Click below for the type
of property to sell
Seller's Guide
|
This guide provides you
with the steps on
selling HDB, Privates or
Commercial Properties.
If you have further
queries, Please call
91443488 or email your
enquires to us. |
HDB Seller's Guide
Eligibility to Sell
There are 2 main
Eligibility to Sell
conditions:
1.
HDB Minimum Occupation
Period
2. Ethnic
eligibility to buy
1. HDB
Minimum Occupation
Period (MOP)
Before you can
put up your HDB Flat for
sale, you are advised to
check whether you have
completed your Minimum
Occupation Period (MOP).
You can check whether
you have satisfied the
MOP by checking through
the HDB website
www.hdb.gov.sg using
Sing Pass or submit a
form to your branch
office. The MOP for the
various flats is as
follows:
| 1 |
1-Room
and HUDC Flat |
No
occupation period for
owners owning 1-room
flat or HUDC flat. |
| 2 |
Flat
bought from HDB
(direct-purchased flat)
and Flat bought under
the CPF Housing Grant
Scheme |
5 years
from effective date of
purchase. |
| 3 |
Flat
bought under Selective
En bloc Redevelopment
Scheme (SERS) |
7 years
from date of flat
selection (provided
seller has taken
possession of the
replacement flat) or 5
years from effective
date of possession of
replacement flat,
whichever is earlier and
subject to HDB's
prevailing policies. If
there is any period of
subletting of the entire
replacement flat
(subject to HDB's prior
approval), the MOP will
be extended to make up
for the subletting
period. Flat owners who
had enjoyed the SERS
benefits more than once
are not allowed to sell
the replacement flat.
|
| 4 |
Resale
Flat bought in the open
market (without CPF
Housing Grant Scheme) |
2½ years
from effective date of
resale if the owner
takes a loan from HDB:
1 year from the
effective date of resale
if :
A.the owner has not
taken a loan from HDB;
or
B. he has
refinanced HDB market
interest rate loan with
the bank/financial
institution; or
C.
he has taken a loan from
the bank/financial
institution to finance
the purchase; or
D.
he has fully redeemed
the market interest rate
loan obtained from HDB.
You may submit an
e-Request on
Confirmation on the
Computation of Requisite
Occupation Period for
the purpose of resale.
|
Ethnic Eligibility of Buyers
You may check the eligibility of
buyer's ethnic group in any
particular block using the
following channels:
1.
e-service in HDB Info WEB:
Enquiry on Ethnic Group
Eligibility
2. HomeLink (24
hours): 1800-8663060
3.
Sale/Resale Customer Service
Line (office hours):
1800-8663066
Important
Notes: The status of changes of
ethnic proportions is updated on
the first day of every month and
is applicable for resale
applications submitted to HDB in
the current month.
Engage Professional
Real Estate Agents
It is not difficult
to find a professional
real estate who not only
help you to find the
right buyer for your
property, but also
assist you in
negotiating for the
right price. As a
professional real estate
agent, he / she will
able guide you through
the process and make
recommendations on
financing, legal
representation and
logistics issues (e.g.
timing for shifting
out). The following
criteria may assist you
in finding the right
agency and real estate
agent:
a. Which
agency has the largest
market shares in the HDB
Resale Markets?
b. Which agency has
recently won the Read
Digest Trust Brand?
c. Which agency has
recently won Singapore
Most Promising Brand
Award?
d. Which
agency’s website has the
most hits in Singapore?
Why, so that you will
have the maximum
advertisement exposures
for your property
e. Which agency
provides you with
Multiple-Listing
Services (MLS)
f.
Which agency’s website
is the most appealing
and user friendly for
buyer and seller?
g. Which agency
provides you with agents
who had recently
transacted units in the
neighbour?
h.
Which agency provides
you with the list of
agents who has an IEA
Member with a Practicing
Certificate for a Peace
of Mind?
i. Which
friends or relative had
transacted a property
and extremely happy with
their agents’ service?
j. Which agent
has the most
credentials?
k.
Which agents has the
most comprehensive
marketing plan
Once you have a list of
agencies and agents,
make an appointment with
each one to learn more
about their services.
