Independence first: Rogers
Head of real estate group seeks to calm critics
The chairwoman of an advisory group tasked with probing real estate in Metro Vancouver says the independence of the body is top of mind as it begins the task of restoring public confidence in an industry battered by allegations of insider trading and fraud.
Wednesday, Carolyn Rogers, also the superintendent of real estate for B.C., offered some details as to the role she will play in the future and the measures that have been taken to address concerns about the group’s independence.
“There are a lot of accusations around the independence of this advisory group and whether it is just the (Real Estate Council of B.C.) looking at themselves,” said Rogers, who was appointed chairwoman Tuesday. “And I think it is important for people to understand that the council has given me both the role of appointing my other advisory group members and in setting the scope of the review, so that speaks to their effort and willingness to make this independent.”
Rogers, however, wasn’t able to say whether she intends to appoint any realtors to the group, which is being formed in response to numerous concerns from the media and the Opposition relating to questionable business practices by some metro realtors.
One of the main areas the group will examine is whether the assignment clause in sales contracts are being misused by realtors for personal gain, a technique dubbed shadow flipping, that was exposed by the Globe and Mail recently.
“… I can assure you that we’ve heard the concerns of the public,” Rogers said.
Rogers said she met with the realestate council Wednesday to discuss the appointment process, which she hopes to complete within two weeks. While the scope of the probe has yet to be determined, Rogers said penalties are something the group will consider.
“I’ve heard from government that they are open to making changes if we determine that changes are needed,” she said when asked if penalties are now strong enough.
Rogers also stressed that her role as superintendent of real estate, which falls under the Financial Institutions Commission, a provincial agency overseen by the Ministry of Finance, is “entirely separate from the council.”
Meanwhile, the group’s pending probe and the issue of metro’s housing affordability was the subject of heated exchange in the legislature Wednesday. One of the exchanges focused on the findings of a recent investigation by The Province concerning an alleged fraud case. The probe raised questions about the reporting duties of realtors and also examined issues of money laundering in the realestate market.
Premier Christy Clark reiterated comments she made early in the week about not having “a lot of patience” for unethical practices in the market, as well as her expectation the advisory group will work quickly to address the issues.
“We expect that it will be done quickly and if it’s not done quickly by the Real Estate Council, we will fix it for them,” she said in the House.
The government wants the group to submit an interim report by April 8. Next week’s budget is expected to contain some provisions that address the housing crisis, including potential changes to the Property Transfer Tax and measures to increase housing supply.