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How to Spot Misleading Real Estate Advertising

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When you are seeking a professional to help you buy or sell your home, you want to be able to trust their listings, websites, ads, and statements to be accurate and not false or misleading. To see what can (and can’t) be included in real estate advertising, check out BCFSA’s Advertising Checklist and Sample Advertising. These are the standards and requirements for licensees who advertise in B.C.
When you look at a licensee’s listings, ads, websites, and social media, ask five questions:
- Is this a licensed professional?
There are approximately 30,000 licensed real estate professionals in B.C. They all must follow rules for how to provide real estate services. Have you found someone you would like to work with? First, check to see that they are licensed. It is quick, free, and easy to find a licensee at Find a Professional | BCFSA. - Is their information current?
Let’s say you want to buy a Vancouver condo and a friend recommends their agent. When you go to their Facebook page to see their listings, you see their profile says “Vancouver’s #1 real estate agent.” Does this mean they are currently Vancouver’s #1 real estate agent? Or does it mean they were #1 in the past? One way to find out: ask them. The Advertising Checklist and Sample Advertising states that if a licensee’s advertising mentions a comparative claim, business volume, honour, or award, the basis of the claim/volume/honour/award, (e.g. the source, date, and qualifying information) needs to be included to avoid misleading consumers like you. - Is their information accurate?
Your kids are off to university and it’s time to downsize by selling your Nanaimo house. When you search for “Nanaimo’s best real estate agents,” you find a website for a local real estate agent that says “#1 Nanaimo Real Estate Agent 2015-2023.” You are impressed but then you wonder: who ranked him #1? Does he name the organization on his website or social media? If not, it must also contain qualifying information such as the source of the ranking/award. - Is their information verifiable?
You meet a real estate agent at a BBQ. She hands you her card which says she is “award-winning.” Does the card provide qualifying information such as the source and date? You may want to verify this information. - When you’ve found a home you want, is the listing accurately advertised?
Imagine you’re seeking a house with a rental suite to help cover your mortgage. You find a listing that says you can build two new rental suites. But is this true? Will local zoning laws really allow two suites?
An agent’s listing must not contain a false or misleading statement or misrepresentation. When you look at listings, seek professional help from a licensed real estate agent (and potentially a lawyer) to ensure the properties’ information is accurately verified. For example, if a listing contains a “mortgage helper” suite, you should verify the legal status of the suite and its ability to produce rental income.
Tips on Checking Real Estate Advertising
To find a licensed real estate agent who is sharing truthful, accurate ads, statements, and listings, we recommend you: Check BCFSA’s licensee database to see if they are licensed
- Check BCFSA’s Decisions database to see if they have ever been penalized
- Use word of mouth — positive personal reviews can help you select one or more agents to help you decide who is the best fit for your needs
- Look around your community for multiple candidates—don’t just rely on family members or friends. Compare and contrast a few real estate professionals.
- Do your due diligence. Ask for references from their past/current clients. Then contact those references for their feedback.