RICS launches best practice standards for realty
In an effort to enhance professionalism in the industry, RICS has launched its Red Book of Valuation Standards and Global real estate agency and brokerage standards at the recently concluded real estate conference in Mumbai.
The RICS standards, which have already been adopted in a number of countries, look to provide an overarching international framework for all property brokers worldwide. Based on 12 high level principals towards fairness and transparency; the purpose of these standards is to ensure that clients receive objective advice, delivered in a professional manner that is consistent with internationally recognized standards. Four international property consulting firms– CBRE South Asia, DTZ India, Colliers International and Re-MAX– having their operations in India, have decided to adopt RICS real estate standards.
Sachin Sandhir, MD, RICS South Asia said, “RICS has been a strong advocate of change and professionalism, in an otherwise non transparent and fragmented Indian real estate market. I am happy to note that leading IPC firms, which have been at the forefront of professionalism, have decided to adopt the RICS Global real estate agency and brokerage standards.”
RICS Red Book of Valuation Standards (India edition), which was also launched during the conference, set out six principle based IVS-compliant valuation standards that provide professional benchmark (or an effective ethical and practice framework) for Indian valuers to undertake reliable valuations.
“One of our guiding principles at CBRE has been to maintain the highest standards of service and ethical conduct while working with clients. It is the cornerstone of our business and what we believe sets us apart from the others. We are therefore happy to work with RICS to further adopt the RICS Real Estate and Agency brokerage standards for all our brokerage departments across India,” said Anshuman Magazine, Chairman & MD, CBRE South Asia.
Anuj Puri of Jones Lang LaSalle feels it’s a good move from RICS whose ‘contribution as a global standard setting professional by way of globally consistent yet locally relevant standards is significant. “RICS Real estate Agency and Brokerage standards, which provide the first ever international framework for best practice in execution and delivery of real estate agency services, are to be encouraged, as they demonstrate a culture of fairness and transparency, leading to higher investor and consumer confidence. JLL welcomes this important initiative,” he added.
The day-long conference saw some of the stalwarts of the real estate industry taking part in panel discussions on a number of key issues concerning the industry.
Arun Nanda of Mahindra and Mahindra spoke about the significance of instilling trust as well as the importance of timely project delivery to win trust and confidence of consumers.
Speaking about policy reforms for urban growth and mission transparency, Lalit Kumar Jain, president, CREDAI voiced his concerns for proposed real estate regulatory authority as well as long delays in the project approval processes and advocated the need for a single window clearance process to avoid delays in execution.
Talking about his vision for Indian Real Estate 2020, Niranjan Hiranandani, CMD, Hiranandani Constructions gave examples of the rapid transformation India has undergone over the last few years. Given this, he shared encouraging words about the potential of the sector to build enormous quantum of housing required to meet housing shortfall in the country.