Find out if agents are
willing to do a free
comparative market
analysis (CMA), a
process that compares
your home to similar
homes that have sold
recently. Agents use
this tool to help
sellers set listing
prices. But you only
Need One Good Agent
HDB Resale checklists
HDB has introduced a
Resale Checklist for
Housing agents to ensure
that sellers are aware
of the relevant and
important HDB sale and
financing policy when
selling an HDB flat. It
takes effect for Resale
Application received by
HDB on or after 1 May
2008. The appointed real
estate agents will guide
you through a HDB Resale
Checklist.
Sellers’ Financial
Plan Computation
HDB Resale Levy (if
any)
Singapore citizen
households enjoy a
housing subsidy when
they buy a new flat from
HDB or a resale flat in
the open market applied
with CPF Housing Grant.
Each eligible family can
purchase up to a maximum
of 2 subsidised flats,
in other words, enjoy 2
housing subsidies.
The resale levy is
meant to reduce the
subsidy on the 2nd
subsidised flat so as to
maintain a fair
allocation of public
housing subsidies
between 1st and
2nd-timer citizen
families. This is also
to give priority to
1st-timers who have more
urgent housing needs.
Lessees who do not
buy a 2nd subsidised
flat from HDB need not
pay the resale levy.For
single citizens who
purchased resale flats
with the lower CPF
Housing Grant for
Singles, they need only
pay half the levy amount
when they subsequently
form a family and buy or
take over the ownership
of a second subsidised
flat.
| First
Subsidised Flat
Type |
New
Resale Levy
(from 3 March
2006) |
| 2-room |
$15,000 |
| 3-room |
$30,000 |
| 4-room |
$40,000 |
| 5-room |
$45,000 |
| Executive
Flat |
$50,000 |
Submit Valuation
Request
| Flat Type |
Valuation &
Administrative
Fee for
Valuation Report |
| |
by post/hand |
via
e-Resale/HDB-
Resale Net
System |
| 1 & 2 room |
$127
Valuation Fee :
$100 + $7 (*GST)
Admin Fee : $20 |
$117
Valuation Fee :
$100 + $7 (*GST)
Admin Fee : $10 |
| 3 room &
Larger |
$180.50
Valuation Fee :
$150 + $10.50
(*GST)
Admin
Fee : $20 |
$170.50
Valuation Fee :
$150 + $10.50
(*GST)
Admin
Fee : $10 |
Marketing the Flat
Once you have
engaged the professional
real estate agent. You
can leave the marketing
to the agent. You just
need to ensure that he
follows in accordance to
his initial marketing
plan, update you
regularly on the buyers’
comments and objections.
Option to Purchase
(Option + Exercise)
Buyers and
sellers of resale flats
must use an HDB standard
Option to Purchase (OTP)
as the form of contract
in resale transactions.
They are not allowed to
enter into any other
agreement relating to
the sale/purchase of the
flat as it is not valid
under the Housing and
Development Act.
Buyers and sellers must
declare to HDB the true
resale price of the
flat. They must not
enter into any
supplementary or other
agreements or
arrangements that may
cause the true resale
price as declared to be
inflated or understated.
Housing agents must also
declare all relevant
information relating to
the resale transaction,
in a Housing Agent's
Statutory Declaration.
Under the Housing
and Development Act, the
penalty can involve a
fine of up to $5,000
and/or up to 6 months'
imprisonment for giving
false information to
HDB. Under the Oaths and
Declaration Act, the
penalty can involve a
fine and/or up to 3
years' imprisonment for
a false declaration.
Main Features
• Option
Period of 14 days for
the buyer to think over
the intended purchase;
and to check his
eligibility, financing
aspects and other issues
such as whether the flat
is affected by
redevelopment/upgrading,
the liability to pay
upgrading cost/levy etc.
• If the buyer does not
wish to buy the resale
flat, he can let the
Option expire and loses
only the option fee.
• To ensure a
standardized practice,
the Option Fee, Deposit
and Option Period are
prescribed as follows:
• Option Fee -
An amount not exceeding
$1,000
• Deposit
- An amount not
exceeding $5,000
(including the Option
Fee)
• Option
Period - 14 calendar
days (including Sat/Sun
& public holidays) from
the date of granting the
Option. Option expiry
time is standardised at
4pm. (Example: If the
seller grants an Option
to the buyer on 1 May
06, the Option will
expire on 15 May 06 at
4pm.)
