Record High: Over 36,000 Property Agents in Singapore
SINGAPORE: In a remarkable turn of events, the number of property agents in Singapore has surged to an all-time high, breaking records and signaling a continued growth trend that has been in place since 2017. As of Jan 1, there were 36,058 registered agents, a significant increase from 35,251 agents just a year earlier, according to the latest data released by the Council for Estate Agencies (CEA).
Unprecedented Growth in the Real Estate Sector
This milestone marks the largest number of agents since the establishment of the CEA in October 2010, signaling a booming real estate industry in Singapore. The CEA, a statutory board tasked with regulating the sector, has implemented measures such as licensing property agencies and requiring agent registration to enhance professionalism within the industry.
Shifts in Agency Numbers
Despite the rise in the number of agents, there has been a decline in the total number of property agencies operating in Singapore. At the beginning of the year, there were 1,046 licensed agencies, a decrease from 1,090 the previous year and 1,118 in 2023.
PropNex emerges as the largest agency in Singapore, boasting 12,636 agents. ERA follows closely behind with 8,648 agents, while Huttons Asia, OrangeTee & Tie, and SRI round out the top five agencies with 5,699, 2,756, and 1,493 agents respectively.
Industry Concerns and Regulatory Review
In light of the industry’s rapid growth, the CEA is currently evaluating the possibility of requiring property agents to facilitate a minimum number of transactions to maintain their registration status. This review stems from concerns raised during industry engagements regarding inactive agents and the potential risks they pose.
Inactive agents may not be up-to-date with current regulations, transaction procedures, and market trends, which could impact the quality of advice they provide to clients. The CEA is engaging with industry stakeholders to assess the feasibility and implementation of this new requirement.
In Singapore, property agents must pass an exam and register with the CEA through a licensed agency before engaging in estate agency work. Registrations are renewed annually, with agents mandated to fulfill certain criteria, including completing at least six hours of training.
Agency Policies in Response to Regulatory Changes
Some property agencies have adjusted their policies in response to the CEA’s review. ERA, for instance, has ceased coverage of renewal fees for its agents since the beginning of the year. New agents, however, will still benefit from fee coverage for the first two years.
PropNex, on the other hand, does not cover renewal fees, emphasizing that license renewal is an individual responsibility. This approach has contributed to a high number of active agents and strong agency performance, fostering accountability and commitment among its salesforce.
As the industry continues to evolve, agencies such as OrangeTee & Tie and Huttons Asia have adopted different approaches to supporting their agents with annual fees, reflecting a diverse landscape of policies within the real estate sector. CEO Justin Quek of OrangeTee & Tie highlighted the importance of policy alignment with market demands and long-term company goals, signaling a commitment to adaptability and sustainability. CEO Mark Yip of Huttons Asia echoed a similar sentiment, emphasizing that fee support is offered based on specific circumstances and performance metrics within the agency.
Overall, the record-breaking number of property agents in Singapore reflects a thriving real estate market, but also underscores the importance of regulatory oversight and industry adaptation to ensure professionalism and quality service delivery for all stakeholders involved.
