Real Estate Professional forum is the place for positive industry interaction and welcomes your professional and informed opinion.

B.C. to end self regulation of real estate industry after damning report

Notify me of new replies via email
Real Estate Professional | 29 Jun 2016, 05:13 PM Agree 0
British Columbia is ending the self-regulation of the real estate industry in a move Premier Christy Clark says is aimed at protecting consumers
  • Shahla Ashtari | 29 Jun 2016, 05:31 PM Agree 2
    Ontario should also do the same. Acting as dual agent is wrong and should be prohibited.
    Let's move on a protect those honest and hard working agents in our industry.
  • Bogdan Poprawski | 29 Jun 2016, 05:39 PM Agree 0
    Agents in the dual agency situation are also honest and hard working ...
  • | 29 Jun 2016, 05:45 PM Agree 0
    In the commercial side of the business, the majority of transactions are done with one agent/broker. Take for instance the case in which an agent/broker represents a tenant and negotiates directly with the landlord. This system has worked extremely well for many years. Is one now supposed to pick an agent/broker to represent the landlord? He does not want one nor does he need one!
    Michael Schuler
  • | 29 Jun 2016, 05:52 PM Agree 1
    Multiple Representation, no such thing as duel agency. Sad that we can't even get the language correct let along represent both sides of the transaction
  • Shame | 29 Jun 2016, 05:52 PM Agree 1
    Multiple Representation, no such thing as duel agency. Sad that we can't even get the language correct let along represent both sides of the transaction
  • Mike | 29 Jun 2016, 05:55 PM Agree 1
    yeah since the general public phones the number on the "sign" then who will represent the buyer? Well in the regulators eyes "some other agent" will unfortunately that is not how the public wants to use a realtor

    so what will happen is that we can still "double end" but now we can't represent the buyer and can only represent the seller

    what will result is that in many cases NO ONE will represent the buyer

    THE CONSUMER WILL BE LESS PROTECTED and there will be an unsaid push to only look after only seller

    and guess what - in small markets there is only one agent - how will that work?

    ridiculous

  • | 29 Jun 2016, 06:11 PM Agree 1
    representing both parties works just fine ( as long as both parties are in full acknowledgement ) but if agents are not allowed to represent both
    parties then most agents will partner up with another agent as a ghost agent ( for a fee ). Thus nothing really will change. They should stop trying to change the system that has evolved into one of the best in the world and look at the quality of work that is being produced because of all the recent changes.
  • RB | 29 Jun 2016, 06:40 PM Agree 0
    Dual agency is not the issue. If you are honest and have integrity and both parties have the opportunity to have their lawyers review the deal it protects all parties.
    The issue is character and greed.
    There are 1000s of deals where both parties were represented by the same agent, with positive results. A few bad apples should not ruin the industry.
  • Koka | 29 Jun 2016, 06:52 PM Agree 0
    If your honest and hard working dual agent is perfectly fine. This is liberal bs in the working. So if your a great agent and have clients to buy you cannot sell your own product. Shear bullshit !
  • Ambrose | 29 Jun 2016, 06:55 PM Agree 0
    Just forces single agents to get married
  • | 29 Jun 2016, 07:01 PM Agree 0
    No problem with these changes, a few bad Apples have tainted the industry. Changes will continue to challenge us.
    If the public wanted changes and we remain relevant and a higher standard of professionalism then bring it on.
  • Neil | 29 Jun 2016, 07:26 PM Agree 0
    Once again, government gets involved and burdens caused by the misdeeds of a few bad apples, mostly in the big City, are put on the shoulders of good, honest, hardworking agents around the province!! Why not just punish the "Bad Apples" instead of just giving them a slap on the wrist!!
  • Don | 29 Jun 2016, 09:41 PM Agree 0
    There is an elephant in the room and nobody wants to talk about it. These changes are more political spin from the Premier. In the height of the news frenzy she called Realtors GREEDY, GREEDY people. The Reality is the political spin is to take the public eye off the real issues of Foreign ownerhsip. Why? The Governement is GREEDY, look at the tax dollars being generated from the fast moving market. Tax dollars for all levels of government.

    Throw stones if you will at the industry but have the guts to address the real problems in this province. We should start with the GREEDY Premier she is a spin master and always has been.

