Tag Archives: Property Agents

Ex-property agent gets 24 weeks’ jail for forgery

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A former property agent has been sentenced to 24 weeks’ jail for forgery, cheating and counterfeiting stamp certificates.

Andrew Sng Chin Lee, 43, who was an estate agent with HSR International Realtors, pleaded guilty to four charges under the Stamp Duties Act.

The father-of-three was also guilty of another three charges of cheating and forgery.

Four similar charges were taken into consideration.

He committed the offences between July and October 2011.

He collected S$865 worth of stamp duty payable from four tenants for four rental transactions and pocketed part of the money.

He then created four fake stamp certificates and presented them to the landlords, agents and tenants.

Sng also forged documents on tenancy and termination of lease to deceive a landlord and a tenant into forking out a total of over S$21,800 in transaction fees.

He has made S$14,500 in restitution for the police charges.

Sng’s service was terminated by his company on June 6 last year.

The court also heard that Sng was facing financial problems at the time of the offences.

Source : Channel NewsAsia – 21 Jan 2013

Authorities checking on property agents who evade stamp duty

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Channel NewsAsia understands authorities are conducting spot checks on at least seven property developers to find out if they have backdated their documents.

It has been about a week since the latest round of property cooling measures kicked in.

Among the changes is an increase in Additional Buyer’s Stamp Duty of five to seven percentage points across the board.

In a bid to help buyers avoid paying the additional stamp duty, industry insiders said some agents have resorted to backdating the date of the Option-to-Purchase for sale and purchase of residential properties.

Avoiding stamp duty is as good as tax evasion, which is an offence.

Industry insiders said authorities have stepped up efforts to conduct spot checks on possible offenders.

So far, industry insiders said one property agent has been caught backdating.

Authorities have also issued circulars to remind developers and agents to comply with the new cooling measures.

Industry players said that they had previously heard of agents trying to backdate options two to three days after cooling measures were introduced.

But as the measures introduced this round are more drastic, they said there are more agents taking the risk.

In some cases, the buyers may be considering whether to buy a property, and the cooling measures could have been introduced before they could decide.

Industry insiders say that is when they may request their agent to backdate their options.

Chris Koh, director of Chris International said: “If you backdate the document, it will probably be on a gentleman agreement, whereby all parties agree to it. But then who knows as you move down the line, one may play the other out, or one may just say ‘I choose not to buy or sell anymore, and what we did previously was not the right thing to do’. And therefore they use that as a means to get out of the contract.”

Any person guilty of such an offence shall be liable on conviction to a fine of up to S$10,000 or imprisonment of up to three years or to both.

Estate agents or salespersons found involved may face disciplinary action by the Council for Estate Agencies, which could include a financial penalty of up to $75,000 and a suspension or revocation of their licence or registration.

Source : Channel NewsAsia – 18 Jan 2013

Unregistered salesperson fined S$21,000 under Estate Agents Act

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An unregistered salesperson who posted flyers in public places was fined S$21,000 on Wednesday.

He was charged under the Estate Agents Act.

The Council for Estate Agencies (CEA) charged 59-year-old Lum Chap Heng in court on 14 November for posting flyers carrying his mobile number to advertise for landlords and tenants.

Lum also represented a flat owner and helped her find potential tenants for her property. He also conducted flat viewings.

CEA said Lum was aware that it was illegal for him to hold himself out as a salesperson as he was not registered under the Estate Agents Act.

Lum had specifically told prospective tenants that he had registered with CEA in 2010.

He also identified himself as a salesperson with a licensed estate agent, HSR International Realtors, even though he did not have a written agreement with an estate agent for him to practise.

CEA said this case highlighted the importance of checking the identity of a salesperson on CEA’s Public Register before responding to a salesperson’s flyer, leaflet or advertisement.

It added that consumers are advised not to respond to any real estate agent’s flyer, leaflet or advertisement that did not provide the salesperson’s name, registration number, contact number, as well as the estate agent’s name and licence number.

Consumers should only engage salespersons who are registered with CEA, it said.

The public can check CEA’s public register at www.cea.gov.sg or on the “CEA@SG” mobile app to verify a salesperson’s registration details before engaging his or her services.

Searches can be done on the public register using the salesperson’s name, registration number and mobile number.

The public should also report to CEA when they encounter any person not listed on the public register but carrying out estate agency work illegally.

