Real estate overhaul welcomed 

A woman who was the victim of a dodgy real estate agent is hoping the government adopts a zero tolerance policy when re-writing the law for the industry.

The government has announced an overhaul of the law, to be released for public comment in May.

Deb Leask put her Napier home on the market with Bayleys, and asked it to be listed at $400,000.

The agent gave her an offer of $220,000 which turned out to be from another agent in the same office.

The company was fined less than $3,000 which Leask says is hardly a punishment.

She says there should also be a separate complaints body set up.

West Auckland agency Glover Real Estate is also welcoming the change.

Glover operates a system based on ethical guidelines and refuses to run auctions on the grounds that they do not guarantee the seller the best price.

Managing director Bill Glover says the government's overhaul is well overdue and he hopes all disciplinary procedures are taken away from the Real Estate Institute. 

He approves of passing on responsibility for complaints to the Real Estate Agents Licensing Board, claiming the Real Estate Institute is known to sweep issues under the carpet.

Associate Justice Minister Clayton Cosgrove announced plans on Thursday which will prevent the Real Estate Institute from self-regulation. All complaints from the public would go to an independent agency, the Real Estate Agents Licensing Board.  The government will appoint its members. 

A revised code of ethics will also be set up and fines imposed on agents will be given to the complainant.