of an agency agreement or as a gift of thanks from a client for services provided under the agency agreement, or
• anything of less than $60 in value - which is the same level as the dollar limit under the reforms to the laws governing strata managing agents that commenced in 2016.

The Supervision Guidelines also require principal licensees to maintain a register of gifts and benefits received by agents employed in the agency.

Information about these guidelines can be found here.

Separate trust accounts for rental and sales money

The licensee in charge of the business will need to establish a different general trust account for rental money and sales money. Rent and sales deposits must not be kept in the same general trust account.

Many businesses already maintain separate trust accounts for rental income and sales deposits; this new rule mandates it for everyone.

This requirement aims to improves the accountability and transparency of agents by ensuring they do not mix rental and sales money in a single trust account.

Expression of interest deposits

An expression of interest deposit is made prior to the exchange of contracts and shows the vendor that the buyer’s offer is serious. It does not oblige the buyer to purchase the property, and it does not oblige the vendor to sell the property. Expression of interest deposits are refundable.

It is important that consumers are aware of their rights in relation to expression of interest deposits. To ensure this, the Regulation imposes rules on real estate agents (including a buyer’s agent) and stock and station agents. None of them can accept an expression of interest deposit from a person, unless they have given the person the following information in writing:

• the vendor has no obligation to sell the property or business,
• the buyer has no obligation to buy the property or business, and
• the deposit is refundable if a contract for sale of the property or business is not entered into.

Before the agent accepts the deposit, the person must give a signed written statement to the agent confirming they were given the above information and they understand it.

The agent must promptly inform the person if a subsequent offer is made to purchase the property.

An agent acting for the vendor must also:

• advise the person that they have the right to make further offers until exchange of contracts has taken place,
• refund the expression of interest deposit within 14 days once a contract for sale of the property has been entered into by someone else, and
• promptly inform their client that an expression of interest deposit has been paid.

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