August 2015 by Real Estate Magazine (REM)

Coldwell Banker

Rhodes & Company celebrates 75 years

Canada Post Publications Mail Agreement No. 42218523 - Return undeliverable Canadian addresses to 2255B Queen St. E., #1178, Toronto ON M4E 1G3

Issue #314

August 2015

Quebec looks at licensing FSBO companies Page 3

Financing obstacles for rural properties Page 16

Syndicated mortgages are popular, but use caution Page 20

Page 8

Mos tRe al Es t at eAge nt sar et hat ’ swhywe ’ v ec r e at e d RE/ MAXLaunc hpad! I t ’ sy ours i ngl es i gnon, one s t ops hopf oral l oft heRE/ MAX t ool st haty oumaywantt oaddt o ourpr of e s s i onal t ool box . Ac c e s s y onl i neLEADS, onl i neEDUCATI ON andt hebe s tappsf orv i de oand onl i neSI GNATURE.

Vi s i tl aunc hpad. r e max . c om

l aunc hpad. r e max . c om

REM AUGUST 2015 3

Quebec looks at licensing FSBO companies Finance minister also says the OACIQ is perceived as being too controlled by the real estate industry.

he Quebec Federation of Real Estate Boards (QFREB) says it is pleased with a report, tabled by Quebec Finance Minister Carlos Leitão, that asks if FSBO companies should be regulated more like brokerages, including mandatory training and licensing. “In his report, the finance minister clearly recognizes that consumers who use these companies and who suffer a prejudice are not benefitting from all of the protections offered by real estate brokers,” says the QFREB in a news release. “The courts have also confirmed many times that the presence of a real estate broker in a transaction has the effect of reducing risks to the parties involved. The QFREB believes it is in the best interest of everyone that the law considers this new reality and establishes guidelines that facilitate an understanding of the issues for home buyers and sellers.”

The report also suggests that the province’s real estate regulator is too closely tied to the real estate industry and may require a more independent governance model. The report is “intended as a tool for reflection with a view to examining the current legal framework governing real estate and mortgage brokerage, in order to continue to protect the Quebec public,” says the minister. It asks if clients of FSBO companies, like clients of brokers, should be given access to an indemnity fund (in cases of fraud) and a liability insurance fund. It also questions if there should be a disciplinary committee for FSBO companies and if those working for these companies should “have basic training, take an exam and hold a licence”. It says that current real estate legislation “does not precisely define what a brokerage is, and the question comes up regularly.” The

industry is concerned that “a number of the acts performed by brokers under their mandate are now carried out, in the form of FSBO services, by persons who are not brokers. The industry sees this state of affairs as an encroachment on the exclusive scope of practice brokers.” The report also asks if brokers should be allowed to offer advisory or assistance services for only part of the real estate transaction. For example, it says, “brokers could be remunerated to assist a buyer in drafting an offer to buy.” It says, “To dispel any confusion, it is paramount for the public to be able to distinguish clearly between the level of services and protection it will obtain from FSBO services, in the case of sellers who wish to sell their property on their own, and from brokerage services, in the case of sellers who want someone else to look after their property.”

Leitão is also asking if the Organisme d’autoréglementation du courtage immobilier du Quebéc (OACIQ), the provincial regulator, is too cosy with organized real estate. “Despite its mission, which is restricted to protecting the public, the OACIQ is perceived, especially by brokers themselves, as a body mandated to defend the business interests of brokers and agencies, with the result that its role in this respect melds with that of the real estate boards and their federation,” says the report. The OACIQ has eight members of its board elected by licensed brokers and three members appointed by the government. “Self-regulation has its advantages, but it also has its limits,” says the report. “This is especially true when the industry that is self-regulating is in competition with other industries.” The minister’s report says, “To

ensure that the public continues to trust in real estate brokerage’s regulatory framework, these perceptions must be changed. The OACIQ is unlikely to succeed in effecting such change on its own, since brokers will probably face even stronger competition in the years to come.” It suggests one option would be “to substantially reduce, or even terminate, industry professionals’ control over the regulatory body.” It could also be run by a president and CEO appointed by the government, or the organization could be prohibited from “providing services to brokers and engaging in promotional advertising.” The minister is asking the industry to comment on the report and submit proposals as the province’s Real Estate Brokerage Act is reviewed. The QFREB says it will submit a brief by the end of REM the summer.

