How to choose a real estate agent in Singapore?
Buying and selling houses is arguably one of the largest and most important transactions in the life of many people. Is the interest upheld? Is the price reasonable? All this directly affects the amount of money that your get. Penrose condominium would like to bring you this article. Stay tuned for this upcoming project made by reputable developers Hong Leong & CDL who are known to build top-notch condo all over Singapore.
For renting or renting out a house, although the amount involved is less, it cannot be taken lightly by tenants and homeowners. Therefore, choosing an appropriate and capable real estate agent is very critical in the buying/selling/renting process.
According to the list of the Council for Estate Agencies (CEA) website, there are currently 31,115 registered home agents in Singapore. Back in October 2010, Singapore introduced a series of regulatory measures to improve the service and professional standards of real estate agents. Only registered as a real estate agent with the council can represent buyers and sellers to buy and sell houses, and they must pass a compulsory examination.
Although there are a large number of real estate agents and they have passed the test, the actual capabilities and service levels are still uneven. Understanding how to choose a real estate agent is the key to a successful and smooth purchasing or selling of properties.
There are many real estate agencies in Singapore, large and small. Some people tend to choose the real estate agents from more reputable and large agencies. But even if from the same company, not every real estate agent has the same ability and professional skills. You have to choose carefully. Buyers can go to the council website (www.cea.gov.sg) to check whether the real estate agent they found is a registered or was disciplined in the past for free.
How much commission to pay a real estate agent?
As for commission, Singapore does not specify how much to pay a real estate agent. For private residential transactions, the seller typically pays 2% commission; for government HDB transactions, the buyer pays 1% commission (buyer uses real estate agent) and the seller pays 2% commission (seller uses real estate agent). In terms of lease, if the lease is for one year, the owner usually pays a commission equal to half a month’s rent, and the lease for two years pays a commission equal to one month’s rent.
However, the commission is still up to negotiation. For example, clients can agree to pay lower commissions or require non-payment of GST. Likewise, a real estate agent can request to get higher commissions for extra works such as advertising, staging.
Continue to read part 2 of the sharing – suggestions to find a suitable agent.