Almost 6 out of 10 Quebecers believe they are unfamiliar with the risks associated with a real estate transaction

Brossard, Octobre 09, 2024 —To increase the real estate literacy of Quebecers, the Organisme d’autoréglementation du courtage immobilier du Québec (OACIQ) has commissioned a survey conducted by Léger Marketing, which reveals that knowledge of the risks associated with real estate transactions remains a major challenge in Québec.     

The survey of 1,001 Quebecers conducted between May 21 and 24, 2024 shows that 58% of respondents believe they have poor knowledge of real estate.

Although most respondents correctly identified the risks associated with certain omissions in a transaction, the survey highlights varying perceptions and knowledge regarding the practices and risks associated with buying or selling a property. This situation can expose consumers to significant risks during real estate transactions.

Highlights:

44% of respondents wrongly believe that they are protected by the Real Estate Brokerage Act (REBA) even if they do not deal with a real estate broker.

90% of participants recognize the risk associated with purchasing a property without a pre-purchase inspection, showing a good understanding of this essential practice.

84% of respondents are aware of the risks of purchasing a property without legal warranty.

81% believe that it is risky not to obtain a recent certificate of location when purchasing a property.

36% wrongly believe that a real estate broker can represent both the seller and the buyer in the same transaction, a confusion that could lead to conflicts of interest.  Dual representation by a real estate broker, i.e. simultaneously having a brokerage contract with the seller of a property and a brokerage contract with a buyer interested in that same property, has been specifically banned since June 8, 2022.

Although the results of the survey show that the awareness-raising efforts made are bearing fruit, 10% of respondents still see no danger in not having their property inspected before purchase. For the OACIQ, this percentage is too high, which means that it is necessary to continue educating and informing Quebecers about real estate. “Because a well-informed consumer is a better protected consumer, we believe that a better understanding of the risks associated with the purchase or sale of a property could help avoid unfortunate situations in future transactions. This is a shared responsibility between the various industry stakeholders,” says OACIQ Vice-President of Communications Louis Beauchamp. 

A real estate transaction process is complex, and the sums of money involved are substantial since it is most often a lifetime purchase.  A better understanding of rights, obligations and risks is crucial to protecting consumers when buying properties. The OACIQ offers a wide range of information and support resources, including information guides and podcasts on the oaciq.com website, public exchange forums, the Info OACIQ line, as well as the virtual agent, Élise, available at all times to answer questions from the public and real estate brokers about real estate transactions.  

About the OACIQ

The Organisme d’autoréglementation du courtage immobilier du Québec (OACIQ) ensures the protection of members of the public who enlist the services of real estate brokerage professionals governed by the Real Estate Brokerage Act. It is a member of the Real Estate Regulators of Canada (RERC), a body that brings together all Canadian regulators in the area of real estate brokerage, building inspection, and co-ownership property management for some provinces.

For more information: medias@oaciq.com

Media wishing to obtain the results of the survey on real estate literacy can write to: medias@oaciq.com