Two well-known Ontario brokers mourned

oyal LePage has lost two well-respected, long-time brokers/owners in recent months. Dale Tkatch, who owned Royal LePage Trinity Realty in Collingwood, Ont. died suddenly on June 18. He was 54. Josie Manna of Royal LePage Quest Realty in Orillia, Ont., lost her battle with multiple sclerosis on June 7. She was 49. “It’s with heavy hearts we have said goodbye Dale Tkatch to two dear friends and well-respected leaders who have given so much of themselves to their communities and to the profession,” says Phil Soper, president and CEO at Royal LePage. Dale Tkatch began his career in the 1980s, hired by Don Gallinger at MacKenzieGallinger, who saw Tkatch as a natural. “He was a true gentleman,” Gallinger told Simcoe.com. “He was at the height of ethics, the height of honesty and full of support

for his fellow human beings.” Under Tkatch’s leadership, Royal LePage Trinity excelled in community involvement, holding garage sales and events to fundraise for their local women’s shelter. Tkatch donned bright red high-heel shoes for the Walk A Mile In Her Shoes event in 2013. Josie Manna founded Royal LePage Real Quest Realty. She wielded significant influence in Josie Manna organized real estate circles through involvement with the Ontario Real Estate Association and gave her time to the Orillia Soldiers’ Memorial Hospital and her children’s schools. Manna is remembered as someone who lived her life with dignity, kindness and generosity toward others, says the Orillia Packet & Times.

4 REM AUGUST 2015

Multiple Listings By Jim Adair, REM Editor Do you have news to share with Canada’s real estate community? Let REM know about it! Email: jim@remonline.com

eller Williams has named Marvin Alexander of Newmarket, Ont., as the company’s new Canadian director. Alexander will lead a team of more than 2,400 Keller Williams associates in 24 offices across Canada. Last year, KW Canada associates handled 21,000 transactions and closed more than $8 billion in sales, the company says. “I have the privilege of being part of the best real estate company in the world,” Alexander says in a news release. “I’m excited about solidifying the foundation that our operating partners have built. I’m looking forward to getting out and visiting every market centre in Canada and spending time with our local leadership teams and associates.” Alexander has more than 23 years of experience as a real estate

Marvin Alexander

professional, with expertise in new and resale residential properties, industrial properties, commercial properties and land development. In 2014, he was ranked the No. 1 agent by individual ends on a list of Canada’s Best Real Estate Agents by U.S.-based Real Trends. He has been among the top-producing Keller Williams agents in Canada for the past five years. Keller Williams president John Davis says, “Marvin has excelled at everything he’s done. He’s passionate. He’s driven. He has a record of building relationships and leading teams to new heights. Best of all, he’s an extraordinary individual who lives and breathes the Keller Williams culture and is excited about creating opportunities for others and helping everyone get better.” ■ ■ ■

commitment to quality service and premium properties,” says Groleau. “At McGill, we have always been selective in the agents we approached and understand the importance and value of the selectivity so well known in the Engel & Völkers approach in expanding its network.” ■ ■ ■

Engel & Völkers is joining forces with McGill Immobilier, owned by Patrice Groleau and Debby Doktorczyk, to open the first company shop in Montreal. “Engel & Völkers’ reputation as a provider of premium offerings and unique services is well-regarded internationally, so it is critical that our first partnership in Montreal aligns with a team who shares the same philosophy for exceptional client service,” says Anthony Hitt, CEO of Engel & Völkers North America. “McGill’s reputation for providing top-tier service in the Montreal marketplace is unmatched, and we are confident that the team’s knowledge and expertise will combine seamlessly with our global network to elevate the area’s comprehensive real estate needs.” Engel & Völkers Montreal brings 42 real estate advisors to the brand with premium, international expertise in Montreal’s most desirable neighbourhoods, the company says. Additional shops in Outremont and Westmount will open during the coming year to fully service the city. “I was struck by the similarities between the Engel & Völkers’ brand both in the design and its