Registration to HDB
Once the option has been
exercised, either the
buying or selling agents
will arrange to register
the transaction to HDB.
The HDB Admin fees are
as follows:
| Flat Type |
Administrative
Fee for
Processing of
Resale
Application |
| |
by post/hand |
via
e-Resale/HDB-
Resale Net
System |
| 1 & 2 room |
$50 |
$30 |
| 3 room &
Larger |
$80 |
$60 |
A technical
officer’s from the
branch office will
conduct an inspection on
your unit usually 1 week
after the HDB
registration. You are to
rectify/remove any
unauthorised renovation
works in the resale
flat.
Attend 1st
Appointment
The 1st Appointment
is usually schedule 6 to
8 weeks from the
registration. On 1st
Appointment, you are
required to bring the
followings (original and
photo stated)
|
|
Document |
|
1 |
Identity
Card(s) of all
persons listed
in the
application (for
the
identification
of the
person(s)); |
|
2 |
Passport and
Entry/Re-Entry
Permit or
Singapore Blue
Identity Card,
for the
verification of
residential
status in
Singapore
(applicable only
for persons who
are Singapore
Permanent
Residents) |
|
3 |
Deed of
Separation,
Divorce
Certificate,
Decree Nisi.
Decree Nisi
Absolute, Death
Certificate
(whichever is
applicable) for
verification of
marital status; |
|
4 |
Original
Option to
Purchase; |
|
5 |
Valuation
Report of resale
flat, if
available; |
|
6 |
Grant of
Letters of
Administration
with its
Petition and
Estates Duty
Schedule or a
copy of the Last
Will (if
applicable), the
Order of Court
to sanction the
sale (if
applicable) for
proof of the
right of
representation
or inherited
interest in an
HDB flat or
private
property; |
|
7 |
Power of
Attorney (If
buyer is away
during the
resale
transaction
period)
Certified true
copy of the
Power of
Attorney by the
solicitor or the
original copy.
|
HDB In-Principles
Approval – Once HDB is
approved the
Transaction, HDB will
send In-Principles
Approval to you within
two weeks from the 1st
Appointment.
2nd
Appointment/Completion
Inspection -
Before the completion,
you must invite the
buyer to inspect the
unit again to ensure
everything is in proper.
TThe Completion
takes place at the 2nd
Appointment, usually
about 5 to 6 weeks month
after the 1st
Appointment for HDB loan
and 6 to 8 weeks after
1st Appointment for Bank
loan. You will receive
your cheque for the net
sale proceeds (if any).
The HDB will arrange to
refund your CPF monies
to your CPF account
within 7 working days
from the completion of
the resale transaction.
Private Seller's Guide
Engage Professional Real
Estate Agents
It is not
difficult to find a
professional real estate
agent who not only help
you to find the right
buyer for your property,
but also assist you in
negotiating for the
right price. As a
professional real estate
agent, he /she will able
guide you through the
process and make
recommendations on
financing, legal
representation and
logistics issues (e.g.
timing for shifting
out). The following
criteria may assist you
in finding the right
agency and real estate
agent:
A. Which
agency has the largest
market shares in the HDB
Resale Markets?
B.
Which agency has
recently won the Read
Digest Trust Brand?
C. Which agency has
recently won Singapore
Most Promising Brand
Award?
D. Which
agency’s website has the
most hits in Singapore?
Why, so that you will
have the maximum
advertisement exposures
for your property
E.
Which agency provides
you with
Multiple-Listing
Services (MLS)
F.
Which agency’s website
is the most appealing
and user friendly for
buyer and seller?
G.
Which agency provides
you with agents who had
recently transacted
units in the
neighborhood?
H.
Which agency provides
you with the list of
agents who has an IEA
Member with a Practicing
Certificate for a Peace
of Mind?
I. Which
friends or relative had
transacted a property
and extremely happy with
their agents’ service?
J. Which agent has
the most credentials?
