New rules for Ontario real estate came into force that are meant to provide more clarity and choice for buyers and sellers. Phase 2 of changes under the act, which took effect Dec. 1, include the option for sellers to use an open bidding process, improvements to broker and brokerage disclosures, and ways to avoid conflicts on multiple representation. 

The open bidding option gives the seller the choice to disclose submitted bid prices to potential buyers, something they were previously banned from doing. Open bidding has been advocated by some as a way to reduce rampant overbidding in real estate and help reduce prices.

Other changes under Phase 2 include the ability to choose a designated representative. Previously, if the buyer and sellers' agents worked at the same brokerage, given the potential conflict of interest, it would fall under a multiple representation scenario.

Also in the Phase 2 changes are an amended code of ethics, new enforcement tools for RECO, and an information guide from the agency that prospective clients are to receive before they agree to having an agent represent them.