Two new partners have joined the Re/Max Kelowna leadership team. Jerry Redman and Peter Kirk have joined Cliff Shillington as partners at the brokerage’s downtown and Westside offices. As owner/managing director, Redman brings more than 24 years of experience in the real estate industry. He has experience in resort sales and worked extensively with the development community. Kirk, also owner/managing director, has 23 years of experience. In addition to his practical knowledge and leadership skills, Kirk brings experience in real estate governance from his years as chair of the Central Division of OMREB, the company says. Shillington, broker/owner of Re/Max Kelowna says, “In addition to their broad experience, Peter and Jerry bring practical industry knowledge and strong technical skills, which will help Re/Max Kelowna expand its technological capabilities, providing enhanced tools for Realtors to better serve our clients.” The brokerage was ranked the No. 1 Re/Max office in B.C. in 2014.

Cliff Shillington

Darren Deluca

■ ■ ■

Jerry Redman

Realty Point’s fourth franchise office, World Class Realty Point, opened July 1 in Toronto. “We are very pleased to welcome Zia Abbas as the new president of Realty Point Inc. and as the driving force and co-owner of our newest franchise,” says James Hussaini, World Class Realty coowner and broker of record. Abbas, who was featured in the July 2015 edition of REM, says that “by creating a culture that instils the highest level of customer service, coupled with unrivalled opportunities to build their client list and sales income, I intend to create the same network of opportunities with each one of my brokers that will allow them to eventually own their own Realty Point Brokerage franchise.” ■ ■ ■

Rogers Communications has sold the Zoocasa website to a group of real estate and technology investors led by Lauren Haw, a broker at Keller Williams Referred Urban Realty in Toronto. “Zoocasa.com is an important Canadian asset, backed by unique technology and a brand that’s recognized by millions of Canadians,” says Haw in a news release. “Our mission is to give homebuyers access to the best possible real estate tools and information while providing a premium level of inhouse customer service – and that means building a team of professionals who can adapt to changing consumer expectations.” Haw calls herself a “serial entrepreneur” with 10 years of experience launching, managing and investing in Canadian ventures. She also leads a team of agents at Scholarhood.ca, a lead generation platform she launched in 2013, “which helps families find homes in the most desirable school districts in the GTA by leveraging school rankings and district boundaries,” says the release. Continued on page 6

Opening the new Engel & Völkers Montreal shop, from left: Richard Brinkley, senior VP, market development, Engel & Völkers Canada; owners Patrice Groleau and Debby Doktorczyk; and Anthony Hitt, CEO of Engel & Völkers North America.

The CLHMS graduates at Re/Max’s Ontario regional office. Peter Kirk

The place to have your career,

coast-to-coast Welcome New Offices

FROM

LOCATIONS CENTURY 21 Executives Realty Ltd.

CENTURY 21 Island Realty Inc.

CENTURY 21 Executives Realty Ltd. CENTURY 21 Elevate Real Estate

CENTURY 21 Max Realty

CENTURY 21 Rockies Realty CENTURY 21 Amos Realty

CENTURY 21 CENTURY 21 Benchmark Elite Realty

CENTURY 21 Foxx Realty Ltd. CENTURY 21 Hallmark Realty Inc.

CENTURY 21 Leading Edge Realty Inc. CENTURY 21 Atria Realty Inc.

Experience support that drives growth. Stop by your local office today. JOIN TODAY! 1.855.228.7338 | century21franchise.ca century21careers.ca

Independently Owned and Operated. ®/™ trademarks owned by Century 21 Real Estate LLC used under license or authorized sub-license. © 2015 Century 21 Canada Limited Partnership ®™ Trademarks of AIR MILES International Trading B.V. Used under license by LoyaltyOne, Inc. and Century 21 Canada Limited Partnership.