K. Which agents has
the most compressive
marketing plan
Once you have a list of
agencies and agents,
make an appointment with
each one to learn more
about their services.
Find out if agents are
willing to do a free
comparative market
analysis (CMA), a
process that compares
your home to similar
homes that have sold
recently. Agents use
this tool to help
sellers set listing
prices. But you only
Need One Good Agent
Market the Property
Once you have
engaged the professional
real estate agent. You
can leave the marketing
to the agent. You just
need to ensure that he
follows in accordance to
his initial marketing
plan, update you
regularly on the buyers’
comments and objections.
Option to Purchase
The contractual
part is typically a
simple two step process.
Typically you receive an
option fee of 1% of the
purchase price from the
buyer, in return you
granted the buyer a
Signed “Option to
Purchase”. Most real
estate agency provides a
“standard” ‘Option to
Purchase’ agreement. The
Option period is usually
14 days to allow the
buyer to get the
necessary financing from
the bank and decide
whether to purchase the
property or not. At the
same time, it is
recommended that you
also endorsed on the
inventory lists.
You are not allowed
to sell the property to
another buyer during
this period. If the
buyer does not exercise
the Option within the
stated period, the
Option will expire and
you are entitled to
forfeit the 1% option
money and sell the
property to any other
buyer.
Point A:
Option to Purchase
granted by you. Buyer
pays 1% of the Purchase
price. You will also
state the solicitor that
you will be engaging in
the option to purchase
for the buyer solicitor
to liaise for the sales.
Point B:
Buyer exercise Option to
Purchase through buyer’s
solicitor. The buyer
will pay another 4% of
the Purchase price.
Usually 2 weeks after
the OTP. The 4% exercise
fees shall be kept by
your solicitor as
stakeholder.
Point C: Takes
Places usually 8 to 12
weeks after the exercise
Engaging Solicitor
Engage Solicitor
– You have to appoint
your own solicitor. Your
solicitor has to redeem
your bank’s mortgages
and your CPF.
The
legal fee for Private
sales transactions is
approx from $2000
to $3000.
Exercising the Option
to Purchase
If the buyer
decides to exercise the
option, he has to
endorse the acceptance
copy witness by his
solicitor together with
the balance of the 4% of
the purchase price to
your solicitor. This
process will typically
take up to 10 weeks to
complete. Also the 4% of
the purchase price is
typically kept with the
your solicitor as
stakeholder.
Completion
Final
Inspection - Before
the completion, the
buyer will inspect the
unit again to ensure
everything is in proper.
You will hand over
all the keys, assess
cards, carpark disc, etc
to your solicitor who
will in-turn handover to
the buyer solicitor
together with the title
deed of conveyance.
Auction Seller's Guide
Auction Guide
• Seller to give
details of property
(address, area, tenure,
maintenance charges,
tenancy agreement,
valuation report etc.)
• Seller to confirm
and sign the Auction
Agreement Form and
Reserve Price and send
back to the real estate
agency (“the
Auctioneer’) together
with the cheque for the
upfront auction admin
fee and a photocopy of
the identity card to
show proof of ownership
• Seller to appoint
their own lawyer to
prepare the Particulars
And Conditions of Sale
(COS) and send the
engrossed copy to the
“Auctioneer” at least 5
days before the auction
date
• Seller to
allow / arrange for
the real estate agency (“the Auctioneer”) to
inspect and take photos
of the property and to
conduct site viewings
for prospective buyers
as and when necessary.
• Seller to review
the Reserve Price upon
receiving feedback from
our advertisements
enquiries.
• Seller
to refer all enquiries
or offers from potential
purchasers / other agents
to the real estate agency (the “Auctioneer”).
• Seller undertakes
to pay the real estate agency (the
“Auctioneer”) the agreed
commission if the
property is sold within
our sole agency period
either by us/any other
agent/person/owners even
if instruction was given
to withdraw the property
from auction sale.
•
Seller undertakes to pay
Auction Fee of $535
inclusive of GST for the
property.
What are the
advantages of listing
the property for
auction?
Sale by public
auction of any property
is arguably one of the
most exciting, effective
and rewarding methods of
selling and buying. It
is seen by many as the
ultimate indication of
value of the auctioned
property. Sellers would
have a feel of the
market sentiment and
expectations.
