Speech by MOS Tan Kiat How at the Huttons 20 Years Anniversary Celebration 2022
Feb 4, 2022
Good afternoon. Thank you for inviting me to join you at the Huttons 20th Anniversary Celebration.
I would first like to congratulate Huttons on this significant milestone and I thank Huttons for your many contributions to the real estate agency industry over the years.
Transformation in Progress
Working closely with partners like Huttons, we have raised the professionalism of the industry since the formation of the Council for Estate Agents, CEA in 2010.
Bolstering the public’s confidence in our sector and helping consumers make informed choices when choosing their property agents are key aspects of this effort. That was the reason for CEA’s initiative in September 2021 to make publicly available the residential property transaction records of agents on its Public Register.
In this regard, we appreciate Huttons’ contributions as a member of the workgroup that co-developed the Best Practices for Consumer Ratings of Property Agents and are pleased that Huttons has adopted these best practices for your new ratings platform, YourPropertyAgent.sg.
Besides raising standards, we have also made good progress in transforming our sector since the launch of the Real Estate Industry Transformation Map, RE ITM in short, in 2018.
For instance, we introduced tech enablers like APIs (Application Programming Interface) to facilitate the industry’s automation efforts. The Digitalised Property Transaction Workgroup (DPTWG) that CEA chairs also developed standard contract templates and checklists for residential rental transactions, as well as private residential resale transactions.
These are important steps to transit our industry practices away from paper-based ones towards electronic processes and transactions. There are many benefits in doing so. Property agencies would be able to track the completion of the property transaction in real-time, while property agents would save time and effort in helping their clients complete the property contract to secure the transaction.
We need all stakeholders to do their part for this transformation to succeed. I am encouraged that Huttons has also partnered Real Estate Doc to enable your agents to easily create and submit documentation for their property transactions. Through this solution, agents can enjoy better convenience and reduce business turnaround time.
The digitalisation investments over the years had paid off, enabling the industry to remain resilient during the COVID-19 pandemic. For example, using technology, we were able to adapt quickly by moving to virtual property viewings and smaller group viewings to keep our agents and their clients safe.
RE ITM 2025 and the 4Ps Approach
While the progress of transformation has been encouraging, there are still some challenges such as uneven technology adoption across estate agencies and agents, and practices and processes that can be further streamlined.
As we transit to living with COVID-19, it is timely to refresh the previous ITM.
The focus of the RE ITM 2025 can be summarised in “4 Ps”: ‘Professionalism, Productivity, Progressive and Partnership’.
First, Professionalism – we want to ensure that agents continue to possess good knowledge of property-related regulations and policies, so that you can better advise your clients. CEA will work with the industry under Project FOCUS to address common breaches of agents and enhance the supervision by property agencies on their agents. This will help to maintain public’s trust in the industry which will benefit the whole sector.
I’m glad to learn that Huttons is contributing to this effort with the launch of your new UP-Training Roadmap 2022. Huttons’ focus on digital skillsets and marketing, relevant industry-specific trainings and mentorship programmes will equip your agents with the essential skills as we embrace transformation for the whole industry.
Second, Productivity – we will continue to work with agencies to leverage technology to provide digital and seamless property transactions from start to end. An area which the Government is working with industry partners on is the Alliance for Action (AfA) on Accurate Property Listings, which seeks to develop a digital platform to eliminate duplicate and dummy listings on online property portals. The platform will allow faster and more accurate searches of properties that are advertised online, saving time and improving productivity for both consumers and agents. I thank Huttons for being a member of this initiative and I look forward to the launch of the prototype platform later this year.
Digitalisation serve to improve both efficiency and service quality for your agents as well as your clients. We strive to increasingly digitalise the transaction process, so that one agent can, in the near future, do in days what might have taken weeks in the past. Aside from higher productivity gains for agencies and agents, clients can enjoy quicker service and choose to connect with the agents digitally at their convenience.