  • Don D. | 29 Jun 2016, 09:43 PM Agree 1
    I've been a realtor for 40 years, and the only time I've been in court was me suing for a commission on an unlisted property I sold. I won. It's sad when the regulators, who usually have no selling experience, feel that the public has to be protected from the person they hire. In affect they are told "hire the realtor you want to sell your property, but him or the company he works for can't show it. It may be in your best interest to list with a different company so that the company you trust can show your property. And your selling realtor can't show anything listed with his company". Might as well put an end to putting up signs and doing any advertising. Eventually we'll be forbidden to discuss the property we list with any potential buyer! Perhaps it would be more appropriate to come down hard on the realtors that actually do harm to the industry, instead of continuously slapping their hands and allowing them to continue after they pay a paltry fine. The really successful honest realtor usually devotes his time 24/7 to assure that his clients get the best possible service, often at the expense of personal time, engagements, and relationships. I had one client get angry when he saw everything he had to sign to list his property. He said "obviously things have changed, and realtors can no longer be trusted. I'll go over all this with my lawyer and get back to you". Perhaps the regulators should learn how to better regulate and punish. As much as I've loved this industry, I'm glad I'm close to retirement.
  • | 29 Jun 2016, 10:47 PM Agree 0
    The changr will not apply to the landlord tenant relationship
  • Rob Johnstone | 29 Jun 2016, 11:08 PM Agree 0
    For the past couple of years I have had a policy to represent the first client that I sign. If that is the listing then the buyer goes to "Customer" status. If that person is the buyer then the seller becomes "Customer" or I get another agent to represent the seller. No problems so far.
  • | 29 Jun 2016, 11:25 PM Agree 0
    I've been selling real estate since the early 80's and rarely double ended sales until the last couple of years. It's a natural progression of the business as buyers seem to find the properties themselves on the internet instead of working with a realtor. They're under the impression that they will save money as they expect the broker to cut the commission since they're not working with an agent. And many say they dont want an agent and prefer to deal with the listing broker.
  • raj | 29 Jun 2016, 11:59 PM Agree 0
    yes the dual agency should be completely forbidden but the industry still has a loop hole how to act as a dual agent.there is no way the Govt. can protect the consumers. let us see how it works. every listing has a set offer presentation date which is coached by the agents to the sellers and who benefits yes the sellers what about the buyers, who is protecting them . it is one way traffic till the market falls which is very unlikely until then good luck buyers. the Govt must step in asap and do something about the market before it is too late and market will crash one day.Politician should sit down with Real estate professionals and find way out to control the market. they have no idea what is going on in the market. Baby boomers don't want to buy houses and can not afford at all so who is driving this market crazy i.e foreign investors. how much Canada can rely on these 20% foreign investors. that is what they have to think about and act fast.
  • Geoff | 30 Jun 2016, 06:15 AM Agree 0
    Working in a dual agency capacity should not be an issue if an agent is acting as an agent and providing their fiduciary obligations to both parties. I have brokered a few very successful dual agency deals and both parties walked away very happy as I was able to create a win win win for all parties in the transaction. A good agent should know when to tell a 3rd party to a deal to find their own representation as your radar goes off that the people coming the transaction are the potential problem. I maintain a high level of ethics and duty of care to all parties in my transactions and I am not sure what these few agents in BC were doing to upset the balance but perhaps those cases should be more closely examined to see what breaches in ethical protocol were made before passing judgement on us all.
  • Keith Pushor agent | 30 Jun 2016, 09:16 AM Agree 0
    Problems arise in dual agency transactions not because of the current dual agency model, but because of the skill and knowledge level, or lack thereof, of the particular agent involved. Stop the slash and burn approach of trying to do away with dual agency, and start looking at increasing the training and accountability of problematic agents!
    -KP
  • Cory | 30 Jun 2016, 09:18 AM Agree 0
    Most Realtors are honest, and ethical, however we all know that we have come across some that aren't. When they are reported, and I understand many aren't (as it is such a process without a rewarding positive outcome), we shake our heads when they are back out working again after a fine or short suspension. We have had so many surveys come to ask us if we thought rules should be tighter and ethic standards held higher. I believe most of us thought they should. How come it hasn't happened? Where did the Council fail? Why did they not take a stronger stance on unethical Realtors and Brokers when we wanted it? Did we as Realtors not report the bad apples enough? I think this is where we really need to look. It has now got to the point that the government has to take control, which is understandable with these circumstances, but I don't like it or trust that the government will do this properly. I think this is change that is needed. It is just too bad we couldn't make our system work well on our own.
  • Tony T | 30 Jun 2016, 09:35 AM Agree 0
    The whole RE industry is a complete joke in Canada. Starting with "Sold over asking" BS marketing on properties that are listed well under market value in the first place. Buy now or never. FOMO. Real estate always goes up. Yadda Yadda Yadda. This market is in such a bubble from RE Ponzi schemes , shadow flipping , fake offers , forged offers, fake buyers, politician kickbacks ( Christy Clark BC ) , buyers from China listing occupation as student buying $31 million mansion ( true story ) and foreign money laundering jacking up prices, its going to be an epic bubble popping where the last buyers in the market get completely wrecked and bankrupted for life.

