Led by an estate agent, Mr Tang viewed three flats in a row. The prices were within his budget but all the flats had only two bedrooms. In order to allow more space for his growing children, Mr Tang had hoped to find a three-bedroom flat. The agent then introduced to him another flat, calling it a bargain. It was priced about the same as the other flats but, according to the agent, had three bedrooms.
By the time they got to the flat it was already dusk. Mr Tang asked the agent why he did not turn on the lights to let him see more clearly. The agent's answer was, "There is no power! The tenant moved out six months ago and electricity supply has been cut."
It was getting dark and Mr Tang, racing against time, quickly walked through the whole flat. He opened two doors to inspect the rooms behind the doors, but when he got to the third door the agent said that he did not have the key to the room. He told Mr Tang that regardless of the size, it was a room after all. Seeing that Mr Tang was a little hesitant, the agent urged him to decide on the spot, and said that quite a number of prospective purchasers had also inspected the flat and were planning to make offers to the owner. Mr Tang thought it a chance not to be missed and signed a provisional agreement for sale and purchase there and then. It was only on inspecting the flat for the second time that Mr Tang discovered that there were only two bedrooms. It turned out that the third door opened to a very small closet. The flat was far from the three-bedroom flat he thought had purchased.
Leaving aside the question whether the agent had deliberately misled Mr Tang or he had been equally ignorant himself, Mr Tang's signing an agreement for sale and purchase without making a thorough inspection of the property no doubt provides a lesson for all property purchasers.
The Practice Regulation stipulates that the agent shall arrange for and accompany the purchaser to inspect the property (including common areas and car parking spaces, if any). To provide services in good faith and to protect his client's interests, the agent should also explain to the purchaser all the relevant information about the property so that the purchaser can make the appropriate decision.
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