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  • Lack of ethics from Real Estate Agents in Bavaro - Punta Cana.

    The lack of ethics in the real estate business of Bavaro - Punta Cana, is a matter of great concern, as thousands of consumers are being ripped-off in the process of buying or selling a property.

    Many times, the Agent works for both parties -the buyers and the sellers- and do not disclose negative –and sometimes fraudulent- information to the opposite party about the property they are selling.  The practice of inflating apartment prices is also a problem; some agents submit offers to buyers, which are higher than the actual price in order to gain higher compensation- many times this is due to the chain of referrals or just desperation to make a quick buck now.

    This misconduct is unethical and is profitable only for the agent.  Both the buyers and the sellers suffer a financial loss, not to mention the emotional distress caused by such unethical acts, also devastating to the market and the reputation of the Bavaro – Punta Cana Real Estate business.

    "What qualifications should real estate agents have?

    ·         Is there a minimum academic or professional requirement for those employed within this industry?

    ·         Do these employees hold academic or professional real estate certification to warrant their practice, or even just a minimum of business experience or common sense?

    ·         What about negative criminal backgrounds?

    There is a big difference between what is legal and what is ethical and many agents use ‘legal’ instead of ‘ethical’ standards, since there is no law that regulates Real Estate Agents in the Dominican Republic.  The Government and consumer protection bodies, although aware of the rot in the industry, do not do anything to put an end to the situation. 

    Real Estate Associations have generally failed in its mandate, having been established by local agents with no experience or leadership skills- many with a poor reputation, poor management and/or selling record, and many in the middle of legal issues related to real estate.  These “Associations” offer registration for people who seek to practice as Real Estate agents, but offer no real incentive of benefits to belong to the Association, while its governing members use it solely for self-promoting of their services.  These conditions may lead agents to provide false or misleading information.

    Demanding ethical behavior from people is not a big ask, regardless of which industry you work in, what walk of life you come from, or who you work for or with.  In order to be successful in real estate, how you conduct yourself and your business must be based on ethics.

    Ethics are linked to a person’s morals and a person’s perceptions of what is right and wrong and good or bad.  Being ethical, and ultimately being successful in business, isn’t a new concept either.  Dating back to Ancient Rome, philosopher and statesman Cicero encouraged business people to revise their thinking and believed that real success comes from not from trickery and deception, but from moral goodness, in both thought and action. 

    The problem is, you often can’t tell at first who is and who isn’t lacking in ethics.  If somebody feels like they're going to make less money, they find ways to cut corners or be more aggressive in a way that's not necessarily ethical.  Often, deceitful agents look just like the honest ones on the surface and are often charming, considerate and knowledgeable.  But bad behavior in business has a tendency to come back to bite you on the behind, and when it comes to real estate, it’s imperative that real estate agents stop thinking about who is right and start thinking about what is right.

    However, not all agents follow such practices; a generalization for unethical practices of agents would be unfair.  In the real estate business ethics are not just about the agents, it's also about the property owners.

    Sadly you can’t force people to be ethical.  The importance of ethics is vital in building trust in relationships. Very few vendors or buyers want to work with a real estate agent they don’t feel they can trust, and ethical behavior eliminates that fear.  In this sense, a strong show of ethics can be one of your most profitable strategies.

  • 10 Reasons of intrusion in Punta Cana

    Original version from National Dominican Newspaper: Diario Libre, http://diariolibre.com/noticias_det.php?id=260399

    I would like write a few lines my experience as a private investor in the Dominican Republic, specifically in Bavaro-Punta Cana.

    The first reason, the number of people who offer real estate or real estate to be non-professionals of the sector and obviously not qualified to do so.

    The second is that these people have no social or physical address, for example; no offices where it can assure you a legitimate businesses.

    Third, any person, and I repeat anyone, can sell or rent you anything with total normality using deceit and lies.

    Fourth, most, offer properties without titles, which has a negative impact on future spending from the short  and long term customer or client.

    Fifth, regarding the poor condition of the properties due to the lack of interest and non-existence of preventive maintenance.

    The sixth, the problems caused common ordinary people, and even other businesses that incorporate Management of properties in their list of business activities, even if their main business is not related to the real estate industry, providing ineffective and inefficient services.

    The seventh, those real estate agents and sellers who in bad faith and intent to profit by not legalizing the contracts before a notary, and those who advertise Real Restate licenses from other countries especially the U.S. which at times are expired, and are not valid here in the Dominican Republic.

    The eighth, those lawyers who are engaged in businesses, that is, to be purely real estate sellers with no experience or knowledge, missing values, ethics and professionalism of the companies themselves creating a Real Estate unfair competition, and a sub market economy by not declaring or paying taxes.

    The ninth, the system of commissions, that is, all real estate activity understood from beginning to end, inextricably linked to commissions paid out to different people even without knowing or working with the client, the minute the client lands at the airport in Punta Cana.

    The tenth is the legislative and judicial impunity in the broad sense of intrusion for damages resulting from such mechanisms and modus operandi within the free and unregulated practice of real estate property system based solely on winning.

    In conclusion, and say, I recommend:

    "Never buy or rent a property from an agent who does not represent a real estate company with the National Registry of Taxpayers RNC and its corresponding office.

    "Never buy a property without titles.

    "Never force anyone to work with a particular lawyer.

    "Never buy from a Agent who wants to charge a higher 1month’s rent, in concept of commission for 1 year contract, or ½ month’s of commission for a 6 months contract and a commission of more than 5% in case of an sales transaction
    .

    Today, we are obliged to request and require an immediate Real Estate company /Agent’s  Act, implemented to help protect investments present, and future to avoid this situation of powerlessness, deceit, and image of deterioration that is affecting the real estate market daily, customers, builders, and thus ensuring future investments in the country as an essential basis for successful and innovative development of the Dominican Republic.
     

    Written by Koldo Mirena Ucedo

    Courtesy translation by Punta Cana Lifestyles Real Estate

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The Good, the Bad and the Ugly about Bavaro and Punta Cana, Dominican Republic. Even Paradise has it's pro's and cons. At Punta Cana Lifestyle Real Estate, we will always tell you the straight story before buy. Find out about residential and commercial projects, their status and what is wrong with that deal that is just too good to be true!