Continuing Professional Development (CPD) requirements

The CPD year for all licence and certificate holders starts on 23 March each year and ends on 22 March the following year. The first CPD year will run from 23 March 2020 to 22 March 2021.

Your CPD activities will depend on the level and type of licence you hold, as outlined below. CPD activities include:

Compulsory topics – 3 hours per year

Compulsory topics are determined by NSW Fair Trading in consultation with industry and are delivered by industry associations, government agencies and other providers approved by Fair Trading.

More information for organisations seeking approval to deliver compulsory topics can be found under Approved Provider guidelines below.

Compulsory topics will change each CPD year. Between 23 March 2020 and 22 March 2021, the compulsory topics are:

1. Real Estate Reforms, including trust account requirements (1 hour)
2. Rules of Conduct (1 hour)
3. Risk Management – as is applicable to the agent’s licence category (1 hour)

More information about these topics is available from the Compulsory CDP Topics for 2020 section below.

Details of providers delivering the compulsory topics can be found under Approved Providers for the Delivery of of Compulsory CPD Topics below.

Elective topics – 3 hours per year

Elective topics may be delivered by any training provider. The provider does not need to be approved by Fair Trading.

A class 1 or class 2 licence holder may choose to undertake their elective CPD from any provider that delivers training in:

• Property practice (sales and property management, strata and community management, stock and station agency, business sale or business broking, commercial and industrial property)
• Marketing skills and/or practice
• Communication skills and/or practice
• Property transaction legal requirements
• Ethics and professional responsibility
• Fraud prevention
• Marketing and quality control
• Workplace health and safety
• Legislation and compliance

A class 2 licence holder may also choose elective topics relating to:

• Risk management
• Industrial relations and human resource management
• Supervision requirements
• Trust accounting principles and audit requirements

For class 2 licence holders, the completion of one unit from the CPP50307 – Diploma of Property Services (Agency Management) is equivalent to 3 hours of elective topics.

Business skills topics – 3 hours per year

Business skills topics may be delivered by any training provider. The provider does not need to be approved by Fair Trading.

Only class 1 licence holders are required to complete 3 hours of business skills topics per year. A person may choose to undertake this CPD from any provider that delivers training in:

• Trust accounting principles and audit requirements
• Business risk management
• Business practices, management and governance
• Marketing and quality control
• Trust accounting principles and audit requirements
• Industrial relations and human resource management
• Supervision requirements
• Compliance audit and review
• Fraud prevention
• Workplace health and safety

Important: the requirement to complete business skills elective topics will apply from the next CPD year, which starts on 23 March 2021.

Class 1 Agent – Real Estate or Strata Management

A Class 1 Agent in Real Estate or Strata Management must complete at least 9 hours of CPD activity each year, including:

1. 3 hours of compulsory CPD topics,
2. 3 hours of elective CPD topics, and
3. 3 hours of business skill topics

Note: business skills topics are not required in the first CPD year while licence holders transition to the new licensing framework. For the 2020-2021 CPD year, a Class 1 Agent in Real Estate or Strata Management will complete at least 6 hours of CPD, including the compulsory and elective topics.

If you hold a class 1 licence for both stock and station and real estate, you will be required to undertake 9 hours of CPD per year. Of this, 3 hours are compulsory topics, 3 hours are elective topics and 3 hours business skills topics. You can choose which of the compulsory or elective topics are most relevant to you.

Class 1 Agent Stock and Station

A Class 1 Agent in Stock and Station must complete at least 6 hours of CPD each year, including:

• 3 hours of compulsory CPD topics
• 3 hours of business skills topics

Note: business skills topics are not required in the first CPD year while licence holders transition to the new licensing framework. For the 2020-2021 CPD year, a Class 1 Agent in Stock and Station will only need to complete the compulsory CPD topics.

If you hold a class 1 licence for both stock and station and real estate, you will be required to undertake 9 hours of CPD per year. Of this, 3 hours are compulsory topics, 3 hours are elective topics and 3 hours business skills topics. You can choose which of the compulsory or elective topics are most relevant to you.

Class 2 Agent Real Estate or Strata Management

A Class 2 Agent in Real Estate or Strata Management must complete at least 6 hours of CPD activity in each year, including:

1. 3 hours of compulsory CPD topics, and
2. 3 hours of elective CPD topics

Note: If you hold a licence for both stock and station and real estate, you will be required to undertake 6 hours of CPD per year. Of this, 3 hours are compulsory topics and 3 hours are elective topics. You can choose which of the compulsory or elective topics are most relevant to you.

