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SQESalespersons Qualifying Examination✓EAQEEstate Agents Qualifying ExaminationOne hard Part I question from each of several SQE topics, taken from our Hard Mode set: scenarios with several statements to weigh, the style that tests how the rules combine. The answer and a worked explanation are shown under each. No sign-up needed.
Which of the following statements about ratification of an unauthorised act are correct? (i) The person who acted must have claimed to act on behalf of the principal. (ii) The principal may ratify the terms that benefit him and reject the rest. (iii) Ratification can be implied from the principal's conduct, such as accepting the benefit. (iv) The principal should know the material facts when ratifying.
Why: Answer: (i), (iii) and (iv) only. (i) True. An undisclosed principal cannot ratify; the agent must have purported to act for him. (ii) False. The principal must adopt the whole transaction. He cannot keep the favourable parts and reject the rest. (iii) True. Ratification may be express or implied, for example by knowingly accepting the benefit of the contract. (iv) True. Ratification is effective only if the principal acts with full knowledge of the material facts (or clearly adopts the act whatever they are). Rule: Ratification requires an agent who claimed to act for the principal, a principal with capacity, adoption of the whole act, and knowledge of the material facts. It may be express or by conduct. Source: Syllabus 3.4.1.4 (ratification); EAA, A Study Guide to Estate Agency Law and Practice, Part 3; as at Oct 2026
Form 1 lists prescribed sources for the information in Part B of Part 1. Which statements are correct? (i) The unexpired term of the Government lease is taken from the Buildings Department. (ii) The saleable area may be taken from the Rating and Valuation Department. (iii) Particulars of current ownership and subsisting encumbrances are taken from the Land Registry. (iv) The user under the occupation permit may be taken from the Land Registry or the Buildings Department.
1,005 original SQE questions across 17 topics, including 466 Part II questions on 84 land searches and case studies, plus full timed mocks marked against 60% in each part.
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Start practising →Original questions written to the published SQE syllabus. Figures in the explanations carry their effective dates; check them against the current law before relying on them. Independent exam practice. Not affiliated with or endorsed by the Estate Agents Authority (EAA) or the examination administrator.
Why: Answer: (ii), (iii) and (iv) only. (i) False. The Government lease term and right of renewal come from the Land Registry. (ii) True. Item 2(a) is the saleable area provided by the Rating and Valuation Department; item 2(b) is the saleable area in the first assignment's sale agreement, from the Land Registry. (iii) True. Ownership and subsisting encumbrances come from the Land Registry, and a copy of the land search must be attached. (iv) True. The user under the occupation permit may come from the Land Registry or the Buildings Department. Rule: Form 1 prescribed sources are the Land Registry, the Rating and Valuation Department and the Buildings Department; the agent must state the date each item was obtained. Source: Estate Agents Practice (General Duties and Hong Kong Residential Properties) Regulation (Cap. 511C), Schedule, Form 1, Part 1 Part B and note 11, as at Oct 2026
The occupation permit and Government lease for a car park unit in Ho Man Tin permit parking only, but the owner has used it as a shop for years. A purchaser's solicitor raises a requisition. Which of the following statements are correct? (i) Use in breach of the permitted user may make the title defeasible. (ii) The purchaser may be entitled to refuse to complete if the vendor cannot show good title. (iii) The breach is cured once the shop has traded for more than ten years. (iv) A shop use always attracts a higher rate of stamp duty than a car park.
Why: Answer: (i) and (ii) only. (i) True. Breach of the user condition exposes the property to Government enforcement and re-entry, so the title may be defeasible. (ii) True. A purchaser is entitled to a good title; the courts have accepted that a real risk of re-entry may justify refusing to complete. (iii) False. Long use does not cure a breach of the lease. (iv) False. Stamp duty depends on the consideration and the scale applicable, not on whether the unit is used as a shop. Rule: Use contrary to the occupation permit or lease can make title defeasible and allow a purchaser to refuse completion. Source: Buildings Ordinance (Cap. 123), s.25; EAA, A Study Guide to Estate Agency Law and Practice, Part 5 (World Investment Ltd v Young King Asia Ltd [1996] 4 HKC 238); as at Oct 2026
Salesperson Peter Lai is selling a New Territories village house for Mr Tang. The Government grant prohibits sale within five years of the certificate of compliance, which was issued three years ago. Peter does not mention this to Mr Tang or to the purchaser. Which statement is correct?
