Well Protected With Your Real Estate Broker
Buying or selling a home is a major event. All the more reason to use a professional who offers increased protection at all stages of the real estate transaction.
The Real Estate Brokerage Act
In Québec, the practice of real estate brokerage is regulated. As a result, all brokers are subject to the Real Estate Brokerage Act. Similar to the Consumer Protection Act, this law provides mechanisms that protect buyers or sellers who are involved in a real estate transaction with a broker. It applies to individuals and companies who are engaged in a brokerage operation.
The Organisme d’autoréglementation du courtage immobilier du Québec
The Organisme d’autoréglementation du courtage immobilier du Québec (OACIQ) is responsible for the application of the Real Estate Brokerage Act and for determining the profession’s practice conditions. The OACIQ also administers the exam that all real estate brokers must take at the end of their training, and issues the brokerage licence to practice. It is responsible for accrediting all of the courses offered as part of the mandatory continuing education program that brokers are subject to. Its mission is to protect consumers by overseeing the profession adequately.
A real estate broker’s professional liability insurance
Real estate brokers must have professional liability insurance through the Fonds d’assurance responsabilité professionnelle du courtage immobilier du Québec (FARCIQ). This insurance provides additional financial protection to consumers in the event of error, unintentional fault, negligence or omission.
The Real Estate Indemnity Fund
Real estate brokers are required to contribute to the Real Estate Indemnity Fund. Affiliated with the OACIQ, the Fund was established to compensate consumers who, in the course of a real estate transaction, become victims of fraud, dishonest tactics or misappropriation of funds.
A real estate transaction is complex and it is understandable that buyers and sellers may need reassurance. Doing business with a real estate broker is the first protection that should be taken.