Class 2 Agent Stock and Station

A Class 2 Agent in Stock and Station must complete at least 3 hours of compulsory CPD topics each year.

Note: If you hold a licence for both stock and station and real estate, you will be required to undertake 6 hours of CPD per year. Of this, 3 hours are compulsory topics and 3 hours are elective topics. You can choose which of the compulsory or elective topics are most relevant to you.

Assistant Agent – Real Estate

Certificate of registration holders as an assistant real estate agent must complete at least 3 units each CPD year from a valid Certificate IV qualification that is required for the issue of a Class 2 Agent licence in Real Estate (with or without restrictions).

Assistant agents can complete any of the units from their Certificate IV qualification.

Assistant Agent – Strata Management

Certificate of registration holders as an assistant strata managing agent must complete at least 3 units each CPD year from a valid Certificate IV qualification that is required for the issue of a Class 2 Agent licence in Strata Management. Assistant agents can complete any of the units from their Certificate IV qualification.

Assistant Agent – Stock and Station

Certificate of registration holders as an assistant stock and station agent must complete at least 3 units each CPD year from a valid Certificate IV qualification that is required for the issue of a Class 2 Agent licence in Stock and Station.

Assistant agents can complete any of the units from their Certificate IV qualification.

Assistant Stock and Station Agents (Livestock only condition)

There are no CPD requirements for holders of an Assistant Agent in Stock and Station who have a condition imposed on their certificate restricting them to act as agents for the sale of livestock only.

Compulsory topic outline

The objective of this topic is to provide an understanding of the changes to the Property and Stock Agents Act 2002 that commenced in March 2020 under the Property, Stock and Business Agents Amendment (Property Industry Reform) Act 2018.

On completion of this topic a person will be able to demonstrate competency in the identified learning outcomes.

Satisfactory completion of this topic will count as 1 hour of CPD towards the compulsory learning topics required for the current CPD year.

A person who completes this compulsory CPD topic will be able to:

This topic provides an overview of the changes to the rules of conduct that commenced in March 2020 under the Property, Stock and Business Agents Amendment (Property Industry Reform) Act 2018 and Property, Stock and Business Agents Amendment Regulation 2019. On completion of this topic a person will be able to demonstrate competency of the prescribed learning outcomes detailed below.

Satisfactory completion of this topic will count as 1 hour of CPD towards the compulsory learning topics required for the current CPD year.

A person who completes this compulsory CPD topic will be able to:

This topic involves understanding agent responsibilities to respond to and mitigate risks for occupants and managing risks that may arise within the property industry. For stock and station agents there is a focus on worker risk and animal welfare. For business broking there is a focus on appropriate disclosures and advice.

On completion of this topic a person will be able to demonstrate competency of the prescribed learning outcomes detailed below.

There is no need to duplicate CPD activities for each category of licence that an individual holds. If a person holds a licence in more than one category, the individual is only required to complete one part from the list below for this topic to count towards their compulsory topic requirements.

For individuals that hold a licence in only one category, they are required to complete the part below that is applicable to their licence category.

Satisfactory completion of this topic will count as 1 hour of CPD towards the compulsory learning topics required for the current CPD year.

A person who completes one of the following parts will be able to:

Introduction

Under the Property and Stock Agents Act 2002 (the Act), individual holders of a licence (class 1 or 2 agents) or certificate of registration (assistant agents) are subject to a condition that the holder must comply with continuing professional development (CPD) requirements.

CPD is aimed at ensuring licence and certificate holders continually update their skills and are aware of their legislative requirements and responsibilities. Details on how CPD operates are outlined in the CPD Requirements, which are published on the NSW Fair Trading website.

Licence and certificate holders must complete their CPD obligations annually with the CPD year commencing on 23 March each year.

CPD requirements for class 1 and class 2 agents includes the completion of compulsory learning topics which can be delivered by:

• an industry association
• a government agency, or
• an entity approved by the Secretary (who is defined under the Act as the Commissioner for Fair Trading).

These providers are referred to as ‘approved providers’. Approved providers must comply with the Conditions of approval.

Compulsory learning topics

How are compulsory learning topics determined?

Compulsory learning topics are determined annually by NSW Fair Trading in consultation with the Real Estate Reference Group (RERG). The topics are aimed at addressing compliance and consumer protection matters identified by Fair Trading and industry associations.

The CPD sub-committee of the RERG develops a course outline, desired learning outcomes and assessment requirements for each compulsory topic.

