At a glance (3 minute read and video)

• We're considering changes to Rules of Cooperation, Rule 4.04 to enhance transparency in the multiple offer process and address concerns around so-called “phantom offers”.
• The Ethics Guy®, Kim Spencer, takes a deeper look at how this would benefit buyers, sellers, and REALTORS® in our new video.

As demand surged in our housing market during the pandemic, consumer and member concern and frustration about the multiple offer process gained prominence. Your Board has been exploring ways to improve this process for home buyers, sellers and REALTORS® across the Lower Mainland. 

In a recent member communication, we discussed changes we’re contemplating to the Rules of Cooperation to make instructions from sellers to delay offer presentations irrevocable once they’ve been made in writing.

We’re also examining changes to enhance transparency in the multiple offer process and address concerns around so-called “phantom offers”.

Specifically, we’re proposing to amend Rule 4.04 in the Rules of Cooperation to require seller’s agents to provide a form to all buyer’s agents whose offers were presented that describes the number of offers presented and the names of the buyers’ agents who submitted the offers. The seller would need to sign this form and their Realtor would provide it to the buyers’ agents, who submitted offers, within 24 hours of the seller accepting an offer.

After consulting members and legal experts, we found that this change would:

• provide greater transparency to buyer’s agents and their clients; 
• mitigate occasional phantom offer concerns in which some parties question whether multiple offers were submitted; and
• reduce the chances that members provide client guidance based on bad faith information. 

Ethics Guy® Kim Spencer discusses these proposed changes in more detail in the video below:

We’re discussing this potential change with the Fraser Valley and Chilliwack and District real estate boards. If consensus can be reached quickly, this change could be in place by June.

Stay tuned for more information on this topic in the weeks ahead. 

We’d love to get your feedback!

Email us at communications@rebgv.org.