Real estate industry bodies in New South Wales and Victoria are demanding higher professional standards for strata managers as misconduct comes to light.
The Real Estate Institute of NSW (REINSW) has issued a warning to strata managers, cautioning that those who fail to act in their clients’ best interests risk severe consequences.
REINSW CEO Tim McKibbin said the sector needs to ensure they operate at the highest possible standards.
“It takes years to build trust and seconds to destroy it,” Mr McKibbin said.
“Strata managers that pursue short-term gain by deceiving their clients also face the potential of a criminal prosecution and a custodial sentence.”
The warning comes in the wake of reports from the ABC highlighting misconduct within the industry.
Mr McKibbin stressed the importance of compliance amid ongoing reforms.
“Strata law is complex, and reforms to the way the industry operates are coming,” he said.
“The REINSW is ready to assist quality, professional strata managers to ensure they’re prepared amid a challenging and changing time for the industry.
In Victoria, the Real Estate Institute of Victoria (REIV) echoed similar sentiments, with CEO Kelly Ryan appreciating the critical role OC managers play in the property landscape:
“As the sector rapidly grows, the obligations and responsibilities of Owners Corporation Management increases, elevating the importance of management practices that are responsible, ethical, and transparent,” Ms Ryan said.
The REIV is working to develop a government submission asking for mandatory minimum qualifications for people working in Owners Corporation management, set to be submitted in September 2024.
Both REINSW and REIV have made it clear that unethical behaviour will not be tolerated within the strata industry.
“There is no place for criminal behaviour in the strata industry,” Mr McKibbin said.
“The REIV is committed to working with members and Authorities to support the right framework of legislation, regulation, and training in strata management,” Ms Ryan said.
