Professional Documents
Culture Documents
A). INTRODUCTION
The aim of the Estate Agency Standards is to set the required high standards for the practice of
estate agency in Malaysia. In this connection the Standards will aid and elaborate upon the
provisions of the Valuers, Appraisers and Estate Agents Act 1981 and the Valuers, Appraisers
and Estate Agents Rules 1986 in so far as they deal with the practice of estate agency in Malaysia.
Each Standard deals with a specific topic. Each Standard in turn is in three(3) parts i.e. the
Introduction to the Standard, the Statements of the Standard and the Explanations to the Standard.
The Introduction to the Standard sets out the broad purpose of the Standard and encapsulates the
essence of the Standard.
The Statements of the Standard comprise the main body of the Standard. It contains, the
mandatory provisions of the Standard. All registered estate agents are obliged to follow the
provisions contained therein. In any disciplinary action, on any registered estate agent, including
probationary estate agent, the Board will apply, the relevant Statement of the Standard in
conjunction with other provisions of the Valuers, Appraisers and Estate Agents Act 1981 and the
Valuers, Appraisers and Estate Agents Rules 1986, or on its own.
The non-mandatory Explanations to the Standards serve as elaborations of the Statements of each
Standard.
These Standards come into force on 1 September 1999 and shall apply to all registered estate
agents as well as probationary estate agents. These Standards will be subjected to periodic
amendments by the Board.
B). STANDARD 1 INSTRUCTIONS
1.1.0 INTRODUCTION
1.1.1. Instructions from the principal decide the scope of authority of the estate agent and
it is thus important that proper instructions are obtained.
1.1.2. Upon obtaining proper instructions the estate agent is obliged to provide the
principal with skilled and professional estate agency services. He is also obliged to
promote and protect the interest of the principal.
1.2.0 STATEMENTS OF STANDARD
1.2.1. In all types of estate agencies, the estate agent shall obtain prior written
instructions from the principal before commencement of the estate agency
assignment.
1.2.2. The written instructions shall include the name of the estate agency firm, the clear
identification of the subject property and the terms and conditions of the estate
agency engagement and the intended transaction.
1.2.3. Subsequent to the agreement on the terms and conditions of the engagement and
the transaction, the estate agent shall ensure that any variation of the said terms
and conditions shall also be rendered in writing and agreed to with the principal.
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1.2.4. All estate agents are encouraged to use the Board's Standard Forms on instructions,
MEAS1 to MEAS4 (see Standard 10)
1.2.5. In line with Rule 97, and when obtaining instructions from the principal the estate
agent shall not, where another estate agent has been exclusively appointed or
appointed as a sole agent, as evidenced by a signboard or any other form of
advertisement in any media referring specifically to the property:1.2.5.1
solicit for the same business;
1.2.5.2
accept instructions without verification from the previous estate
agent that his appointment has been terminated.
1.2.6. All estate agents are encouraged to obtain exclusive agencies from vendors or
lessors wherever possible and to point out very clearly to the principal his rights
and responsibilities in respect of the estate agency agreement.
1.2.7. An estate agent must give up his rights to any fee or commission if a prospective
party first introduced by him goes on to buy the property through another agent.
This applies only in circumstances where the second estate agent also has a similar
instruction as the first estate agent from the principal.
1.2.8. An estate agent must not directly or indirectly harass any person in order to gain
instructions and neither shall he repeatedly try to gain instructions in a way likely
to cause offence.
1.2.9. If the principal withdraws his instructions from an estate agent, the estate agent
must advise the principal of any circumstances in which he may have to pay more
than one fee and any continuing liability the principal may have to incur.
1.2.10. An estate agent must never misinterpret the value of a property in order to gain an
instruction.
1.3.0 EXPLANATIONS TO THE STANDARD
1.3.1. Rule 97 reads:- "A registered estate agent shall not engage in any practice or take
any action inconsistent with the agency of another registered estate agent."
1.3.2. Written instructions can either be in the form of written instructions from the
principal or written confirmation of instructions by the estate agent. Written
instructions from the principal refer to a formal and signed letter or document of
instructions from the principal that is addressed and communicated to the estate
agent. A written confirmation of instructions on the other hand refers to a formal
and signed letter or document that is prepared by the estate agent and sent to the
principal and confirmed by the principal as to the agreed terms and conditions of
instructions.
