Real Estate Council of Alberta enacting new regulation July 1 CALGARY – The Real Estate Council of Alberta is introducing a new regulation that will affect how consumers buy homes through a licenced real estate professional in the province. Effective July 1, consumers who are buying or selling residential property and are clients of Alberta real estate professionals will be asked by their real estate professional to sign a written service agreement. While this has long been the standard practice for sellers of residential real estate, it will mark a significant change for buyers who have not often been asked to sign a Buyer Representation Agreement, said the council, which says the new rule will enhance consumer protection. Kevin Clark, council chair and a Calgary realtor with more than 35 years of experience in the industry, said the decision was not a sudden one. “We’re always working to enhance the experience between Albertans and licensees,” said Clark. “That’s the fundamental of what we’re doing and there’s no particular reason as to the why now other than it’s come to this point.” Other provinces such as Ontario, British Columbia and Quebec have similar regulations, added Clark. The Real Estate Council of Alberta, is the independent governing authority that sets, regulates and enforces standards for real estate brokerage, mortgage brokerage, property management and real estate appraisals professionals in the province. The council said the primary reason why it is introducing written service agreements between residential real estate professionals and all clients is to ensure clients are informed about what they can and should expect from their relationship with their authorized industry professional. The written service agreement will define the relationship between the parties; explain the services to be provided by the brokerage; explain the obligations and responsibilities of the parties; provide consent for the collection, use and distribution of personal information of the client; and outline the method of calculation of renumeration or how the industry professional will be compensated. “The benefit is to bring the communication of expectations to constantly closer and closer meet reality,” said Clark. “It’s a communication of clarity more than anything. It clarifies the relationship between the two parties.” RECA has 14,714 members. Last year, according to the Canadian Real Estate Association, there were 66,080 residential MLS transactions in Alberta. Total residential MLS sales in the Calgary region were 30,544, according to the Calgary Real Estate Board, which has about 5,000 realtor members.
Posted on: Sun, 22 Jun 2014 20:28:48 +0000
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