PROBLEMS IN THE COLLECTIVE SALES PROCESS

Abstract

The excitement which was first brought about by the first residential Collective Sale of Cosy Mansion in late 1994 seem to have fizzled out amidst the weak market sentiment during the past year. Transactions accounted for by Collective Sales have dropped as most redevelopment sites fail to get any interested buyers. Such a phenomenon may be partly attributed to the state of the economy and the reduction of activities in the residential property market due to various reasons. The objectives of this research are to get an insight of the details involved in a Collective Sales process as well as to find out what are the problems that are hidden in between this process. The reason for this study was the slowing down of the Collective Sales market recently. As a result, an investigation into some of the factors that have given rise to difficulties in completing a Collective Sale transaction is made. Interviews were carried out to gather the necessary information on Collective Sales. Similarly, problems occurring in the process are addressed by categorising them into 4 parts. Results have shown that there are a large number of difficulties that will occur throughout the whole Collective Sales process. A major part of the problems can be said to be caused by human factors. They pose as great obstacles to completing the sales due to subjectivity of views.