1.3.3. Terms and conditions of engagement refer to the agreed terms and conditions
appointing the estate agent whilst terms and conditions of the transaction refer to
agreed terms and conditions upon which the property will be purchased, sold,
secured for rent or lease or let.
1.3.4. For the purposes of item 1.2.8, the term "harass" means acting in a threatening or
oppressive manner likely to cause alarm, annoyance and/or distress.
2.2.15. It is the responsibility of the estate agent of any office of any firm to ensure that all
employees including all Negotiators are familiar with the provisions of the Act,
Rules and Standards and abide by them.
2.2.16. An estate agent shall not have his name appear as Consultant on the letterhead
of the firm or in any other documents.
2.2.17. No persons name shall appear as Associate on the letterhead of the firm of the
estate agents
2.3.0 EXPLANATIONS TO THE STANDARD
2.3.1. A proper office is defined as follows:2.3.1.1
It must be located in an area that is deemed appropriate as an office
under any Local Government law, by-law regulation or guideline;
2.3.1.2
It must be a business premises;
2.3.1.3
It must not be a place of residence such as an apartment,
condominium, a temporary place of abode or a house;
2.3.1.4
It must not be a temporary site office or a project office of a
particular project.
2.3.2. With regard to 2.2.6, a site office is distinguished from the main office of the firm
or a branch office of the firm. A site office is allowed only in situations where the
estate agent is involved in marketing properties within a particular property project.
2.3.3. Proper record means maintaining:2.3.3.1
registers of employees and negotiators;
2.3.3.2
registers of properties listed for sale/rent with the firm;
2.3.3.3
registers of prospects/properties wanted;
2.3.3.4
records of sales and lettings;
2.3.3.5
a proper accounting system;
2.3.3.6
proper clients accounts;
2.3.4. Wages under the Employees Provident Fund is defined as all remuneration in
money, due to an employee under his contract of service or apprenticeship whether
agreed to be paid monthly, weekly. daily or otherwise and includes any bonus or
allowance payable by the employer to the employee whether such bonus or
allowance is payable under his contract of service, apprenticeship or otherwise, but
does not include;2.3.4.1
Service charge;
2.3.4.2
Overtime payment;
2.3.4.3
Gratuity.
2.3.4.4
Retirement benefit.
2.3.4.5
Retrenchment, lay-off or termination benefits; or
2.3.4.6
Any traveling allowance or the value of any traveling concession.
2.3.5. By virtue of Standard 2.2.15 an estate agent cannot come before the Board in a
disciplinary action and plead that he was unaware of actions taken by his
Negotiator. The estate agent has to, by way of good management of his firm, at all
times, accept full responsibility for all actions of his Negotiators.
additional estate agents and at the same time maintain the advantage of
having one estate agent in control.
4.3.2.4 Joint Agency: This is where more than one estate agent is appointed
and only the estate agent who closes the deals gets paid. The number of
agents appointed is limited and each is aware of the appointment of the
others.
4.3.2.5 Ad Hoc Basis or commonly referred to as "Open listing" In this case,
the principal can engage an unlimited number of estate agents on an
adhoc basis and fees are paid only on successful conclusion of the
estate agency transaction.
4.3.3. Apart from the types of agencies listed above the Board is aware of the practice of
co-agency or co-broking between estate agents. This is where the appointed estate
agent enlists the services of another estate agent(s) and shares the agency fees
accordingly. In such an instance the principal is usually not a party to the
arrangement. A more organised form of co-agency is Multiple Listing.
F). STANDARD 5 - CODE OF CONDUCT AND ETHICS
5.1.0 INTRODUCTION
5.1.1. The main purpose of the Code of Conduct and Ethics is to set out and enforce a
clear and coherent framework of ethical principles and practices which promotes
the duty of estate agents to discharge their obligations to the principal, employers,
colleagues and others with due care and with regard to the wider public interest.
5.1.2. Towards this end, the Code of Conduct and Ethics, sets out the standards of
behaviour required of estate agents in their provision of professional services and
business activities.
5.1.3. Hence, the Code of Conduct and Ethics provide a positive statement of
professional values and standard of conduct against which estate agents are
accountable to the Board, to their principal, employers, employees, colleagues and
the public at large.
