Is Your Realtor® for Real?
By law, any person trading in real estate must be licensed in the province in which he or she is working.
In Ontario, The Real Estate And Business Brokers Act, 2002 (the "Act") defines "trade" in Sec. 1:
"trade" - includes a disposition or acquisition of or transaction in real estate by sale, purchase, agreement for purchase and sale, exchange, option, lease, rental or otherwise and any offer or attempt to list real estate for the purpose of such a disposition, acquisition or transaction, and any act, advertisement, conduct or negotiation, directly or indirectly, in furtherance of any disposition, acquisition, transaction, offer or attempt, and the verb "trade" has a corresponding meaning;
The Act furthermore states that no person shall trade in real estate unless registered under the Act, and no unregistered person may receive payment for functions for which registration is required.
In plain language, this means that anyone who assists in the transfer of property from one party to another for pay is considered to be "trading in real estate" and, therefore, must be licensed. The only exemptions are lawyers and persons selling their own property.
The Real Estate Council of Ontario (RECO), http://www.reco.on.ca, is the regulatory body that is responsible for administering the Act in Ontario, and has an easy Registrant Search link on its site. There are also helpful tips and information important to every consumer.
Until next time, this is Realty News From The Hearth!