Why: Answer: He breached the Code by failing to advise on a restriction he should have known about. Why not the others: - It is only the solicitors' job: Solicitors handle conveyancing, but the Code requires licensees to keep informed so they can advise responsibly and to exercise due diligence. - Only if the Lands Department acts: The breach lies in failing to advise, whatever enforcement follows. - Only paragraph 3.7.2: The direct breach is of the duties to be informed and diligent, not the general disrepute paragraph. Rule: Licensees should keep themselves informed of laws and essential facts so they can advise clients responsibly, and exercise due care and diligence. A restriction on alienation within five years of the certificate of compliance is such an essential fact. Source: EAA Code of Ethics, paragraphs 3.2.2 and 3.5.1; as at Oct 2026
Which of the following statements about Government rent under the Government Rent (Assessment and Collection) Ordinance (Cap. 515) are correct, as at October 2026? (i) It applies to land held under Government leases granted on or after 27 May 1985. (ii) It is charged on every Government lease in Hong Kong, whenever the lease was granted. (iii) An indigenous villager who has continuously owned a qualifying rural holding since 30 June 1984 may be exempt. (iv) The annual amount is fixed when the lease is granted and does not change with the rateable value.
Why: Answer: (i) and (iii) only. (i) True. Leases granted or regranted since 27 May 1985 are within Cap. 515, as are NT and New Kowloon leases extended under Cap. 150 and non-renewable leases extended since then. (ii) False. Cap. 515 applies only to those categories of lease, not to every lease. (iii) True. Indigenous villagers (or their male-line successors, tso or tong) who have continuously owned an old schedule lot, village lot, small house or other rural holding since 30 June 1984 are entitled to exemption. (iv) False. Government rent is 3% of rateable value and adjusts in step with changes in the rateable value. Rule: Cap. 515 Government rent = 3% of RV, varying with RV, for leases granted or extended since 27 May 1985 and extended NT leases; the owner is liable. Source: Government Rent (Assessment and Collection) Ordinance (Cap. 515); RVD, Government Rent (rvd.gov.hk), checked 11 Oct 2026; as at Oct 2026
In which of the following situations is the person outside the Estate Agents Ordinance’s licensing requirement for the activity described? (i) A solicitor negotiating the sale of a client’s flat in the course of practising as a solicitor. (ii) An owner who finds a buyer for her own flat and negotiates the price herself. (iii) A surveyor who values a flat for its owner and also negotiates its sale for a fee. (iv) An unlicensed person who introduces buyers to Hong Kong flat owners for a fee.
Why: Answer: (i) and (ii) only. (i) True. The Ordinance does not apply to things done by a solicitor in the course of practising his profession. (ii) True. It does not apply to a vendor acting in the disposal of her own property. (iii) False. Only work relating solely to a survey or valuation is excluded; negotiating the sale for a fee is estate agency work. (iv) False. Introducing buyers for a fee in the course of business is estate agency work and needs a licence. Rule: section 2(2) and (3) exclude, among others, solicitors, notaries, architects and practising accountants acting professionally, vendors and purchasers acting for themselves, and work relating solely to survey, valuation, auction or tender. Source: Estate Agents Ordinance (Cap. 511), s.2(2)(b), 2(2)(e) and 2(3)(a); as at Oct 2026
Mr Ho Kwok-wai complained about salesperson Ricky Fung, whose licence was then suspended. Ricky has appealed and notice of the appeal has been published in the Gazette. Mr Ho wants to be heard at the appeal. What does the Estate Agents Ordinance provide?
Why: Answer: Within 21 days beginning on the date the notice of appeal is published in the Gazette, any person may ask the Secretary in writing to be heard, and is then entitled to be heard or represented. Why not the others: - Applying to the Authority within 21 days of the decision: the request goes to the Secretary and the period runs from the Gazette publication of the appeal. - Only if invited: a person who gives notice in time is entitled to be heard. - No standing: section 31(3) gives any person this right. Rule: The Secretary publishes notice of each appeal in the Gazette (section 31(2)); any person may, within 21 days of that publication, request in writing to be heard, and is then entitled to be heard or represented (section 31(3)). Source: Estate Agents Ordinance (Cap. 511), sections 31(2) and 31(3); as at Oct 2026
Which of the following statements about advertisements for first-hand residential properties are correct? (i) An advertisement published with the vendor’s consent must state that fact. (ii) An advertisement may give a unit price based on gross floor area if saleable area is also shown. (iii) A printed advertisement with an artist’s impression must carry the statement specified in section 74. (iv) A printed advertisement must state the date on which it is printed.
Why: Answer: (i), (iii) and (iv) only. (i) True. Section 71(1); breach carries a fine at level 6 (HK$100,000). (ii) False. An advertisement must not give size or unit price other than by reference to saleable area (section 71(4)); breach carries a fine of HK$500,000. (iii) True. Section 73(7) and section 74 set out the artist’s impression statement. (iv) True. Section 73(6). Rule: Adverts state vendor consent where given, use saleable area only, carry the section 74 statement with any artist’s impression, and (in print) state the printing date, address details and the website address. Source: Residential Properties (First-hand Sales) Ordinance (Cap. 621), sections 71(1), (4)–(6), 73(2), (5)–(7), (12) and 74; as at Oct 2026