5.1.4. The Code of Conduct and Ethics should be viewed upon as a transparent system of
conduct and values to which estate agents are expected to adhere to rather than a
set of restrictions. This is in the spirit of the concept of self-regulation practised by
the profession.
5.2.0 STATEMENTS OF STANDARD
5.2.1. An estate agent shall not conduct himself in such manner as to prejudice the
professional status or the reputation of the profession.
5.2.2. An estate agent shall be fully conversant with the Act and Rules, which must be
abided by and adhered to all times. He shall also have a sound knowledge of all
statutory provisions and procedures relation to real estate.
5.2.3. An estate agent shall render service to his client and his employer with absolute
fidelity and practice his profession with devotion to the high ideas of integrity,
honour and courtesy, loyalty to his country and include a spirit of fairness and
goodwill to his fellow employees and subordinates.
5.2.4. All estate agents need to be familiar with laws as they apply to real estate. He must
take care not to engage in activities considered to be within the ambit of the
practice of law and shall not give legal advice. He should recommend that his
principal obtain legal counsel for legal matters.
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5.2.5. An estate agent shall never publicly criticise his fellow estate agents or express an
opinion of a fellow estate agent's transaction.
5.2.6. An estate agent shall not indulge in speculative buying and selling of properties
listed with his firm and actively forbid his negotiators from doing so.
5.2.7. An estate agent shall not mislead prospective parties by concealing or withholding
material facts related to the property.
5.2.8. An estate agent shall not do or cause or allow to be done anything with a primary
motive of personal advertisement or anything calculated to suggest that it is so
motivated.
5.2.9. An estate agent shall nor sanction a publication either in the press or elsewhere of
his photograph as a prominent estate agent.
5.2.10. An estate agent shall not do or cause or allow to be done anything for the purpose
of soliciting directly or indirectly or which is calculated to suggest that it is done
for that purpose.
5.2.11. An estate agent shall, in his practice, avoid any conflict of interest.
5.2.12. All estate agents shall conduct themselves, so as to avoid any action which may
leas to a dispute or controversy with a fellow estate agent and should any dispute
or controversy arise the estate agents concerned shall make a determined
endeavour to settle it themselves.
5.2.13. An estate agent shall never make frivolous or vexatious complaints about other
estate agents.
5.2.14. If an estate agent is advertising for sale a property that is owned by the estate agent
himself or an employee or an associate of the firm the estate agent must, before
negotiations begin, immediately disclose these facts in writing to the prospective
purchaser.
5.2.15. An estate agent must make every attempt to avoid any conflict of interest, which
might not be in the best interest of the principal.
5.2.16. An estate agent shall not perform legal services, for a fee.
5.2.17. An estate agent shall not allow any unauthorised person to carry on estate agency
practice in his name without his direct and immediate control or without proper
supervision.
5.2.18. An estate agent shall not, while practicing his profession, carry on or engage in
any other trade or business, which are in conflict with the fittings, and proper
discharge of his professional duties. He must not hold, assume or consciously
accept a position in such trade or business in which his interest is in conflict with
his professional duties.
5.2.19. An estate agent shall not permit himself to be controlled or exploited by any
person or body corporate in any manner whatsoever.
5.2.20. An estate agent shall not practise any deception on third parties.
5.2.21. An estate agent shall put before prospective parties not represented by him any
relevant information/facts, of which he is aware, whether it is for or against his
principal.
5.2.22. An estate agent shall exercise a reasonable standard of skill and diligence normally
expected of his profession.
5.2.23. An estate agent shall prior to the acceptance of his appointment inform his
principal in writing of the conditions of engagement and the scale of professional
fees and charges to be applied.
5.2.24. An estate agent shall not attempt to supplant another registered estate agent who
has already been engaged by a principal nor must he compete with another estate
agent to secure a fee or commission by a reduction of fees or otherwise.
5.2.25. It is unethical for an estate agent to solicit a listing from the owner of a property
where there is a "For Sale" or "For Let" sign upon the property.
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6.2.23. A "For Sale" or "To Let" sign should be removed from a property within (7) seven
days of an unconditional sale or rent being effected, unless special circumstances
warrant the retention of such a sign.