It
also assures Sellers
that the highest bidder,
upon entering into a
contract of sale, will
have to pay 10% deposit
straight away as there
is no cooling off period
that should the purchase
be by private treaty
sale.
What kind of property
can be put up for
auction?
Landed and
non-landed,
condominiums,
commercial, industrial
and buildings. Land for
development can also be
included.
What are the
procedures involved?
Seller has to
sign an exclusive
listing Auction
Agreement with the
specified terms and
conditions stated
therein. Upon signing,
they have to pay an
upfront administrative
fee of $535 inclusive of
GST which covers 2
rounds of auction.
What are the
documentations involve?
Seller needs to
appoint a lawyer to
prepare a Particulars
and Conditions of Sale
Contract for the
auction. The Seller and
the buyer agree to sign
the Contract of Sale and
do everything necessary
to transfer the property
to the buyer. The Seller
appoints the Auctioneer
as their agent to sign
the Contract of Sale on
their behalf in the
Memorandum of Contract.
Can a potential buyer
request to have a look
at the Contract of Sale
before bidding?
The Seller is
required to give the
Auctioneer the Contract
of Sale at least 5 days
prior to auction.
Bidders have the right
to know what are the
terms and conditions
included in the Contract
of Sale.
How often will the
company place
advertisements for my
property?
The advertisements
will be placed at least
3 weeks before the
auction date to allow
public enquiries and
viewings of the property
to be conducted by our
experienced auction team
agents.
How often is the
auction to be held?
It will be held
monthly – visit the
website for the calendar
dates. The first auction
will be held on 30th
September 2008.
What does it mean by
Reserve Price?
This is the
price that the Seller
will be prepared to
accept for the property.
The Auctioneer has no
authority to sell under
the reserve price. When
the reserve price is met
or exceeded; the
property is “on the
market” and can be sold
to the highest bidder on
the fall of the hammer.
Can the Seller change
the Reserve Price?
The Auctioneer
will update the Seller
on the viewings on the
offers. Prior to the
auction, the Auctioneer
will confirm with the
Seller on the reserve
price stated in the
exclusive agreement. If
there is an adjustment,
it has to be submitted
in writing to the
Auctioneer at least 3
days before the auction
date and is
confidential.
Does the Seller need
to do a valuation
report?
It is advisable to
do a formal valuation
report. Otherwise, an
indicative valuation
from at least 3
independent valuers is
also acceptable.
Is there any round of
auction, if a property
is not successfully
sold?
If a property is not
sold at the first
auction, there will be
another complimentary
chance of a second
auction for the Seller.
What will happen if
the property is not
successfully sold in the
auction?
If the property is
not sold during the
auction, we will
continue to market it in
the resale market until
it is sold within the
exclusive period or the
agreement expires. The
terms and conditions of
the exclusive agreement
shall apply.
Are you a Foreigner?
Q: I am a
professional/
specialist. Which
Singapore agency should
I write to if I wish to
seek employment in
Singapore?
A:
For details, please
click to see the Contact
Singapore website. You
may also get in touch
with the Contact
Singapore Centres
overseas or surf the EDB
website.
Q:
Who is eligible to apply
for an Employment Pass?
A: Any foreigner
may apply for an
Employment Pass to be
employed or to do
business in Singapore if
he/ she fulfil the
eligibility criteria.
For details please click
to see the Singapore
Ministry of Manpower
website or the Contact
Singapore website
Q: What must I do
if my spouse or child is
relocating to Singapore
with me?
A: An
Employment Pass holder
may apply Dependant's
Passes for his / her
spouse, unmarried or
legally adopted children
under 21 years of age.
Q: Can a
Dependant's Pass holder
work in Singapore?
A: Dependant's Pass
holder can apply for a
Letter of Consent from
the MOM if he wishes to
work in Singapore. The
application form can be
downloaded from the MOM
Homepage
Q:
How can I find out more
about terms & conditions
of employment in
Singapore?
A:
You can look up the
Ministry of Manpower
website www.mom.gov.sg
for a list of common
questions on terms &
conditions of employment
in Singapore.
