Upcoming Changes to the Real Estate Rules
The Superintendent of Real Estate has announced new rules for real estate licensees that will change the way a real estate professional can provide service to consumers. I recently took a class at the Real Estate Board on how to comply with the new rules. I was pleased to find that most of my current practices are already in compliance with the new rules. Overall the rule changes will add more transparency to the Real Estate Community and require the Real Estate Community to adhere to higher standards.
The new rules will come into effect on June 15, 2018. Some of the rules are still being finalized. There will be some new forms that will need to be filled out when presenting offers and taking on new clients. We do not have the forms as of yet.
Under the new rules, real estate licensees will be required to:
- give consumers more information about commissions and fees — in particular, how the commission is to be divided between a listing brokerage and cooperating brokerage, or when there is no cooperating brokerage, retained by the listing brokerage;
- before working with consumers, inform them of the duties and responsibilities owed to clients and unrepresented parties;
- inform unrepresented consumers of the risks of dealing with a licensee who is representing another party to the transaction;
- only work for either the buyer or the seller in a single real estate transaction. Under the new Rules, dual agency, the practice of acting on behalf of both the buyer and seller on the same trade, will be prohibited except in extremely limited circumstances.
You can also go to the Real Estate Councils website at https://www.recbc.ca/licensee/superintendents-rules-information-for-consumers.html