    Just hashtag search some of these listings in Vancouver #VanRE ..... make sure you are sitting down LOL
  • Harry | 30 Jun 2016, 11:06 AM Agree 0
    I have been in this business since the early 80s and the most successfully least complicated deals are the ones I do myself the less people involved in a transaction the less complicated it is. there is nothing wrong with dual agency as long as you remember in order to make a deal is has to be fair to both parties. I just make sure that they both understand the transaction they are getting into, and they are happy.
  • Susan | 30 Jun 2016, 01:10 PM Agree 0
    to bad our real estate business has been ruined by greed and sleazy business practising, and our board just worries about our courses
    for renewal of our licence. Is anyone minding the store while all the low lives are ruining a great business and our jobs. Now we will have
    political types make the rules and start messing with our business and will that change the price of a house in Vancouver????
    And most of all were are all the folks that agree to have so many empty homes stand around in the city and it is everywhere, much more than we think, come on If you purchase a home in B.C. you should have to live in it or rent it out so that it is occupied, or it should fall
    into a different slot and should be taxed differently. We have been invaded by all kinds of business practises that are not part of what I was told when I became a realtor speak to you clients in person take care on all fronts make a deal for buyer and seller and everyone has a great experience and is a happy client. Now you get an E mail no contact with anybody and a barrier with speaking English wow it has changed you might as well sell to a Martian you would maybe like there business practice better.
  • Andrew | 30 Jun 2016, 03:22 PM Agree 0
    StopStop letting foreigners own more than one property zoned residential n BC. Problem solved.
  • solomon | 30 Jun 2016, 03:48 PM Agree 0
    it would be stupid of them to prohibit dual agency. 90% of commercial transactions are done by way of dual agency. what are they going to do about that?
  • Yi Pang | 01 Jul 2016, 08:27 AM Agree 0
    Dual agency is nothing wrong if you follow the rules and it is now a false scapegoat. Self-regulation in most industries has had a negative impact both on consumers and members. The government has to step up and regulate systems. The main problem in BC are unlicenced individuals who own brokerages and teach their agents to "con" sellers by making them accept lower offers, contrary to the law, only to have the agent flip the home again to offshore foreign buyers. The biggest problem Canada faces are foreign buyers who are hiding ill-gotten gains, corrupt illegal money in Canadian real estate. It does little for our economy. Tightening mortgage rules only penalises Canadians as foreign buyers are paying all cash (cash that was illegally gotten in the first place).
  • Tony | 01 Jul 2016, 10:03 AM Agree 0
    Yi Pang, well said...its all Foreign Money in Canada causing problem #1 . Stop that completely or tax the hell out of it and everything else will normalize fast. Who cares if theres a correction for a while, thats life. Idiots that buy when they know the market has already gone up a ton, shouldnt be buying in the first place. If they get whacked , too bad.

    Bubbles have to be popped or it gets worse.

    Vancouver up over 30% YOY ?? Does anyone actually believe that was caused by local buyers with salaried jobs ? Move up buyers ?? LOL!

