Canadian Lawyer

With changes to MLS rules, lawyers anticipated a 'tidal wave' of private home real estate practice? A new era of REAL ESTATE sales that would boost business. It appears not to have materialized. BY KEVIN MARRON W of Pitt Meadows, B.C., Brett Horton believed he would be participating in a new era in real estate practice. He antici- pated "a tidal wave" of private real estate sales in light of an agreement between the federal Competition Bureau and the Canadian Real Estate Association that would give homeowners online access to the Multiple Listing Service, making it easier to do deals on their own without using a real estate agent. Like many other lawyers, Horton hen he opened a new law office last year in the Fraser Valley communi t y believed people selling homes without realtors would need more legal advice and lawyers would assume a new role in real estate deals. He was so convinced this change was on the way that he wrote a paper for a legal education conference advising lawyers on how to perform this new role. But nothing seems to have changed. "People are using realtors as much as ever and the status quo has per- sisted, turned real estate broker, is also under- whelmed. The change, he says, "just hasn't materialized. who are selling homes privately don't seem to be seeking out more services from lawyers. His explanation is this: "If you're cheap enough that you don't want a real estate agent, you're cheap enough that you don't want a lawyer. " He observes that even those mism in the real estate bar, as some believe that big changes will come, albeit more slowly than predicted. "This change to the Nevertheless, there is still some opti- " estate lawyers have yet to discover any new role from themselves. Brian Madigan, an Ontario lawyer " he says. And it appears that real MLS system could be a great opportunity for lawyers to strengthen their role as the trusted adviser in the transaction," says Ray Leclair, vice president of public affairs at the Lawyers' Professional Indemnity Co. An Environics poll conducted on behalf of LawPRO last year indicated that 45 per cent of Canadians would consider bypassing realtors to sell their homes pri- vately, but only 11 per cent were aware of the changes to the MLS that would make it easier for them to do this. Leclair says anecdotal evidence suggests that home- owners are beginning to catch on to this opportunity with the help of online infor- mation and resources that are becoming increasingly available. "This trend is likely a sign of the times — there was a time when we only had full-service gas stations. Just try to find one now, For several years, Leclair has been lead- ing an Ontario Bar Association working " he says. www.CANADIAN Lawyermag.com JULY 2012 23 matt daley

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