Would you rent a property through an unlicensed agent?
Place your vote and we’ll update you on the results on Twitter next week.
Paramount is passionate about compulsory licensing for letting agents. Residential lettings is an unregulated industry and we believe that all agencies and lettings negotiators should become licensed members of a regulatory board in order to let property.
Licensing is imperative to giving consumers real confidence when dealing with agencies and individual staff members who are regulated by common codes of practice. Many agents invest significant time and money to ensure all these requirements are met but are still tarnished by unregulated agents who continue to stoke the public’s negative image of agency.
Becoming a licensed agency is good for generating new business too. More than two-thirds of landlords who use a lettings agency say they consider whether the agent is licensed or regulated when deciding which one to use*. Unfortunately this is not mirrored by tenants and we are committed to redressing this balance.
An agency that has voluntarily joined the Association of Residential Lettings Agents (ARLA) or National Association of Estate Agents (NAEA) shows that it is happy to adhere to the highest standards and meet these external organisations’ customer service standard. For instance, all ARLA members are required to work within a robust code of practice, which covers the key stages in letting and managing a property. Regulated agents have to meet a standard of compliance that includes having Professional Indemnity Insurance, mandatory participation in a Client Money Protection Scheme and a structure for dealing with complaints and disciplinary procedures.
One of the only issues with choosing an ARLA or NAEA agency is that the industry bodies only require an office to employ one member of staff, in any office, with a suitable industry qualification. At Paramount we believe that all members of staff, especially negotiators, should study to become a member, as this ensures all staff have to undertake regular training and keep up to date with changes in legislation.
At Paramount, all staff members must be members of the Association of Residential Letting Agents (ARLA) or the National Association of Estate Agents (NAEA). If we recruit any new members of staff that don’t belong to one of these bodies, we require them to start their training within a month of joining us.
It’s not just our sales and lettings negotiators that take the exams though. Other members of staff, including administrators and accounts, are encouraged to join too. This is a huge benefit for our customers who meet property experts the moment they walk through the office door. All customers are made aware that everyone they deal with in the office is qualified. They understand that they can tap into our knowledge bank regardless of who they are speaking to – they don’t have to wait to speak to a director to receive expert advice.
The benefits of a licensed agency are felt internally as well as externally. We invest heavily in our staff and finance their initial and ongoing ARLA and NAEA training. Being a member of NAEA is important to us as a company and as individuals. It’s essential that we keep up to date with any changes in legislation and our customers appreciate us passing our knowledge onto them.
I recently asked colleagues what belonging to an organisation like ARLA or NAEA meant to them. They believe it portrays credibility to the public and suggest it shows that you are serious about your career. It would be great to hear your thoughts on the matter – does an agents membership of a regulatory organisation carry weight with you?
150 West End Lane
020 7644 2314
*Association of Residential Lettings Agents Residential Landlord Survey 2013