Vancouverites see their market as a haven for corruption

by Ephraim Vecina on 17 Dec 2018

With ample reports of porous regulation facilitating large-scale money laundering by foreign entities, it is a foregone conclusion that Vancouverites would have a decidedly less-than-rosy view of their real estate sector.

A new study by Transparency International Canada found that 37% of respondents in the Metro Vancouver region characterized the real estate market as “extremely corrupt”. In contrast, only 15% of Western Canadians outside Vancouver registered such sentiments.

The current regulatory regime has paved the way for unscrupulous foreigners to take advantage of the gaping loopholes, Transparency International Canada executive director James Cohen said.

“Within Vancouver [specifically] you just have a particular relationship of criminal elements working that have found the luxury market [and] who have found market overseas to bring that money in,” Cohen told CBC.

Read more: CMHC pushing for better fraud detection mechanisms

And while measures like stiffer penalties and stronger law enforcement are steps in the right direction, the most important step is admitting that a problem exists in the first place, Cohen stated.

“We would never say that there’s a silver bullet solution to solving this. It takes a number of steps.”

Late last week, B.C. Attorney General David Eby acknowledged the issue in a keynote speech for Transparency International Canada.

“Money laundering has been ignored for too long and it is hurting our communities,” Eby said. “Our government is fighting money laundering on several fronts, including casinos and real estate, and its ties to organized crime, gang activity and violence.”
 

Post a Comment

Most Trending News

Strategies to Predictably, Reliably Grow Your Real Estate Business
News

This 7-day free masters summit will provide you with all the tips and tricks you need to get started in real estate investing, how to expand your real estate portfolio, and much more.

Read More
June virtual conference promises to turn agents into millionaires
News

“The easiest way to prove to people you can help them is to just start helping them, no strings attached,” said Craig Proctor, the master realtor who revolutionized the team concept.

Read More
Lead Gen Masters Summit
News

Are you struggling to obtain new, qualified leads as a real estate professional? Merged Media is hosting an online conference on May 13th to discuss digital marketing tactics to grow your portfolio.

Read More