Entrance/Licensing Requirements Netherlands

The educational requirements for NVM-membership vary according to specialist section:

Section Residential: to hold the SVM-diploma (brokerage)
Section Commercial: to hold the SVM-diploma, the membership of RICS or the MRE qualification. Section Agrarian: to hold the SVM-diploma, the membership of the Netherlands association of estate managers, a diploma of a School for Economics and Business Administration (specialization brokerage). Section Property Management: to hold the SVM-diploma, the membership of RICS combined with affiliation to the Dutch branch of an international agency, a diploma of a School for Economics and Business Administration (specialization property management), the MRE qualification. The SVM (Stichting Vakopleiding Makelaardij) is an independent institute that meets government requirements and which issues the generally accepted Dutch real estate qualification. There is mandatory continuing education for all NVM-members, specific to their specialist section.

A practitioner can market properties anywhere in the country. There are no restrictions, other then the limitations of the NVM multi listing system. The opportunity to offer or find property in the various regions, depends on the number of regions that a given agency has subscribed to in this MLS. If a subscription is taken out for a certain region then all supply and demand in this region is available to the subscriber. No licenses are needed.

Foreign Ownership Netherlands
There are no restrictions in respect of foreign investment.

Land Registration System Netherlands
The Netherlands have a centrally organized registration system for property ownership, the Land Registry or Kadaster. The register is computerized and accessible through the web. The Kadaster has recently been privatised and now offers many of its services on a commercial basis. NVM-members can consult Kadaster information on-line, subject to subscription.

Other Industry Professionals Netherlands
No other professions are directly involved in the sale/rental of properties. Lawyers do not sell properties. The services of a notary are required to complete a sale transaction.

Practitioner
Code of Ethics Netherlands. NVM-members must abide by the NVM Code of Honor. For internal disciplinary proceedings see 6. Arbitration.

Practitioner Dispute Resolution Systems Netherlands
NVM has a Disciplinary Council and Supervisory Board which mainly adjudicate disputes between brokers and their clients. In case of disputes between practitioners they also apply for a binding advice of these institutes.

Practitioner Services Netherlands
Services are to assist in sale, purchase, rental or letting. Services offered to sellers and buyers are: advertising/promotion of the property, general structural survey of a property and its amenities, price negotiation, making up the contract and handling the necessary paperwork in respect of the notary. Also, many real estate brokers offer mortgage advice and arrange for mortgage proposals from financiers.

Property Marketing Systems Netherlands
NVM has its multi listing system or property data exchange. This system is only available to the membership of NVM and is fully automated. It is mandatory for NVM-members to offer all properties in their portfolios, residential and commercial, sale and rental, through this communal exchange, which is also available on the internet. The system is owned by NVM and operated through a separate company, Funda, which has given its name to the website. The site offers property in a commercial environment which offers a wide range of property related services and products.

Referral Systems Netherlands
There is no national referral system. Most companies are based locally, but the number of nationally operating companies is growing.

Relationship of Buyer/Seller to Practitioner Netherlands
In The Netherlands the real estate broker operates the equivalent of agency. He is the intermediary between seller and buyer. Contracts are either with the buyer, or with the seller. The real estate broker may only offer his services to one of the parties, not both, as this would make his impartiality impossible to maintain. Contracts are typically mandatory and written.

Remuneration Netherlands
Remuneration is paid by the party that has hires the services of the broker, being seller or buyer, lessor or lessee. It is paid as a commission, a percentage of the selling price/purchase price or rent, after completion of a deal. Funds in real estate transactions are controlled by the notary who handles and registers the transaction. Payment of the full purchase sum must be done before the transfer of the property and is managed by the notary’s office. The remuneration for the broker is also managed and transfered by the notary, as part of the total financial settlement.