6 REM AUGUST 2015

Be prepared for end-of-month closings F

riday, June 29, 2012 was one of the busiest days of the year for most real estate lawyers. Real estate closing days are already stressful occasions for buyers and sellers. When they are scheduled for the end of a month, particularly a Friday before a long weekend, there are added concerns for both buyers and sellers. Most sellers will be using the closing funds either to pay for a home they are buying on the same day, to discharge an existing mortgage or both. The lender will be giving them a mortgage discharge statement in advance, to indicate what

Multiple Listings Continued from page 4

The site will focus on the Greater Toronto Area for the immediate future. Haw told the Globe & Mail that Zoocasa will no longer sell leads to agents who registered on the site and, “The only agents serving clients who visit the site now will be those on our team…” It will no longer offer rebates for buyers and sellers on the real estate commissions. “From handling initial inquiries to closing a home and beyond, we are extremely excited about Zoocasa’s potential to advance an industry that’s still resistant to change,” says Haw in the news release. ■ ■ ■

Darren Deluca has joined the Coast Realty Group in Port

Cover photo: RYAN PARENT

evening, with the understanding that all title documents will be registered first thing Tuesday morning. Some sellers may try to use the late delivery of funds to try and get out of a deal. This is very risky. Since most law firms are aware of the problem of late delivery of funds, it is usually not possible for a seller to try and use this at the last minute as a reason to change their mind. They would have had to communicate much earlier to the buyer that precise closing times would matter to them. In a case decided in 2009, a seller tried to cancel a deal after the agent acting for the lawyers could not register the deed before 5 pm. They were one minute late. The court found that the seller was not acting in good faith in trying to cancel the deal because of the late registration. The next issue is the keys. Buyer lawyers are not permitted to release the keys to their buyer clients until

the registration of title or an escrow agreement, as described above, is complete. This can also be very stressful, especially with Friday afternoon traffic. In one situation, the buyer client was supposed to pick up the key from a builder seller from the sales office after the deal was registered. The builder did not have the proper key available and the buyer had no access to their home over the entire long weekend. Key pick-up is something that buyers should discuss with their lawyers in advance of closing. It is sometimes more convenient to have the buyer attend at the seller lawyer’s office to pick up the key directly at closing. Real estate agents should also consider picking up keys on behalf of their buyer clients at closing. It is my experience that those agents who provide this service find that their clients appreciate it very much. It makes one less

Alberni, B.C. A licensed Realtor since 2005, Deluca most recently focussed on off-market niche properties for private buyers. Previously he sold residential and commercial real estate in the Alberni Valley and across Vancouver Island. “He will continue to be involved with the numerous community groups such as the Port Alberni Junior Hockey Society and the Alberni Valley Bulldogs,” the brokerage says in a news release. “Darren enjoys fishing, hunting and spending time with the grandkids.” Coast Realty Group, a Vancouver Island company, celebrated its 30th anniversary last year.

“We personally vet each real estate brokerage before offering them membership, so we are certain that Liv Real Estate is an innovative and forward-thinking market leader, offering exceptional service to their clients and to the communities of Edmonton,” says F. Ron Smith, president of Leverage Global Partners. As a member, Liv Real Estate will be promoted as the network’s exclusive representative for the Edmonton area, facilitating a framework in which the company can expand and compete with larger franchise networks, the company says. Through Leverage’s “Just Ask” referral program, Liv Real Estate associates are offered personal introductions and provided access to luxury firms around the world, the company says.

online contest to connect with clients and prospects over the summer and fall months. Canadians are being asked to take photos of what home means to them and share them on the #IMHOME contest site. Contestants are entered for a chance to win $25 weekly gift card prizes, $250 monthly gift card prizes or a $2,500 home shopping spree at Hudson’s Bay, Home Depot or Best Buy Canada. Royal LePage’s brokers and sales reps have been equipped with a variety of digital marketing tools and pre-printed and customizable signs to be used in their client photos. Clients and prospects can enter their photos in the contest by clicking on a personalized URL they receive from their agent. Or, they can enter at royallepage.ca/ IMHOME and include the agent’s name on the entry form.

