Vancouver real estate firm’s new ads feature ‘shadow flipping’ homes from @theglobeandmail
The Vancouver-area realty firm under investigation for questionable practices has just posted new ads offering homes for sale through contract assignment – the controversial and profitable practice known as “shadow flipping,” which Premier Christy Clark has promised to curtail.
New Coast Realty agents Sylvie Zhao and Lucy Wang confirmed to The Globe and Mail the two homes featured were just purchased by buyers who have since hired the brokerage to flip them before the contracts with the initial sellers close.
The ads posted this week on WeChat, a Chinese-language social media site, offer deals priced at $1.15-million and $1.85-million. The New Coast agents refused to give the addresses for properties, so ad readers cannot look up the price for which those homes were just purchased. Ms. Zhao said addresses are not advertised because the assignment deals are “exclusive,” and not available through MLS.
Read full story here: http://www.theglobeandmail.com/real-estate/vancouver-real-estate-firms-advertisements-feature-shadow-flipping-homes/article29704220/