A licensed real estate professional in BC wants to establish a referral arrangement with a mortgage broker that includes fee-sharing for successful transactions. What regulatory compliance issues must be considered under BCFSA rules?
Correct Answer
C) Written disclosure to clients and compliance with referral fee regulations required
BCFSA regulations permit referral arrangements between licensed professionals but require full written disclosure to clients about the financial relationship and any fees involved. This ensures transparency and allows clients to make informed decisions about potential conflicts of interest in the referral.
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A licensed real estate professional discovers that a series of transactions involving the same buyer appears to be structured to avoid FINTRAC reporting thresholds. The individual transactions are each under $10,000 but total $45,000 over two weeks. What reporting obligation exists?
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