Not legal advice. Nor in any way an attack on the many reputable realtors whose professionalism is critical to Canadian homebuyers & homesellers.

Not everyone has the skillsets to buy or sell. That's in the same way that many cannot shingle their own roofs. Nor fix their own tractors . . .

CBC Marketplace's October 15/21 season opener included a secret camera exposé of an arguably illegal / ethics breaching abuse dubiously identified as “steering”.

The moderately clever Marketplace STING caught black-listing or black-balling of Toronto Board online For Sale listings offering less than conventional 5 % commissions to agents/brokers. A genuine FSBO offered 1 % by discounted brokerage access.

( If accurate such concealed black-listing would violate section 19 of O.Reg 580/05 https://www.ontario.ca/laws/regulation/050580 as prescribed to Ontario's Real Estate & Business Brokers Act, 2002, S.O. 2002, c. 30, Sched. C “ . . . . . Properties that meet buyer’s criteria . . . .” )

Having been approached for comment as balanced journalism in preparing the Marketplace program, RECO the Real Estate Council of Ontario, quickly denounced the so-called "steering" abuses as illegal and in breach of its Code of Ethics. ( Some details will be added )

CBC's online websites generated almost 1400 comments. Many INDIRECTLY reflect the rage & frustration of would-be first-time homebuyers now shut out of home ownership in Canada's hottest markets by soaring prices. Maybe they should move to small-town Ontario.

Many DIRECTLY repeat frustration or bitter past grievances against professional realtors.

One insider cites an unidentified Real Estate Board whose listing search engine - he claims - is programmed to exclude low commission listings . . . Whether or not true . . . ?

CBC marketplace Oct 15/21 “Real estate agents caught on hidden camera breaking the law, steering buyers from low-commission homes. ‘In addition to being illegal, the conduct undermines consumer protection,’ Ontario regulator says” byTiffany Foxcroft & David Common https://www.cbc.ca/news/canada/marketplace-real-estate-agents-1.6209706

Disclaimer : my spouse & I have both bought & sold privately ( FSBO for sale by owner ) and using professional realtors. Some types of properties / some geographical areas are best served by the "reach" of professional realtors; that's even if those "can bring only limited skillsets to the table". Realtors have an important role.

not legal advice, as usual

what is "steering" ?

CBC & RECO incidentally cite “steering” as sorta “trade jargon” ( for defying such ) but could have labelled such black-balling or black-listing low-commission for sale listings on grounds of amount of commission ).

Why is "steering" hard to prove ?

The “sting” chosen by CBC Marketplace was a moderately clever way to uncloak what is usually invisible to victims, we hear. A critical factor apparently is that - unlike member realtors - non-members are apparently unable to see one critical aspect of a typical Board listing’s : the CB COMM rate ( commission potentially shared for “ co-operation” ). But member realtors CAN do so, & are able to determine whose listing pays less than they demand.

One online Commenter claims - true or not ? - that an unidentified Real Estate Board has a listing search engine programmed to exclude low commission listings . . . Whether or not true . . . ?

How and WHO did the sting catch ?

THE STING : CBC marketplace staff posed as buyers, seeking from buyers’ agents a listing or listings ( within a specific neighbourhood ) with virtual identicality to a 1 % FSBO listing whose owner secretly would report to marketplace exactly what the “tested” agents would do next.

The feedback of the co-operating FSBO victim & violator’s shenanigans, established that 2 of the 3 ( buyer agents ) are black-listing & lying about such as secretly recorded on camera.

The third agent was very creditably in full compliance with the law.

Who generally are the "victims of steering" ?

The general victims of “steering” arguably are :

the offenders’ own buyer clients, recommended on basis of what the agent may earn NOT what what’s most suitable to the buyer’s needs ,

the black-balled FSBO or low-commission victim, and

the credibility of the real estate industry

What does RECO & CBC allege is the prohibition against so-called "steering" ?

O.Reg 580/05 https://www.ontario.ca/laws/regulation/050580 ) effectively legislates – WHERE A CONTRACTUAL RELATIONSHIP TO ACT AS BUYER AGENT IS IN EXISTENCE ( between a RECO licensee & a prospective buyer ) & apparently there’s NO specified requirement for such in expressed/ hardcopy form within such – THAT A BUYER AGENT must disclose to the ( buyer ) principal all available buyer-suitable listings regardless of rate of commission payable . ( One CBC Commenter repeatedly shrieked that there WERE ? factually ? no "sting contracts" in place so NO genuine infraction possible ! Whether some confused realtor drawing false analogy between service contracts & sale of realty ? )

That’s : disclosuring & serving that meets the buyer’s needs. Not “ must serve the buyer agent’s earning expectations to the detriment of the principal / client "

From O.Reg 580/05 https://www.ontario.ca/laws/regulation/050580 prescribed to Real Estate and Business Brokers Act, 2002, S.O. 2002, c. 30, Sched. C https://www.ontario.ca/laws/statute/02r30

“ . . . . . Properties that meet buyer’s criteria

19. If a brokerage has entered into a representation agreement with a buyer, a broker or salesperson who acts on behalf of the buyer pursuant to the agreement shall inform the buyer of properties that meet the buyer’s criteria without having any regard to the amount of remuneration, if any, to which the brokerage might be entitled. O. Reg. 580/05, s. 19; O. Reg. 539/20, s. 4. . . . .”

How to find RECO's Sep 2/21 Bulletin ?

Sep 2/21 RECO Bulletin “Concerns about steering based on commission” https://www.reco.on.ca/professionals-news/concerns-about-steering-based-on-commission/