Development

Chinese edition of RICS standards issued in Shanghai

By Chen Qide (China Daily Shanghai Bureau)
Updated: 2011-06-01 11:38

SHANGHAI -- The Royal Institution of Chartered Surveyors (RICS) issued the Chinese edition of its first global guidance note on real estate agency and brokerage standards in Shanghai on Tuesday, which will take effect on July 1.

"The guidance note will not only be applicable to RICS members of the global real estate industry, but also serve as reference for non-RICS members," said Li Xu, chairman of RICS China.

Li said following the reformation of China's housing system and the rapid development of its real estate market, the real estate agency and brokerage industry in the country has become a prominent new form of service industry.

But in recent years, endless legal disputes on real estate brokerage have resulted from the deficient and trailing market management experience.

"The market calls for advanced standards to standardize the behaviors of real estate agents and brokers," said Li.

The new standards are applicable to commercial, residential and rural estate transactions, which include sale, purchase and rental segments, he said.

"The aim is to guarantee that real estate agents and brokers are provided with objective suggestions that match internationally-recognized standards," he said.

Li said China's emerging real estate is becoming more accessible to cross-border players as a result that there is a growing demand for relevant guidance covering international real estate agency and brokerage standards and reporting issues in China.

The new standards will not only provide the consistency and improved market efficiency, but also enhance market transparency, market knowledge and understanding, he said.

"I am very pleased that this guidance will be something that Chinese real estate agency and brokerage profession will benefit from," Li said.

Colliers International, one of the world's leading real estate services with nine branches in China, will be the first to adopt these standards within the Asia-Pacific region, said Liu Weilun, managing director of Colliers North Asia.

"Colliers has been striving to fulfill its commitments of providing professional property services to its clients and introducing the best practices from its global platform to the local markets in China," Liu said. "The Chinese edition is essential in putting the guidance into practice across the country."

RICS Asia now supports a network of over 11,000 individual professionals across the Asia-Pacific region with an objective to help develop the property and construction markets in these countries by introducing professional standards, best practice and international experience. Its members in China surpass 1,300, with an annual increase of more than 200 ones, said Ying Hui, head of communications of RICS.