Guideline
Representation, solicitation, promotion and advertising
2 minutes
5 Performance and sale guarantees
Offering performance or sales guarantees carries significant ethical risks. As such, this type of practice is prohibited, as it could place the real estate broker in an apparent conflict of interest.
Real estate brokers have an ethical obligation to:
- Promote and protect their clients’ interest
- Act with loyalty
- Avoid conflicts of interest
PROHIBITED PRACTICE
It is prohibited to offer performance or sales guarantees, including:
- Offering a remuneration reduction if the property is not sold within a specified period
- Promising to purchase the client’s property upon expiry of the brokerage contract if it has not been sold
REAL-LIFE CASES
NON-COMPLIANT advertisement
It offers performance or sales guarantees, although this practice is prohibited.
- Reference number
- 264696
- Last update
- October 31, 2022