What you need to know when purchasing properties with a previous deed of gift


 Potential risks include the purchasers not being able to obtain any, or sufficient, mortgage loan to complete the purchase
 Estate agents should bring the buyer’s attention to the possible risks when handling transactions involving such properties

Hong Kong property agents risk disciplinary action if the information they give clients is inaccurate


• Providing any misleading information to in order to close a deal quickly or attract consumers brings disrepute to the trade, warns EAA
• Buyers or tenants can also do their own research instead of solely relying on the information provided by the estate agents

Mortgage borrowers should seek professional advice before making a purchase decision


  • As mortgage terms are complicated, prospective buyers should not make any decision based solely on information provided by agents
  • Prospective buyers should seek direct financial advice from banks or other financial institutions

Buyers beware: investors of real estate assets beyond Hong Kong should be aware of risks, rules and complications


Purchasing properties situated outside Hong Kong, particularly uncompleted ones, is complicated and full of risks

Beware of the pitfalls of buying properties with unauthorised building work or illegal alterations


  • Unauthorised building work may render the property title defective, while potentially saddling buyers with repair or remedial costs
  • Estate agents should remind both parties to seek legal advice before arranging for them to enter into a transaction

Why you should research and compare information contained in advertisements by property agents


The recent boom in the first-hand residential property market has helped contribute to an increase in the number of transactions in secondary residential properties. Media reports have shown prospective purchasers queuing up to inspect properties

Exercise care on advertisements and be alert to misrepresentation when buying first-hand residential property


  • Consumers should refer to the latest version of sales brochures and price lists published by vendors for accurate information
  • Such knowledge can help prospective buyers protect their rights, or detect potential misrepresentation by property agents

What risks do Hongkongers face while buying uncompleted property abroad?


The risk Hongkongers face is high, especially when properties abroad are still under construction, or are yet to be completed
The EAA does not assist consumers with recovery of losses suffered from property transactions

Hong Kong property agent finds the hard way why it is important to stay on top of mortgage loan rules


  • Property agents should never hastily assure clients on the terms of a loan but instead advise them to consult directly with banks or other professionals
  • Customers should protect their interests by thoroughly reviewing their own financial situation and repayment ability to avoid forfeiting deposits

Hong Kong’s property agents must comply with rules when advertising new homes


  • They must exercise due care before releasing property information to the public and ensure that no misrepresentation is made, writes Ruby Hon, chief executive of the Estate Agents Authority
  • Failure to do so can result in disciplinary action and fines