Q: Where do I start
if I am looking for
accommodation in
Singapore?
A: If
you are working in
Singapore for a contract
period of more than a
year, we strongly
recommend you to engage
one real estate agent
which will save you time
and hassle as the agent
would have better
understanding of your
requirements after the
first appointment.
Q: How soon so I
start searching for my
apartment?
A: It
is recommended that you
start your search plan
about 2 months before
you actual commencement
date, so that you have
time to compare and
narrow to the right
apartment without time
pressure.
Q:
Do Landlord prefers
Company Lease or
Personal Lease?
A: Most Landlords
prefers a company lease
as compare lease.
However, the mass market
apartment is mostly
rented to personal
lease.
Q: How
much funds do I need to
prepare for the lease?
A: Typically a 2
years lease will require
you to pay upfront of
two months rental
deposit and one month
rental in advance. You
may need to pay agency
fee depending on the
rental amount. See next
question.
Q:
Is there any agency fee
or commission if I
engage Real Estate Agent
in Singapore for my
housing search,
documentations and other
assistance?
A:
Yes, there is a
fee payable. The
fees is half
month (1/2)
gross rental for
less than twelve
(12) month's
lease or One (1)
month's gross
rental for lease
of twelve (12)
months or up to
twenty-four (24)
months. For
more, please
view Agents Commission
Guidelines below.
Q: Any other
fees I need to pay?
A: You also need to
make payment for the
stamp duty, TV licences.
Most landlord expects
the Tenant to have an
Air-conditioner
servicing contract to
ensure that their
air-conditioners are
maintained regularly.
Q: I have
found a suitable
apartment or house. What
is next?
A:
Inform your real estate
agent of your interest.
Thereafter, the real
estate will prepare a
Letter of Intent (LOI),
stating your interest,
rental amount and
requirements. After you
have signed, the agent
will pass the LOI to the
rightful landlord
together with one month
rent as good faith
deposit. See more at our
Rental Guides
Q: What are the
transportation costs in
Singapore?
A:
Public transports like
the MRT, bus are pretty
affordable. Whereas the
price you pay for buying
a car in Singapore is
hefty. More detailed
information can be found
at our Singapore Travel
Guide.
Q:
What is Central
Provident Fund (CPF)?
A: CPF is a
comprehensive social
security savings scheme
to which both employers
and employees have to
contribute. CPF takes
care of members' needs
in retirement,
healthcare, home
ownership, family
protection and asset
enhancement. Several
innovative schemes were
introduced over the last
five decades. For
details, please click to
see the CPF Board
website www.cpf.gov.sg.
Q: Do
foreigners have to
contribute to the CPF?
A: Foreigners only
need to begin their
monthly contributions to
the CPF after having
assumed Permanent
Resident (PR) status.
During the first two
years as a permanent
resident, contribution
rates to CPF are
reduced.
Q:
Can permanent residents
withdraw their Central
Provident Fund savings?
A: PR can withdraw
their savings at age 55,
after a Minimum Sum in
their Retirement Account
is set aside. Members
can also withdraw their
CPF savings if they are
permanently
incapacitated or will
leave Singapore and West
Malaysia permanently. If
members do return to
Singapore, they must
reimburse the CPF Board
for the amount they had
withdrawn with interest.
Q: I am a
foreigner who used to
work in Singapore. I
have now returned to my
own country. How can I
apply to withdraw my CPF
contributions?
A: If you have left
Singapore and West
Malaysia permanently and
have no intention of
returning for further
employment or residence,
you may apply for the
withdrawal of your CPF
savings. To do so, you
have to complete the CPF
Withdrawal form (CPF-LM)
and return it to CPF
Board. You can make your
request for the form via
the CPF Homepage. For
details of the
application, you may
wish to contact CPF at
Tel: (65) 6227-1188
(press 5) or email:
Retirement@cpf.gov.sg.
Q: How do I
open a bank account in
Singapore?
A: To
open an account in
Singapore, you will need
copies of your passport,
employer's letter, and a
statement from a bank in
your home country. Other
than three local banks
DBS, OCBC and UOB,
almost all major banks
are represented here.
