Bill 55 And What It Means for Buyers

17 June 2015

Bill 55 is coming to Ontario on July 1st, 2015.

Bill 55 states that when a REALTOR® is representing a seller, they cannot indicate that they have received an offer unless they have actually received a valid, signed, written offer.

What does that mean for Consumers? The Bill attempts to eliminate phantom offers. Phantom offers occur when the Listing Agent tells the Buyer’s Agent that they are up against one or  several offers.  The buyer, through his agent, then decides to bid more to get the property. When it’s all done you’re left wondering if there was really more than your offer on the table.

How do you find out? You contact RECO, that’s the Real Estate Council of Ontario and they will tell you how many offers and from which Brokerages. If you find out you’ve been lied to, you can then sue the listing agent for the extra money you paid on the property.

For the Listing Agent, they are now responsible for keeping all offers for one year, including unsuccessful offers, even in the case where there was only one offer happening. That is a lot of extra paperwork for the industry for a problem that rarely occurs and happens in just a few markets across Ontario.

If you want to read more on Bill 55 you can visit the  Reco Website