CLEARING THE CONFUSION: AUCTIONEERS (MADALALI) vs. ESTATE AGENTS (WAKALA MILKI)

For too long, the terms "Madalali" (Auctioneers) and "Mawakala wa Milki" (Estate Agents) have been used interchangeably in Tanzania, leading to significant confusion.

This misunderstanding stems partly from the fact that Auctioneers operate under a clear legal framework (the Auctioneers Act Cap 227 of 1928), while Estate Agents currently lack specific legislation governing their profession.

Just like we refer to Insurance Agents as MAWAKALA wa BIMA and not MADALALI wa BIMA, same applies to Air Ticketing, Clearing Agents, etc.

Let's clarify the distinct roles:

• Auctioneers (Madalali) - Facilitate the sale of goods or property through a public auction. They ensure a transparent and competitive bidding process. Think of them as the conductors of an auction.

• Estate Agents (Mawakala wa Milki) - Act as intermediaries in the buying, selling, and renting of properties. They provide expert guidance, market analysis, and negotiation skills to clients. They are the trusted advisors in property transactions.

The lack of a dedicated legal framework for Estate Agents creates challenges, including;

• lack of a clear definition
• standardized practices
• enforcement mechanisms

This contributes to the blurring of lines between the two professions.

It is crucial to recognize the distinct services offered by each. Using the correct terminology and understanding their respective roles ensures smoother and more effective transactions in the property market.

A dedicated legal framework for Estate Agents would be a significant step towards professionalizing the sector and protecting both practitioners and the public.

Andrew Peter Kato

Registered & Licensed Valuer

President - Association of Real Estate Professionals of Tanzania (AREPTA)
Cell: +255 784 003 000
Email: kato2504@gmail.com