Solution to the Real Estate Agent Problem

Re: The Real Estate Agent

There would be significantly less need for property agents if buyers and sellers learnt to use the internet intelligently.

In fact, it is so easy for the government to set up (or rather pay a private company to set up) an 'online HDB market place'. A 'safe' environment for HDB buyers and sellers to browse, rent, buy and sell their properties, residential or commercial. One should be able to purchase a valuation online to beef up his sale proposal, arrange for viewing, receive automatic financial calculations including government subsidies, CPF installment plans etc, make an electronic offer (with deposit), accept via online system etc. A parallel system can be set up for private properties.

This should be primary mission of the newly set up statutory board called Council for Estate Agencies, instead of trying to whip thousands of agents into shape through a framework of accreditation, registration, mandatory wearing of identification cards, background checks, minimum educational level etc.

How is any of those 'features' going to prevent pressure-selling/ scare tactics? A similar framework is in place to accredit, register and identify bank officers selling products to members of public. That didn't prevent the DBS High Notes and Lehman Minibonds saga, did it?

"The greatest danger is we are flying on auto-pilot. What was once a great policy, we just carry on with more of the same, until reality intervenes."
~ Ngiam Tong Dow, 2003.

Meanwhile, before 'reality intervenes', who pays the price for such lousy and unthinking practices/decisions/policies?

Why trust a human being when a machine can perform the same task and more? Cheaper, faster, better. Isn't this what living in the 21st century is all about? The budget to start and maintain the new framework is more than enough to develop a robust online market place system.

With this proposed online market place in operation, one would only need to engage the services of an agent under special circumstances such as seller/buyer is not in Singapore, or preference for anonymity etc. The 4 or 5-figure commission will then somewhat begin to commensurate with the level of services rendered.

Of course, the government is unlikely to implement something like that, because this will directly affect those 25,000 to 30,000 property agents in Singapore.

But just think about how much money/ trouble/ energy you as a lessor/lessee/seller/buyer will be able to save on your property transactions with the online market place.