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Requirements 4

An unlicensed real estate broker was apprehended in an entrapment operation by the Criminal Investigation and Detection Group (CIDG) in Angeles, Central Luzon. The document discusses the prohibition against unauthorized practice of real estate services under RA 9646, noting that only those with a valid certificate of registration and professional identification card from the Professional Regulation Commission (PRC) are allowed to practice real estate in the Philippines. It outlines the penalties for violations and emphasizes the importance of only dealing with licensed real estate professionals for security, as they are bound by ethics codes and legal standards.

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Josue Sandigan Biolon Secorin
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© © All Rights Reserved
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34 views

Requirements 4

An unlicensed real estate broker was apprehended in an entrapment operation by the Criminal Investigation and Detection Group (CIDG) in Angeles, Central Luzon. The document discusses the prohibition against unauthorized practice of real estate services under RA 9646, noting that only those with a valid certificate of registration and professional identification card from the Professional Regulation Commission (PRC) are allowed to practice real estate in the Philippines. It outlines the penalties for violations and emphasizes the importance of only dealing with licensed real estate professionals for security, as they are bound by ethics codes and legal standards.

Uploaded by

Josue Sandigan Biolon Secorin
Copyright
© © All Rights Reserved
Available Formats
Download as DOCX, PDF, TXT or read online on Scribd
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SECORIN, JOSUE B.

BSREM-SC 2

SPOT REPORT | Hindi lisensyadong real estate broker, timbog sa entrapment ng


Criminal Investigation and Detection Group (Cidg Angeles) #CentralLuzonNgayon
https://m.facebook.com/story.php?
story_fbid=10157009368232668&id=105619022667&__tn__=%2As-R

STOP THE COLORUM PRACTICE!


RA 9646 Sec 29 & 39- Prohibition against unauthorized practice of Real Estate
Service. No person shall practice or offer practice of real estate practice in the
Philippines unless he is duly authorized and recognized by the PRC. He shall bear a
valid certificate of registration and professional identification card. Any violation this
Act shall be meted the penalty of a fine of not less than one hundred thousand pesos
(P100,000.00) or imprisonment of not less than two (2) years, or both. In case the
violation is committed by an unlicensed real estate service practitioner, the penalty
shall be double the aforesaid fine and imprisonment.

All brokers are considered as agents, but not all agents are brokers.
A “broker” is someone who holds a broker's license. And an “agent”, on the other
hand, can be a licensed broker or a licensed salesperson who works under a
broker's authority.

Dealing with a licensed real estate professional, actually gives you the security
because you can file for cancellation of his/her license if he/she had done any
malpractice. However, if you’re dealing with unlicensed “agents”, in cases of
malpractice, you cannot file for cancellation of his/her license because they don’t
have a license in the first place.

A licensed real estate professional have an office and/or a professional organization


where he/she belongs so you know where to find them. Also, their license card is a
definite proof that they are eligible to handle real estate transactions with regards to
the law and taxation. On the other hand, when an unlicensed real estate “agent” ran
away with your money, you’ll never know where to find him/her because he/she
doesn’t have an office or any professional organization. And since an “agent” doesn’t
have a license, he/she can’t show you any professional credentials that can prove
that he/she is knowledgeable enough for the said real estate transaction. Also,
because he/she doesn’t have a license, you don’t have information about him/her, so
it’ll be hard to go after them if in case a malpractice has been done.

Dealing with a licensed real estate service practitioner gives you the security
because they have this code of ethics, legal standards, and professional standards
in dealing with their clients. In other words, they cannot be involve into any dubious
practices such as, giving misleading information, loan-shark-deals, providing fake
property titles, bogus real estate appraisals, phony property mortgage processing,
forgery, fake ID’s, fake registered owner, fake registered spouse, fake Special Power
of Attorney, tampered Extra-judicial Settlement of Property, inaccurate calculation of
taxes, dubious squatters’ settlement, and many more. Also because they are
licensed, they are confident in dealing with lawyers, assessors or any professionals
that are needed in a real estate transaction.
And lastly, it is illegal to deal with unlicensed real estate agents in the Philippines
simply because dealings with them are punishable by law according to Republic Act
9646. The said law is meant to prevent the practice of “colorum” agents and also
property sellers who are still patronizing to the so-called freelance illegal property
agents to avoid paying taxes and proper commission rates.

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