Consider the following situations and issues and, referring to the relevant legislation, explain any legal and/or ethical requirements in relation to property sales.

a) In estimating the selling price, you recommend a price range of $500,000 to $590,000

b) The local newspaper offers you a discount of 15% on advertising costs for this property as your agency is a regular and reliable customer. Are you able to accept and keep the rebate? Reference the relevant section of the Act that applies.

c) A potential buyer contacts you, wants to buy a property you are selling. He intends to tear down the house, build two units and lease them. He offers $1,390,000 and tells you that if you can get the vendor to accept this price, he will provide you with 4 x First Class tickets to Europe and four weeks of your expenses paid.

What legislation covers this scenario?

What are the possible consequences if you were to agree to the buyer's proposal?

d) You have also been approached a potential buyer who makes an offer of $1,400,000 on a listing that you have. You believe that the house will sell for more, so you do not pass on the offer to the vendors.

What Professional Conduct Regulation will you be breaching in this scenario and what penalties will apply?