A legal regulation of real estate agents could soon be adopted in the Czech Republic, since the government has approved the Act on real estate brokerage services. The Act has already been presented to the Chamber of Deputies.
The main changes proposed by the Act are as follows:
- new professional trade under the Trades Licensing Act will be introduced;
- real estate agents would have to sign a real estate agency contract with their clients;
- new insurance requirements for real estate agents will be introduced;
- real estate agencies could no longer offer financial escrow services.
The proposed changes would also regulate commissions and exclusive agency periods. An exclusive real estate agency contract would have to be in writing and could not exceed six months. Further, the commission would be due no earlier than the day, when the real estate agency contract was concluded.
You can find more information on the Act proposal here in Czech.