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Representation, solicitation, promotion and advertising

6 minutes

7 Advertising of completed transactions

Advertising of completed transactions is permitted, but it must comply with strict rules designed to prevent any confusion, inappropriate disclosure, or misleading representation.

7.1 The mandatory “Sold” notice

The real estate broker must indicate that the property is "sold" on:  

  • The sign placed on the property
  • Social media
  • Description sheets and any other media

This notice must appear upon the fulfilment of all conditions of the accepted promise to purchase.1.

The real estate broker must remove the sign and all ads as soon as the first of the following two events2 occurs:

  • The signing of the deed of sale
  • The expiration of the brokerage contract

1 Section 112 and 2 Section 111 of the  Regulation respecting brokerage requirements, professional conduct of brokers and advertisin

7.2 – Prohibition of advertising the selling price

PROHIBITED PRACTICE

It is prohibited to advertise the sale price of a property or any percentage that could be used to deduce the price. 

When advertising a sale

A real estate broker may not indicate:

The amount at which the property was sold
The price initially requested by the seller under the brokerage contract
A percentage that could be used to deduce the sale price
When advertising an accepted promise to purchase

A real estate broker may not indicate:

The price accepted by the seller
A percentage that could be used to deduce this price
Image 2

CAS CONCRET

Publicité NON-CONFORME

Image 2
Image 2

Cette publicité EST AMBIGUË, car le prix indiqué laisse croire qu’il s’agit du prix accepté par le vendeur, ce qui n’est pas le cas.

Publicité NON-CONFORME

Image 2
Image 2

Elle permet de calculer le prix de vente à partir des informations fournies.

RISK

Disclosing the sale price before signing the deed of sale carries risks. If the transaction does not go through, the seller would find himself in a vulnerable position, as the accepted price would already be public. 

Image 2

Real estate broker’s role 

  • Clearly explain this risk to the seller
  • Keep a record on file—as proof that the information was provided 

POINT OF CAUTION

Even with the consent of both parties, the publication of the sale price before signing the deed of sale must remain an exception.

7.3 – Sold in “x” days

The days are calculated from the date of signing of the brokerage contract until the date of fulfilment of all the conditions–and not the date of acceptance of the promise to purchase–excluding the signing of the deed of sale.

The date of acceptance of the promise to purchase should not be used.

7.4 – Sold in collaboration

A real estate broker, whether or not he has signed a brokerage contract with the buyer, may advertise a transaction carried out in collaboration with the listing broker, with the latter’s express authorization.

In particular, he may 

  1. Place a sign
  2. Post an ad

One of the following statements must then appear:

  • “Sold in collaboration”

OR

  • Bought through (name of real estate broker or agency)”

The real estate broker must remove the sign as soon as the first of the following two events1 occurs:

  • The expiration of the brokerage contract

  • The signing of the deed of sale

If the seller is not represented, the buyer’s broker may place a sign with the seller’s written authorization.

1 Section 111 of the Regulation respecting brokerage requirements, professional conduct of brokers and advertising

7.4.1 – Advertising after the signing of the deed of sale

After the buyer becomes the owner, the buyer’s real estate broker or a collaborating broker without a brokerage contract to purchase may, among other things:

  • Leave a sign in front of the property stating “Sold in collaboration with” or “Purchased through [broker’s or agency’s name]”
  • Distribute an advertising leaflet
  • Publish an ad in a newspaper

However, he must have obtained one of the following written authorizations from the buyer who has become the owner:

  • The one specified in the brokerage contract to purchase

OR

  • The one obtained after signing the deed of sale, if no brokerage contract to purchase has been signed

7.5 – Sold within the 180-day period provided for in the brokerage contract to sell 

If a sale is concluded within 180 days following the end of the brokerage contract with a person who was interested in the property during the term of the contract:

The seller may authorize the real estate broker to place a sign with the “Sold” notice.

Reference number
264698
Last update
March 9, 2023