Strategic Objectives

Through its Strategic Planning processes the organisation has determined the goals listed below as its strategic goals. These goals were arrived at after due consideration of the factors that impact on the EAAB.

Strategic Goals of the Estate Agents Affairs Board

  • Regulating and controlling certain activities of estate agents in general Maintenance and promotion of standards. of conduct in the profession Setting essential,but attainable, minimum educational standards for estate agents.
  • Assisting, protecting and empowering consumers by creating awareness of their rights and obligations in real estate  transactions.
  • Providing effective professional support to estate agents.
  • Ensuring that estate agents remain honest and capable service providers.
  • Ensuring compliance with FICA regulations in terms of our mandate as Supervisory Body.
  • Furnishing practical broad-based support to all previously disadvantaged communities while strongly promoting and  encouraging the principles underlying employment equity and black economic empowerment.
  • Striving for excellence and consistency in management including the optimal and cost-effective utilization of scarce  resources.

CLIENT SERVICES STRATEGY

The core services to be rendered to estate agents as clients include the following:

  • Effective, efficient and timeous issue of renewal certificates;
  • Responding timeously to complaints raised;
  • Protecting estate agents against competition by unregistered estate agents;
  • Raising the profile of the estate agency profession through raising the qualification standards of estate agents;
  • Providing risk management support to estate agents through professional indemnity cover;
  • Empower estate agents through provision of study material and workshops.

Objectives

  • Regulating and controlling certain activities of estate agents in general;

PUBLIC CONSUMER STRATEGY

Purpose

The aim of this strategy is to define the role of the EAAB as a watch-dog and protector of consumer interest in the real estate transaction.

Objectives

The objective of the consumer relations strategy is to:

  • Empower the consumer through consumer education campaigns to understand the real estate transaction and the role and functions of the registered estate agents;
  • Managing a fidelity fund that serves as a cover for losses suffered by members of the public arising from the activities of estate agents;

RETENTION STRATEGY: ESTATE AGENTS

Purpose

The purpose of the retention strategy is to ensure that estate agents renew their fidelity fund certificates annually even under when difficult market conditions.

Objectives

The objective of the retention strategy is to facilitate the ongoing renewal, and retention, of fidelity fund certificates by estate agents through the provision of effective client services by the EAAB.

INTERNATIONAL RELATIONS PROGRAMME AND STRATEGY

A critical role in ensuring a positive regulatory environment to manage the risk to encourage foreign direct investments. The EAAB activities also assist government in managing the risk of money laundering through property transaction.

  • International Programmes and Responsibilities
  • Developing a Nations Programme
  • ARELLO (Association of Real Estate License Law Officials)
  • NAR
  • FATF (Financial Action Task Force)

Objectives

  • The EAAB is constantly aware and up to date with international trends in regulating the estate agent profession;
  • The EAAB develop the necessary skills and capacity to bring laws and regulations in line with international best practice;
  • The EAAB has the necessary capacity, skills and resources to manage the risk of using property as an instrument for money laundering; and
  • The EAAB contribute to raising the profile of the Republic of South Africa as a destination for foreign direct investment through an effectively regulated estate agent profession;

INVESTMENT STRATEGY

The following investment strategies have been identified:

  • Membership and active participation in international bodies such as ARELLO and NAR;
  • Establishment of an inspectorate unit to carry out FICA inspections;
  • Marketing profile of the EAAB as a regulator in media platforms aimed at the international investor; and
  • Participation in local organisations such as NEDLAC in order to create greater awareness of the EAAB's role as a regulator of the estate agents profession;
  • DHS Regulatory Forum.

Key Success Factors

  • Membership Funding;
  • Staff availability.

RISK MANAGEMENT STRATEGY

The EAAB is a regulator and such its management of risk extends beyond the focus of internal risks to the consideration of risks in the industry.

Threats

The key threats facing the real estate industry includes the following:

  • Declining number of estate agents;
  • Entrants of unregistered estate agents in the market;
  • Increase in the number of buyers of property lacking understanding of the real estate transaction;
  • Increase in number of claims putting the solvency of the Fidelity Fund at risk;

Key Drivers

The Key Drivers of Risk included:

  • Compliance to the Act to ensure that only suitably qualified and registered persons conduct business as estate agents;
  • Maintaining the solvency of the Fidelity Fund;
  • Protecting the income streams of the EAAB and the Fidelity Fund;
  • Managing an effective agency;

Top Seven Risks

  • Property is a major instruments for money laundering;
  • A well-structured property and regulatory environment impacts the country as an investment destination;
  • Estate agents received and manage trust money on behalf of clients – a poor regulatory environment impact the security of funds held in trust;
  • Appropriate legislative environment for property;
  • Claims against the fund impacting the solvency of the fund;
  • Poor service delivery impact renewal numbers increasing risk of illegal operations;
  • Ineffective monitoring increase risk of more people entering market as unregistered estate agents exposing both the public and the EAAB to risk of loss of funds.

STRATEGIES TO FINANCE THE OPERATIONS OF THE ORGANISATION

Overview

  • The aim of this strategy is to ensure that the various activities of the organisation are funded from well-defined sources of funding;

Purpose

  • The aim of this strategy is to ensure that there is effective management of the finances available throughout the organisation;

Objectives

  • Ability to generate an increased income;
  • Effective management of costs especially overhead and support costs;
  • Collecting fees due to the organisation as and when they fall due;

 

 

 




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