ENG-2011 — Page 268

228 | Housing

the property market's healthy and stable development. They include increasing land supply, combating speculative activities, increasing the transparency of property transactions, and preventing excessive expansion in mortgage lending.

Sale of First-hand Residential Properties

Developers of private residential property may apply to the Director of Lands for consent to put up units for sale before completion. In approving pre-sale applications from developers, the Lands Department will require the applicants to provide, among other things, specified property information in their sales brochures and price lists. The Real Estate Developers Association of Hong Kong issues guidelines for its members to follow when making these applications.

A Steering Committee set up by the THB in October 2010 to make recommendations on how to regulate the sale of first-hand residential properties through legislation, submitted its recommendations to the Secretary for Transport and Housing in October 2011. A draft law governing such sales was published in November 2011 for a two-month public consultation.

Estate Agents

The vast majority of residential property transactions in Hong Kong are conducted through estate agents. Individuals or companies engaging in estate agency work are required to possess licences issued by the Estate Agents Authority (EAA). At the end of 2011, there were about 34 700 individual licence holders and about 2 700 company licence holders. The EAA's main functions include the issuing of licences, promulgating best practices, conducting inspections, investigating complaints, imposing penalties on licensees who break the rules, providing training and promoting consumer education.

The practice and conduct of estate agents are governed by the Estate Agents Ordinance and its subsidiary legislation.

Websites

Transport and Housing Bureau: www.thb.gov.hk

Hong Kong Housing Authority/Housing Department: www.housingauthority.gov.hk Hong Kong Housing Society: www.hkhs.com