ACRES urges expedited licensing to combat colorums

The Accredited Real Estate Salespersons (ACRES) have urgently requested the Department of Human Settlements and Urban Development (DHSUD) to address the persistent delays in issuing licenses to aspiring real estate salespersons.

ACRES, in collaboration with other real estate organizations, engaged in a consultative meeting with DHSUD on August 24, 2023, in Manila, specifically to discuss proposed amendments related to business firms, brokers, and salespersons.

Among the topics examined were the suggested revisions to HLURB Board Resolution (BR) 922-14, particularly those influencing real estate practice.

Anthony Gerard Leuterio, the founder of A Better Real Estate Philippines, an advocacy coalition and parent organization of ACRES, emphasized that a critical concern raised during the meeting was the urgent need for prompt issuance of licenses to real estate salespersons.

Leuterio underscored that the protracted delays in granting licenses, ranging from three to eight months, were fueling the proliferation of 'colorum' or unlicensed salespersons in the industry.

Before engaging in real estate transactions, salespersons are required to obtain licenses from both DHSUD and the Professional Regulatory Commission (PRC). PRC additionally mandates their participation in an online oath-taking ceremony.

"The industry demands efficiency because we are advancing nation-building. We are dealing with thousands of salespersons eager to contribute to the flourishing real estate sector. However, any delay in the process will inevitably lead to more 'colorum' practitioners," Leuterio explained.

"Selling can't afford to wait. If someone wishes to make a purchase, we can't expect them to hold off for a license," he added.

According to ACRES, approximately 80 percent of real estate transactions are facilitated by licensed salespersons.

Chris Malazarte, the national president of ACRES, described the open forum as an opportunity to commend DHSUD and convey the challenges faced by salespersons in the country.

While recognizing the necessity for DHSUD to regulate the real estate sector, Malazarte expressed appreciation for the department's efforts to adapt policies to the contemporary industry climate.

Malazarte emphasized that the policies outlined in Republic Act 9646, also known as the Real Estate Service Act Law, and BR 922-14 were "straightforward," but the registration experiences for salespersons were far from simple.

"We must find ways to make the registration process more encouraging for aspiring salespersons. This will significantly reduce the problem we aim to avoid—'colorum' sales agents," Malazarte concluded.

ACRES national vice president for Luzon, Jeffrey Ryan Sanchez, echoed similar sentiments, highlighting the need for regulatory bodies such as PRC and DHSUD to focus on their most significant challenge—the timely issuance of licenses for aspiring salespersons.

Sanchez stressed that there should be no undue delay in issuing IDs, particularly when sales agents have fulfilled their requirements.

"We, at ACRES, are committed to ensuring that our members are registered with PRC and DHSUD, under the supervision of a licensed broker as they serve their clients. We align ourselves with PRC and DHSUD," he affirmed.

Gilbert Monecillo, ACRES national vice president for Mindanao, extended an invitation to all real estate organizations to unite in their ongoing mission of professionalizing and enhancing the real estate profession, particularly for salespersons.

Monecillo envisioned ACRES as an organization that contributes to fostering a culture of integrity and trust among salespersons, making the Philippines a safer and more inviting destination for real estate investments.

"We also extend an invitation to all real estate companies to collaborate with ACRES in this endeavor," Leuterio added.

ACRES has experienced significant growth in membership, encompassing accredited real estate salespersons and those aiming to align their real estate sales practices with regulatory standards. Currently, ACRES boasts over 3,000 real estate salespersons nationwide.