Compulsory topic outlines will be available from Fair Trading’s website at least four months prior to the commencement of the next CPD year.

Approved providers

For the purposes of the CPD requirements, approved providers are defined as follows:

a. Industry associations

An organisation which the Commissioner determines:

• is membership based, and
• has a primary and foundational objective to promote, develop and support high standards of agency practice.

b. Government Agency

A government agency is defined as any local, state or federal government agency or entity.

c. Entity approved by the Secretary

Is an entity that has applied for and been approved by the Commissioner to deliver compulsory topics.

Entities seeking approval by the Secretary must demonstrate:

• a commitment to improving the capabilities of licence holders to achieve compliance with their responsibilities under the Act and objectives of compulsory CPD
• an ability to deliver the nominated annual topics to a high standard
• the learning is delivered at a reasonable cost.

The learning is accessible to industry participants across NSW.

Approval process

Industry associations and government agencies

Industry associations and government agencies have approval to deliver compulsory learning topics and are not required to make further application. However, Fair Trading requires notice as to the compulsory topics to be delivered each CPD year. This information will be published on Fair Trading’s website to enable participants to identify providers and topics being delivered.

Industry associations and government agencies are required to consent to, and comply with, the Conditions of Approval. Fair Trading provides an Annual Notification Form - Delivery of Compulsory Learning Topics to enable notification of topics and consent to the Conditions of Approval and publication of topics offered.  Industry associations and Government agencies are required to complete this form annually or when there is any change in topics being delivered.

Entities seeking approval

An entity seeking approval must complete the Approved Provider – Delivery of Compulsory Learning Topics application form. Applications are to be emailed to REandP@customerservice.nsw.gov.au.

Fair Trading will assess each application and make a determination. Before making a determination, Fair Trading may request additional information from the applicant. If the requested information is not provided within 14 days or within the timeframe agreed between Fair Trading and the applicant, then the application for provider approval will be refused.

Applicants will be notified in writing of the outcome of the assessment within 28 working days of Fair Trading receiving the completed application and all required supporting information. If an application is refused, Fair Trading will provide written reasons for the refusal.

Approval is granted for a period of up to three CPD years, unless otherwise specified by the Secretary.

If approved, applicants will be required to complete the annual notification form to nominate the CPD compulsory learning topics that they will be delivering. This information will be published on Fair Trading’s website to enable participants to identify providers and the topics being delivered.

If approved, contact details of the approved provider and nominated compulsory learning topics will be published on the Fair Trading website.

Conditions of approval

All approved providers must consent to and comply with the Conditions of approval.

Continuing Professional Development (CPD) - Conditions of approval

Purpose

These conditions are for industry associations, government agencies or other approved providers for the delivery of compulsory learning topics (CPD) required under the Continuing Professional Development Requirements of the Property and Stock Agents Act 2002 (the Act).

References to ‘the Secretary’ in this document mean the Commissioner for Fair Trading, as delegated under the Act.

These conditions should be read in conjunction with the Approved provider guidelines, the CPD requirements and the annual Compulsory topic outcomes.

Statutory conditions

The Continuing Professional Development Requirements provide that:

• Individual holders of a class 1 or class 2 licence must complete three hours of compulsory learning topics each year.
• Compulsory learning topics are determined annually by NSW Fair Trading.
• Compulsory learning topics can only be delivered by an industry association, government agency or an entity approved by the Secretary.

A list of approved providers will be made available by NSW Fair Trading as part of the CPD requirements, including guidance and process for how providers will be recognised for CPD purposes.

General conditions imposed by the Secretary

Approval to deliver compulsory learning topics is also subject to general conditions that may be imposed by the Secretary and which may be amended from time to time. Approved providers must comply with these general conditions.

General conditions

1. Course delivery

1. The compulsory learning topics specified in the CPD requirements are the topics required to be delivered by approved providers.
2. An approved provider can elect to deliver any number of the compulsory learning topics determined in each CPD year.
3. An approved provider must develop content and deliver the compulsory learning topic in accordance with the Compulsory topic outcomes.
4. An approved provider retains proprietary interest in the course content developed.
5. Compulsory learning topics may be delivered face to face (whether in person or by video or electronic means) or online.
6. An approved provider must ensure that the duration of any compulsory CPD topic is not less than the time specified in the Compulsory topic outcomes (excluding breaks and administrative activities such as registration or proof of identity checks).
7. An approved provider must ensure participants are unable to ‘fast track’ through any online content.
8. An approved provider offering online delivery must clearly specify the hours during which the provider will be available to assist with any participant queries.
9. All persons involved in the operation, management and delivery of the topic must be fit and proper to perform their respective roles.
10. The approved provider must ensure that all topics are delivered as advertised.

