The real estate market needs to be regulated, because the state loses millions of euros from undeclared commissions on brokerage services, it was assessed at the session of the Real Estate Trade Group of the Chamber of Commerce (PKCG).
The Group warned that the free market brings unfair competition that endangers registered intermediaries with dumping prices for services, as well as that everyone deals with real estate mediation, often without any license or registration.
The Group believes that it is necessary to prescribe that only those who have registered, at least as a predominant activity, mediation in real estate transactions can engage in this business.
At the session, it was assessed that the proposal to prescribe the minimum and maximum commission for intermediaries in the sale of real estate is not in accordance with the international obligations of Montenegro.
"We can define the commission by law, but, like the Croats before us, we will have to remove it due to EU accession", warned the president of the Group, Veselin Dragaš.
The representative of the Ministry of Economic Development, Dragan Vukčević, said that price regulation is not allowed because Montenegro is a member of the World Trade Organization.
"We need foreign investors in this area as well, and in order to attract them we have to be harmonized with their laws, which implies free formation of prices", explained Vukčević.
The businessmen proposed to define a form of mediation contract and confirmation of real estate viewing, as well as some kind of identification for registered mediators, who, according to their opinion, should be tax stimulated if they properly settle their obligations.
The vice-president of PKCG, Nina Drakić, called on the authorities to get involved in solving the problem of advertising of unregistered real estate brokers, given that they are increasingly using digital platforms for their activities.
Representatives of the Directorate for Inspection Affairs announced that the biggest problem is that this area is not adequately legally regulated, as well as that it is difficult to control the citizens who are engaged in this work and check the facilities where they operate.
At the session, an initiative was presented for the drafting of a law on mediation in traffic and real estate leasing, in which it is stated that adequate regulation would create conditions for the development and improvement of the activity, based on the positive examples of other countries.
The Montenegrin legislative framework that regulates the relations of contracting parties with regard to mediation in traffic and leasing of real estate is, as explained, currently predominantly limited to laws on obligations, prevention of illegal business and companies.
"We cannot deny that the activity of mediation can be carried out in the existing system, but we believe that it is extremely important that a special set of legal and by-laws be dedicated to it, which would clearly define the conditions for providing mediation services, including the obligation of continuous education of mediators and identify and protect the interests of the participants in the mediation," the initiative states.
One of the prerequisites for carrying out the activities of mediation in traffic and leasing real estate should be the passing of a professional exam and the creation of a register of mediators.
The initiative also provides for a professional liability insurance policy that is contracted to cover damage that occurs as a consequence of the insured's professional activities, for a professional error, negligent or unprofessional action, that is, an omission that results in direct or indirect financial damage.
It is proposed that the penal provisions be divided into two groups - minor and serious violations, which distinguish between procedural and material omissions, that is, gross abuses of intermediaries during the performance of their activities, and define the legal consequences accordingly.
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