Why the Agent Shouldn’t Also Be Your Landlord

What could possibly go wrong? Plenty.

Most, if not all of the listings in the property portals are posted by agents. There is no law in Singapore to prevent agents from not disclosing that they are also the landlord until the very last moment.

That moment is when you are on the verge of signing the Letter of Intent (LOI) or the Tenancy Agreement (TA).

By that time, you would likely have stopped looking at listings and arranging viewings. You would also have spent time and effort negotiating on the price, or preparing a list of things you’d like the landlord to work on for the place to make it liveable. You are quite invested at this point.
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Just before signing on the contract, that agent tells you they are actually the landlord. You are surprised, to say the least. But at this point, you also think, that’s ok, isn’t it?

Landlords are not bound by CEA rules

The Council of Estate Agents (CEA) has legislation and guidelines for how an agent behaves when dealing with renters and landlords.

That agent who didn’t tell you about also being the landlord is not going to file this transaction with their agency, which also has rules.
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This landlord is therefore not bound by any rules, other than what’s in the contract. Everything else not covered in the TA is the wild wild west and the landlord can possibly make your life an absolute hell.

The Return of Your Security Deposit

After the handover at the end of your lease, if you had the agent perform the handover, the landlord is supposed to return your deposit, less the amount agreed between you and the landlord for repairs and compensation for damages.
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If for some reason your deposit was withheld unreasonably by the landlord, you still have an opportunity to pursue this matter with the agent, a last ditch effort before you go through the hell that is the Small Claims Tribunal. 

Agents know what the market practice is

An agent with enough experience can advise renters on what the market practice is when it comes to renter and landlord rights. When something has broken down, they likely know if this is wear and tear or something to be fixed by the tenant.
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If you are dealing with the landlord directly, things can get murky. That’s when trouble can start.

Agents have no vested interest in the property

Your landlord however, is thinking long term and they are counting every penny.
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That agent is receiving a certain amount of commission for the duration of your lease, which is typically two or three years. They do not own the place. They can afford to be somewhat neutral and act as the middle-man. They are less emotional, and therefore if an issue comes up, your interactions are less likely to be confrontational. 

How to protect yourself

To prevent from falling into a trap, here are a few things to ask the agent during a viewing:

1. Are you the landlord?
2. Are you related to the landlord?

​Run, run, run for the hills if the answer to either question is yes. You will no longer be dealing with an agent who is bound by rules and legislation. 

Help advance the rights of renters

​Join us in calling for better rights of renters and sign our petitions. This petition addresses the need for agents who are also the landlords of the property they are marketing to declare the fact during property viewings.