Real Estate Errors and Omissions Insurance Corporation 1604 – 700 West Pender Street Vancouver, BC V6C 1G8
Licensees who act outside their area of expertise and knowledge run a higher risk of making a mistake than those who stick to what they know. A real estate licensee in BC holding a trading license is not restricted in the type or location of property they are listing, selling or leasing. However, licensees should give careful consideration before stepping outside their comfort zone as there are several potential pitfalls. For example, licensees selling residential real estate may not be familiar with issues unique to the sale of commercial properties or businesses. Licensees working mainly in one municipality may not be familiar with zoning, bylaw, geographic or environmental issues peculiar to another municipality or area.
Here are three ways for my Realtor friends to avoid claims:
Consider referring your client to another licensee who is more familiar with the type of transaction or property at issue.
If you are considering broadening your practice, take extra training or courses relevant to that area of practice.
Use information resources available to investigate the transactions or properties you are dealing with such as municipal records, online resources or the Professional Standards Manual.