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How to Make a Complaint About a Real Estate Agent in NZ If you have been poorly treated by a real estate agent, you have formal options. Here is how the complaint process works. The first step: raise it directly Before making a formal complaint, raise the issue directly with the agent and their agency branch manager. Many complaints arise from miscommunication or misunderstanding that can be resolved without a formal process. Give the agency the opportunity to address your concern. Document all communications (in writing is best) from this point forward in case a formal complaint becomes necessary. The REA complaint process If direct resolution fails, you can make a formal complaint to the Real Estate Authority (REA) at reaa.govt.nz. Complaints must be made in writing and describe the specific conduct you are complaining about, with any supporting documentation. The REA assesses whether the complaint raises a potential breach of the Real Estate Agents Act or the code of conduct. What happens after you complain The REA assesses your complaint and decides whether it warrants formal investigation. If it does, it may be referred to a Complaints Assessment Committee (CAC) for investigation. The CAC can: dismiss the complaint, take no further action, censure the agent, impose a fine (up to $30,000 for an agent and $10,000 for a salesperson), or refer serious matters to the Real Estate Agents Disciplinary Tribunal. Tribunal sanctions can include suspension or licence cancellation. If your complaint relates to financial loss arising from the real estate transaction rather than agent conduct, other avenues may be relevant: your own lawyer for civil claims, the Disputes Tribunal for smaller claims, or in cases involving fraud or serious misconduct, the police. Timeframes The REA does not have publicly specified timeframes for resolving complaints, but formal investigations typically take several months. If you need urgent resolution (for example, a transaction in progress that is being adversely affected), seek legal advice alongside the REA complaint rather than relying solely on the REA process for a timely outcome. Paul Sumich is a Whangarei-based real estate professional with local Northland expertise. Find more at paulsumich.co.nz/blog
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