They can report the person to the CEA at 1800-6432555 or feedback@cea.gov.sg.

Source : Channel NewsAsia – 13 Dec 2012

Real estate industry is dynamic, changes have only just started: Khaw

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National Development Minister Khaw Boon Wan said the transformation of the real estate industry has only just begun.

He said what used to be regarded as a “cowboy” industry is now characterised by a more systematic and professional process of proper registration and licensing of property agents by the Council of Estate Agencies (CEA).

He added that of the more than 100,000 property transactions each year, complaints made up one per cent of the cases.

Mr Khaw was commenting on the Public Perception Survey released by the CEA in a blog post.

He said the findings showed that the regulatory body, that just turned two recently, hasn’t fared too badly.

Mr Khaw said the real estate industry is a dynamic one and that agents will need to embrace continuous learning to stay relevant and bring value to their clients.

Source : Channel NewsAsia – 26 Nov 2012

80% of customers satisfied with their property agents: survey

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The first Public Perception Survey by the Council for Estate Agencies (CEA) has found that most consumers are satisfied with their property agents.

Eight out of 10 said they were satisfied with the conduct and services provided.

Seven out of 10 planned to recommend their agents to others.

Top of the list was service excellence with agents being contactable, responsive to queries and courteous at all times.

Bottom of the list was knowledge and expertise about the real estate industry.

Consumers felt that the agents should improve their knowledge so that they can advise customers on property transactions.

These include financial matters and accurate and up-to-date information related to the property.

The average awareness level among consumers was 72%, or eight out of the 11 key practices and regulations.

The awareness level among potential consumers came in lower, averaging about 60 per cent.

The survey also looked at feedback from the industry.

Most were supportive of the initiatives implemented by CEA to enhance professionalism in the sector.

Eighty per cent indicated that the regulatory measures and enforcement of minimum eligibility criteria for agents has helped raise the professionalism of the industry.

More than 90 per cent of agents found that the training that they received in the last 12 months, was effective in raising their professionalism.

The majority of them also indicated that they would require additional training on government rules and regulations and market information.

The survey was conducted between March and July this year.

Face-to-face interviews were conducted with more than 2,200 consumers and potential consumers.

An online survey was conducted with more than 1,700 property agents and key executive officers.

The findings will set the baseline for CEA to measure the progress of the industry in delivering professional service to consumers.

Source : Channel NewsAsia – 26 Nov 2012

New mobile app for verifying estate agent licences

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The Council for Estate Agencies (CEA) has launched a mobile version of its online Public Register of Estate Agents and Salespersons.

Called “CEA@SG”, the new mobile application is CEA’s first app for devices running on iOS and Android platforms.

It features the same search functions as those offered on the Public Register on CEA’s website (www.cea.gov.sg).

With the app, members of the public can now access the Public Register on the go to verify the licensing details of estate agents and the registration information of salespersons.

The Public Register allows consumers to search the particulars of a salesperson, using the salesperson’s name, registration number or mobile number.

Similarly, consumers can search the names and licence numbers of estate agents.

The app, which was launched on Wednesday, is part of CEA’s efforts to make resources easily accessible to consumers so that they may make more informed decisions.

It can be downloaded for free at the Apple App Store and Google Play.

Source : Channel NewsAsia – 17 Oct 2012

‘Industry much improved, but expect changes’

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Visible changes have been made over the last two years to improve the standard of real estate agencies, but more changes might be on the way, experts at a National Real Estate Congress said yesterday.

The Council for Estate Agencies (CEA) was set up in October 2010 to enhance regulations for the industry, which has about 1,500 agencies and 32,000 licensed agents.

The statutory board provides regulatory requirements on enhanced licensing and registration of agents, code of practice and ethics, as well as better public education, among others.

Since it was set up, overall standards have improved, with visible changes including “consolidation in the market place, more thorough background checks and fixed qualification requirements at agent recruitments,” said Mr Seah Seng Choon, Executive Director of the Consumers Association of Singapore and a CEA council member.

However, the industry should expect more changes over the next six to 12 months as the CEA evaluates existing issues in the industry, which for the longest time resembled a “cowboy town where anything goes”, Mr Seah added.

He declined to elaborate on the possible changes, but said that efforts have to be made to enhance education for agents to go beyond meeting the minimum requirements on professionalism.