Third, the industry must remain Progressive and ensure continuous learning that is relevant and useful to property agents. To this end, CEA has embarked on Project ADEPT, a joint study with the industry to enhance the entire CPD ecosystem so that property agents will be equipped with the necessary skills and knowledge for the future economy.
I thank Huttons for contributing to this study and I look forward to the workgroup’s recommendations soon. I am encouraged that Huttons, as key player in the real estate agency industry, has also prepared itself for a progressive workforce, with the launch of new technology tools such as Huttons Link Up, Huttons Analyzer and improved search tools. These tools will enable your agents to be more productive and enable them to provide professional and high-quality advice to your clients.
Fourth, Partnership. As we continue to refine our housing and land use policies, we want to partner you to explain these policies to your clients. Property agents play a key role in advising your clients and helping them understand the intent of these policies so that they can make informed decisions. Partnership is two-way and the Government is very happy to hear from you the views that you gather from the public on these policies.
I would like to seek your continued partnership and support as we continue to work with and consult the industry on the RE ITM 2025 in the coming months. At the same time, I urge you to keep up the efforts to equip your agents with the right skillsets, mindset and essential digital skills that would enable them to thrive in the digital future.
Keeping Housing Affordable and Accessible
Let me take this opportunity to make a few remarks about housing and home ownership in Singapore. As our agents would be well-aware, home ownership is a key priority for the Government, and we are committed to ensuring that public housing is affordable and accessible to Singaporeans. This is why HDB provides generous subsidies and grants, so that both new and resale HDB flats remain affordable for first-timer homebuyers.
We also recently introduced the Prime Location Public Housing model, or PLH model in short. Left to market forces, housing in prime locations will likely become exclusive spaces, enjoyed only by the wealthy. Hence, we decided to step in, with measures to ensure that these housing estates remain affordable and accessible to Singaporeans at the point of first sale, and at subsequent resale. The policy is new, and we will continue to review the model over time to ensure it meets the needs of different population segments.
Above all, the Government is committed to promoting a stable and sustainable property market. To this end, we introduced a round of cooling measures in December 2021. The measures were implemented in view of clear upward market momentum. We carefully considered the timing and scope of the measures, and decided to move despite the near-term uncertainty with the COVID-19 situation.
Left unchecked, property prices are likely to run ahead of economic fundamentals and increase the risk of a destabilising correction later on, that will hurt many households. Nevertheless, these measures are not expected to significantly affect lower to middle income first-timer families buying an HDB flat. The Government will continue to monitor the property market, with a view to promote a stable and sustainable property market.
We also want to continue to safeguard our limited land for a quality living environment, based on evolving trends and changing demands. To do this, we have put Singaporeans at the centre of our plans, by involving them to reimagine and chart Singapore’s future together through the Long-Term Plan Review (LTPR).
We have been reaching out to Singaporeans to gather their views concerning Singapore’s future for the next 50 years and beyond. We have obtained some valuable findings from our engagement exercises with 7,000 participants. For example, participants think we should prioritise the provision of quality and affordable housing options that cater to different life stages and needs, ample green spaces, a good transportation network, and plans to address the challenges of climate change and sustainable living.
Looking ahead, we are moving towards the next phase of the engagement, where we will converge on the long-term strategies and considerations that will shape our plans. URA will be organising dialogues in this next phase. It’s exciting to imagine a future that is built on ideas from our fellow Singaporeans and I welcome Huttons’ and your agents’ views in this initiative.
While we chart our way forward, I am heartened to learn that Huttons shares the Government’s belief in co-creating an inclusive society, and has taken time and effort to contribute back to the society, having raised almost $120,000 for the Children Cancer Foundation through your charity auction last December.
Conclusion
The Government remains committed to work with the industry partners to fulfil the housing aspirations of Singaporeans. As trusted advisors to your clients, it is important that you continue to provide them with accurate information and balanced advice, value-added services, and most importantly, act in their best interests. I look forward to working with you to promote a professional, productive and progressive real estate agency industry.
On this note, congratulations once again to Huttons on your 20th anniversary. I wish you all a wonderful celebration today and a Happy Lunar New Year. Thank you.