Be Informed

Frequently Asked Questions

QIs the commission charged for a listing on the Ottawa Real Estate Board's MLS® system the same with all companies?

A

Brokerages can impose commission policies on the Realtors but the Ottawa Real Estate Board does not impose any commission structures on Brokerages.

QIs there a minimum listing period for listings on the MLS® system?

A

The Ottawa Real Estate Board requires a  minimum listing period of 60 days for an MLS listing.

QCan the listing be conditional upon me finding a suitable home?

A

The Ottawa Real Estate Board does not accept listings conditional upon the owner finding a suitable home. In this situation the homeowner could list their property with a Brokerage but not publish the listing on MLS.

QWe are preparing to sell our home in a few months. Would it be worthwhile to have a building inspection completed before offering it for sale?

A

A pre-listing inspection reduces the possibility of surprises and allows the seller to either remedy problems in advance of going to the market or obtain written quotes for such repairs to be provided to any interested buyers. Having fully informed parties minimizes the risk of re-negotiation and conditional offers.

Be selective when choosing an inspector.

 

QMy home is on a beautiful, large lot in a really good location. I don't want to sell it to a developer. Is there any way I can control whether or not my property could be subdivided in future?

A

Yes… homeowners can register a restrictive covenant on title that could prevent their property from being subdivided by a subsequent buyer.  Before so doing consider carefully the impact this decision can have your property’s value.

QIf I buy Title Insurance do I still need a survey?

A

Title Insurance may compensate you if you discover you don’t have legal parking but it may not alter what is.  A survey confirms the location of lot lines and structures on the property, allowing both buyer and seller to know with greater clarity what is being bought or sold. This may include fences, easements, encroachments, structures.

QIf I offer full price offer without any conditions agreement does the Seller have to sell to the me?

A

A Real Estate Brokerage enters into an agency agreement to market their home.  The listing agreement is not an offer to sell.  Sellers have no obligation to accept any offer even if the offer meets the terms set out in a listing agreement

QWe made an offer on a home and before the seller responded another offer came in. Does the Seller have to respond to our offer before any others?

A

No.  It is wise for Sellers to consider all offers on their property before they decide how to proceed.

QCan a Sales Representative legally represent both Buyer and Seller clients on the same transaction?

A

Yes… a Brokerage may represent both Buyer and Seller clients on the same transaction providing they receive consent from both Buyer and Seller to do so.  This situation is known as Multiple Representation and the Brokerage may not suggest the price the Buyer should offer or the price the Seller should accept.   Faulkner Real Estate recommends Sellers refuse consent to multiple representation.

Q Should the public be concerned about Multiple Representation?

A

Yes… when a Brokerage finds themselves in a Multiple Representation situation the Realtors involved can not provide any advice that favours one client over the other. The Brokerage has a conflict of interest.

QCan I arrange to view homes through each listing Sales Representative and then contact my Sales Representative if I’m interested in making an offer?

A

The Code of Ethics requires Realtors to inquire if the consumer has an agency relationship with another Realtor, whether in writing or not.  If they do the Realtor must obtain written consent from the client’s Realtor before proceeding.

 

 

QI have a tenant in my property with another 2 years on their lease. If a Buyer wants to move in sooner can the tenants be given notice to vacate?

A

No… the tenants can not be given notice to vacate prior to the expiry of the lease.

QDo appraisals or MPAC assessments give a pretty good indication what a home is worth?

A

Not necessarily…Faulkner Real Estate Ltd. researched urban homes sold since the 2016 MPAC assessment and noted that as many homes sold significantly under their assessed value as there were homes selling for significantly more than their assessed values.

In the case of an appraisal it should be noted that these reports are based on past comparable sales and do not consider current market conditions.  The appraisal process is weakened in urban areas where finding comparable homes is challenging.  Our experience suggests that appraisals should not be relied upon to indicate the value a home may achieve on the open competitive market at any given time.

QWhen is the best time to sell and how do I go about getting the most money I can for my home?

A

Offer your home for sale when the inventory of competing homes is low and buyer demand high.

 

QI've heard of a bidding war. How does that work?

A

When the Seller has received more than one written offer simultaneously on a property each prospective buyer will be notified that they are competing and be informed how many offers the Seller is considering.  The contents of each offer are confidential and may not be shared, even if the Brokerage is assisting both Buyer and Seller.

Articles / Videos

Double Ending / Multiple Representation is Legal in Ontario.

Be Aware the Consequences.

By Judy Faulkner, Broker of Record

Marijuana grow houses: what are the signs?

A recently renovation could be concealing damage of a former marijuana grow op.

It is the law.

If you’re hiring a handyman or contractor for a job over $50 you need a written contract.

I understand the government will review the rules around multiple representation. Do you know when this will happen and what could change?

For those who don’t know, a common form of multiple representation involves a real estate salesperson or broker from a brokerage representing the buyer and the seller in the same transaction.

Let our team of professionals help you today.

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