Tag Archives: Property Agents

I REFER to Ms Kwok Yoke Pui’s letter yesterday, ‘Agents shouldn’t take on dual roles‘. The practice of sellers paying 2 per cent and buyers 1 per cent of the transaction price of an HDB resale flat arose because the distinction between a seller and a buyer is unclear.

By representing both the seller and the buyer, an agent will be unable to show that he got the best price for either party, which is his fundamental duty.

The agent can offer only to perform an administrative service to handle the documentation, but that service should not be tied to the transacted price, because no matter at what price the flat is sold, the amount of administrative work would be the same. Furthermore, this offer of administrative service cannot be forced on the buyer.

The HDB conducts seminars on resale transactions in English and Mandarin for both sellers and buyers. Anyone interested to attend can register at HDB’s website.

Source : Straits Time – 9 Oct 2009

WE REFER to Ms Kwok Yoke Pui’s letter yesterday, ‘Agents shouldn’t take on dual roles‘. Housing Board flat sellers and buyers need not engage estate agents for their resale transactions, although there are benefits in doing so, such as leveraging on an agent’s network for expeditious sales or purchases.

A buyer and seller in a transaction should be represented by separate agents to avoid a potential conflict of interest.

While an agent should act and collect commission from only one party, the buyer or seller, it is also acceptable if the buyer and seller in a transaction agree to have the same agent represent them.

The agent should preferably obtain the written consent of both parties; the same should apply to two agents from the same company who are acting separately for sellers and buyers in the same transaction.

Both the seller and buyer should be aware and agree to such an arrangement. Continue reading →