6.3.0 EXPLANATIONS TO THE STANDARD
6.3.1. Factual advertisements can have modern marketing aspects.
6.3.2. Should not overstate/oversell the property means basically that the estate agent
should, with the use of as few words as possible paint a word picture of the
advantages to be gained by owning a particular property.
6.3.3. Immediately means as soon as is reasonably practicable in the circumstance.
6.3.4. A cardinal principle is the need for care and accuracy on the estate agent's part, in
what he says and what he writes, not only to be true but not to be misleading by
being incomplete or biased on the particular subject and if he is in doubt to leave it
out.
6.3.5. The estate agent should consider it worthwhile, as a precaution, sending draft
particulars to principals and asking them to advise them urgently if they have
reason to believe that any statement is inaccurate or misleading.
H). STANDARD 7 - ESTATE AGENCY FEES
7.1.0 INTRODUCTION
7.1.1. Estate agency fees or commission is based on the Seventh Schedule of the Rules.
7.1.2. In addition to the fees or commission, the estate agent is entitled to claim, again in
accordance with the Seventh Schedule of the Rules, costs of printing, plans copies
of documents, lithography, travelling (only where the distance between the agent's
office and the property is 40 kilometres), other expenses actually incurred, cost of
media advertisements, signboards, brochures and other promotional materials.
7.1.3. Estate agency comes under the Law of Contract and estate agency fees are
generally dependent upon the agency agreement between the estate agent and the
principal. It is thus important for the estate agent to always obtain written
instructions from the principal before commencement of the estate agency
assignment.
7.2.0 STATEMENTS OF STANDARD
7.2.1. The first rule in so far as estate agency fees are concerned is that it depends upon
the terms and conditions of the agreement between the estate agent and the
principal.
7.2.2. When there is no agreement, written or otherwise, between the estate agent and the
principal then fees are generally due upon the creation of a binding contract
between the parties to the estate agency transaction.
7.2.2.1 If the sale and purchase agreement or letting agreement is unconditional,
the estate agency fee is due upon the signing of the sale and purchase
agreement or letting agreement.
7.2.2.2 Where the sale and purchase agreement or letting agreement is conditional,
the estate agency fee is due when the last of the conditions are met i.e.
when the agreement becomes unconditional.
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7.2.3.
7.2.4.
7.2.5.
7.2.6.
7.2.2.3 Notwithstanding 7.2.2.2, the estate agent and the principal may agree to
vary from the general rule and agree to specific terms and conditions on
payment of fees. Such an agreement must be in writing.
If the principal to the estate agent aborts the deal either after the signing of an
unconditional Sale and Purchase Agreement or Letting Agreement or after a
Conditional Agreement becomes unconditional, then the estate agent is entitled to
the full estate agency fee.
If the other party to the deal aborts and the principal to the estate agent forfeits the
deposit or receives compensation the estate agent is entitled to claim 50% of the
full fee or 50% of the forfeited deposit/compensation received, whichever is the
lower.
The computation of fees payable for any transaction shall be as per the Seventh
Schedule of the Rules.
In addition to the fees payable to the estate agent for any services rendered, the
estate agent shall also be entitled to be reimbursed by the principal for the
disbursements actually incurred, in accordance with the Seventh Schedule of The
rules.
8.2.13.1
8.2.13.2
8.2.13.3
8.2.13.4
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10.1.2 MEAS2
10.1.3 MEAS3
10.1.4 MEAS4
10.1.5 MEAS5
Viewing form
10.1.6 MEAS6
Typical Flyer
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10.1.1 MEAS1
To:
NAME OF REGISTERED ESTATE AGENTS: _______________________________________
ESTATE AGENCY FIRM
: _______________________________________
ESTATE AGENTS REGISTRATION NO. : _______________________________________
ESTATE AGENCY FIRMS REG. NO.
: _______________________________________
ADDRESS OF ESTATE AGENCY FIRM
: _______________________________________
______________________________________________________________________________
APPOINTMENT TO ACT AS AN ESTATE AGENT
(TO SECURE A PURCHASER)
I/We_______________________________________ NRIC No. _________________________
of ___________________________________________________________________________
do hereby appoint you to secure a purchaser for the property known as _____________________
______________________________________________________________________________
(hereinafter referred to as the Property). In acting as Estate Agent you are permitted to display
signboards/advertise in the media/send out flyers and promote generally the sale of the property,
subject to the following terms:1. The asking price of the Property shall be Malaysian Ringgit ____________________________
__________________________________________________ (RM _______________________ )
only or such other sum as may be subsequently agreed to by me/us as vendor(s) subject to the
following payment terms and conditions:a).
Earnest deposit on acceptance of offer _________________________________________.
b).
On signing of Sale & Purchase Agreement _____________________________________.
c).
After signing, the balance to be paid within _____________________________________.
d).
With/Without vacant possession
e).
Other terms and conditions include ___________________________________________
______________________________________________________________________________
______________________________________________________________________________.
2. This appointment is on the basis of exclusive/sole/sole joint/joint/ad hoc. (See Explanatory
Notes).
3. This appointment shall be valid for ___________ days from the date of this appointment.
4. I/We hereby agree to pay to you:a).
a fee of Malaysian Ringgit __________________________________________________
(RM ________________/ ___________%) of the sale payable upon _________________
________________________________________________________________________.
b).
You are also entitled to:i.
costs of printing, plans, copies of documents, lithography, traveling (only where
the distance between the agents office and the property is more than 40km) and
other expenses actually incurred;
ii.
costs of media advertisements, signboards, brochures or other promotional
materials;
iii.
costs of private auction conducting a tender, open house, exhibitions and tele and
electronic marketing services.
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Total costs under (4b) i, ii and iii shall not exceed Malaysian Ringgit ________________
________________________________________________ (RM ___________________)
And is payable on receipt of a statement of accounts even in the event of the transaction
not being successfully concluded.
5. This appointment is given to you in my/our capacity as the:
i).
Registered proprietor
ii).
Attorney of the registered proprietor pursuant to a Power of Attorney dated the __
______day of ________(month) ________(year)and registered at the __________
_____________________ High Court Registration No ______________________.
iii).
Trustee for the legal owners who are ____________________________________.
Signature
Witnessed by :
Name
Designation
Co Stamp/
Address
Date
:
:
:
Name
NRIC No.
Address
:
:
:
Date
Date :
EXPLANATORY NOTES
TYPES OF AGENCY
i).
EXCLUSIVE AGENCY This refers to the instruction from a principal to a single estate
agent to act on his behalf. The principal may make introductions but will leave the closing of the
transaction to the estate agent. The principal must pay the appointed estate agent the agreed fe
even if the estate agent was not the effective cause of the transaction.
ii).
SOLE AGENCY Just as in exclusive agency, a single estate agent is engaged. The
principal may, however, wish to reserve the right to close deals himself and is not obligated to
pay the agent his fee in addition to making introductions or an arrangement may be made for a
discount in fees where the principal plays an active role.
iii).
SOLE JOINT AGENCY This is a variation of the Sole Agency. The estate agent works
together with the principal as a team and the fee is divided on a pre-agreed formula. The principal
has the flexibility to compensate additional estate agents and at the same time maintain the
advantage of having one estate agent in control.
iv).
JOINT AGENCY This is where more than one estate agent is appointed and only the
estate agent who closes the deals get paid. The number of agents appointed is limited and each is
aware of the appointment of the others.
v).
AD HOC BASIS OR COMMONLY REFERRED TO AS OPEN LISTING In this case,
the principal can engage an unlimited number of estate agents on an adhoc basis and fees are paid
only on successful conclusion of the estate agency transaction.
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10.1.2 MEAS2
To:
NAME OF REGISTERED ESTATE AGENTS: _______________________________________
ESTATE AGENCY FIRM
: _______________________________________
ESTATE AGENTS REGISTRATION NO. : _______________________________________
ESTATE AGENCY FIRMS REG. NO.
: _______________________________________
ADDRESS OF ESTATE AGENCY FIRM
: _______________________________________
______________________________________________________________________________
APPOINTMENT TO ACT AS AN ESTATE AGENT
(TO SECURE A TENANT)
I/We_______________________________________ NRIC No. _________________________
of ___________________________________________________________________________
do hereby appoint you to secure a tenant for the property known as _____________________
______________________________________________________________________________
(hereinafter referred to as the Property). In acting as Estate Agent you are permitted to display
signboards/advertise in the media/send out flyers and promote generally the sale of the property,
subject to the following terms:1. The total annual/monthly rental of the said Property shall be Malaysian Ringgit ____________
__________________________________________________ (RM _______________________ )
only or such other sum as may be subsequently agreed to by me/us as landlord(s) subject to the
following payment terms and conditions:a).
Security deposit on acceptance of offer ________________________________________.
b).
Rental deposit
________________________________________.
c).
Utilities deposit
________________________________________.
d).
Intend tenure of Tenancy is ___years with option to renew for a further period of ___years
e).
Furnished/Unfurnished/Partly furnished ( Inventory list attached)
e).
Other terms and conditions include ___________________________________________
______________________________________________________________________________
______________________________________________________________________________.
2. This appointment is on the basis of exclusive/sole/sole joint/joint/ad hoc. (See Explanatory
Notes).
3. This appointment shall be valid for ___________ days from the date of this appointment.
4. I/We hereby agree to pay to you:a).
a fee of Malaysian Ringgit __________________________________________________
(RM ___________________/ equivalent to _______ months rental), payable upon
___________________________________________________________________.
b).
You are also entitled to:i.
costs of printing, plans, copies of documents, lithography, traveling (only where
the distance between the agents office and the property is more than 40km) and
other expenses actually incurred;
ii.
costs of media advertisements, signboards, brochures or other promotional
materials;
iii.
costs of private auction conducting a tender, open house, exhibitions and tele and
electronic marketing services.
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Total costs under (4b) i, ii and iii shall not exceed Malaysian Ringgit ________________
________________________________________________ (RM ___________________)
And is payable on receipt of a statement of accounts even in the event of the transaction
not being successfully concluded.
5. This appointment is given to you in my/our capacity as the:
i).
Registered proprietor
ii).
Attorney of the registered proprietor pursuant to a Power of Attorney dated the __
______day of ________(month) ________(year)and registered at the __________
_____________________ High Court Registration No ______________________.
iii).
Trustee for the legal owners who are ____________________________________.
Signature
Witnessed by :
Name
Designation
Co Stamp/
Address
Date
:
:
:
Name
NRIC No.
Address
:
:
:
Date
Date:
EXPLANATORY NOTES
TYPES OF AGENCY
i).
EXCLUSIVE AGENCY This refers to the instruction from a principal to a single estate
agent to act on his behalf. The principal may make introductions but will leave the closing of the
transaction to the estate agent. The principal must pay the appointed estate agent the agreed fe
even if the estate agent was not the effective cause of the transaction.
ii).
SOLE AGENCY Just as in exclusive agency, a single estate agent is engaged. The
principal may, however, wish to reserve the right to close deals himself and is not obligated to
pay the agent his fee in addition to making introductions or an arrangement may be made for a
discount in fees where the principal plays an active role.
iii).
SOLE JOINT AGENCY This is a variation of the Sole Agency. The estate agent works
together with the principal as a team and the fee is divided on a pre-agreed formula. The principal
has the flexibility to compensate additional estate agents and at the same time maintain the
advantage of having one estate agent in control.
iv).
JOINT AGENCY This is where more than one estate agent is appointed and only the
estate agent who closes the deals get paid. The number of agents appointed is limited and each is
aware of the appointment of the others.
v).
AD HOC BASIS OR COMMONLY REFERRED TO AS OPEN LISTING In this case,
the principal can engage an unlimited number of estate agents on an adhoc basis and fees are paid
only on successful conclusion of the estate agency transaction.
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10.1.3 MEAS3
To:
NAME OF REGISTERED ESTATE AGENTS: _______________________________________
ESTATE AGENCY FIRM
: _______________________________________
ESTATE AGENTS REGISTRATION NO. : _______________________________________
ESTATE AGENCY FIRMS REG. NO.
: _______________________________________
ADDRESS OF ESTATE AGENCY FIRM
: _______________________________________
______________________________________________________________________________
APPOINTMENT TO ACT AS AN ESTATE AGENT
(TO SECURE A PROPERTY FOR PURCHASE)
I/We_______________________________________ NRIC No. _________________________
of ___________________________________________________________________________
do hereby appoint you to secure a property (hereinafter referred to as the Property) for
purchase. In acting as Estate Agent you are permitted to display signboards/advertise in the
media/send out flyers, subject to the following terms:1. The total consideration for the said Property shall not exceed Malaysian Ringgit ___________
__________________________________________________ (RM _______________________ )
only or such other sum as may be subsequently agreed to.
