Understanding RESA Law (Republic Act No. 9646)

What is RESA Law?

The Real Estate Service Act of the Philippines (RESA Law) was enacted in 2009 to regulate the real estate industry and protect the interests of both real estate professionals and the public.
It sets standards for who can practice as a real estate professional and outlines the legal requirements for real estate transactions.

Key Points of RESA Law

Licensing: To legally offer real estate services in the Philippines, individuals must be licensed by the Professional Regulation Commission (PRC). This includes real estate brokers, salespersons, consultants, and appraisers.
Professionalism: RESA Law establishes ethical standards and codes of conduct for real estate professionals.
Transactions: The law governs real estate transactions, ensuring proper documentation, disclosures, and fair practices.
Penalties: RESA Law includes penalties for violations, such as practicing without a license or engaging in fraudulent activities.

Why RESA Law Matters

Consumer Protection: It helps prevent unqualified individuals from providing real estate services, protecting buyers and sellers from potential harm.
Industry Standards: RESA Law raises the bar for real estate professionals, promoting competence and ethical practices.
Market Stability: It fosters a more transparent and trustworthy real estate market, increasing investor confidence.

Who Needs to Know about RESA Law

Real Estate Professionals: Brokers, salespersons, appraisers, and consultants must obtain the necessary PRC licenses and adhere to the law's provisions.
Buyers and Sellers: Understanding RESA ensures fair treatment and recourse if issues arise in real estate transactions.
Developers: Developers need to follow RESA's guidelines regarding project registration, sales practices, and consumer rights.

Where to Find More Information