More property agencies close shops amidst tepid market

The number of property agencies is down 6% as of the start of this year.

As the property market currently undergoes major headwinds, smaller property agencies have decided to raise the white flag, with property agents leaving the industry for good.

According to the latest data by Council for Estate Agencies, there were 1,286 licensed property agencies and 28,397 registered property agents as at January 2017. These numbers were significantly down from last year's number. The number of property agencies was down 6% from 1,369, while the number of property agents declined 3% from 29,262.

Commenting on the overall decline in the number of property agents, CEA director, policy & licensing Heng Whoo Kiat said this could point to a slight consolidation of the industry given the current property market sentiments.

"CEA also recognises that the real estate agency industry landscape is evolving. For example, with technological innovations, consumers’ lifestyles and preferences in handling their property transactions are changing, and this could shift demand for real estate agency services,” Heng noted.

A total of 95 property agency licences and 3,200 property agent registrations lapsed after December 2016. The Council for Estate Agencies (CEA) issued 40 new property agency licences and 1,189 new property agent registrations throughout 2016.