NSW Supervision Guidelines: What LICs Must Do

The NSW supervision guidelines expect principal licensees and Licensees in Charge to do three things: supervise the people working in the agency properly, set operational procedures that keep the business compliant, and monitor how the business runs, recording any problems and how they were fixed. If you’re an LIC, that is the core of your job, on top of your own licence and CPD.

Fair Trading said on 29 October 2026 that updated Supervision Guidelines, with checklists and case studies, are coming soon as part of the property and stock agents law changes. Until they’re released, the current guidelines apply.

Need your compulsory topics done? See the EDUTIVE CPD courses.

What the NSW supervision guidelines require

Here’s what Fair Trading’s Licensee in charge page and the supervision guidelines ask for, and what each one looks like in a real office.

• An LIC for the business. An agency must appoint an LIC to supervise the business, or several LICs for different parts of it. In practice, everyone in the office should know whose name sits over their work.
• No part of the business left unsupervised. Every desk, branch and type of work needs an LIC covering it. If your rent roll or a second office has drifted out of anyone’s view, that’s a gap.
• Supervising people. You’re responsible for the proper supervision of the people engaged in the business, including verifying work experience for staff working towards their next qualification. Think about who checks a new salesperson’s first appraisal before it goes to the seller.
• Operational procedures. Principal licensees must set procedures that make sure the Act and other relevant laws are followed. A clear example from the LIC page is getting the LIC’s express authorisation for every release of trust money.
• Monitoring and records. You need systems to check the procedures are actually followed, and LICs must record instances of non-compliance and the corrective action taken. A short log of what went wrong and what you changed is the habit Fair Trading is describing.
• The annual training plan. Every licensed agency must prepare and maintain an annual training plan aligned to the CPD year, which starts on 1 July. More on that below.

Who the guidelines apply to

The guidelines apply to principal licensees and Licensees in Charge. An LIC must hold a Class 1 licence in the category relevant to the business. A business run under a Class 2 licence has to employ a Class 1 holder as its LIC. Holding Class 1 doesn’t make you the nominated LIC by itself, though. Our guide to Class 1 vs Class 2 explains the difference.

Are the supervision guidelines changing?

Yes. Fair Trading’s changes page sets out the property and stock agents law changes in three stages: 29 June 2026 (already in force), 17 November 2026 and 8 February 2027. Alongside the 8 February 2027 stage, Fair Trading says the updated rules will be included in Underquoting Guidelines and Supervision Guidelines, with supporting checklists and case studies that are coming soon.

Supervision is already getting more attention. Since 29 June 2026, Fair Trading can require a licensee in charge or an independent valuer to verify an agent’s estimated selling price. If you supervise a sales team, the NSW underquoting reforms are worth reading for context.

No publication date has been announced for the new guidelines. We’ll update this page when they’re released.

How CPD and the training plan fit into supervision

Fair Trading’s CPD page says Licensees in Charge must have all CPD training for the agency detailed in the training plan. Your own CPD doesn’t cover this. Your job is to keep the whole team’s plan accurate as the year goes on. Four habits help.

Know who you supervise. Map each agent to their licence category and areas of practice. A residential salesperson, a buyer’s agent and an assistant agent don’t share the same compulsory topics, so one generic plan won’t fit. Update the plan when someone joins, leaves, changes role or adds an area of practice.

Put all CPD on the plan. That means compulsory topics from approved providers and any other training tied to performance goals. Use Fair Trading’s training plan guide and template as the minimum. Our LIC training plan guide walks through the fields to capture.

Check completions, not just enrolments. A plan that lists booked courses but never shows who finished them is weak supervision. Every few months, check who has completed their compulsory topics, where certificates are stored, and whether training done elsewhere has been added. Follow up anyone who has fallen behind.

Bring the learning back to the desk. After a compulsory topic, ask what should change in your checklists, file reviews or handovers. Make sure assistant agents don’t work beyond their authority while they finish their qualifications.

The Supervision Guidelines and AML CTF in agency practice topic is one of this year’s four compulsory topics for residential salespeople and buyer’s agents. Our CPD course covers it in live interactive webinars along with the other compulsory topics, so it doubles as a refresher for you and your team.

If you’re an LIC running a current EDUTIVE course, you can use the CPD Tracker to see each agent’s progress and export the training plan.

Common supervision gaps

• Your own CPD done, the team’s plan out of date. Finishing your own topics doesn’t mean the agency is supervised.
• One plan for every role. Compulsory topics differ by licence category and area of practice.
• Enrolments logged, completions missing. Progress and evidence are what matter when you review the plan.
• Nobody owns the follow-up. If an agent falls behind, someone has to chase it.
• Assistant agents and dual pathways forgotten. Certificate holders and agents working across areas of practice need their own planning.

Frequently asked questions

What do the NSW supervision guidelines require?

Principal licensees and Licensees in Charge must properly supervise the people working in the business, set up operational procedures that keep the agency compliant, and monitor how the business is run, including recording any non-compliance and what was done to fix it.

Are the NSW supervision guidelines changing?

Yes. On 29 October 2026 NSW Fair Trading said updated Supervision Guidelines, with checklists and case studies, are coming soon as part of the property and stock agents law changes. No release date has been announced, so the current guidelines still apply.

Does an LIC need a Class 1 licence?

Yes. A Licensee in Charge must hold a Class 1 licence in the category of the business they supervise.

Is the annual training plan part of LIC supervision?

Yes. Licensed agencies must keep an annual training plan, and the nominated Licensee in Charge develops, reviews and updates it for each CPD year from 1 July to 30 June. All CPD training must be recorded on it.

Does completing my own CPD cover my supervision duties?

No. Your own CPD is separate. Supervision means making sure no part of the business is left unsupervised and keeping the team’s training plan current as staff complete their CPD.

Sources

• NSW Government: Licensee in charge: role and responsibilities
• NSW Government: Supervision guidelines for property agencies
• NSW Government: Continuing Professional Development (CPD) requirements
• NSW Government: Licensee-in-charge training plan guide and template
• NSW Fair Trading: Changes to property and stock agents laws