BC Real Estate License: ‘Double Ending’ Ban and Penalties

BC Real Estate License: ‘Double Ending’ Ban and Penalties

If you have your BC real estate license, you’re going to need to focus on the relevant trends in the industry and one as of recently is “shadow-flipping,” a process that involves realtors using contract assignments to increase commissions by reselling the same house over and over in order to benefit themselves. The process hinges on “double ending,” whereby realtors represent both the buyer and the seller.


A new interim report issued by an advisory group that reviewed British Columbia’s real estate industry is suggesting that bigger fines are implanted on those who participate in double ending in order to end deals such as shadow-flipping.

“Public confidence in the integrity of the real estate services sector and its regulation has been shaken,” said Carolyn Rogers, a member of the advisory group. “The public has rightfully questioned whether the self-regulatory powers granted to the real estate services industry continue to be appropriate and whether the industry is adequately fulfilling its obligations under this regime.”

Predatory Sales

In addition to questioning of double-ended deals, many are now pointing to the misleading and predatory sales strategies of some companies that are only acting in their own interests. Thus far, the province has already begun to crack down on shadow-flipping, and Rogers’ group claims that they are keeping an eye on the effectiveness of the new regulations in this effort.

Double Ending

Despite the use of double ending to act as both buyer and seller and flip homes for the purpose of increasing price, there is the possibility that dual agency is useful in certain real estate situations. Rogers’ group is currently investigating this possibility to determine the regulations that should be put in place.

Real estate licensees are expected to act at all times, solely in their client’s best interest,” Rogers said. “It is difficult for most people to understand how this advice and this obligation can coexist with rules that allow a licensee to represent the interests of a buyer and a seller in the same transaction given the inherent conflicts between those parties’ interests.”

Whether you have your BC real estate license or are in the process of obtaining it, make sure you know the ins and outs of all the latest tools and tricks in the industry. Double ending has been on the rise and many realtors are using it to flip homes for higher prices using loopholes in the system. Keep an eye on the bans and fines that are applied to these tactics in the near future. For more information or further questions, give us a call at (778) 686-8555 and we’ll be happy to assist you.


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