Verify credentials of real estate agents and negotiators, S’wak house buyers told

KUCHING (July 31): Property buyers should verify credentials of real estate agents or negotiators, particularly if they are licensed, through the website of the Board of Valuers, Appraisers, Estate Agents and Property Managers Malaysia (Bovaep).

Sarawak Housing Estate Developers Association (Sheda) advisor Datuk Sim Kiang Chiok gave this reminder when responding to Bovaep registrar Pamela Marie Jerome Anthony’s remarks that cases of fraud are quite frequent nowadays.

“From a buyer’s perspective, they have the option to purchase houses under construction from developers, and for completed or second-hand houses, they can buy or rent directly from developers or house owners,” he told The Borneo Post.

He said typically, a buyer would purchase a house through a developer’s sales personnel or property agents, who are now under the professional body and supervised by Boveap.

“However, a market issue arises with sub-agents or spotters collaborating with licensed agents. This can lead to problems, as highlighted in Boveap’s statement, where unlicensed individuals impersonate licensed agents.

“In Sarawak, this type of fraud can occur if potential buyers or tenants do not thoroughly verify the credentials of agents when making initial deposits or earnest money payments,” he added.

He opined that the advice provided by Boveap was relevant and applicable in Sarawak, as real estate agents and negotiators in the state are governed by the same professional body.

In a separate statement, Pamela said in recent months, Bovaep, the regulatory body overseeing the real estate industry, had received reports and complaints regarding individuals impersonating legitimate registered estate agents (REAs) and real estate negotiators (RENs).

“These criminals exploit the trust of homebuyers and tenants with the intention of defrauding them.

“The criminals typically operate through sophisticated schemes, posing as REAs and RENs to manipulate potential buyers or tenants into transferring sums of money as earnest deposits or down payments.

“Once the funds are transferred, these criminals disappear, leaving victims financially devastated and without the promised property,” she said.

She added this alarming trend jeopardised the integrity of the profession and posed significant risk to clients and transactions.

She thus reminded the public to firstly verify the credentials of the REAs and RENs through Bovaep’s website, besides making sure mobile numbers advertised in the media correspond with the listed phone numbers in the Bovaep system.

“Secondly, they are to inspect properties by insisting on viewing the properties in person before making any payments. Be wary of agents who refuse or make excuses for not allowing physical inspections.”

Pamela also advised the use of secure payment methods for transactions, and to avoid transferring large sums of money without proper documentation and confirmation.

“Wherever and whenever possible, always ensure payments are made to registered real estate agencies and/or other legal stakeholders,” she said.