Are Real Estate Trading Floors Required to Provide Advanced Knowledge Training for Staff?

The question of “Are real estate trading floors required to provide advanced knowledge training for staff“ is a concern for many trading floors. Although not applied widely to every administrative position, for the team of brokers practicing at the floor, this is a mandatory annual obligation under the law. The following article by Long Phan Consultants will analyze the legal basis and implementation process of this issue in detail.

Reasons why real estate exchanges require knowledge enhancement

Pursuant to Clause 8, Article 58 of the Law on Real Estate Business 2023, the trading floor has the obligation to “Organize training and fostering to improve real estate brokerage practice knowledge for brokerage staff working at the real estate trading floor annually.” The main reasons include:

• Legal Compliance and Adaptation:
  • The legal system (Land Law, Housing Law) and guiding documents are frequently adjusted.
  • Lack of updated knowledge leads to incorrect advice regarding planning, project legality, or transaction processes, causing serious consequences.
• Minimizing Liability Risks:
  • According to Clause 6, Article 58, the trading floor must compensate for damages caused by its own faults to customers.
  • Proper training minimizes professional errors by staff, thereby limiting civil liability for the enterprise.
• Enhancing Compliance Supervision:
  • According to Clause 7, Article 58, the floor is responsible for managing staff compliance with the law.
  • Training acts as a “remote defense” mechanism, helping personnel clearly understand legal corridors and minimizing administrative violations during inspections.

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The knowledge content that stock exchange employees need to be trained in.

To meet the operational requirements in Article 56 of the Law on Real Estate Business 2023, training content must focus on expertise and technical skills rather than just sales skills:

• Legal Verification Skills:
  • Equipping staff with skills to read and understand dossiers (Clause 1, Article 56).
  • Skills to identify risks regarding planning, mortgage status, or disputes before listing information.
• Transaction and Drafting Procedures:
  • Mastering procedures for supporting negotiations and drafting documents (Clause 3, 4, Article 56; Clause 5, Article 53).
  • Understanding standard contracts, mandatory terms, and regulations on digital signatures/electronic contracts for lawful online transactions.
• Professional Ethics and Disclosure:
  • Training on professional codes of conduct and the obligation of honesty towards customers (Clause 2, Article 53; Clause 2, Article 58).
  • Clearly distinguishing between “marketing advertising” and “providing false information” to avoid prohibited acts and build a sustainable brand reputation.

This form of knowledge enhancement is recognized by law.

Current laws allow trading floors flexibility in choosing training forms, provided they ensure substantial professional quality:

• External Training Courses:
  • Participating in courses at reputable universities, colleges, or units recognized by the Ministry/Department of Construction.
  • Certificates of completion from these units serve as the most authentic proof of compliance.
• Internal Training:
  • Often prioritized by large-scale floors. To be recognized by authorities, the floor must have a detailed training plan, structured curriculum, and specific participant lists.
  • Content must update new legal documents (Decrees, Circulars) and thoroughly disseminate the floor’s own operational regulations.
• Seminars and Expert Workshops:
  • Inviting legal experts and consultants (from units like Long Phan Consultants) to share knowledge.
  • Directly answering practical questions to help staff access intuitive and in-depth knowledge.

Note: Regardless of the form, according to Clause 4, Article 58, the floor must archive full dossiers and documents proving the organization or assignment of staff to study for reporting and inspection purposes.

Recommendations for real estate exchanges

To ensure absolute compliance with the Law on Real Estate Business 2023 and optimize management efficiency:

• Formalize Internal Regulations:
  • Build and issue Internal Training Regulations parallel to the Floor’s Operation Regulations (Clause 1, Article 53).
  • Clearly define responsibilities for participation, funding support mechanisms, and disciplinary sanctions for evasion.
• Strict Personnel Management:
  • Establish a process to track the validity of Brokerage Practicing Certificates.
  • Ensure 100% of individuals are eligible to operate before signing employment contracts (Clause 4, Article 53).
• Risk Management Mindset:
  • Periodically invite legal consultants to review processes and update changes in Decree 96/2024/ND-CP.
  • systematically archive transaction and training records (Clause 6, Article 56; Clause 9, Article 58) to be ready for explanation during inspections or disputes.

>>> See more: Professional Real Estate Brokerage Service Benefits

Real estate brokerage consulting services at Long Phan Consulting

Long Phan Consultants provides comprehensive solutions to assist real estate trading floors in standardizing operational processes and personnel training.

• Regulation Drafting: We support drafting and perfecting standard Operation Regulations, Transaction Procedures, and Internal Training Regulations ensuring strict compliance with the Law on Real Estate Business 2023.
• Customized Training Programs: Our experts design in-depth legal knowledge training programs tailored to the specific operations and business models of each floor, providing timely updates on new legal changes.
• Project Appraisal and Representation: We review the transparency of projects before listing to minimize liability risks and represent the enterprise in working with competent authorities during inspections.

Some frequently asked questions about real estate exchange operations.

Below are some frequently asked questions regarding real estate exchange operations that you may find helpful:

What responsibilities does the real estate exchange have regarding the information on listed properties?

The real estate agency is responsible for verifying the legality and accuracy of property listings, ensuring complete and truthful information, and is accountable for the accuracy of this information.

(Legal basis: Clause 1, Article 56 and Clause 2, Article 58 of the 2023 Law on Real Estate Business)

Are brokers working on the trading floor required to have a professional license?

Yes. When a real estate exchange signs a contract with an individual broker, that individual must meet the necessary qualifications, including possessing a real estate brokerage license and practicing within a real estate exchange or real estate brokerage business.

(Legal basis: Clause 4, Article 53, Clause 2, Article 61 of the 2023 Law on Real Estate Business)

Is the exchange obligated to compensate if an employee’s incorrect advice causes losses?

Yes. The exchange is obligated to compensate customers for damages caused by its own fault, including errors in employee management and providing false information.

(Legal basis: Clause 6, Article 58 of the 2023 Law on Real Estate Business)

Is the exchange allowed to conduct electronic trading?

Permitted. The exchange is allowed to conduct electronic transactions but must comply with the regulations of the Law on Real Estate Business, the Law on Electronic Transactions, and other relevant laws.

(Legal basis: Clause 5, Article 53 of the 2023 Law on Real Estate Business)

Does the stock exchange have to report its operations to government agencies?

Yes. The exchange must comply with legal reporting requirements and is subject to inspection and auditing by competent state authorities.

(Legal basis: Clause 4, Article 58 of the 2023 Law on Real Estate Business)

Does the operating regulation of a real estate exchange require provisions for employee training?

Yes. According to the detailed regulations for the implementation of the Law on Real Estate Business, real estate exchanges must issue operating regulations, which must include provisions on management and the organization of annual training and professional development for brokerage staff. (Legal basis: Clause 2, Article 16 of Decree 96/2024/ND-CP, Clause 8, Article 58 of the Law on Real Estate Business 2023)

Conclusion

The fact that real estate trading floors are required to provide advanced knowledge training for staff is affirmed as a top priority legal obligation. Compliance is the best measure to protect the sustainable development of the enterprise against risks.

If you need support in building training regulations or real estate business legal advice, please contact Long Phan Consultants via Hotline 1900636389.