2. Sub-contracting

1. An industry association or government agency may engage an organisation to develop the content and/or deliver the compulsory learning topics on its behalf.
2. Industry associations and government agencies remain responsible for the quality and performance of any sub-contracted organisation or provider.
3. Any sub-contracting is limited to one level only and the contracted organisation cannot further sub-contract to other organisations.
4. Other entities approved by the Secretary (not including industry associations and government agencies) are not permitted to sub-contract the development or delivery of compulsory learning topics unless such an arrangement was outlined in its application seeking Secretarial approval.

3. Assessment

The compulsory topic outline specifies the assessment method/s required to evaluate whether an individual has achieved the required competence for each compulsory learning topic. The approved provider will:

1. complete assessments in accordance with the relevant Compulsory topic outline
2. conduct the assessment methods or activities with integrity and in a manner that reliably assesses outcomes of learning
3. ensure that assessment conditions capture the original work of the student and prevent cheating
4. ensure adequate measures are implemented to prevent a person other than the registered participant from completing the assessment
5. ensure that when undertaking any assessment activity, the trainer does not provide a student with the correct answers to a question, or advise a student their knowledge or answer is incorrect, before the assessment has concluded
6. only deem a student competent once all assessment activities are satisfactorily completed.

4. Cost of CPD training course

1. Approved providers must ensure all costs that will be charged to a participant to complete a CPD compulsory learning topic are clearly and prominently stated in any advertising material and in a manner that ensures the participant is aware of these costs before electing to enrol.
2. Approved providers must ensure the cost to enrol in a compulsory learning topic is the same for regional participants.

5. Record keeping

Approved providers must retain records for a period of four years.  Approved providers must provide and/or maintain records as follows:

a. Participants register

Approved providers must retain a register of individuals who have completed a compulsory learning topic including the following information:

• the participant’s name as shown on their licence, licence number, email address and phone number, and
• the results of any assessment required by the Compulsory topic outline.

b. Record of completion

Approved providers must provide each participant within 10 business days, a written notice (including an electronic copy) demonstrating completion of the compulsory topic including the following information:

• the participant’s name as shown on their licence, licence number, email address and phone number
• the results of any assessment required by the Compulsory topic outline
• the title of the compulsory learning topic that was completed
• the date, time and place the compulsory topic was undertaken
• the method of delivery of the compulsory topic
• the duration in hours for completion of the compulsory topic
• the type of assessment (if applicable), and
• the name of the approved provider and person delivering the topic. If the provider or person delivering is registered with ASQA, details of their registration details.

6. Notification of certain events to Fair Trading

An approved provider must notify NSW Fair Trading in writing within 2 business days of the following events:

1. if an approved provider no longer complies with a requirement of the Approved provider guidelines or these Conditions of approval with details of any strategy or action the provider is implementing, or intends to implement to rectify the non-compliance
2. any change to the approved provider’s contact or organisation’s registration details (including business and company details and ASQA registration, if applicable), or
3. any change in the availability of compulsory learning topics as displayed on the Fair Trading website.

7. Provision of information to Fair Trading

An approved provider must, on written request, provide Fair Trading with any information required to assess the provider’s compliance with the Conditions of approval, Approved provider guidelines, CPD requirements and the annual Compulsory topic outcomes. This may include, but is not limited to, information about:

• the name, contact details of individuals who have completed the CPD training course
• details of course content, delivery methods and persons delivering the course
• the results of assessments of individuals who have completed the CPD training course including results, including pass, failure and exclusion rates, and
• details of complaints, including:
  • the number of complaints received by the provider relating to the CPD training course
  • the source and nature of the complaints, and
  • the action taken by the provider to remedy the matter complained of and the outcome of that action, including when the remedial action was taken.

8. Inspection and audit requirements

An approved provider must comply with any request of NSW Fair Trading to conduct an inspection, audit or investigation in relation to the delivery of compulsory learning topics:

• to determine whether the provider is complying with the guidelines and conditions of approval, or
• in response to a complaint received by Fair Trading.

