MANAGING RESIDENTIAL STRATA-TITLED PROPERTIES IN SINGAPORE: MANAGING AGENT OR IN-HOUSE MANAGEMENT TEAM?

Abstract

This dissertation considers whether it is more effective to employ a managing agent or an in-house management team to manage residential strata-titled properties in Singapore. While this is not a totally new area of study, there has been a drastic lack of research and study for the past ten to fifteen years on this issue The findings in past publications examined by the writer may have been relevant during the time that these papers were written; however, legislation, market sentiments as well as socio-economic conditions have changed vastly since then. As the number of residential strata-titled properties in Singapore is constantly increasing, it is timely to reexplore the mode of management of such properties. The research methodology employed for this purpose is a case study of two residential strata-titled properties. Information was gathered mainly through interviews with the property managers and chairpersons of the management council; in this regard, one estate is managed by a managing agent and the other is managed by an in-house management team. Interviews were also carried out with various professionals in the real estate industry to solicit their professional opinion on the issue. The objective of this paper is not to decide whether one system is better than the other but to critically examine the advantages and disadvantages of each system. Suggestions are also made to explore the possibility of incorporating the advantages of each system into the other. Finally, solutions are offered to some of the disadvantages arising in each system.