Jan 24, 2024
Embark on a journey to understand the repercussions of misrepresented square footage in real estate listings. What happens when the size indicated on MLS does not align with the actual measurements of a property? This exploration delves into the legal implications and potential remedies for buyers who discover discrepancies in the square footage disclosed before closing a real estate deal.
In the realm of real estate, rescission becomes a viable option when a buyer uncovers non-fraudulent misrepresentation, especially concerning square footage inaccuracies. Exploring legal precedents like Issa v. Jarrah, this section elucidates the conditions under which a contract can be voidable based on material misrepresentation, emphasizing the buyer’s right to affirm or rescind within a reasonable timeframe.
Courts consider various factors to determine the materiality of square footage misrepresentation. From its impact on purchase price to the buyer’s knowledge and the influence on a reasonable person’s decision, this section draws insights from cases like Zhang v. Lin. Understanding what makes a misrepresentation material is crucial in assessing its legal consequences.
Introducing the Residential Measurement Standard (RMS) implemented by the Real Estate Council of Alberta, this section sheds light on how the RMS ensures consistent, reliable, and verifiable property size and dimensions. The shift from loose measurement guidelines to a standardized approach, including audits and discipline for non-compliance, marks a significant change in the real estate landscape.
Exploring the impact of RMS on attached homes, including duplexes, row homes, townhomes, and semi-detached infills, this section details the principle of “paint to paint” measurements. The change in calculation methods, excluding wall thickness, alters how attached homes are measured, influencing their perceived size in the real estate market.
Highlighting key principles of the RMS that real estate professionals must adhere to when measuring residential properties, this section emphasizes the fiduciary responsibility of discussing RMS with clients. From avoiding alternative measurement methods to ensuring accurate information, the RMS guidelines aim to instill confidence in property size disclosures.
The landscape of square footage measurements in real estate undergoes a transformative shift with the introduction of RMS. Buyers and sellers alike are encouraged to understand the legal implications, ensuring that accurate information prevails in real estate transactions. Realtors play a crucial role in upholding the standards set by RMS, fostering trust and reliability in property size disclosures.
Hi! I’m Erin Crocker. I’m a real estate lawyer with over 10 years of experience in Alberta and British Columbia real estate law. I love technology and efficiency. I’m on a mission to create a modern, digital closing experience for buyers and sellers through technology, transparency and sharing knowledge.
