The scorching real estate market has resulted in buyers sacrificing home buying rights
MONTREAL -- The COVID-19 pandemic is changing the landscape for buying and selling single-family homes and cottages and some buyers are giving up their usual rights to close the deal.
The real estate market is scorching hot, and prices are way up.
Asami Martens and her husband just bought a home on Montreal's West Island and they said dropping their right to an inspection is what clinched the deal.
"Yes, we did waive the inspection," said Martens. "The top bidder and us, we were very close. Us waiving the inspection that was a winning game."
During the health crisis, it's not unusual for anxious buyers to give up their rights to a building inspection or to find listings with the words "sold without legal warranty."
That worries the OACIQ (Organisme d'autoréglementation du courtage immobilier du Québec), which represenets Quebec's real estate brokers.
The organization is concerned the market is overheating, and is reminding consumers not to overlook the importance of building inspections, legal warranties, and certificate of locations.
"At the end, it's going to be the decision of the buyers," said OACIQ vice president Caroline Champagne. "The important thing is that the broker should be there to advise and well-inform his client."
The OACIQ is reminding agents and brokers of their responsibilities saying it could use "mystery shoppers" to make sure consumers and buyers aren't being misled.
Martens said their house was last purchased in 2017, and they were comfortable waving the inspection.
"The seller himself is an electrician so he's done a lot of repair on his own and there's a lot of renovations they've done in the past," said Martens.
Some brokers say to, at the very least, have a pre-inspection report and carefully read the vendor's declaration.
"A broker should be there advising you that it's important to do an inspection, it's important not to give up those rights, and maybe it's not the right property for you if they're pushing you to do that," said residential real estate broker Jessica Brown.