In Malaysia, Real Estate industry is an industry under the purview of the Ministry of Finance. And to oversee the industry, BOVAEA was formed under the Act of Parliament - Values, Appraisars and Estate Agents Act 1981 (Act 242). The President of BOVAEA is the Director General (DG) of Valuation Services Department of JPPH. Other Board members includes representative from Valuation Department, Valuers, Estate Agents and Property Managers.
BOVAEA is established to regulate the activities of those registered under the Board (Valuers, Property Managers, Real Estate Agents). For Real Estate Agents (REA), they are individual who has passed part 1 and part 2 of the exam comprising 12 papers with law and finance subjects as main papers. After passing the exam, they are registered as a Probationary Estate Agent (PEA) and to serve under a registered Real Estate Agency for 2 years as a post-practical training. Once they completed their 2 years training, they will need to take the Test of Professional Competence (TPC) after which they passed, the will be registered as a Real Estate Agent. With the registration, they will be able to start and operate their own agency and provide services such as selling, renting or finding properties for their clients.
As a Real Estate Agent (REA), they are allowed to recruit 20 Real Estate Negotiators (REN) to represent the firm in providing real estate services to the clients. REN are not registered with the BOVAEA but they are certified to practice under the license of a REA. However, before they start working with clients, they are required to attend a full two days Real Estate courses. They will be given a certificate of attendance which they can use it to apply for a job with a Real Estate Agency. Once recruited, the REA will apply for a Tag from BOVAEA. Once BOVAEA certified the application, they will designate a REN ID and Tag to the REN and only by then the REN will be able to represent clients in any dealing of Real Estate activities. The REN is compulsory to wear his Tag all the time during their conduct of business. Those who did not wear the Tag or unable be verified as a REN will be considered as an illegal broker.
As an important notes, any person who acts in contravention of section 22(c) commits an offence under Section 30(i) of the Act and is liable upon conviction to a fine not exceeding RM300,000.00 or imprisonment for a term not exceeding 3 years or both. And any person who aids and abets in the commission of an offence under Section 30(j) of the Act, is committing an offence and is liable upon conviction to a fine not exceeding RM300,000.00 or imprisonment for a term not exceeding 3 years or both. For more information on how to verify a REN, you can visit www.lppeh.gov.my or call BOVAEA during office hours at +603-22876666.