Property transactions in Hong Kong’s primary and secondary markets have been declining due to the coronavirus pandemic, and the prospect of a near-term revival is not promising.
The real estate market thrives on transparency and trust, and agents must not allow any personal interest to conflict with those of their clients.
It provides the searcher with essential information regarding the property, such as its address, ownership details and encumbrances, if any, that are registered against it.
It is vitally important to check the principal tenancy agreement for any restriction against subletting, says Ruby Hon Yuen-ping, CEO of the Estate Agents Authority
Before deciding to rent a property, a prospective tenant should pay attention to whether it is being leased by the landlord or sublet by the principal tenant, as subletting may involve complicated issues and a subtenant’s rights might not be protected.
As additions or alterations may affect the safety of a property and may render the title defective, agents should inform their clients of any such orders registered against the property and the risks involved
•Since property transactions usually involve large sums of money and buyers bear the cost of stamp duty, they are advised to carefully research what category they fall under and not just rely on property agents
◾There are a number of requirements that estate agency companies need to comply with when issuing property advertisements
◾The Estate Agents Authority issued a circular last December that spells out new requirements.
I would like to share a case concerning a property advertisement with misleading or wrong information.
Purchasing a property to many people is a lifetime investment requiring substantial amount of savings. Most buyers will need to apply for a mortgage loan to finance their purchase. A well-planned budget and obtaining accurate information about a mortgage loan before committing the property purchase are therefore very important steps to take for the prospective purchasers.