Ontario Real Estate Agency iPro Realty Has Accounts Frozen as Regulator Launches Audit

Ontario Real Estate Agency iPro Realty Has Accounts Frozen as Regulator Launches Audit

In a significant development within the Ontario real estate sector, iPro Realty Ltd., a prominent real estate agency operating across the Greater Toronto Area and southern Ontario, has had its accounts frozen following a directive to close by the Real Estate Council of Ontario (RECO). This move marks a critical step as RECO commences an in-depth audit to address serious financial discrepancies uncovered earlier this year.

Background and Regulatory Action

RECO, the regulatory body overseeing real estate practices in Ontario, ordered iPro Realty to cease operations on August 19, 2025. This followed the discovery of alarming shortfalls totaling approximately $10.5 million in the brokerage's consumer deposit and commission trust accounts. These shortfalls represent a "serious breach" of the agency’s legal responsibilities to its clients and agents, prompting immediate regulatory intervention.

In response, all accounts associated with iPro Realty have been frozen to protect consumer interests while allowing the orderly completion of pending real estate transactions. RECO has engaged ClaimsPro LP, insurance adjusters specializing in professional liability, to handle the transactions currently in process as the brokerage winds down.

Oversight and Accountability Measures

To ensure transparency and accountability, RECO has appointed Dentons Canada LLP to conduct an independent audit of iPro Realty’s financial dealings. Additionally, an independent accounting firm will supervise the agency's closure procedures, including forensic audit services to provide thorough oversight during this sensitive period.

Katie Steinfeld, RECO's chair, emphasized the organization's commitment to protecting homebuyers, sellers, and licensed real estate agents. She stated, "RECO’s board of directors takes its responsibility to protect consumers and registrants seriously," pledging decisive action to uphold the integrity of Ontario’s real estate market.

Protecting Integrity in Real Estate

Steinfeld acknowledged that the majority of agents and brokers in the industry operate with a high degree of professionalism and integrity. However, she underscored the board's resolve to hold any "rogue players" accountable for actions that compromise the sector.

The ongoing investigation and regulatory oversight serve as a reminder of RECO's dedication to upholding stringent standards and safeguarding consumer interests in all real estate transactions across Ontario.

This situation highlights the importance of vigilant regulatory frameworks in maintaining trust and transparency in real estate markets. Homebuyers, sellers, and agents will be watching closely as the audit progresses and further actions are taken to resolve the issues surrounding iPro Realty.