Kelowna realtor fined after providing a loan to a client

A Kelowna realtor has admitted to professional misconduct and will pay $6,500 to the Real Estate Council of B.C. over a 2015 real estate deal.

Details of the transaction are outlined in a consent order between realtor Irene Gasser and the board that was agreed to in November but only released today, Dec. 16.

Gasser was working for Prudential Kelowna Properties at the time and entered into a deal for the buyers to purchase a property on McCulloch Road in Kelowna.

All the subjects were taken off the sale agreement except for financing since the buyers were waiting for an inheritance.

The completion date ended up being extended and new offers made until Gasser provided a $10,000 interest-free loan to the buyers, who are not named, for the down payment.

“The buyers say they were at all times uncomfortable proceeding with the purchase of the property, as they were not financially secure and thought the property was out of their means,” the consent order states. “However, Ms. Gasser persuaded them that this was a rare opportunity for home ownership and recommended that they submit a competitive, subject-free offer.”

It also said that Gasser did not think the loan constituted a conflict of interest.

In the consent order, she agreed to pay a $5,000 fine and $1,500 in fees, and to admit to professional misconduct for, among other things, not telling the buyer she was in a conflict of interest for providing the loan.

She also “failed to act honestly and with reasonable care and skill, when she failed to advise the buyers to include financing subjects in a contract of purchase and sale.”

The buyers needed to sell another property in Langley in order to afford the one in Kelowna and both deals ultimately fell through.

The buyers said Gasser has not asked them to repay the loan.

In addition to the fine, Gasser has to complete some courses before re-applying for her licence.

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