Is this a widespread problem?
The property market is tough, property values have fallen, mortgagee numbers are on the rise, and in many cases real estate agents are getting desperate to do deals.
Is that desperation leading to real estate agents acting in their own self interest and not in the best interests of the vendors?
Are they breaching their own code of ethics and the REAA rules?
A vendor, whom we have chosen to not name, has approached us with evidence showing that mid way through the sales process on his residential property in Auckland, the real estate agent accessed, without the vendors permission, to alter the value of his home on property website, www.homes.co.nz
We believe this to be highly dubious, and designed to make a vendor accept a lower price.
As we know websites like www.homes.co.nz are algorithm based, however once a property is officially for sale the website recognises that, and the only way for the price to be altered is by the listing real estate agent. This has been confirmed to us by with www.homes.co.nz and Trade Me.
There is a strict online process to follow, and that is asking for, and receiving the express written permission and authorisation from the vendor by the real estate agent, along with ticking and accepting the required website prompts confirming the authorisation is vendor approved.
That is clearly not the case in the matter we are investigating which involves a Ray White Real Estate office based in Auckland.
In this case the agent accessed without permission the properties value estimate and moved it downwards to the tune of approx $400,000.
The agent did not have the vendors permission to do this mid campaign, so when clicking the various website field requirements he was acting alone, without the vendors permission. That is a clear breach of the code of ethics that governs the real estate industry.
To date the real estate office (whom we will name along with the agent in our next story) has conducted a laughable ‘internal’ investigation clearing themselves of any wrong doing, despite the evidence to the contrary that clearly shows the property value was adjusted down without the vendors permission.
The vendor believes this had a detrimental effect on the sale price achieved and he is now out of pocket to the tune of a six figure sum.
We have written on two occasions to the manager and the real estate agent in question, and are yet to receive a reply to our questions – we will soon publish those questions, along with the evidence of screen shots we have on hand, along with the various emails from www.homes.co.nz and Trade Me.
Our vendor has already been on the receiving end of a veiled legal threat, including being told anything he says is defamatory.
We have encouraged the vendor to lodge a complaint with the REAA, and we will follow the complaint process and publish the progress and the final result.
More to come…
