News
August 30, 2025
iPro scandal: Groups representing 90,000 realtors call on province to reform RECO
RECO said it's working with the insurer to expedite deposit and commission claims, with payments beginning Friday.
**Realtor Groups Demand Reform of RECO Following iPro Fallout**
Following the collapse of iPro Realty Ltd., representing a significant blow to the real estate industry in Ontario, major realtor groups are calling for urgent reforms to the Real Estate Council of Ontario (RECO). These groups, collectively representing over 90,000 realtors across the province, are voicing serious concerns about the regulatory oversight and consumer protection measures currently in place.
The iPro scandal has left numerous realtors and clients in a precarious position, with significant sums of money tied up in unsettled commissions and deposits. The failure of the brokerage has exposed vulnerabilities in the existing system and prompted a wave of calls for increased accountability and transparency from RECO.
The realtor groups are pushing for a comprehensive review of RECO's mandate, powers, and operational practices. They are advocating for stricter financial regulations for brokerages, enhanced monitoring mechanisms to detect and prevent potential issues early on, and a more robust consumer protection framework to safeguard client funds.
"The iPro situation has highlighted some critical weaknesses in the current system," stated a joint statement released by the concerned realtor associations. "We need to ensure that RECO has the necessary resources and authority to effectively regulate the industry and protect the interests of both realtors and the public."
In response to the crisis, RECO has stated that it is collaborating closely with the insurer to accelerate the processing of deposit and commission claims stemming from the iPro collapse. They have announced that payments to affected parties are expected to commence this Friday, offering a glimmer of hope to those impacted by the brokerage's failure.
While the promise of payments is a welcome development, the realtor groups emphasize that it is merely a short-term solution. They remain steadfast in their call for fundamental reforms to RECO, arguing that proactive measures are essential to prevent similar incidents from occurring in the future and to maintain public trust in the real estate industry. The coming weeks are expected to see increased pressure on the provincial government to address these concerns and implement meaningful changes to the regulatory landscape.
Following the collapse of iPro Realty Ltd., representing a significant blow to the real estate industry in Ontario, major realtor groups are calling for urgent reforms to the Real Estate Council of Ontario (RECO). These groups, collectively representing over 90,000 realtors across the province, are voicing serious concerns about the regulatory oversight and consumer protection measures currently in place.
The iPro scandal has left numerous realtors and clients in a precarious position, with significant sums of money tied up in unsettled commissions and deposits. The failure of the brokerage has exposed vulnerabilities in the existing system and prompted a wave of calls for increased accountability and transparency from RECO.
The realtor groups are pushing for a comprehensive review of RECO's mandate, powers, and operational practices. They are advocating for stricter financial regulations for brokerages, enhanced monitoring mechanisms to detect and prevent potential issues early on, and a more robust consumer protection framework to safeguard client funds.
"The iPro situation has highlighted some critical weaknesses in the current system," stated a joint statement released by the concerned realtor associations. "We need to ensure that RECO has the necessary resources and authority to effectively regulate the industry and protect the interests of both realtors and the public."
In response to the crisis, RECO has stated that it is collaborating closely with the insurer to accelerate the processing of deposit and commission claims stemming from the iPro collapse. They have announced that payments to affected parties are expected to commence this Friday, offering a glimmer of hope to those impacted by the brokerage's failure.
While the promise of payments is a welcome development, the realtor groups emphasize that it is merely a short-term solution. They remain steadfast in their call for fundamental reforms to RECO, arguing that proactive measures are essential to prevent similar incidents from occurring in the future and to maintain public trust in the real estate industry. The coming weeks are expected to see increased pressure on the provincial government to address these concerns and implement meaningful changes to the regulatory landscape.
Category:
Politics