Real Estate Project Assessment

Real Estate Project Assessment

Real Estate Project Assessment

Part 1 – You Got the Job

Section 1 is comprised of the following three (3) tasks

Task A: Working in an Agency

Scenario
Read the following scenario and write short answers to the questions that follow.
You have just received your Certificate of Registration and have got your first job at Preets Real Estate Project Assessment. You will be meeting with the principle – Peter McGibbon – to discuss your role and your future with Preets. Review the tasks below to help your prepare.

1. To get ready for your first week you need to familiarize yourself with the services of Preets Real Estate. Refer to the information provided about Preets Real Estates, Features and Services document, provided on the project portal (Agency Information).
2. Summaries the 4 key services offered by the agency and how they meet the typical Preets client objectives
3. You must be clear about the rules of conduct that govern real estate agency operations and how your actions can breach these rules. To do this, Peter McGibbon has asked you to visit the Fair-trading website and review the information contained there:

  1. From the Rules of Conduct briefly explain the responsibilities of a real estate agent.
  2.  Describe one situation that would be a breach of the rules of conduct in regard to property law management. State which rule of conduct would be breached and explain the associated penalty
  3. Describe 1 situation that would be a breach of the rules of conduct in regard to property sales. State which rule of conduct would be breached and explain the associated penalty
  4. Preets requires you to use your own mobile phone and motor vehicle for work. Review the Real Estate Industry Award 2010 and briefly explain you rights and responsibilities relating to using your own mobile phone and motor vehicle.
  5. For the purpose of clause (d), a global positioning system log of the employee’s use of their own motor vehicle may be relied on to compile the required record.
  6. The motor vehicle allowance is payable during the entire period of employment, except when the employee is on unpaid leave.
  7. When the employee is on paid leave, the motor vehicle allowance is payable at a standing rate of 75% of the average of any separately identified motor vehicle allowance paid to the employee over the prior 12 months of employment (excluding periods of leave).

Task B: managing Your Career

Scenario Continues
Read following scenario and write short answers to the questions that follow.
Peter Gibbon wants to ensure you continue to develop your skills and grow in your role with Preets. He asks you to look at your current strengths and areas that you need to develop. He also wants you to look at ways to continue your development

  1. Briefly describe the function of each of the following interposition a real estate agent’s office. What licensing or registration requirements are required for each position?
  2. You must continuously review your skills to remain current and compliant. Assess yourself against the duties and required skills and experience listed in the position description. Pick 2 areas of strength and 2 areas for further development.
  3. Consider the requirements in the position description and your future career interests. Write 3 development goals that address your areas for development and future career progression.
  4. Identify at least 3 opportunities for continuing training that will assist you to meet your development goals. As part of your response, provide evidence of websites you visited to find training opportunities.

Task C: Managing Your Workload

Scenario Continues
Read the following scenario and write short answers to the questions that follow.
Preets is a busy and thriving agency. You need to hit the ground running and plan and prioritise the tasks that have been assigned to you. Review what you need to do and update your diary. You need to coordinate your activities with your team.

  1. You have been given a list of tasks that you need to complete in your first week. Review the list of tasks and in the diary template provided, schedule times in your diary to demonstrate how you would achieve these tasks.
  2. Send an email to your team at response@reinsw.com.auconfirming your availability for the staff meeting and sales team induction.

Part 2 – The Sales Team

Part 2 is comprised of the following two (2) tasks

Task A: Preparing for the Sale

Scenario
Read the following scenario and write short answers to the questions that follow.
You have been working with Preets Real Estate for 2 months now and are enjoying working in such a supportive and well-structured agency. You have now moved into the sales team for the next phase of your training. You are required to assist the team with preparing documents and marketing materials, addressing client needs and completing a sale.

The licensee in charge, Peter McGibbon, is keen for you to learn all about the sales process and invites you to accompany him to a listing presentation and appraisal of a home owned by Anthony Simpson and Mei Wong. The prospective clients have alleged that their previous agents were corrupt and they are not proceeding with the auction they had planned.

1. In preparation for the meeting with the Peter McGibbon and the clients, you are required to review your obligations when providing an estimate of price to a prospective vendor (Section 72 and Section 74 of Property, Stock and Business Agents Act 2002).

  1. Prepare some notes that summaries the key points addressed in Section 72 of the Property, Stock and Business Agents Act 2002.
  2. Prepare some notes that summarize the key points addressed in Section 74

2. Complete Sales Inspection Report and Exclusive Agency Agreement using the following details. You can access the form from you relearning Assignment Portal
3. Identify the following :

a. The method of sale that you would recommend for this property and explain why you have chosen that method.
b. Three (3) marketing activities that will be appropriate for the sale of this property. Explain why you have chosen these methods with reference to appropriate legislation and agency practice.

4. Identify the following: (Include reference to relevant legislative requirements in your answer.

  1. Name at least 3 things that could go wrong with the method of sale you chose in 3a above.
  2. At least 2risks to the agent relating to advertising and marketing of the property.
  3. Strategies you could use to minimize the likelihood of the risks you identified in b. above from happening.

