It has recently been brought to light that there are phantom property agents who are not licensed but still carry out sales like they do. They close the deal but submit the transaction through a licensed agent to claim the commission.

A few things puzzle me. My assumptions are, you can close a property deal on your own, i.e. it is not mandatory to go through an agent. Commission is paid separately, i.e. it is not factored into the price to be remunerated. Please correct me if I am wrong.

Firstly, sellers who Do-It-Yourself (DIY) are no different from unlicensed agents, which is allowed. Therefore, a phantom agent can act like a close "friend" to the seller and assist the property transaction. Is an unlicensed DIY seller asking advice and help from a friend illegal?

Secondly, why do you need to pay the commission to the company. Instead ......