“Part of that entails looking at operational structures of agencies and to see if it’s geared towards just compliance or a true spirit of professionalism. For instance, we may need to assess whether the current KEO (Key Executive Officer) system can sustain an optimal control of agent quality,” he said.

A KEO is responsible for the proper business management and supervision of salespersons at an agency.

Speaking to TODAY, OrangeTee key executive officer Michael Tan felt that the call for going beyond the minimum is a “fair comment”, but stressed that professionalism is also about branding.

“Moving forward, we can try to elevate the professional image of the real estate industry. This will motivate the industry to behave to that benchmark,” he said.

Source : Today – 11 Oct 2012

CEA probes rental coordinators acting as real property agents

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The Council for Estate Agencies (CEA) is watching over the rise of so-called “rental coordinators”, who perform similar functions to legitimate property agents, according to Straits Times.

Property firms typically attract individuals who want to work as rental coordinators by offering attractive commission earnings of up to S$10,000 a month.

The CEA has observed that in recent months, there have been hundreds of recruitment advertisements online looking for interested rental coordinators.

Based on their job scope, rental coordinators may infringe the Estate Agents Act; hence, the CEA would contact certain property firms for further investigation.

Since 1 January, the CEA has strictly required property agents to register before conducting real estate work. Agents must pass industry examinations or must have brokered at least three deals within the past two years to become an eligible property agent.

Agents caught infringing the rules may face a three-year jail term or a fine of up to S$75,000.

“It’s not wrong to hire a helper but the role must be very clear. Agents should not find ways and means to be creative. If they do real estate work, they need to pass the exams,” said Mohamed Ismail, Chief Executive of PropNex.

Chris Koh, Director at Dennis Wee, said “when the coordinator makes the call about a property, it’s very easy to start talking about its price or facilities, but that’s an agent’s job.”

Source : PropertyGuru – 26 Sep 2012

Council for Estate Agencies files charges against unregistered salesman

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A man who positioned himself as a salesperson has been taken to task by the Council for Estate Agencies (CEA).

CEA has filed six charges against Tan Hock Khin, 41.

The charges against Tan include holding himself out as a salesperson without being registered with the council, and for impeding CEA inspectors from lawfully gathering evidence of the offences.

CEA’s allegations are that Tan was not registered as a salesperson with CEA but he had promoted himself as one to the public in his online advertisement.

Tan also allegedly carried out estate agency work without first getting a written agreement from a licensed estate agent for him to practise.

CEA added that Tan impeded its inspectors from lawfully carrying out their investigation during a field operation. Tan did not allow the inspectors from entering the premises and hindered their efforts to gather evidence of the offences.

Tan also provided false information during his interview with a CEA inspector.

CEA said Tan also neglected to provide the required information and documents despite receiving two written notices from CEA.

Source : Channel NewsAsia – 6 Sep 2012

Agents need protection from malpractice: SingCapital

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With the Council for Estate Agencies (CEA) coming down hard on the industry, there is a growing need for real estate agents to protect themselves.

As estate agents look to renew their license this month, many will also be updating their professional indemnity insurance to help safeguard their rights.

“By taking up the right type of Real Estate Professional Indemnity Insurance coverage, it also takes care of the interest of your customers in the event of an act of negligence,” noted Alfred Chia, Chief Executive Officer of SingCapital.

The insurance covers all agents who must have a minimum S$100,000 sum insured, as stipulated under the Estate Agents Act.

“It is an offence to conduct business without valid professional indemnity insurance,” said Chia, adding that SingCapital’s portfolio risk-based programme is open to all licensed salespersons.

“However, additional underwriting will be required if the salesperson had disciplinary sanction by CEA or had previous negligence.”

The insurance scheme has been available since 2004, even before CEA was established. And while professional indemnity insurance was not compulsory at the time, many estate agents took up the scheme for added protection.

The scheme generally covers professional negligence and excludes cases of cheating and fraud.

However, to provide critical protection for salespersons, SingCapital has enhanced its service to include cover for alleged fraud, providing legal representation at CEA or statutory body inquiries into the real estate activities of both Key Executive Officers (KEOs) and salespersons, libel and slander coverage – up to policy limit, and access to dispute resolution plus legal advice.

Additionally, the programme includes worldwide personal liability (for individual policy) with the option for insuring overseas property marketing.

SingCapital offers two services, namely entity cover for the agency as well as individual cover.

Source : PropertyGuru – 3 Aug 2012