RES exam question on Marketing & Advertising: Salesperson Kelvin is listing a condominium unit whose strata title shows 1,066 sq ft
Salesperson Kelvin is listing a condominium unit whose strata title shows 1,066 sq ft. The developer's brochure gave 1,130 sq ft, a figure that includes an aircon ledge and a void area. The unit is let to a tenant until next June. Which of the following statements is/are correct? (i) Since the brochure came from the developer, he may advertise 1,130 sq ft without checking further. (ii) The strata area of 1,066 sq ft is the figure to advertise as the unit's size. (iii) The existing tenancy is material to buyers who want to move in, so the listing should not conceal it. (iv) Since the tenancy ends next June, he need not mention it until a buyer makes an offer.
- A(i), (ii) and (iii) only
- B(ii), (iii) and (iv) only
- C(ii) and (iii) only
- D(i) and (iv) only
Show answer & explanation
Answer
C. (ii) and (iii) only
Explanation
Answer: (ii) and (iii) only. Advertise the verified strata area and disclose the tenancy; an unchecked brochure figure and a late disclosure both mislead.(ii) True. The strata area of 1,066 sq ft is the unit's size on its title, so it describes the property accurately.(iii) True. A buyer who needs vacant possession must know the unit is let.Rule: Advertisements must accurately describe the property and must not be inaccurate, false or misleading. Do not rely on unverified figures, and do not withhold material information in a way that misleads.Source: CEA Practice Guidelines on Ethical Advertising (PG 2/2011, version 2.0, 10 Dec 2020, current on cea.gov.sg at 1 Oct 2026), paras 3.1 and 3.2; Code of Ethics and Professional Client Care, para 12(4)(a) and (b)
Why the other options are wrong
- (i) False. The brochure did come from the developer, but its 1,130 sq ft includes ledge and void space and is not the strata area. Salespersons must not rely on unverified figures, so it must be checked.
- (iv) False. The end date is real, but leaving the tenancy out of the listing misleads buyers until the offer stage.
Study the concept behind this question: CEA Ethical Advertising Guidelines: What Every Property Ad Must Show
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