■ ■ ■

Liv Real Estate has joined Leverage Global Partners, a worldwide network of independent real estate brokerage firms.

■ ■ ■

Royal LePage has launched an

Publisher HEINO MOLLS heino@remonline.com

Editor JIM ADAIR jim@remonline.com

Director, Sales & Marketing DENNIS ROCK dennis@remonline.com

Distribution & Production MILA PURCELL distribution@remonline.com

Digital Media Manager WILLIAM MOLLS web@remonline.com

Art Director LIZ MACKIN

Brand Design SANDRA GOODER

Graphic Design SHAWN KELLY

2255B Queen Street East, Suite #1178 Toronto, ON M4E 1G3

Phone: 416.425.3504 www.remonline.com

REM complies fully with the Canadian Real Estate Association's Rules for Trademarks (CREA Rule 16.5.3.1) REALTOR® and REALTORS® are trademarks controlled in Canada by The Canadian Real Estate Association (CREA) and identify licensed real estate practitioners who are members of CREA. MLS® and Multiple Listing Service® are trademarks owned by CREA and identify the services rendered by members of CREA. REM is published 12 times a year. It is an independently owned and operated company and is not affiliated with any real estate association, board or company. REM is distributed across Canada by leading real estate boards and by direct delivery in selected areas. For subscription information, email distribution@remonline.com. Entire contents copyright 2015 REM. All rights reserved. Reproduction in whole or in part without written permission from the publisher is prohibited. The opinions expressed in REM are not necessarily those of the publisher. ISSN 1201-1223

thing to worry about on a stressful day. Sellers must also remember to vacate the property as soon as possible on the date of closing, and to remove any junk that the buyer has not agreed to accept. Once title transfers, the seller should be out of the house. If they are not out of the house and the buyer incurs extra moving costs because of the delay, or additional costs to remove junk, they can sue the seller for any of these costs after closing. There will be similar situations on the Fridays before holidays this year. If you can avoid closing your deals on these days, it is best to do so. Being prepared for closing can avoid a lot of unnecessary stress later. Mark Weisleder is a Toronto real estate lawyer. Contact him at mark@markweisleder.com REM The sales rep or broker with the most submissions is eligible to win a grand prize $2,500 Air Canada or Sunwing Vacations travel voucher. ■ ■ ■

Recently more than 80 delegates completed the Re/Max Collection Certified Luxury Home Marketing Specialist (CLHMS) training course at the Re/Max regional office in Ontario. The course is the first step towards earning the Certified Luxury Home Marketing Specialist (CLHMS) designation. It also counts for 16 units of elective credit toward NAR’s Certified Residential Specialist (CRS) designation. Re/Max says the course teaches the information and ideas agents need to be successful in the luxury market. Upon completion, graduates received a membership in The Institute for Luxury Home Marketing. REM

Printed by Metroland Media Group, Ltd. A certified FSC® Printer

By Mark Weisleder

will be payable on the closing date, as well as a per diem interest if they do not receive the money typically before 2 pm. Most law firms are not able to deliver the mortgage monies to the lender in time, so additional interest will be payable. Since Monday, July 2 was a holiday, sellers who sold on June 29 had to pay an additional four or five days’ interest, depending when the lender was paid. If the seller is using the funds to buy a property, sometimes the buyer’s lawyer is late getting the funds transferred to the seller lawyer. This can result in money not being available for the seller to buy their property before 5 pm, when the government computer system that registers titles closes down. As such, the buyer and seller lawyers will have to negotiate a special escrow closing agreement, to permit the buyer to enter the home late on Friday

Character and

Commitment

Your reputation is everything to you, and it means everything to us. When you refer your clients to Pillar To Post Home Inspectors, you are trusting us with your good name, and weâ&#x20AC;&#x2122;ll always deliver on our promise of professionalism, character, and integrity.

