March 9, 2022 Understanding Disclosure of Representation in Trading Services


Before embarking on your pre-sale home journey, it is essential to understand the differing client-realtor relationships you may encounter along the way. Any licensed real estate professional in British Columbia should provide the consumer information regarding the professional working relationship before providing any services. When purchasing a pre-sale home, whether the homebuyers have a realtor of their own or not, the Sales Team who sells homes on behalf of the Developer will present the buyer with a Disclosure of Representation in Trading Services, also referred to as a DORT form. The following details explain the nature of the form and explain the different types of working realtor relationships when looking to purchase a pre-sale home.  

The agents selling homes within a community on behalf of the Developer, like MLA Canada representatives, are valuable sources of information to assisting the homebuyer in deciding on the right home for them. They are trained experts in all aspects of our homes from finishings, amenities, the building and location. And as licensed professionals have a duty of honesty and to offer reasonable care for everyone they interact with, clients or customers. 

It's important for the buyer to understand that these licensed real estate professionals will place a high duty of care on their professional conduct and loyalty to protect the Developer's interest, provide full disclosure of information, and avoid conflicts of interest. As a result, the realtor representing the development company can no longer represent the homebuyer as a client.  

Many homebuyers choose to be represented by their own realtor, who in turn owe you the same responsibilities as their client. Suppose the buyer decides not to work with a realtor. In that case, the realtor representing the Developer can be used as a valuable resource and can quickly provide facts and pertinent details to guide the home purchase. They can help prepare contracts and communicate potential offers to the Developer; however, they cannot advise the buyer on offers' price, negotiations, terms, and conditions. It is essential for homebuyers to know that any information shared with the Developer's Sales team will not be considered confidential.  

To learn more about the responsibilities of relators and the sales team, read our article realtors and sales agents responsibilities in the pre-sale process.