2. This appointment is on the basis of exclusive/sole/sole joint/joint/ad hoc. (See Explanatory
Notes).
3. A brief description of the type of property and location required is as follows ______________
______________________________________________________________________________
______________________________________________________________________________.
4. This appointment shall be valid for ___________ days from the date of this appointment.
5. I/We hereby agree to pay to you:a).
a fee of Malaysian Ringgit __________________________________________________
(RM ________________/ ___________% of the transacted price) payable upon _______
________________________________________________________________________.
b).
You are also entitled to:i.
costs of printing, plans, copies of documents, lithography, traveling (only where
the distance between the agents office and the property is more than 40km) and
other expenses actually incurred;
ii.
costs of media advertisements, signboards, brochures or other promotional
materials;
iii.
costs of private auction conducting a tender, open house, exhibitions and tele and
electronic marketing services.
Total costs under (5b) i, ii and iii shall not exceed Malaysian Ringgit ________________
________________________________________________ (RM ___________________)
and is payable on receipt of a statement of accounts even in the event of the transaction
not being successfully concluded.
5. This appointment is given to you in my/our capacity as the prospective purchaser(s)
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Signature
Witnessed by :
Name
Designation
Co Stamp/
Address
Date
:
:
:
Name
NRIC No.
Address
:
:
:
Date
Date:
EXPLANATORY NOTES
TYPES OF AGENCY
i).
EXCLUSIVE AGENCY This refers to the instruction from a principal to a single estate
agent to act on his behalf. The principal may make introductions but will leave the closing of the
transaction to the estate agent. The principal must pay the appointed estate agent the agreed fe
even if the estate agent was not the effective cause of the transaction.
ii).
SOLE AGENCY Just as in exclusive agency, a single estate agent is engaged. The
principal may, however, wish to reserve the right to close deals himself and is not obligated to
pay the agent his fee in addition to making introductions or an arrangement may be made for a
discount in fees where the principal plays an active role.
iii).
SOLE JOINT AGENCY This is a variation of the Sole Agency. The estate agent works
together with the principal as a team and the fee is divided on a pre-agreed formula. The principal
has the flexibility to compensate additional estate agents and at the same time maintain the
advantage of having one estate agent in control.
iv).
JOINT AGENCY This is where more than one estate agent is appointed and only the
estate agent who closes the deals get paid. The number of agents appointed is limited and each is
aware of the appointment of the others.
v).
AD HOC BASIS OR COMMONLY REFERRED TO AS OPEN LISTING In this case,
the principal can engage an unlimited number of estate agents on an adhoc basis and fees are paid
only on successful conclusion of the estate agency transaction.
23
10.1.4 MEAS4
To:
NAME OF REGISTERED ESTATE AGENTS: _______________________________________
ESTATE AGENCY FIRM
: _______________________________________
ESTATE AGENTS REGISTRATION NO. : _______________________________________
ESTATE AGENCY FIRMS REG. NO.
: _______________________________________
ADDRESS OF ESTATE AGENCY FIRM
: _______________________________________
______________________________________________________________________________
APPOINTMENT TO ACT AS AN ESTATE AGENT
(TO SECURE PREMISES FOR RENT)
I/We_______________________________________ NRIC No. _________________________
of ___________________________________________________________________________
do hereby appoint you to secure premises with a view to rent. In acting as Estate Agent, you are
permitted to advertise in the media/send out flyers in order to secure the premises required,subject
to the following terms and conditions:1. The annual/monthly rental shall not exceed Malaysian Ringgit __________________________
__________________________________________________ (RM _______________________ )
only or such other sum as may be subsequently agreed to by me/us as tenant(s) subject to the
following payment terms and conditions:2. This appointment is on the basis of exclusive/sole/sole joint/joint/ad hoc. (See Explanatory
Notes).