pillartopost.com

1-800-294-5591

Choice of exclusive Home Inspection Packages E&O insurance to protect the referring agent Report delivered on site at the time of inspection

8 REM AUGUST 2015

Coldwell Banker Rhodes celebrates 75years

Hats and gloves are no longer de rigueur for sales reps at the Ottawa brokerage, where progress has mirrored the changes in Canada’s real estate industry. By Susan Doran

dgar Nelson Rhodes (often referred to as E.N.) opened Rhodes and Sons in downtown Ottawa in 1940, a year when Canadians were still considered British subjects, women across the river in Quebec had just been given the right to vote, the average wage was $8,400 annually and war had recently been declared. For a couple of decades all the men at Rhodes and Sons wore suits and made a habit of tipping their hats when greeting clients. Female sales reps – the few there were early on – were required to wear hats and gloves. “It was a much more formal business then and E.N. Rhodes ran a tight ship. He would even check out the sales reps’ cars to make sure they were clean,” says Jim McKeown, who is a partner and the current broker of record for the firm, which joined Coldwell Banker in 1994 to become Coldwell Banker Rhodes and Company. This year the company is celebrating its 75th year in business as well as its 20th anniversary with Coldwell Banker. In tribute, there were awards from Coldwell Banker for both extensive years of affiliation and giving back to the community (the latter for charitable donations to Ancoura, an organization that provides housing and a stable community to adults with mental health challenges). As well, the local newspapers have provided some welcome coverage, attributing Coldwell Banker Rhodes and Company’s success not just to its longevity but to its spirit of innovation. From all accounts it’s a company that does not rest on its laurels. “There’s no sitting back and saying now we’ve got the technological edge,”

says McKeown. With 55 sales reps, almost half of whom are under 40, Coldwell Banker Rhodes and Company is dedicated to training, handson mentoring and a best practice approach for its team, a combination of real estate veterans and younger agents, McKeown says. “We’re a mid-size company – large enough to have a strong presence in the marketplace, small enough to know each other and have a sense of being like a family,” McKeown says. E.N. Rhodes had been given his father’s name, which now spans several generations. His father was a political dynamo who became premier of Nova Scotia in 1925 and later returned to Ottawa, where he became finance minister before being appointed to the Senate. Once asked why he hadn’t followed his father into politics, E.N. Rhodes is said to have quipped, “In real estate, I don’t have to kiss babies or get elected.” The career choice seems to have worked out for him and for the family members and business partners who have followed in his footsteps. He was instrumental in developing various key Ottawa neighbourhoods and in advocating for setting up the Ottawa Cooperative Listing Service, which eventually became the MLS. Hats and gloves are no longer de rigueur for sales reps. This is likely lamented by no one except share-holder Ned Rhodes, who’s the son of the company founder and headed up operations after his (now deceased) father retired, until retiring himself in the early 1990s. “There’s been a dramatic change in dress. I don’t like it now... too casual,” Ned Rhodes

Ned Rhodes Jr., centre, with the rest of the executive team at Coldwell Banker Rhodes and Company, from left: Robert Pugh, Ross Heuchan, Jim McKeown and Gary Greenwood (Photo by Ryan Parent)

says. But he’s well aware there is also plenty for which to be grateful. The changes that Rhodes Jr., a past president of the Ottawa Real Estate Board, has witnessed over the years include those wrought by franchises, which allow for an increased share for sales reps, while also making it harder for independent brokerages to survive. With challenges that included an uncertain economy, the Rhodes team jumped on the franchise bandwagon, believing that it presented a way to stay competitive and provide more tools for sales reps. It has been a productive collaboration. “It blows my mind...Ottawa has grown so much, so fast. When combined with the technology and the franchises, it’s an entirely different game now,” Rhodes says. Computers were not even part of the business when he started, he says. He remembers putting the “very limited” information that was available onto cards and into ring binders. Corrections and price reductions had to be