9. Minimising the potential for fraudulent activity

Procedures must be in place to verify that a participant who registers for a compulsory topic is the person who also completes the course and receives confirmation of completion. When providing the course via an online delivery method, approved providers should demonstrate a capacity to meet this requirement and should consider:

1. using specialist online verification or other proven methods of confirming the identity of participants
2. providing participants with access to the online topic through a secure website that requires a login and password
3. issuing participants with a unique login and password via email that provides access to a secure website
4. ensuring procedures are in place so that if participants do not receive, or misplace, their login and password information there is a secure method by which they can retrieve it
5. securing the transmission of login information using standard encryption technology
6. providing best practice information to participants regarding setting up and maintaining the security of passwords
7. requiring participants, on initial login, to set up security questions that allow them to retrieve their password if they forget it
8. ensuring participants’ confidentiality is maintained in accordance with the Australian Privacy provisions

In addition, approved providers must have effective measures to prevent the completion of any required assessment by persons other than the participant.

In demonstrating the capacity to meet this requirement, the approved provider should consider:

1. capturing the participant’s IP address
2. monitoring all course activity and flagging when the exact same free text answers are given to assessment questions by different participants
3. locking student detail fields so that these can only be changed by the provider upon verification of the student’s identification
4. ensuring that students are ‘locked-out’ after failing a set number of attempts at the final assessment
5. the ability to intervene and make direct contact with the student if required
6. reporting immediately to Fair Trading any suspicious activity by trainers or students undertaking the course.

10. Advertising

An approved provider must not claim, assert or otherwise indicate an affiliation, approval or sponsorship by Fair Trading for any other purpose than to indicate it is approved for the delivery of compulsory learning topics.

11. Revocation of approval

1. The Secretary may at any time revoke approval for the delivery of compulsory learning topics. Revocation must be provided in writing and is effective immediately unless otherwise provided in the written notice.
2. An approved provider may, on written notice to the Secretary, cease the delivery of compulsory learning topics.
3. Approval for the delivery of compulsory topics will expire at the conclusion of three complete CPD years after approval, or at the expiry of the provider’s approval, whichever is earlier.
4. The Secretary may grant an extension of this period by notice in writing.

• CPD Provider application form
• CPD Provider Annual Notification form

The new CPD arrangements do not provide for the carry-over of CPD from one year to the next.

However, to assist in transitioning to the new arrangements, licence holders can bring forward any CPD undertaken before the reforms start on 23 March 2020 if the CPD was completed within the licence year immediately preceding their first renewal under the new system.

3 CPD points under the previous arrangements will be counted as equivalent to 1 hour of CPD (not points), and the carry-over CPD will be credited only towards elective learning requirements.

Note: this carry-over arrangement will only be available during the first year of the new licensing system.

As Assistant Agents are required to complete units from their related Certificate IV qualification, units completed since the certificate holder’s last renewal can be carried forward.

Licence and certificate holders must retain their own records of any compulsory, elective or business skills topics completed.

Certificate of registration holders must retain the statement of attainment issued by a registered training organisation for each unit completed from the relevant Certificate IV for their area of practice.

Licence holders (class 1 and class 2) must retain all records for 3 years.

Certificate of registration holders must retain all records for 4 years.

Licence and certificate holders are also required to provide evidence to Fair Trading that they have completed the required CPD topics.

No exemptions will be granted to individuals who fail to complete the required CPD within the allocated period, except in the following circumstances:

Extenuating Circumstances

In extenuating circumstances, the Commissioner may exempt a licence or certificate of registration holder from completing part or all of the requirements for continuing professional development. Circumstances for granting an exemption are limited, such as in the event of serious illness.

In granting an exemption, the Commissioner may also consider requiring an individual to complete any missed mandatory learning in addition to the mandatory learning required for the next CPD period. An application for an exemption due to extenuating circumstances can be made in writing to: CBP@customerservice.nsw.gov.au

A licence or certificate of registration commences within 90 days of the expiry of the CPD period.

Licence or certificate of registration holders who have:

• applied and received a licence or certificate of registration or,
• restored or reactivated a licence or certificate of registration that has been expired since the commencement of the allocated CPD period,

are not required to undertake CPD if that licence or certificate of registration commenced less than 90 days before expiry of the allocated CPD period.

This exemption is applied automatically, holders are not required to apply for the exemption.

Note: This exemption does not apply to a licence or certificate of registration that is recommenced following a period of suspension or cancellation where a condition has been applied under the Act requiring the holder to complete specified CPD.

A certificate of registration commences within 3 to 9 months of the expiry of the CPD period

Certificate of registration holders who:

• applied and received a certificate of registration or,
• restored or reactivated a licence or certificate of registration that has been expired since the commencement of the allocated CPD period,

are required to complete a minimum of one unit of competency from that year, from a valid Certificate IV qualification that is required for the issue of a Class 2 Agent licence.