    Only foreign money can move a market that fast, that big. Lets get real here folks. Enough with the BS excuses about not enough land, low rates, etc. Canada is a money laundering target because of crooked government as well! They are just as much criminal . i.e. Christy Clark!!
  • | 03 Jul 2016, 02:50 PM Agree 0
    Commercial real estate has been self regulated for decades with no issues. Residential real state on the other hand, definitely can use added regulations as it is going out control in Ontario and BC. removing dual agency from the formula is defiantly not the solution. Let's look more carefully into assignment of purchase agreement prior to completion date, as a major source of price inflation.
  • | 03 Jul 2016, 03:10 PM Agree 0
    Yes, I agree
    Why paint all realtors with the same brush.....
  • Thank God Change is Coming | 03 Jul 2016, 03:57 PM Agree 0
    Dual Agency: Despite all the talk above. Dual Agency (aka double-ending) is speculative and suspicious. It is not a 'best practice' type of legal transaction. Double ending leaves an element of doubt for the lifetime of the ownership, no matter how 'good' or 'reliable' the so-called realtor is. As noted above---Double-ending has the potential to lead to problems, in the moment and in the future. Realtors shouldn't rely on double ending to live on. Just list a house. Or sell a house. Get over the fact that you want or need to double-end it. Do laywers represent the same client/party? Prob not. Why? It's self-explanatory.
    Changes: No one likes changes and once again, more smoke and mirrors from realtors (above) saying that the changes will cause more problems. Life is full of problems. Status quo or changes. Doesn't matter.
    Conflict: Always easy to judge the premier of BC. That one's too easy. Changes are coming and the premier, either a he or she is the conduit for which the changes will go through. It's not her decision alone. It's the public (blame our neighbour, your co-worker)--that are looking forward to change. (and deserve it)
    Same Brush: Yep. Seems the way life goes. All get painted the same brush. Dads are painted with same brush. Teacher are painted with same brush. Dentists painted with same brush. So, too and so should be the realtors--painted with the same brush. If you want to be a realtor, get used to it. You're as good or as bad as your fellow realtor.
    Greed: Yep. That exists. The commissions don't need to be so high. Once changes happen? That may change, too. Greed got the commissions to that rate. It's like a union. Somehow? The commission amount got to what it is. For no good reason. Just reasons. Not necessarily good ones.
    Time Spent as a Realtor: Stating you've been in business since 80's or since the 70's, for for 25 years, or for whatever term--means nothing. Absolutely nothing. It's a marketing scam realtors all use, though. It's a phenomenon that people seem to think means something. Just because a teacher is a teacher for 25 years doesn't mean they're good. Just because a dentist is a dentist for 30 years doesn't mean he/she is good. Just because a realtor has been practicing real estate for 38 years...doesn't mean a thing.

    _____
    Thank God change is coming.

    The fact that realtors fight it and are going to fight change?

    Speaks for itself.


    A Canadian Citizen
  • Shahla Ashtari | 03 Jul 2016, 11:30 PM Agree 0
    I know few agents in Toronto who list the property on MLS and hold on to the listing and waiting until they have their own buyer.
    They ignore the other agent call and their offer, All they care about is to make more commission by representing buyer and seller in a transaction.
    Ontario should do the same as BC to prohibit dual agency.
    Ontario should do the same as US agent, agent list property for 6% commission, 3% to the buyer agent, 3% to the seller agent , and in this case, agent will not even want to be involved in a dual agency. Agent in US have equal percentage of commission and each agent protect their own client in a transaction to the best of their ability not for just the higher commission.
    Agent acting as dual agent, will never be with the equal fairness to the buyer nor to the seller in a transaction.
  • Shahla Ashtari | 03 Jul 2016, 11:43 PM Agree 0
    This is not true that 90% of commercial transaction is done through dual agency. I do sell commercials, and for the past three years all my listings were sold through other brokerages.

  • BunnyTone | 04 Jul 2016, 02:09 PM Agree 0
    Precisely Ashtari & Shame, much higher education level and more law society like separation of representations will protect the honest agents and the public. Honest agents with real knowledge are hard to come by, interesting they mostly hide in large national commercial brokerages with more in-depth vetting system, and most have training programs with pay in place for the newbies, and most of these are dealing with professional landlords with adequate legal representations, and NOT replying on the RE agents for representations.
  • BunnyTone | 04 Jul 2016, 02:14 PM Agree 0
    MR is a huge issue. It is heavily regulated and investigated for very good and precise reason that it is a venue for massive abuse, and that is the simple reason that NO lawyers are allowed to represent both Buy & Sell for property over $10,000 in Ontario. Does anyone see this clearly?
  • Roddie | 04 Jul 2016, 03:51 PM Agree 0
    In MR, Buyers and/or Sellers don't know they are getting screwed in the transaction. More over I see the buyers getting screwed for paying a ridiculous amount for an over priced property. The agent doesn't care about the buyer in the transaction, only cares about the big commission check for the double end. Lets be serious, there is no honest and hard working in MR, your clouded by the extra commission.
  • Andrew - Homeehood | 07 Jul 2016, 11:10 PM Agree 0
    If the agent follows the rules of dual agency and both parties need to agree to that relationship in writing then what is the problem? If someone is dishonest, then they will find a way to manipulate the situation. Ideally, every party in the transaction should have their own agent, but we live in a free society where people are allowed to make their own choices. I have personally had many buyers refuse to hire their own buyer agent even after I suggested it would better help them to get what they want.
Post a reply