Property agents need to complete minimum number of transactions for licence renewal from 2027: CEA

Agents who do not meet the requirement can instead pass a refresher examination to remain eligible for licence renewal.

SINGAPORE: Property agents must complete at least three property transactions over three years, or pass a refresher examination to be eligible for registration renewal from 2027, Senior Minister of State for National Development Sun Xueling announced on Tuesday (Jul 28).

In line with this, the Council for Estate Agencies (CEA) will extend the validity periods for all property agency licences and agent registrations from one year to three years. The first three-year cycle will run from Jan 1, 2027 to Dec 31, 2029.

Ms Sun said the Ministry of National Development (MND) and CEA have engaged some property agents on how they can work together to further strengthen the industry.

"Our focus has been on three areas: first, raising professional standards; second, enhancing transparency within the industry; third, giving consumers greater clarity and choice in an evolving property market," she said at the Singapore Estate Agents Conference on Tuesday.

NEW REQUIREMENT

Ms Sun said the regulator has received feedback about the currency of knowledge of property agents who have not transacted over extended periods.

While three in four consumers surveyed in CEA's 2024 Public Perception Survey expected their property agents to complete at least one property transaction per year, about 40 per cent of property agents do not meet this expectation today.

As of Jul 1, there were 38,162 property agents and 1,018 property agencies in Singapore.

CEA said that from 2023 to 2025, the median number of residential property transactions completed by each agent per year was two. This figure covers only residential property transactions as CEA does not currently collect information on non-residential property transactions.

CNA first reported in 2024 that CEA was mulling a minimum transaction requirement for property agents to remain registered, following concerns raised during industry engagement sessions.

Property agents currently do not have to meet a minimum number of transactions to renew their registrations.

Under the new requirement, all property agents who have not completed at least three transactions by the end of the three-year cycle are eligible to sit for the refresher examination, CEA said in a media release.

Those who fail to meet the requirements and wish to return to the industry must retake and pass the real estate salesperson examination.

Further details of the refresher examination will be announced by the first half of 2029.

In response to CNA's queries, CEA said that people in management roles who do not intend to conduct estate agency work are not required to maintain their property agent registration and will not need to meet the new requirements.

The minimum number of transactions ensures that agents maintain currency of knowledge and provide up-to-date advice to their clients, the regulator said.

Recognised transactions include the sale, purchase and rental of Housing and Development Board (HDB) flats and private homes, as well as commercial and industrial properties, foreign property sales and bloc sales.

New property agents who have just joined the industry will not be required to complete any transactions in their first year, CEA said. This gives them time to build up their skills and client base.

From their second year of registration, they will be required to meet the new requirement. This means they will need to either complete at least two transactions over the remaining two years of their registration period, or pass the refresher examination, to be eligible for renewal.

Agents who are unable to meet the requirement due to extenuating circumstances, such as serious medical issues or those handling complex property transactions that may take more time, may be considered for waivers on a case-by-case basis, CEA said.

Executive director of CEA Chan Khar Liang said with property transactions being “one of the largest financial decisions” Singaporeans make, it is important that property agents meet the new requirement.

“During our engagements with industry stakeholders, they have consistently highlighted the potential risk posed by property agents who do not complete transactions regularly – that these agents may be less familiar with evolving rules and regulations, property transaction processes, and market trends, which could inadvertently affect the accuracy of advice given to clients,” he added.

CEA said the new requirement complements the annual continuing professional development requirement (CPD), an existing registration renewal criterion for property agents.

Since Jan 1, 2026, property agents have to complete 16 CPD training hours per year to maintain their registrations. This requirement will continue to apply.

THREE-YEAR VALIDITY

Existing property agencies and agents will transition to a three-year licence or registration from Jan 1, 2027, replacing the current one-year validity period.

To conduct estate agency work, property agencies are required to apply for a licence, while property agents must be registered through a licensed property agency.

Ms Sun said the extension of the validity period will reduce administrative workload in having to do yearly renewals.

"Most property agents continually upgrade themselves, stay active in the market and serve their clients professionally. Therefore, we will no longer require property agents to renew their registrations on a yearly basis," she said.

Despite the move to a three-year renewal cycle, licensing and registration fees will continue to be charged annually. This means that property agencies and agents will not need to make a large lump sum payment at the point of renewal every three years.

For property agencies, the licensing fee starts from S$330 (US$255) a year, and goes up to at least S$40,000, depending on their size. Property agents pay S$280 a year for their registration fee.

Separately, the application fee for renewal is currently payable once every two years. From 2027, agencies and agents will pay the fee only once every three years.

The application fee is S$120 for agencies, and S$60 for agents.

New property agencies and agents who join the industry on or after Jan 1, 2027, will commence their three-year licence or registration from the date when they join the industry.

Their licence or registration will end on Dec 31 of the third year.