Property agent commissions may not rise with higher developer ABSD: poll

REAL estate honchos do not expect the latest hike in additional buyer's stamp duty (ABSD) for developers to drive further increases in property agents' commission rates, a survey by the National University of Singapore Real Estate (NUS+RE) has found.

The study results also imply that the spike in agent commissions in recent years - to around 2 to 3.9 per cent for new private homes, for instance - have been a product of circumstances, said the Institute of Real Estate and Urban Studies (IREUS) deputy director Lee Nai Jia.

"Higher ABSD and the concomitant deadlines, and units becoming harder to sell due to increased competition, put the bigger property agencies in a stronger position while salesperson productivity and professionalism took a backseat," he noted.