REPUBLIC ACT NO. 9646

AN ACT REGULATING THE PRACTICE OF REAL ESTATE SERVICE IN THE

PHILIPPINES, CREATING FOR THE PURPOSE A PROFESSIONAL REGULATORY

BOARD OF REAL ESTATE SERVICE, APPROPRIATING FUNDS THEREFOR AND

FOR OTHER PURPOSES

ARTICLE I

TITLE, DECLARATION OF POLICY AND DEFINITION OF TERMS

SECTION 1. Title. - This Act shall be known as the. Real Estate Service Act of the

Philippines. SEC. 2. Declaration of Policy.

SEC. 3. Definition of Terms.

ARTICLE II

PROFESSIONAL REGULATORY BOARD OF REAL ESTATE SERVICE

SEC. 4. Creation and Composition of the Board.

SEC. 5. Powers and Functions of the Board.

SEC. 6. Qualifications of the Chairperson and Members of the Board.

SEC. 7. Term of Office.

SEC. 8. Compensation and Allowances of the Chairperson and Members of the Board.

SEC. 9. Removal of the Chairperson and Members of the Board.

SEC. 10. Supervision of the Board, Custodian of its Records, Secretariat and Support

Services.

SEC. 11. Annual Report.

ARTICLE III

LICENSURE EXAMINATION AND REGISTRATION

SEC. 12. Licensure Examination.

SEC. 13. Scope of Examination.

SEC. 14. Qualification of Applicants for Examinations.

SEC. 15. Ratings in the Examination.

SEC. 16. Release of the Results of Examination.

SEC. 17. Issuance of the Certificate of Registration and Professional Identification Card.

SEC. 18. Refusal to Register.

SEC. 19. Revocation or Suspension of the Certificate of Registration and the Professional

Identification Card or Cancellation of Special/Temporary Permit.

SEC. 20. Registration Without Examination.

SEC. 21. Reinstatement, Reissuance or Replacement of Certificate of Registration,

Professional Identification Card and Special/Temporary Permit.

SEC. 22. Roster of Real Estate Service Practitioners.

SEC. 23. Issuance of Special/Temporary Permit.

SEC. 24. Foreign Reciprocity.

ARTICLE IV

PRACTICE OF REAL ESTATE SERVICE

SEC. 25. Oath.

SEC. 26. Professional Indemnity Insurance/Cash or Surety Bond.

SEC. 27. Acts Constituting the Practice of Real Estate Service.

SEC. 28. Exemptions from the Acts Constituting the Practice of Real Estate Service.

SEC. 29. Prohibition Against the Unauthorized Practice of Real Estate Service.

SEC. 30. Positions in Government Requiring the Services of Registered and Licensed Real

Estate Service Practitioners.

SEC. 31. Supervision of Real Estate Salespersons.

SEC. 32. Corporate Practice of the Real Estate Service.

SEC. 33. Display of License in the Place of Business.

SEC. 34. Accreditation and Integration of Real Estate Service Associations.

SEC. 35. Code of Ethics and Responsibilities for Real Estate Service Practitioners.

SEC. 36. Continuing Professional Education (CPE) Program.

SEC. 37. Enforcement Assistance to the Board.

SEC. 38. Indication of the Certificate of Registration, Professional Identification

Card/License Number, Privilege Tax Receipt (PTR) Number and Accredited

Professional Organization (APO) Number.

ARTICLE V

PENAL AND FINAL PROVISIONS SEC. 39. Penal Provisions.

SEC. 40. Appropriations.

SEC. 41. Transitory Provision.

SEC. 42. Implementing Rules and Regulations

SEC. 43. Separability Clause.

SEC. 44. Repealing Clause.

SEC. 45. Effectivity.

Salient Features of The Implementing Rules & Regulations (IRR) of The Real Estate Service Act law

(Republic Act No. 9646 ) published last 24 July 2010 and shall take effect 15 days after publication

1. Every real estate service practitioner (real estate consultant, real estate appraiser, real estate

Assessor, real estate broker) except the real estate salesperson shall be required to undergo licensure

examination and registration under the PRC. (Rule III, Sec 12)

2. Those who wish to be licensed real estate brokers must meet the minimum qualification for examinations,

which include a relevant Bachelors degree from an education institution duly recognized by the CHED. (Rule

III, Sec 14).

3. The PRC shall not issue a certificate of registration to any successful examinee who has been convicted

by a court for any criminal offense involving moral turpitude, or has been guilty of immoral or dishonorable

conduct, or has be found to be psychologically unfit. (Rule III, Sec 18)

4. Those who are already licensed real estate brokers as of 30 July 2009 may be registered by the PRC

without examination provided they are in active practice, and have undertaken the relevant Continuing

Professional Education or Continuing Education Program. (Rule III, Sec 20 a)

5. All licensed real estate brokers shall be required to post a surely Bond of P20,000.00 renewable every

three years. (Rule IV, Sec 26)

6. No person shall be allowed to practice as a real estate broker unless he or she is a licensed real estate

broker. (Rule IV, Sec 29)

7. Real estate salespersons do not have to undertake the licensure examinations, but they shall be

accredited by the PRC, provided they have completed at least two years of college, and have undergone

training and seminars of at least 12 credit units in real estate brokerage (Rule IV, Sec 31)

8. Real estate salespersons already registered with the DTI/HLURB may be accredited by the PRC until 30

July 2011.

9. Real estate salespersons shall be under the direct supervision and accountability of a real estate broker.

(Rule IV, Sec 31)

10. Real estate salespersons cannot be signatories to a written agreement involving real estate transactions

unless the real estate broker who has direct supervision over them is also a signatory. (Rule IV, Sec 31)

11. Real estate salespersons cannot negotiate, mediate or transact any real estate transactions for and in

behalf of a real estate broker without first securing accreditation as a real estate salesperson for the real estate

broker as prescribed by the PRC. (Rule IV, Sec 31)

12. A real estate broker shall be in violation of R.A. No. 9646 for utilizing the services of a real estate

salesperson who has not secured accreditation with the PRC. (Rule IV, Sec 31)

13. Only the licensed real estate broker who has direct control and supervision of a real estate salesperson

may receive or demand a fee, commission or compensation of any kind for any service rendered by the real

estate salesperson in any real estate transaction. (Rule IV. Sec 32)

14. Divisions or departments of partnerships or corporations engaged in the selling of any real estate

development project must be headed by a licensed real estate broker. Branch offices of real estate brokers

must be manned by a licensed real estate broker. (Rule IV, Sec 32)

15. Every licensed real estate broker shall establish and maintain a principal place of business and display

their certificates of registration and professional identification card, as well as the certificates of registration and

professional identification cards of all the real estate service practitioners employed in such office. (Rule IV,

Sec 33)

16. Any violations of R.A. No. 9646 and its implementing rules & Regulations shall be meted a fine of

P100,000.00 or imprisonment of two years, or both. Penalty on the fine and imprisonment shall be double if the

violation is by an unlicensed real estate practitioner. (Rule V, Sec 39)

17. If the violation is committed by a partnership or corporation, the partner, president or manager who has

committed, or consented to, or knowingly tolerated the violations shall be held directly liable and responsible for

the acts as principal or as co-principal with the other participants. (Rule V, Sec 39)