Singapore has extensive
facilities of automated
teller machines (ATMs)
and a cashless payment
system called NETS and
also Cash Card System
for your paying
convenience.
Q: Is Credit/Charge
Cards widely used in
Singapore?
A:
Credit cards are widely
accepted in Singapore.
Restaurants, Hotels,
Retailers, even taxi
readily accept
international credit
cards.
Q:
Where can I change my
money to Singapore
currency?
A: At
Changi Airport, all
Banks and Hotels can
change money and most
shopping complexes have
a licensed money
changer. Most banks open
from 9.30am to 3pm on
weekdays and 9.30am to
12.30am on Saturdays.
Some of the local Banks
open even on Sunday.
Agency Professional Fees and Commission GuidelinesIntroduction
•
The remuneration system
for Agents is based on
the provision of service
and / or upon successful
transaction.
• The
agents' commission
guideline is taking
reference from the
Government Gazette dated
22 February 1974 and the
current market practice
established over the
last decade.
• This document
stipulates the
professional fee /
commission for Agents
based on standard
services rendered on
property transactions.
• This scale of
professional fee /
commission is not
intended to restrict or
interfere with any
private arrangements
which Agents may have
with their clients.
• Agreements and
undertakings in all
transactions shall be
made between clients and
the real estate
agency and not with the
individual Agent.
•
Payment for commission
shall be made payable to
the real estate
agency and not
to the
individual Agents;
•
The
clients and Agencies
amongst themselves shall
document / communicate
at the outset, their
agreement on commission,
costs and disbursements.
The documentation /
communication shall also
include the scope of
works, duties and
undertakings by the
Agencies;
• Agents
shall conduct themselves
at all times in a
professional manner that
would not prejudice the
standards and reputation
of their agency or the real
estate industry.
Interpretation
In this
document,
“Agents” mean
individual real estate
agents who represent their agency;
“Clients”
means all those who
engage, use or retain
the services of an
Agency;
“Professional fee /
commission” means
all forms of
remuneration including
commission, Brokerage
fee, finder’s fee,
service fee,
disbursements or any
other sum payable by
clients to The Agency;
“Gross rental”
means total monthly
rental (including rental
of furniture,
maintenance charge and
sinking fund, where
applicable);
“HDB” means the
Housing and Development
Board constituted under
the Housing and
Development Act (Cap
129);
“HUDC
flats” means flats
in the housing estates
known as HUDC housing
estates which
maintenance and
management are not under
the Housing and
Development Board (HUDC
Housing Estates Act –
Cap 131);
Professional Fee /
Commission
• Sale by
Private Treaty, Auction
or Tender (All types of
properties except HDB
Resale Flats and
Non-Privatized HUDC
Flats)
• Sale of
HDB Resale Flats and
Non-Privatized HUDC
Flats
• Rental
(All types of
properties except
HDB Flats and Rooms)
• Rental of HDB
Flats and Rooms
• Assignment (All
types of properties)
• Management
(All types of
properties)
|
Sale by Private Treaty, Auction or Tender (All types of properties except HDB Resale Flats and Non-Privatized HUDC Flats) |
|
|
|
|
Party |
Professional Fee
Commission
Payable to
Agency |
|
Vendor |
Minimum two
percent (2%) of
contracted price
as sales
commission. |
|
Purchaser |
One percent
(1%) of
contracted price
as finder's fee
(if the agency
is the appointed
representative). |
An Agent shall not
accept any commission
from both the Vendor and
Purchaser in the same
transaction without the
prior knowledge or
written consent of the
Vendor and Purchaser of
the transaction.
Commission shall become
due immediately upon
completion of sale and
purchase or as otherwise
agreed between the
parties.
|
Sale of HDB
Resale Flats and
Non-Privatized
HUDC Flats |
|
|
|
|
Party |
Professional Fee
Commission
Payable to
Agency |
|
Vendor |
Minimum two
percent (2%) of
contracted price
as sales
commission. |
|
Purchaser |
One percent
(1%) of
contracted price
as service fee |
An Agent shall not
accept any commission
from both the Vendor and
Purchaser in the same
transaction without the
prior knowledge or
written consent of the
Vendor and Purchaser of
the transaction.
