The unauthorized use of real estate lockboxes for unsupervised access to listed properties continues to be a matter of concern to the Real Estate Council of Ontario (RECO) and the Toronto Regional Real Estate Board (TRREB). But the two groups have been slow off the mark to protect the public from repeated abuses.
In Ontario, RECO, the industry regulator, has received more than 20 complaints annually over the last five years about agents who have allowed unauthorized access to properties listed for sale.
Typical of these is the case of Jinghui (Amy) Du, who was cited last year for unprofessional conduct by accessing a property without a scheduled showing and using the lockbox to enter the property contrary to the industry code of ethics.
The allegations against Du were found to be proven by a discipline panel in 2024. At a separate penalty hearing earlier this year, the panel reviewed four prior decisions against other agents cited for unauthorized access or releasing lockbox codes. The penalties imposed in those cases ranged from $8,500 to $10,000 and, often, a requirement to complete an educational course.
The Du panel ultimately imposed a fine of $12,000 after noting that she had been warned about similar conduct in 2023 and refused to accept responsibility for her actions.
John Pasalis is president of Toronto’s Realosophy Realty. A frequently quoted industry spokesperson, Pasalis is a specialist in real estate data analysis.
I emailed him last week to ask him for his views on the lockbox problem.
“We’ve seen agents show up outside their scheduled times - or worse, share lockbox codes directly with clients,” Pasalis said.
“Most sellers don’t file formal complaints because it’s time-consuming and hard to prove without video evidence. But just because it’s underreported doesn’t mean it’s rare. It erodes trust in the profession, and that should concern all of us.”
There are two kinds of lockboxes - the combo box and the electronic version. The combo box has a fixed combination that remains in place until the agent visits the property to reset it manually.
With the electronic version, access codes can be changed remotely over the internet. This allows greater protection against unauthorized access. The more sophisticated boxes have access codes that are valid for a pre-set time slot.
They also allow real-time activity tracking and reporting features so agents can monitor who has accessed the property and when.
The first electronic lockboxes became commercially available around 1990. But it is only now, some 35 years later, that industry associations have begun to mandate their use.
In a recent statement to Real Estate Magazine, John DiMichele, CEO of the Toronto Regional Real Estate Board, said, “As the real estate profession continues to advance, so too do the tools and technologies we rely on to serve clients and uphold professional standards.
“At TRREB, we are committed to leading that evolution, and this fall, we will introduce a new electronic lockbox solution for our members to enhance both security and accountability.
“The system will provide each realtor with individual access credentials, enable real-time tracking of property visits, restrict access outside of scheduled appointments, and integrate directly with TRREB’s showing management system. This initiative reflects our broader commitment to delivering innovative solutions that support our members’ success and protect the interests of their clients.”
This should have been done years ago. But better late than never.
Bob Aaron is a Toronto real estate lawyer . He can be reached at bob@aaron.ca . Visit his website at aaron.ca.
August 19, 2025
Legal |