PIPA slams “faux” advisers

Property Investment Professionals of Australia (PIPA) has condemned inexperienced and untrained “faux” advisers who are falsely claiming to have completed additional specialist advice training or are members of industry bodies, such as PIPA.

PIPA Chair Nicola McDougall (pictured above) said a growing number of people were claiming to be qualified property investment advisers (QPIA) or PIPA members when they were not.

“No doubt these people are trying to legitimise their businesses or falsely improve their educational achievements by claiming they are members or QPIAs,” McDougall said. “However, PIPA soon instructs these people to remove these references immediately because it is an offence under Australian Consumer Law to make false and misleading claims about your services such as misrepresenting yourself as a member of an industry association when you are not.”

McDougall stressed the importance of checking the credentials of property investment advisers, regardless of market conditions, to ensure they have the right skills, experience, and training.

“Unfortunately, during market booms, we do always see an influx of new entrants into the property investment advice space – many of whom are simply chasing a quick buck given there is no national regulation in our sector,” she said. “Some complete a tick-and-flick course and automatically start calling themselves ‘buyers’ advocates’ when they may have never even bought a property before, let alone understand the intricacies of tailored and independent property investment advice.”

The PIPA Accreditation Program and QPIA post-nominal were developed by PIPA to serve as an industry benchmark of knowledge and skills for individual investors and professionals in industries involved with property investment.

McDougall urged investors to check the official status of credentials of advisers via PIPA or aligned industry associations such as the Real Estate Buyers’ Agent Association of Australia (REBAA).

Someone who is using the QPIA post nominal should:

• have successfully completed the PIPA Accreditation Program
• be able to demonstrate at least two years of relative industry experience i.e., real estate and associated services, finance, or mortgage services, etc.
• maintain full individual or corporate membership of PIPA or be gainfully employed by a member company
• have undertaken the QPIA Continuing Professional Development Program
• have registered their QPIA status with PIPA, renewing annually

To check whether an adviser is a PIPA member or a QPIA, investors can visit the PIPA website.

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