What are the RECO rules that states that in a multiple offer situation, the listing brokerage must disclose a multiple representation situation?
For clarity purposes: Brokerage A lists a home and receives offers on it from Brokerage A, Brokerage B and Brokerage C. Where does it say Brokerage B and Brokerage C must be informed about the competing offer from Brokerage A?
In a competing Offer situation, three disclosures are required:
1) the number of offers that have been submitted;
2) whether any of the buyers are represented by the same brokerage as the seller;
3) whether the seller’s brokerage has an agreement to reduce their commission for buyers who are represented by a certain brokerage.
You will find the obligations set out in s. 26, s. 17 and s. 25 respectively.
Brian Madigan LL.B., Broker