Real estate agent slapped with big fine

FINED: A Christchurch real estate salesman has been given the equal-highest fine by the industry's complaints authority after he was found guilty of misleading a buyer.

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A Christchurch real estate salesman has been given the equal-highest fine by the industry's complaints authority after he was found guilty of misleading a buyer.

The Real Estate Agents Authority's complaints committee found Dave Randall, of Century 21, engaged in unsatisfactory conduct over the sale of a Christchurch house last year.

Ngaire Vanderhoof, of the authority, described one of the two breaches as "quite serious" and said the $7500 fine was the biggest it had imposed, equalling an earlier fine.

However, the conduct was not serious enough to be referred to the authority's disciplinary tribunal.

The committee said Randall had told the would-be buyer and her solicitor that the property was still on the market when in fact it had already been sold.

It also found Randall failed to pass on an offer another buyer made on the property – conduct which earned an additional fine of $1000. He was also censured and ordered to contribute to legal costs.

Randall is appealing against both decisions. He told The Press he did not want to speak publicly about the case.

The first complainant told the committee that she made an offer on the property through Randall in July last year, but did not receive a response despite contacting him several times.

Last December, Randall told her he was still waiting to hear from the seller's bank, but later that month her lawyer found the home had been sold in November after the seller accepted another offer in August.

She said she was never told there were other parties interested in the property.

"This finding demonstrates how important it is for licensees to be open and honest with all parties involved," Vanderhoof said.

The second complainant made an offer for the same house shortly before it was sold, and was later told his offer had not been accepted.

He made a backup offer but not did hear anything further. He said he was "appalled" at the lack of communication.

When he visited the property, he met people who thought they had bought the property but had also been unable to contact Randall.

The committee found that by not presenting the offers, Randall had not acted in the seller's best interests.

The Real Estate Agents Authority is a government body set up under new laws in 2008 to regulate the industry. It has published 99 findings of unsatisfactory conduct, as well as 10 more serious misconduct findings made by its disciplinary tribunal.

Previously, disciplinary matters were handled by the Real Estate Institute, which represents real estate agents and salespeople.

- © Fairfax NZ News