Home buyers and sellers FAQ

What happened to iPro Realty Ltd.?

Prior to a scheduled inspection, iPro identified to RECO a multi-million-dollar shortfall in iPro’s trust accounts. These funds — consumer deposits and commissions — should have been securely held in trust. Instead, they were misappropriated. This represents a serious and unacceptable breach of trust by iPro’s leadership and a violation of their legal obligations under Ontario law.

RECO’s focus is on safeguarding the interests of all impacted home buyers and sellers as this matter is resolved.

Steps RECO has taken to protect the public:

• Frozen iPro’s accounts to stop any potential for further misuse of funds, preserve what remains, and protect funds yet to be deposited.
• Directed affected consumers and agents to file insurance claims to ClaimsPro LP under RECO’s professional liability insurance program, ensuring there is a structured, fair process for payments.
• Worked with the insurer to expedite the insurance review process, protecting buyers, sellers, and agents.
• Commissioned an independent and comprehensive audit (conducted by Dentons Canada LLP) to fully examine what occurred and to ensure accountability. The findings will be made public later this fall.

The first consumer claims have begun to be paid. ClaimsPro LP will continue to process claims and will be in touch about your claim form as soon as possible.

I’m a consumer with a pending home purchase or sale through iPro. What should I do?

Home buyers and sellers with an iPro transaction need to file a claim form as soon as possible. Here are the next steps to take:

1. Please complete this Consumer Deposit Insurance claim form.
2. Send the completed form to insurance@reco.on.ca, with the closing date in the subject line.
3. After your claim is received, RECO will forward it to ClaimsPro LP, the claims adjuster. A ClaimsPro LP representative will contact you—or your lawyer—directly.

Who is ClaimsPro LP and why are they involved?

ClaimsPro LP is the insurance claims adjuster for the professional liability insurer.

How do I find out if my deposit was held by iPro Realty Ltd.?

Your agreement of purchase and sale would identify where the money was to be held. Ask your agent to help you to confirm the terms of the agreement. Alternatively, your legal representative can assist you.

Will consumers lose their deposits because of the freeze?

The freeze was put in place to safeguard funds and secure business operations. This is now an insurance process, and we urge anyone with consumer deposits to file a claim.

How long will the claims process take?

The claims adjuster and insurer understand the urgency of this matter for everyone affected. The first consumer claims have begun to be paid. ClaimsPro LP will continue to process claims and will be in touch about your claim form as soon as possible.

Once your form is submitted, ClaimsPro will reach out to you (or your lawyer) directly to guide you through next steps.

Is there a limit on how much insurance will pay out?

Yes. Deposit and commission insurance coverages each have a $4 million aggregate limit, with a maximum of $200,000 per individual (not per transaction). To learn more about Consumer Deposit insurance, please read Consumer deposit insurance FAQ: Protecting your deposit.

Can pending iPro transactions be moved to another brokerage?

No. Once an Agreement of Purchase and Sale is in place, it is a binding legal contract.

Due to the freeze order and trust account protections, pending transactions must remain within the insurance claims process. This preserves all trust monies and ensures they are distributed properly through a consistent, auditable framework.

What happens to buyer/seller representation agreements that listed iPro Realty Ltd. or one of its agents – are they automatically cancelled now?

If you have not yet signed a deal to buy or sell, your representation agreement will no longer be in effect, and you will have to sign a new representation agreement with a different brokerage.

Who should I contact if I need more help?

First and foremost, please contact the real estate agent you have been working with. If you have questions about the insurance claims process, please reach out to insurance@reco.on.ca.