written in by hand. “It was very labour intensive,” Rhodes says. “Now we’ve gone to a paperless office.” Listing and sales data is all scanned and stored in the cloud. This is quite a change from the era he describes, when MLS listings were printed out and delivered to real estate offices and a staff member spent most of the day sorting and filing them. Back then homes could be had for $20,000 and every Tuesday the company’s sales reps all hopped onto a rented city bus adorned with a “Rhodes Talent Team” banner to tour the listings. They still have a Tuesday meeting and tour but it’s now by car, with new agents paired with veterans for the sake of mentoring and networking. As examples of other major changes in the industry, McKeown lists increased professionalism and the introduction of independent contractor status for sales reps, which allows for greater entrepreneurialism. He knows from experience

that the upcoming federal election will present certain temporary challenges in the Ottawa market. “Historically, every time there’s an election or a budget, buyers in Ottawa are more cautious,” he says. “We’re a civil service town. The major employer is the government.” As far as real estate industry issues are concerned, “For all the professional strides we’ve made, the industry took a step back when we allowed mere postings to be part of MLS,” he says. “People are not represented. This is one of the biggest challenges we are working our way through.” Another challenge is making sure that sales reps are supported and properly trained to deal with slow markets, McKeown says. Having worked through the sizzling markets of recent years, agents may never have developed the skills and language required to deal with setting price reductions for instance, he says. “Having a brokerage that’s collaborative is key,” he says. “As a group we’ll always have the answers.” REM

10 REM AUGUST 2015

Cannonball! Selling a house with a pool

Is it harder to sell a house with a pool than a house without one? Not if you target the right buyer. with a backyard pool, point out the positives to them: • The lifestyle – especially during our hot Canadian summers, lounging by the pool is hard to beat. • Kids love them and can spend hours a day splashing in the water.

• Do any needed pool maintenance before you list the house.

• They can add resale value to your home.

• Sell the home as a package or separately. Know your client really well. If he likes the pool, it is a bonus. Demonstrate that it is harmony to have the pool with the house. On the other hand, if the buyer doesn’t like it, tell them the swimming pool is free with the purchase.

• They offer a handy way to cool down on hot days.

o matter what their age, buyers fall into one of three groups: those who won’t consider homes without a pool, those who won’t consider homes with a pool and those who have never considered buying a house with a pool. Jim Chen, a representative with Re/Max Masters Realty in

Vancouver, says, “It is interesting that there are people who construct a new pool after many years living in a house that never had a pool in it. There are also people trying to cover the pool or fill it with sand and putting a floor or a cover on the top. It is indeed more challenging when selling to a person who doesn’t want a pool.”

Bryan Alan Masse, an agent with Royal LePage Prime Real Estate in Winnipeg, sold a home with a pool recently. He offers a suggestion on how to market such a home: “Host a pool party open house with a tropical theme on a hot weekend. Incorporate music, drinks, leis, fresh fruit, fake palm trees and Tiki torches. People will not only remember the home, they’ll remember you as the Realtor, and it will give them an idea of what it will be like when they host parties in their backyard once they purchase the home.” Masse offers more marketing ideas: “Sell the pool lifestyle. Rather than just saying ‘massive pool’ in ads, you can write something like, ‘Live like you’re in a beer commercial,’ or ‘Your own

Young parents typically don’t see a backyard pool as a positive. They look at the body of water and see a death trap for their precious babies. Seniors, in general, see a pool as money-sucking expense that will eat away at their investment. When marketing a home with a pool, target the buyers between those two age groups. Jim Chen

When the buyers haven’t thought about purchasing a home

Chen offers these tips:

• They are a great hub for rockin’ parties.

• They are a convenient way to add fitness to your life; the health benefits are potentially high.

tropical oasis,’ or ‘Who needs to go to Mexico when it’s in your own backyard?’ or ‘Avoid long drives to the lake or beach.’ I try and focus more on the experience you’re going to have when enjoying your pool rather than the pool itself.”