Commission shall become
due immediately upon
completion of sale and
purchase or as otherwise
agreed between the
parties.
In a
co-brokerage, the agents
shall collect the
commission from their
respective clients as in
the table above or as
otherwise agreed between
the parties.
|
Rental
(Private and HDB
Properties) |
|
|
|
|
Party |
Professional Fee
Commission
Payable to
Agency |
|
Landlord |
One (1)
month's gross
rental for lease
of first twelve
(12) months or
up to twenty
four (24)
months, and an
additional one
half (1/2) a
month's gross
rental for every
subsequent
twelve (12)
months' lease or
less. |
|
Tenant |
One half
(1/2) of a
month's gross
rental for less
than twelve (12)
months' lease.
One (1)
month's gross
rental for lease
of first twelve
(12) months or
up to twenty
four (24)
months. |
The professional fee
is chargeable regardless
of the rental amount.
An Agent shall not
accept any commission
from both the Landlord
and Tenant in the same
transaction without the
prior knowledge or
consent of the Landlord
and Tenant of the
transaction.
Commission shall become
due immediately upon
execution of the tenancy
agreement by landlord
and Tenant.
An
Agent shall not accept
any commission from both
the Landlord and Tenant
in the same transaction
without the prior
knowledge or consent of
the Landlord and Tenant
of the transaction.
Commission shall
become due immediately
upon execution of the
tenancy agreement by
Landlord and Tenant.
In a co-brokerage,
the co-broking agents
shall collect the
commission from their
respective clients as in
the above or as
otherwise agreed between
the parties.
|
Assignment
(All types of
properties) |
|
Party |
Professional Fee
Commission
Payable to
Agency |
|
Assignor (party
giving up) |
Ten percent
(10%) of
assignment
consideration or
one (1) month's
gross rental -
whichever is
higher. |
|
Assignee (party
taking over) |
Five percent
(5%) of
assignment
consideration or
one half (1/2)
of a month's
gross rental -
whichever is
higher. |
An Agent shall not
accept any commission
from both the Assignor
and Assignee in the same
transaction without the
prior knowledge or
consent of the Assignor
and Assignee of the
transaction.
Commission shall become
due immediately upon
completion of the
assignment.
|
Management
(All types of
properties) |
|
|
|
|
Basis of Management |
Professional Fee
Commission
Payable to
Agency |
|
For Individual
Unit |
Ten percent
(10%) of gross
monthly rental
or $100.00 per
month -
whichever is
higher. |
|
For Management
Corporations
under the Land
Title (Strata)
Act (Cap 158) |
By
negotiation |
Commission is due to
Agency monthly in
advance upon receipt of
rental from Tenant. For
Management Corporations,
commission payable would
generally be on an
accrued basis.
The Agency may, by prior
agreement with client,
claim disbursements for
expenses such as long
distance phone calls (in
the case of overseas
client), postage and
stationery, transport
costs, etc.
Other Charges
The agency / agents may also
impose charges other
than the agreed
commission, provided
that such charges are
agreed to between the
parties.
Forfeited Deposit In the
case of an aborted sale
or tenancy, the
commission shall be one
half (1/2) of the amount
of the deposit forfeited
by the party plus GST
subject to a maximum sum
equivalent to the agreed
commission plus GST.
Goods & Services Tax
(GST) - The agency shall
charge their clients and
co-brokers the
prevailing GST even if
the other party / Agency
are not GST-registered.
Professional Services
for customers
All our
customers are offered
with a full range of
services to ensure that
their experience with us
is a pleasant one. We
are striving towards
customer satisfaction
and a company that
consumers can trust. We
provide:
• Home
Warranty Plan
• HDB
Deposit Guarantee
Programme
• Home
Sellers’ Guide
•
Service Excellence
Report
• Customer
Feedback Survey
•
Customer support centre
• In house legal
support
• In house
disciplinary board
•
In house mediation board
• Professional
Indemnity insurance for
agents to protect the
customers
• Our
agents are issued with
Professional
Practitioner Certificate
and Professional
Proficiency Certificate
and must fulfill
Continuous Professional
Development (CPD)
points.
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