Seven people have been named to a new panel chaired by the Superintendent of Real Estate to investigate so called “shadow-flipping” in BC real estate.
Among them: lawyers, the President of Central 1 Credit Union, and the Commissioner of the BC Securities Commission, a Real Estate Broker, and the Executive Director of the Condominium Home Owners’ Association of BC.
BCNDP Housing critic David Eby says so far so good but…
“The only question that remains is, is this an advisory group? Will they be given investigatory powers? Will they be able to audit documents? Will they be able to compel documents? Can they take testimony under oath” In short is this an investigation or is this an advisory group and I sure hope it is an investigation.”
The seven members of the Advisory Group get a per diem of $450.
The chair, Carolyn Rogers, the Superintendent of Real Estate will not get the per diem and will not be paid.
Costs will apparently be covered by the Real Estate Council of BC from licencing fees from regulators and real estate brokers with taxpayers not bearing any of the bill.
The group met for the first time last Friday and they are working on what it called a comprehensive terms of reference for its look into the practice of repeated real estate flipping.
Shadow flipping involves selling one property multiple times before a final closing data, hiking the final price in some cases by hundreds of thousands of dollars, and boosting the commission that goes to the real estate agent along the way.
Members of the panel: