Property consultants may be lured into investing in real estate, but a good consultant should be able to remain detached and not get carried away, according to an industry veteran as reported in the media.
“Some of them think that with the knowledge they have, it is a sure thing; so they start to take positions. They may get carried away and start trading in property. But in their job as a property consultant, they are not supposed to do that,” said Knight Frank Singapore’s Executive Chairman, Tan Tiong Cheng.
Aside from clouded judgement, issues regarding conflict of interest could also crop up.
“As a property consultant or as an agent, you are supposed to serve your client, yet there have been cases where the agent took a position by buying the property from the client,” he noted.
Singaporean’s interest in property can be attributed to the country’s policy, initiated decades ago, which encourages home ownership, said Tan.
However, Singaporean’s preoccupation with property investment can become excessive, given the high levels of home ownership, the state’s limited land and Singaporeans’ mentality that the government would always rescue them out of tough situation.
In advising those looking for their dream home, Tan says, “When buying a property, the most important thing is to make sure that should you decide this is not your dream home, you are able to find other people who think it is their dream home.”
“Whatever property you buy, just make sure that there is a pool of similar-minded people, so that if you change your mind, you can offload it,” he added.
Muneerah Bee, Senior Journalist at PropertyGuru, edited this story. To contact her about this or other stories email muneerah@propertyguru.com.sg
