For the Record: September 2026

Submitting your renewal application on time and ensuring it is complete can help avoid processing delays and interruptions to your registration.

So far this year, 11% of registrations have lapsed because a renewal application was not submitted before the registration expiry date.

To help you stay on track, RECO begins sending renewal reminders 60 days before your registration expires. If your renewal is approaching, make sure you allow enough time to complete all questions on the form, gather supporting documentation and submit your application before the expiry date.

One common cause of delays is incomplete applications. Year to date, 13% of applications have been submitted with missing information or supporting documentation. In fact, applications with deficiencies can take more than 10 times longer to process than applications that are complete with all supporting documentation.

To help ensure a smooth renewal process:

• Watch for RECO’s renewal reminders starting 60 days before your registration expiry date.
• Complete your continuing education requirements well in advance. Courses can be completed at any time during the two-year registration cycle.
• Review your application carefully before submitting it and ensure all supporting documentation is included.
• Ensure your contact information is up to date. It is your obligation to update your contact and registration information with RECO within five days of the change.
• Consult the Registration FAQ for guidance on registering with RECO, including initial applications, reinstatements, renewals, transfers, terminations, updating profile details, and filing mandatory disclosures.

A little preparation can go a long way in helping you avoid delays and maintain your registration without interruption.

Compliance issues often start with everyday interactions, from communication and property details to documentation and professional judgment.

Based on data and trends observed in 2026 to date, RECO has identified several recurring themes in consumer concerns. The most common complaint areas include:

• Unprofessional conduct/communication
• Misrepresentation of property information
• Competency – skill, judgement, and providing opinions

RECO has developed seven practical reminders to help real estate agents strengthen their professional practice and support consumer protection.

Professionalism in every interaction. Act honestly, in good faith and in the best interests of your clients.

Disclose. Explain. Get it in writing. Ensure complete and timely disclosure to clients and to RECO where required.

Protect access, protect consumers. Protect property access and never share lockbox or entry codes without authorization.

Verify all advertising and property listing information before it is published. Confirm all pertinent facts independently to ensure accuracy and avoid misrepresentation.

Strengthen brokerage oversight through effective policies, supervision and record keeping. Active oversight helps prevent issues and protects consumers.

Cooperate fully with RECO inspections and investigations. Your cooperation supports a fair, efficient process and upholds public trust in the profession.

When in doubt, document your actions. Good records demonstrate professionalism and can protect your clients.

A property’s current or previous use as a short-term rental may affect its sale. Agents should recognize the issue early and ensure their clients receive the advice they need to make informed decisions.

In a case, 1351231 Ontario Inc. v. The King (2024 TCC 37), affirmed by the Federal Court of Appeal, the court found that GST/HST was collectible on the sale of a condominium used as a short-term rental. However, this does not mean HST applies to every property that has been rented through a short-term rental platform.

The challenge

Short-term rental history is not automatically a material fact in every transaction, but it may be relevant depending on the property, the client, and the circumstances. What counts as material is not the same for every client, so agents should understand their client’s interests and consider whether a property’s current or previous short-term rental use could affect the client’s decision-making.

• For sellers: Short-term rental history may have implications for tax treatment, lawful use, or the terms of the sale. A short-term rental history is not automatically something that must be disclosed to all buyers, but sellers should understand the possible implications before listing or entering into an agreement.
• For buyers: It may matter for reasons such as privacy concerns, intended use of the property, or other transaction-specific considerations.

The solution: Diligence and guidance

Agents should use available guidance and professional resources to help clients assess potential implications.

Where short-term rental use is identified, agents should consider whether additional information is reasonably required. Depending on the circumstances, this may include asking the seller or the seller’s agent for information including the nature, duration and recency of any short-term-rental activity, and reviewing reasonably available property records.

Agents should also recommend that clients obtain legal or tax advice when the issue falls outside the agent’s expertise.

Your obligation as a real estate professional

• Identify and explain material facts: You must take reasonable steps to uncover and explain facts that could influence your client’s decision. Short-term rental history can impact tax status, lawful zoning, or agreement terms. Additional resource for support: RECO Bulletin 7.3: Material facts
• Recommend professional expertise: Under TRESA, s. 11(1) of O. Reg. 365/22, you are required to advise clients to seek guidance from a qualified professional—such as a tax lawyer or accountant—when a matter falls outside your expertise.
• Ensure accurate representations: Make sure all marketing, listing details, and transaction representations reflect the true status of the property.

Next in our series – breaking down the top 10 areas of inspection non-compliance – we’re highlighting the second most common deficiency to clarify the regulatory intent and provide practical tools to help you strengthen your internal controls.

The second most common deficiency identified during RECO inspections is the failure to maintain complete and accurate trade record sheets.

Trade record sheets are more than an administrative requirement. They are an important tool that helps a broker of record track transactions, monitor deposits, ensure required documentation has been obtained, and demonstrate compliance with regulatory obligations.

What RECO is seeing

During inspections conducted in 2026, RECO continued to identify recurring deficiencies related to trade record sheets, including incomplete records, missing transaction information, inaccurate deposit records, and instances where trade record sheets had not been reviewed or signed as required. These deficiencies can hinder a brokerage’s ability to supervise transactions effectively and may create challenges when responding to consumer complaints, audits, or inspections.

In several recent inspections, RECO identified situations where brokerages relied on trade record sheets as a summary of the transaction, yet key information was missing or had not been verified. In some cases, required documents were absent from the trade file despite being noted as received. In others, deposit information recorded on the trade record sheet did not align with the brokerage’s trust records. These types of discrepancies can undermine a brokerage’s ability to demonstrate compliance and effectively supervise trading activity.

Learn the requirements

Trade record sheets are not simply a regulatory record. They are a key component of a brokerage’s compliance framework and an important tool for protecting consumers, supporting effective supervision, and demonstrating compliance with TRESA.

Watch this video for an overview of the requirements of trade record sheets in real estate transactions.

In the next issue of For the Record, we will examine the third most common deficiency: trust account maintenance.