La vente de votre maison à Montréal est un événement important de votre vie, et l'établissement du...
End of dual representation in real estate brokerage in Quebec: Bill 5 explainedsimply.
Have you ever wondered how it works when buying or selling a house with the help of a real estate broker? Well, recently there has been a new law in Quebec that prohibits real estate brokers from representing both the buyer and the seller in the same transaction for a residential property. But what is a residential property? It is a building with fewer than 5 units, including divided and undivided co-ownership, so this law does not apply to anything outside of that, such as commercial buildings. This new law is called Bill 5.
You may be wondering why this law is important. Well, it's because a real estate broker's role is to represent and protect their client's interests. However, if they represent both the buyer and the seller in the same transaction, it can lead to conflicts of interest. That's why this law prohibits this practice.
Furthermore, the law now requires a written buyer brokerage agreement to be signed between the buyer and the real estate broker. This allows the buyer to benefit from being accompanied in representation mode, personalized advice, access to market comparables, and being represented during negotiations. The real estate broker can also help the buyer draft a purchase offer to protect them. In the absence of a buyer brokerage agreement, you will be considered in "fair treatment" mode, so all brokers involved in your real estate transaction will be presumed to represent the seller and protect their simple and unique interests.
So, if you're looking to buy a house, it's important to understand these rules to make sure you are well-represented and your interests are protected.
At L'Équipe Tardif de Royal LePage Altitude, our goal is to be your long-term real estate planners. We are here to help you in all stages of your real estate purchase, and we ensure that you are well-protected by the law.
Don't hesitate to contact us for more information and to schedule a consultation without obligation