Guide
What BC regulator decisions teach buyers, sellers, landlords and tenants
BC's real estate regulator publishes its disciplinary decisions. Read enough of them and the same handful of problems keep showing up. Here's what they are and how to protect yourself.
Anyone working with a licensee in BC who wants to know what can go wrong, and what good practice looks like. These are patterns, not stories about any one person, and they're written in my own words.
- Most problems come down to disclosure, paperwork, money held in trust, supervision and advertising.
- You can check a licensee's status and read decisions yourself. See BC Financial Services Authority and BCFSA: real estate disciplinary decisions.
- Clear, written disclosure of who represents whom protects everyone. See BCFSA: disclosure guidelines.
- On commercial deals, Goods and Services Tax (GST) and corporate buyers add their own risks.
Pattern 1: The wrong GST clause
In more than one decision, a commercial contract had a GST term that didn't match what the client wanted, and the client wasn't told to get tax advice. GST on commercial property can change how much cash moves at closing.
Tax names used here: Harmonized Sales Tax (HST). The Canada Revenue Agency (CRA) handles federal tax. What it means for you: read the GST clause yourself and ask your accountant before you sign. See GST (commercial real property) and CRA GST/HST Memorandum 19.4.1.
Pattern 2: Undisclosed conflicts
Some licensees had personal or family interests in a deal and didn't disclose them properly. In some cases they had to give up the remuneration they earned.
What it means for you: ask directly whether your licensee, or anyone close to them, has an interest in the property or the other party. You're entitled to a clear answer in writing. See Disclosure of representation.
Pattern 3: Limited representation that wasn't explained
Problems arise when one licensee works with both sides without the clients understanding what that limits. See Dual agency and BCFSA: agency guidelines.
What it means for you: before sharing your budget or bottom line, ask who the licensee represents.
Pattern 4: Paperwork that went missing
Commercial lease documents and deposits that weren't passed to the brokerage promptly show up repeatedly. Records protect clients when memories differ.
What it means for you: get copies of everything you sign and confirm where deposits are held. See Real Estate Services Rules (BC Laws).
Pattern 5: Identity checks on corporate buyers
The Financial Transactions and Reports Analysis Centre of Canada (FINTRAC) handles reports about suspicious financial activity. Licensees have been disciplined for not properly identifying clients, including companies and the people behind them, under anti-money-laundering rules. See FINTRAC: real estate sector guidance.
What it means for you: expect to provide identification and corporate records. It's a legal requirement, not nosiness.
Pattern 6: Trading without a valid licence
Some decisions involve people trading after a licence lapsed.
What it means for you: check a licensee's status on BCFSA's site before you work with them. See BC Financial Services Authority.
Pattern 7: Advertising that misleads
Ads without the brokerage name, or with claims that can't be backed up, come up often.
What it means for you: treat any ad as a starting point and verify the facts in the documents.
Pattern 8: Mixed-use strata confusion
In mixed-use strata buildings, commercial and residential matters sometimes weren't kept separate, causing confidentiality and cost problems. See Strata corporation.
What it means for you: in a mixed-use building, ask how sections, budgets and decisions are split.
Checklist
- Licence status checked
- Representation disclosed in writing
- Conflicts asked about
- GST clause reviewed by an accountant
- Copies of every document kept
- Deposit holder confirmed
When to get professional advice
If something feels off, talk to a lawyer, and know you can contact BCFSA. See BC Financial Services Authority.
Before your next deal, ask your licensee two questions: who do you represent, and do you or anyone close to you have an interest here? Good answers come easily.
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Last reviewed Oct 28, 2026. General information only, not legal, tax or financial advice. Any scenarios are hypothetical.
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General information for British Columbia only. It isn’t legal, tax, accounting or financial advice, laws and rates change, and reading it doesn’t make you my client. Any numbers or scenarios are hypothetical. Check the linked official source and talk to a lawyer, accountant or other qualified professional before you act or sign anything. See the terms and disclaimer.