Real Estate Talk:
When a broker drops the ball
What to do when your broker doesn’t do what should be done
By Joseph Marovitch
Updated June 26, 2019
You sold your home without warranty, or so you thought. You inherited the house from your aunt who passed away. Your aunt lived in the house for sixty years and she was 92 when she passed. So, you inherit the house and decide to sell it. However, you don’t know what condition the house is in and you don’t believe your 92-year-old aunt kept it up to date. You rightfully decide to sell the house without warranty. The broker states in the listing that the house is being sold without legal warranty. You receive an offer you are willing to accept and do so. Signing takes place and the house is sold. A month later, the buyer calls you to say there is a crack in the fireplace lining which allows smoke to enter the house and they want you to repair the problem or compensate the buyer so they can repair the problem. You say, “Hold on a second. I sold the house without warranty. It is not my problem”.
Guess again! The deed of sale does not indicate the house is sold without warranty because the notary was not made aware to place such a clause. The notary was not aware because the broker did not ensure the “Sold Without Legal Warranty” clause was indicated in the promise to purchase, counter offer or any of the amendments which he/she should have done so.
You’re selling your house and the broker tells a prospective buyer that his client already purchased another home and must move in soon. With this information, the buyer comes with a low-ball offer, knowing the seller is under pressure. The broker must keep all information received from his client confidential.
Most (brokers)… are ethical, lawful and knowledgeable… However, like everything else in the world, there is human error, fraud, negligence, criminal negligence, and the list goes on.
In the previous two cases, the seller lost money through no fault of their own but rather due to the negligence of their broker.
There are hundreds of real estate agencies and there are thousands of real estate brokers. Most, we assume, are ethical, lawful and knowledgeable and will do everything in their power to serve and protect your interest. However, like everything else in the world, there is human error, fraud, negligence, criminal negligence, and the list goes on.
When you have a problem with a broker and you feel you were not treated properly or your best interest was not their best interest and therefore you lost money or a sale or purchase, there is an organization you can call that will help.
The OACIQ (Organisme d’autoréglementation du courtage immobilier du Quebec) is the organization mandated by the Quebec Government to regulate and enforce the Real Estate Brokerage Act. In effect, the OACIQ oversees the actions of all real estate brokers to protect the public.
‘… the OACIQ oversees the actions of all real estate brokers to protect the public.’
There are six steps of the OACIQ that assist and assure your protection:
This is your first point of contact before, during or after an issue has taken place. Info OACIQ will direct you to the appropriate department depending on the issue.
The office is open Monday, Tuesday, Thursday and Friday from 9 am to 4 pm.
On Wednesdays, the office is open from 10 am to 4 pm.
They may be reached at firstname.lastname@example.org or 450-462-9800 / 1-800-440-7170
Assistance Department (AD)
The assistance department allows you to report any problem involving a real estate broker. The AD may settle the dispute or call upon other resources depending on the severity of the issue.
The Syndic investigates violations of the real estate brokerage act by brokers or agencies. If there is evidence of an ethical violation, the Syndic will file a complaint with the discipline committee.
Upon investigation, the discipline committee has the authority to implement penalties such as fines, insist that the broker takes specific courses, or remove the broker’s licence.
Real Estate Indemnity Fund (FICI)
The FICI provides financial compensation to consumers who are victims of fraud, dishonest behaviour or misappropriation of funds.
The FARCIQ provides financial compensation to consumers who are victims of unintentional fault, error, negligence or omission
When considering a broker, it is a good idea to check the broker’s record to see if they have ever been disciplined by the OACIQ. Go to oaciq.com/en and click at the top of the page where it says “Check a Broker’s Record”.
Should you desire further information on the OACIQ, go to oaciq.com
‘When considering a broker, it is a good idea to check the broker’s record to see if they have ever been disciplined by the OACIQ.’
Should you have questions or comments, please refer to the comments section at the bottom of the page. As well, to view past articles, go to the search link and type in Joseph Marovitch.
Have a great week!
State of the market
June and July are great months to show a property in terms of presentation. Properties always show best in summer. The colours are bright and vibrant, and the air is warm and tropical. There is still an audience to view the property. The only drawback is that time is short. By the middle of July until the end of August, buyers are away or occupied with summer vacation. There may be a few buyers, but the market is a little slower during the summer holidays. This is why the month of June and July are best to make a push with ads, emails and open houses. If the property is priced properly based on the market and the property’s current condition, it should sell.
Read also: other articles by Joseph Marovitch
Joseph Marovitch has worked in the service industry for over 30 years. His first career was working with families from Westmount and surrounding areas, hosting children between the ages of 6 to 16 as the owner and director of Camp Maromac, a sports and arts sleep away summer camp established in 1968. Using the same strengths caring for the families, such as reliability, integrity, honesty and a deep sense of protecting the interests of those he is responsible to, Joseph applies this to his present real estate broker career. Should you have questions please feel free to contact Joseph Marovitch at 514 825-8771, or email@example.com