Sunday

First Step in Getting Ready for Real Estate Transactions

I've often heard and read that there is money in real estate. Of course, if one owns a vast track of land, like a few acres and decided to sell it, there's really a connection. But if you don't own a land, you don't have the money to finance your real estate investment, and you don't have to guts to gamble your little salary, will there be money? Always curious on how things work, I wanted to find out if there's really money in real estate investing.

If a person is engaged in the real estate brokerage or buy and sell of real estate properties, and it is not his own properties, then according to Republic Act 9646 - The Real Estate Service Act of the Philippines - you must have a license. Real estate practice without a license means penalty.

SEC. 39. Penal Provisions

Any violation of the R.A. No 9646, including violations of this IRR, shall be meted the penalty of a fine of not less than one hundred thousand pesos (P100,000.00) or imprisonment of not less than two (2) years, or both such fine and imprisonment upon the discretion of the court. In case the violation is committed by an unlicensed real estate service practitioner, the penalty shall be double the aforesaid fine and imprisonment.

In case the violation is committed, by a partnership, corporation, association or any other juridical person, the partner, president, director or manager who has committed or consented to or knowingly tolerated such violation shall be held directly liable and responsible for the acts as principal or as a co-principal with the other participants, if any.

So as not to violate any laws, I embarked on getting myself certified. I attend the required 120 training hours for real estate. That's about P20,000.00 including transportation. Then, secured the other documentary requirements -notarized training certificates, clearances, transcript of records, IDs - of which one document almost cost me of not being able to apply for examination because of late release. Misunderstandings do occur sometimes. It was lucky for me that there was a one-week extension for acceptance of applications. I took the exam, of which majority of the questions were unfamiliar. Yet, again, luckily, I passed. Do I really have that luck in taking the examinations after all these years? I hope it will stay with me always. :)

I thought the expenses stopped after the review and examination. I was wrong. You need to pay the PRC registration fee, the Php20,000 surety bond, oath-taking ceremonies, and coming up is the Housing and Land Use Regulatory Board (HLURB) registration.

Now, I am certified, licensed real estate broker.

After getting the PRC license, I needed to find my "listings", get accredited with property developers or property owners. My listings are posted at Real Estate Philippines

Then, make that first transaction. Still waiting for that moment.

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