You’ve decided to engage a property agent, so what’s next? Here are four steps to learning the art of engaging a property agent:

1. Lay a solid foundation by ensuring that your agent is registered with the Council for Estate Agencies (CEA). Each registered property agent has a unique CEA registration number, e.g. R123456A. Check CEA’s Public Register to verify if your property agent is registered before engaging him.
   
   It is an offence for any individual to carry out estate agency work without valid registration.


2. Seed trust by negotiating your agent’s commission before work starts and honour it after the property transaction has been completed. You are free to negotiate the commission and the terms with the agent before he starts work. There is no maximum nor minimum percentage, nor “standard market rate”. CEA does not fix or provide any guidelines on commission amounts.
   
   Check if GST is included in the commission; only GST-registered property agencies are allowed to charge and collect GST. After the transaction has been completed, you should pay the commission to the property agency, not to the agent.


3. Nurture good habits by ensuring that your agent only represents you in the transaction, not both you and the other party in the same transaction. He or she should also conduct the necessary checks for your transaction. CEA has created some checklists to guide you and your agent in this process.


4. Finally, cultivate responsibility by signing two important documents before your agent starts work:
   
   
   1. CEA’s prescribed estate agency agreement is a binding contract to protect the interests of both you and the estate agency. Details include the agency’s duties, the agreed commission rate, and declaration by the agent of any conflict of interest. There are different types of agreements and you can choose the one that works best for you for the sale, purchase, or lease of residential properties in Singapore.
   
   
   2. The Customer’s Particulars Form is a compulsory measure agents must take to prevent money laundering and counterterrorism financing in Singapore. Your agent will provide you with the form, which you must fill in, sign, and hand back to your agent.

Now that you have learned the art of engaging a property agent, share our website at http://www.cea.gov.sg/4steps with your family and friends, so that they can be happier consumers too!