Approved by the Chamber of Deputies and, since May 7, under consideration by the Senate,it directly affects Uruguayan real estate operators.
But what benefits and implications does this have for tenants and the rest of society? Is it truly effective in combat informality in the real estate business? How will it be regulated?
Regarding these questions and other issues related to the proposed real estate operator bill in Uruguay, Dr. Fleitas sheds some light.
About the Real Estate Brokerage Bill
Dr. Dr. Michelle Fleitas, an instructor in the Diploma in Real Estate Business and academic coordinator of the Real Estate Agent program, gave an interview to the program “Agenda Abierta” on Radio Sarandí (AM 690).
There, in conversation with the journalist Daniel Castro, Dr. Fleitas was asked about the recent passage of the real estate broker bill which, among other things, aims to bring greater transparency and formality to the real estate business sector in Uruguay.
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During the interview, Dr. Fleitas emphasized the importance of this law in professionalizing the sector and provide greater safeguards for both customers and operators. However, she noted that the regulations must be implemented carefully and take into account the various working models present in the Uruguayan real estate market.
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A law that has been awaited for years
Dr. Fleitas pointed out that the need for a legal framework for real estate operators has been a topic of discussion for more than two decades.
“For the past 22 years, ever since I was a student studying to become a public auctioneer, there has been talk of a law being passed regarding real estate operators,” he said.
The professionalization of the sector and the creation of a legal framework to regulate the activity are objectives that, according to Fleitas, are shared by most stakeholders in the sector.
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Challenges in the new regulations
Although the bill's passage is a significant step, Dr. Fleitas emphasized the importance of appropriate regulations. In this regard, Dr. Fleitas noted that:
“There are many nuances, and the most important thing is for lawmakers to understand the realities of the real estate market.”
The variety of business models, such as franchises and self-employment, poses challenges that must be addressed for the law to be effective and equitable.
Learn about the Certificate of Specialization in Real Estate Business
The Problem of Informality in the Real Estate Industry
One of the most critical issues discussed was informality in the real estate sector. In this regard, Dr. Fleitas explained that, although the law aims to reduce informality, it is a complex problem that requires more than just regulation.
“We must combat the informal economy and approach it from a different angle. We need to take stronger measures regarding inspections,” he said. In this regard, the law could lay the groundwork for improving transparency and professionalism, but it is not a magic solution for eliminating informality.
Learn about the Real Estate Agent career path
Digital platforms and new formats
Dr. Fleitas also addressed the issue of apps and digital platforms in the real estate sector, which have introduced new ways of doing business.
Although these platforms do not replace traditional real estate agents, Fleitas emphasized the need to educate clients about the risks and benefits of using these services.
“These platforms do not replace real estate agents; they represent a different way of working, and clients need to be informed of this as well,” added Dr. Fleitas.
- You might also be interested in reading: “The Importance of Sustainable Development in the Real Estate Industry”
Impact on society
Finally, Dr. Fleitas spoke about the benefits this law could bring to tenants and society as a whole.
The regulation will provide greater certainty and security in real estate transactions, ensuring that operators adhere to professional and ethical standards. “It gives certainty that there is a backing behind the person they are interacting with,” he concluded.
The interview with Dr. Michelle Fleitas on Radio Sarandí’s “Agenda Abierta” program offers a detailed and critical perspective on the challenges and opportunities presented by the new real estate broker bill in Uruguay.