Kochi: The Kerala Real Estate Consultants' Association (KERECA) has urged state authorities to standardize the real estate market by implementing a unified commission system. This demand was the central focus of a high-level district committee meeting held in Kochi recently.
Current Challenges in the Sector
Currently, the real estate consultancy sector in Kerala operates with significant and unpredictable variations in brokerage fees. The association pointed out that this lack of consistency frequently leads to heated disputes between agents and clients, creates a breeding ground for unethical practices, and results in long-term financial instability for dedicated consultants.
Need for a Fixed Commission Structure
KERECA argued that a fixed, transparent commission structure is no longer a luxury but a necessity to protect the interests of both consultants and the public. By establishing a statewide standard, the association aims to eliminate unfair competition and bring professional dignity to the trade, stated district president Mithun Lal Mitra.
He noted that a regulated fee structure would ensure that quality of service, rather than under-cutting, becomes the primary competitive factor.
Demand for Labour Recognition
Beyond financial regulation, the association also raised the demand for labour recognition. Mitra emphasized that real estate consultants should be formally classified as workers under state labour laws. This classification is essential for providing legal protection against exploitation within what is currently a largely unregulated market.
Next Steps
The association plans to submit a formal memorandum to the state government to fast-track these reforms. The move is expected to bring greater stability and professionalism to the real estate sector in Kerala.