3. A brief description of the type of Property and location required is as follow:- _____________
______________________________________________________________________________.
4. This appointment shall be valid for ___________ days from the date of this appointment.
5. I/We hereby agree to pay to you:a).
a fee of Malaysian Ringgit __________________________________________________
(RM _____________________/ ________% of the gross anniual rental), payable upon
___________________________________________________________________.
b).
You are also entitled to:i.
costs of printing, plans, copies of documents, lithography, traveling (only where
the distance between the agents office and the property is more than 40km) and
other expenses actually incurred;
ii.
costs of media advertisements, signboards, brochures or other promotional
materials;
iv.
costs of private auction conducting a tender, open house, exhibitions and tele and
electronic marketing services.
Total costs under (5b) i, ii and iii shall not exceed Malaysian Ringgit ________________
________________________________________________ (RM ___________________)
and is payable on receipt of a statement of accounts even in the event of the transaction
not being successfully concluded.
6. This appointment is given to you in my/our capacity as theprospective tenant(s)
24
Signature
Witnessed by :
Name
Designation
Co Stamp/
Address
Date
:
:
:
Name
NRIC No.
Address
:
:
:
Date
Date:
EXPLANATORY NOTES
TYPES OF AGENCY
i).
EXCLUSIVE AGENCY This refers to the instruction from a principal to a single estate
agent to act on his behalf. The principal may make introductions but will leave the closing of the
transaction to the estate agent. The principal must pay the appointed estate agent the agreed fe
even if the estate agent was not the effective cause of the transaction.
ii).
SOLE AGENCY Just as in exclusive agency, a single estate agent is engaged. The
principal may, however, wish to reserve the right to close deals himself and is not obligated to
pay the agent his fee in addition to making introductions or an arrangement may be made for a
discount in fees where the principal plays an active role.
iii).
SOLE JOINT AGENCY This is a variation of the Sole Agency. The estate agent works
together with the principal as a team and the fee is divided on a pre-agreed formula. The principal
has the flexibility to compensate additional estate agents and at the same time maintain the
advantage of having one estate agent in control.
iv).
JOINT AGENCY This is where more than one estate agent is appointed and only the
estate agent who closes the deals get paid. The number of agents appointed is limited and each is
aware of the appointment of the others.
v).
AD HOC BASIS OR COMMONLY REFERRED TO AS OPEN LISTING In this case,
the principal can engage an unlimited number of estate agents on an adhoc basis and fees are paid
only on successful conclusion of the estate agency transaction.
25
10.1.5 MEAS5
VIEWING FORM
NAME OF COMPANY/FIRM
PROP. REF: ______________________________
1). ______________________________________
2). ______________________________________
3). ______________________________________
4). ______________________________________
FORM V
NEGOTIATOR: ________________
RENTAL/
PURCHASE PRICE
__________________
__________________
__________________
___________________
COMMENT AFTER
VIEWING
________________________
________________________
________________________
________________________
I/We acknowledge and confirm that I/We have inspected the above-mentioned property/
properties were obtained through the efforts and services rendered by (name of firm):
______________________________________________________________________________
Should I/We, my nominee or company in which I have an interest in, be interested on any of the
above properties, I will negotiate with the owner through (name of firm/company) ____________
_________________________________________________________________________ only.
_________________
PROSPECTIVE
TENANT/PURCHASE
DATE :
____________________
NEGOTIATOR
__________________
NAME OF FIRM/
COMPANY (REG NO.)
______________________________
Name Of Company/Firm:
Reg No.
:
Date
:
26
10.1.6 MEAS6
TYPICAL FLYER
(LETTERHEAD OF FIRM)
(Name of Estate Agency Firm &
Firms Registration Number)
(Address of Estate Agency Firm )
DATE:
To
_____________________________________
_____________________________________
______________________________________
RE: __________________________________________________________________WANTED
We act as estate agents for a party who wishes to sell/purchase/let/rent a ____________________
______________________________________________________________________________
In ______________________________________ and invite persons or parties interested in
selling /purchasing/letting/renting their property.
Persons or parties responding to this flyer are not required to pay any estate agency fee
whatsoever for properties referred to in this flyer as this firm is already retained by a particular
principal.
Kindly contact __________________________________________________________________
at ___________________________________________________________________________
with full details of the property.
________________________________
Signature
Name of Estate Agent
:
Registered Number of Estate Agent :
27