Property ownership in British Columbia can take many different forms, each with distinct rights, responsibilities, and legal implications. REALTORS® have the professional obligation to understand and correctly represent these property types as codified by the Real Estate Services Rules. According to Rule 30(f), the listing REALTOR® has a duty to “disclose to the client all known material information respecting the real estate services, and the real estate and the trade in real estate to which those services relate.”¹ While the REALTOR® acting for the buyer has a duty to “use reasonable efforts to discover relevant facts respecting any real estate that the client is considering acquiring.”_²

The cases of Hughes (Re)³ and Chapman (Re),⁴ which deal with the same transaction, illustrate how these obligations apply equally to REALTORS® on both sides of a transaction. The listing REALTOR® must ensure that the information in the listing is accurate, and the buyer’s REALTOR® must verify that information, if they can do so, through available public and secondary sources.  

Freehold Fee Simple Ownership 

Freehold fee simple is a type of freehold ownership that is common in BC. Freehold title can also include both fee tail (where an owner and their heirs hold the estate as inherited property) and life estates (where an owner hold the estate for their lifetime), however of these other forms only life estates remain in BC and take the form of a charge on title. Freehold fee simple grants the owner property rights over the land and any affixed structures upon it, subject only to the limitation of the Crown Grant. Fee simple property rights (and use of the lands) are also subject to any registered charges, liens, or interest on title under the Torrens land title system of BC (i.e., a registered lease or a restrictive covenant).  

REALTORS® can inquire into the fee simple title by doing a land title search on the parcel, wherein the owners’ names are disclosed. The land title search can be further verified by a BC Assessment search, which allows the civic address and legal address to be compared against the title results.  

Strata Properties 

Strata titles are a sub-type of fee simple property grant where there is both the strata property belonging to the owner and the common property that is shared with the other owners of the strata corporation. While some basic aspects of the strata lots can be verified with a title and BC Assessment search (as set out above), the strata plan should also be obtained from the Land Title Office to verify the strata lot is in three-dimensional space, and a Form B Information Certificate package should be obtained from the strata property manager (bylaws, budget, rules, and depreciation report).  

Whether a property is a bare land strata, non-bare land strata, or fee simple (non-stratified) property cannot be assessed by simply touring the property. Only through careful review of the land title and subdivision or strata plan will the nature of this interest be clear. Bare land strata designations are generally indicated in the title of the registered strata plan.   

Care is required in these listing representations, as buyers often do not fully appreciate the differences in the legal nature of their grant until the use of their property is limited (i.e., by strata bylaws), or their property is damaged, and insurance coverage becomes necessary. For example, when representing smaller strata properties (i.e., duplex and fourplex units), it is incorrect to represent that there are “no bylaws,” as the Standard Bylaws under the Strata Property Act apply even if the strata has not developed its own set of bylaws. Likewise, a bare land strata would not have a shared insurance policy, whereas a non-bare land strata would. This distinction can be material during the fire and flood seasons.  

Leasehold Properties 

Unlike a fee simple interest, a leasehold interest is defined by the lease document, and the right to possess the property under the lease is a defined term, which ultimately will revert to the landlord / owner of the property. The first step in listing a leasehold interest is to review and be familiar with the terms of the lease, including:  

1. Term Duration: The remaining length of the lease term. 

2. Payment Terms: Whether payments are prepaid or periodic. 

3. Default Provisions: Conditions under which the lease may be terminated by the landlord due to defaults. 

4. Sublease or Assignment Rights: The lessee's ability to transfer their interest and any required landlord consent. The right to mortgage the leasehold interest is related to the lessee’s ability to assign and is often limited by the terms of this section. 

5. Registration Status: Whether the lease is registered or unregistered (a registered lease is enforceable against third parties). 

The terms of the lease can be verified through an estoppel certificate, which is a document signed by the tenant and landlord, verifying the business terms of the lease and confirming that the lease is currently in good standing.  

The BC Real Estate Association’s Standard Contract of Purchase and Sale should not be used to assign / transfer a leasehold interest. Depending on the nature of the property with the leasehold interest (residential, commercial, Indigenous lands) a contract specific for such assignment of leasehold interest should be used.   

Other Interests 

Across British Columbia, in addition to those property interests discussed above, you will encounter other property interests, including leases on Indigenous lands, cooperative interests, timeshares, and tenancies. Use care when these are encountered, confer with your managing broker, and if necessary, seek additional advice prior to listing. Remember that there must be a lawful property right being transferred to be a valid listing.  

REALTOR® Responsibilities 

Real estate professionals in BC have a duty to ensure the nature of the property interest being sold is accurately identified and conveyed to clients.⁵ Understanding the various forms of property ownership in British Columbia is crucial for educating clients and allowing them to make informed real estate decisions.  

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	1.	Rule 30(f), Real Estate Services Rules, BC. Reg. 101/2024.
	2.	Rule 30(h), Real Estate Services Rules, BC. Reg. 101/2024.
	3.	Hughes (Re), 2015 CanLII 62659 (BC REC).
	4.	Chapman (Re), 2015 CanLII 51852 (BC REC).
	5.	Layden (Re), 2016 CanLII 90921 (BC REC) and Minhas (Re), 2015 CanLII 90651 (BC REC).

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