5. Search the agency database and identify 2 buyers who may be interested in the property and write an e-mail letting the potential buyers know about this property.

  1. Explain why you selected these buyers.
  2. Type or submit a copy of your email as part of your assessment response in the space below.

Task B: Finalizing the Sale

Scenario Continues
Read the following scenario and write short answers to the questions that follow.
Anthony and Mei’s property at 23 Cone St, Ashbury has now sold for $850 000 and you are required to assist with the completion and signing of the contract law. Information you need to do this is:

  • The normal 5 day cooling off period will apply.
  • Date of purchase is 4th June 2015.
  • The property has been purchased by Bob Andrew Downe of 22 Nowhere Avenue, Coleville, NSW 2001.
  • The solicitor is Pandos Associates, 41 Blue Avenue, Cloudville, NSW, 2001

1. Calculate the following information for the purchaser:

  1. The deposit that must be paid to the agency on exchange of contracts?
  2. The agent commission at 2.2%
  3. The date if it was an unconditional exchange.
  4. What form in the contract must be completed by the solicitor/conveyance for the purchaser?

2. Complete the agent section of the contract and check the Certificate of Title against The Contract for Sale

  1. Are there any discrepancies?
  2. If so, what are they?
  3. How would you correct them?

3. Describe what records relating to the sale of property you would retain. Explain how you would store these and why this is necessary.
4. How would you ensure the requirements of the Privacy Legislation and the principles of client confidentiality are met throughout the sales process?

Part3 – The Property Management Team

Part 3 is comprised of the following two (2) tasks

Task A: Leasing the Property

Scenario
Read the following scenario and write short answers to the questions that follow.
You have now moved into the property management team for the next phase of your training. You are required to assist the team with listing, leasing and managing a property.

Your agency has been approached by the landlord, Mr Bob Andrew Downe, the purchaser of the 23 Cone Street property you previously helped the sales team to sell. He has asked the agency to lease and manage the property.
Peter McGibbon has asked the property management team to involve you in all the processes of listing, leasing and managing a property.

1. Write a draft of an email to the landlord to arrange a meeting time to conduct a rental appraisal.
2. Having conducted the rental appraisal, you are now required to complete anExclusive Management Agency Agreement using the information provided below and the partially completed form provided in your eLearning Assignment Portal. Complete the inspection report by referring to the pictures of 23 Cone Street.
3. List the steps for:

  1. Showing a property to prospective tenants
  2. Selecting the tenant for a property.

4. How would you ensure the following things happen: (Refer to agency policies and practices or other strategies in your answer)

  1. You are able to locate the keys for an inspection
  2. There are no trip hazards at the open inspections
  3. The property is secured at the conclusion of the inspection

5. You have reviewed all the applications and done the necessary reference checks to select a suitable tenant.  State which applicant you have chosen and explain why you have chosen them.
6. Use the application form for the tenant you selected in question 5 to complete the Residential Tenancy Agreement and Bond Lodgment form. Both forms are available on the Project Portal. The selected tenant has no agent and the term of the agreement is 52 weeks starting from today’s date.
7. Explain the process for:

a.   Receiving bonds
b.   Recording bonds
c.   Processing bonds
d.   Dispersing bonds

8. Describe what records relating to the leasing of property you would retain. Explain how you would store these and why this is necessary
9. Explain how the property management processes and the collection and storage of client details processes that you have described in questions 7 and 8 meet the requirements of privacy legislation and the principles of client confidentiality.

Task B: Managing the Property

Scenario Continues
Read the following scenario and write short answers to the questions that follow.
Six months into the tenancy, you (as the property manager) have been informed by the tenants that the dishwasher no longer works and water is leaking on the kitchen floor. You have contacted the landlord and Mr Downe has agreed to buy and install a brand new dishwasher. Your tenants are delighted with the news.

Mr. Downer has bought a new dishwasher and you have arranged A1 Plumbing to install the dishwasher. The Plumber has agreed to come and pick up the keys from the agency office.

1. Write a letter or email informing the tenant of the installation and requesting a suitable installation date
2. Complete the key register and describe the process that should be followed to ensure security of keys and key register.
3.Describe the work health and safety risks for the tenant in relation to the leaking dishwasher and for the plumber in relation to accessing the property and installing the dishwasher. Briefly outline your plan to mitigate the risks.
4. Write a letter to the tenants explaining that the lease will be terminated and complete a termination notice.  The termination notice can be found on the eLearning Assignment Portal.
5. List at least 6 steps that you will take to finalize the termination of the lease and vacation of the property.
6. List the details that would be included in an end of month statement to the landlord and explain the processes you would follow to prepare the statement.
7. Mr Downe has asked you (as the property manager) for advice on selling his property. You are interested in purchasing this property yourself but know you are bound by legislation in relation to purchasing the property. Explain the following:

  1. The restrictions placed on you purchasing the property as an employee of the agency.
  2. The penalties associated with breaching these restrictions.
  3. The processes you would follow to respond to the landlord’s enquiry.
  4. Other people you would involve in preparing a response to the landlord