At the start of 1999, a licensing regime for the estate agency trade came into effect.
There are two licence types for individuals: an estate agent's licence, which is required to operate a related business, and a licence for a salesperson, who is only allowed to perform estate agency work for a licensed estate agent.
The industry is overseen by the Estate Agents Authority (EAA), an independent statutory body established in November 1997 under the Estate Agents Ordinance (EAO). Its principal functions are to regulate the practice of estate agency in Hong Kong, promote integrity and competence within the industry, and facilitate training for agents to enhance their standards and status.
The EAA organises qualifying examinations, issues licences to individuals and companies, handles complaints against licensees, conducts compliance inspections and hands out disciplinary sanctions to practitioners who have breached the EAO.
To be granted a salesperson's licence or an estate agent's licence (individual), an applicant must be 18 years or above, have completed Form Five or an equivalent educational level, and have passed the relevant qualifying examination in the 12 months immediately prior to applying.
Factors that could disqualify individuals would include: being an undischarged bankrupt, having a serious mental disorder, or prior criminal convictions for acting fraudulently, corruptly or dishonestly.