For the RECOrd - March 2024

Legal corner

Due diligence required before listing a property with a basement apartment A recent disciplinary decision provides a good example that due diligence is required before listing a property with a basement apartment. Read about this real-life example in the latest topic of Legal Corner.

Read Legal Corner on RECO’s website for more real-life examples of misconduct resulting in disciplinary action. Search for Legal Corner articles using the Search function on RECO’s News page.

2023 Complaints trends

RECO enhanced its complaint categorization process in 2023 to leverage a broader set of data that will improve RECO’s ability to identify and monitor issues or systemic trends.

In 2023, the largest complaint category was Best Interest of Client (Fiduciary Duty). Complaints in this area may indicate a lack of understanding by some registrants of their obligations to protect and promote the best interests of their client. This can be seen in complaints regarding agent mishandling of the offer process, not disclosing fees or other payments they are receiving in relation to the trade, breaching confidentiality of the client’s information, or lack of due diligence.

In an effort to reduce complaints and achieve improved compliance, RECO will place extra emphasis on communications in this area.

We encourage all registrants to be familiar with the following RECO Bulletins with specific information that can help avoid misunderstandings that can lead to complaints:

• 1.1 Professional conduct
• 2.5 Confidentiality
• 2.7 Implied representation agreements
• 3.1 Disclosures, consents and acknowledgements
• 3.5 Conflicts of interest

RECO will continue to develop more information and education course content throughout the year to further support registrants.

Two for one: complete your 2024 Update Course requirements AND get current on TRESA

Registrants must fulfill their continuing education (CE) requirements. For 2024, complete it early AND get fully up to speed on TRESA at the same time.

This course is an authoritative resource on key impacts of TRESA. It offers an overview of the Phase 2 legislative reforms and focuses on how the changes impact real estate agents and their interactions with buyers and sellers.

Over 15,000 registrants have already completed the course – and they rate it highly:

• 98% said the course increased their knowledge in regulatory compliance and industry issues.
• 98% said that the course helped them understand the underlying course concepts.
• 90% recommended this course to other registrants.

The 2024 Update Course: Introduction to TRESA – is available on MyWeb and takes approximately three hours to complete.

How to display, print or download your RECO Registration Certificate

The MyRECO Certificate mobile app is being upgraded to ensure access on all mobile platforms. If you already have the app downloaded and operational on your mobile device, you can continue to use it, but updates or downloads are currently not available.

For those who cannot access the MyRECO Certificate mobile app, here is how you can demonstrate your registration with RECO:

• Display, print or download your RECO Registration Certificate on MyWeb.
• Display or print a confirmation of your registration using the Agent/Brokerage Search on RECO's website.

More choice is coming in Ontario real estate education

One of RECO’s key responsibilities is to set the education standards for real estate salespersons and brokers in Ontario.

Currently, Ontario has one provider authorized to deliver pre-registration education. Work is underway at RECO to allow for multiple, approved post-secondary institutions to deliver real estate registration education programs with a single exam provider delivering exams for learners across all providers.

This work is expected to continue through 2024 with the confirmation of approved providers, followed by program implementation in mid 2025. RECO will continue to update registrants as we complete this important initiative.

These changes will enable RECO to continue maintaining its stringent oversight of education standards, enhancing learner choice and education-provider accessibility, all while protecting academic integrity of its registration education program.

Have you read the latest RECO Bulletins?

RECO Bulletins are must-read publications to keep you up to date on your obligations in areas such as advertising, lockboxes and professional conduct. All bulletins can be found in one location on RECO’s website.

The newest RECO Bulletin is: 7.6 Hosting an open house.

Recent bulletins include:

• 5.1 Advertising requirements
• 5.2 Permitted terms
• 5.3 Advertising online
• 5.4 Advertising sold properties
• 5.5 Advertising compliance review
• 5.6 Advertising complaints from brokerages
• 6.2 Remuneration clause in an agreement of purchase and sale

Commission Protection Insurance

The professional liability insurance program administered by RECO provides Errors and Omissions, Commission Protection, and Consumer Deposit insurance coverage relating to the trade in real estate. Participation in the program is a requirement of registration under TRESA. Frequently asked questions and answers (FAQs) about commission protection insurance have been developed by Alternative Risk Services (AR Services), the broker for the insurance program administered by RECO. The FAQ is available on the AR Services website.

RECO's Annual General Meeting

Mark your calendar for RECO’s 2024 Annual General Meeting on Thursday, May 30, 2024, at 10 a.m.

Materials and registration information will be shared approximately four weeks prior to the event.

Contact information with RECO

Is your email current?

Receiving RECO email is a mandatory part of your registration.

Please be sure to keep your email current in the MyWeb personal information section.

You can expect to receive the following email:

• Reminders when your registration renewal is due (60/30/10 days in advance)
• Insurance premium invoice/payment notices (insurance is a requirement of registration)
• Education/course updates
• RECO Bulletins
• For The RECOrd newsletter
• Annual General Meeting notices/updates
• Technical issues/outages

Thank you for helping us keep you informed.