SINGAPORE: Singapore’s Housing & Development Board (HDB) has launched a new Flat Portal that allows for direct communication between sellers and potential buyers, leading to a renewed discussion about the future role of real estate agents in the resale market.
The new HDB Flat Portal enables homeowners and potential buyers to engage directly, which has raised concerns about the future necessity of real estate agents. Despite these concerns, experts in the industry offer a nuanced view on the impact of the portal.
Lee Sze Teck, Senior Director of Data Analytics at Huttons Asia, told Singapore Business Review (SBR) that the new portal is unlikely to significantly affect the role of real estate agents: “If agents are already handling transactions independently, the portal serves as a handy tool rather than a replacement.
Mr Lee noted that many HDB resale transactions involve complexities such as time extensions, contra arrangements, and intricate negotiations that still necessitate the expertise of agents. “These complexities will still require the involvement of agents, regardless of the introduction of the flat listing portal,” he added.
However, Mark Lim, Division Associate Director at OrangeTee & Tie’s AAG Division, offered a slightly different perspective. Mr Lim acknowledged that the portal could affect agents’ roles by promoting direct communication between sellers and buyers. He told SBR, “This portal primarily encourages DIY transactions among sellers and buyers.”
With easier access to direct transactions, traditional agent roles in property marketing and buyer-seller matching could see reduced demand. “It takes away a significant portion of an agent’s work, especially in the early stages of the resale process,” Mr Lim observed.
Despite these challenges, both experts agree that the core responsibilities of real estate agents remain essential.
Mr Lee emphasized that agents are still indispensable as consultants, particularly in navigating the complexities of the resale market. “Agents are crucial in managing expectations, timelines, and the financial transition from one property to another,” he explained.
Mr Lim concurred, acknowledging that while the portal might streamline the initial stages of resale transactions, the overall procedure remains largely unchanged. “The resale procedure itself is unaffected, but the early stages of sourcing and marketing properties may reduce the need for agents,” he noted.
While some industry professionals see the portal as a threat, others, like Mr Lee, view it as an opportunity. He pointed out that the portal could attract more serious buyers—those who have already secured their HDB flat eligibility—thus simplifying transactions for agents. “In a way, it benefits salespersons by attracting more serious clients and exposing properties to a broader audience,” he said.
On the other hand, Mr Lim highlighted that the comprehensive market information available on the portal might draw some sellers toward DIY transactions: “The market information provided might be more detailed than what agents can offer, leading some sellers to opt for the DIY route.
This development, he suggested, challenges agents to elevate their roles as professional advisors, ensuring that they add value beyond basic services.
To adapt to these changes, Mr Lim advised agents to continuously upgrade their skills and knowledge. “With the right attitude and expertise, agents can position themselves as competent and efficient professionals,” he asserted. By doing so, agents can reinforce their value to clients who seek expert guidance throughout their property journey.
TISG/
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