Bryan Alan Masse

• Advise or assist a buyer to hire professionals that are able to inspect the pool fully before purchasing. • Know the true value of the swimming pool. It is important to gain knowledge about your clients and demonstrate the right lifestyles with pools. Stage the pool and the surrounding landscaping before taking pictures. Give the entire space a thorough scrub-down if necessary. Tuck away all the pool clutter such as float toys and noodles. If the owner of the home is a guy who only wears thong swim trunks, get him out of the pool before taking the photos! If a house with a pool isn’t moving at all, collect a couple of quotes on the cost of removing it and consider offering that as a condition if a buyer loves everything but the pool. “To some foreign home buyers, it is a very strong selling point that the swimming pool makes the feng shui better,” says Chen. “Better feng shui means better energy in the house, and many home buyers are willing to pay for that premium.” Ultimately it’s all about how a

By Toby Welch

buyer views the pool. The pool itself may not affect the value of a home; the value is in how the buyers perceive the massive tub in the backyard. REM

Facts about backyard pools in Canada ... • The biggest market is middle-aged buyers who have teenage children. • For homeowners who install a backyard pool, when it comes time to sell the house, they typically recoup between 40 and 50 per cent of their initial investment. • Above-ground pools add no value to a home. If they are in poor condition, they can decrease a home’s value. • If there is a community pool in the neighbourhood, having a backyard pool can be a tougher sell. • The greater percentage of the backyard that the pool takes up, the harder it can be to sell the home. • Quebec has over 300,000 backyard pools, more than anywhere else in North America per capita (including California!) Most of those pools are in average workingclass suburban yards. • According to Pool and Spa Marketing, Montreal and surrounding area add an average of 3,500 backyard pools per year. Toronto and surrounding area add an average of 840 backyard pools per year.

“ T hrough Engel & Völkers’ world class technology and marketing strategies, we can do more for our clients both here in Montréal and the growing number of buyers from the U.S. and around the world who are discovering our market each day.” Debbie Doktorczyk and Patrice Groleau, Engel & Völkers Montréal

Only the best in the business join our brand. Patrice Groleau and Debbie Doktorczyk grew their real state business into one of the largest, independent firms in Montreal by building a reputation for delivering a consistent level of high quality services to all their clients. Upon discovering the Engel & Völkers brand and recognizing the nearly identical passion and commitment in maintaining the highest level of services in everything from their business cards to their digital marketing collateral, it was clear that a partnership would be an opportunity to raise the bar. Today, as the owners of Engel & Völkers Montréal, their reputation is even stronger and reaches a greater number potential clients throughout Canada and around the world. Engel & Völkers Canada 2 Bloor Street West · Suite 700 · Toronto · Ontario M4W 3R1 · Canada · Phone +1 416-323-1100 info@evcanada.com · evcanada.com

©2015 Engel & Völkers. All rights reserved. This advertisement is not an offering of a franchise, and where required by law, an offering can only be made 14 days after delivery of the applicable franchise disclosure document.

12 REM AUGUST 2015

Real Estate Marketing Solutions INT RODU C I NG:

Personalized Postcards

Industrial, Commercial & Investment

Beware of this leasing clause

By Natalka Falcomer

Customized Calendars JANUARY 2016 S

FEBRUARY UARY ARY 2 2016 201 016 0 SUNDAY DAY

MONDAY

TU TUESDAY UESDAY

W WEDNESDAY

MARCH 2016 T

FRIDAY

SATURDAY 6 2016 A Y 2016 ARY RUARY BRUARY FEBRUA FE S M T W

F S T 6 5 4 3 2 1 2 13 0 11 12 9 10 8 7 7 18 19 20 6 17 5 16 4 15 14 4 25 26 27 3 24 21 22 23 9 28 29

RDAY URDAY TUR SATURDAY SAT

DAY DA RID FRIDAY FRID FR

AY DAY RSDAY THURSDAY THURSDA

Y S DAY EW YEAR’S NE NEW

4 14

5 15

3 13

2 12

1 21 2

9 19

30 30

6 26

24 31

UTHER KING, JR.. DAY (U.S.) MARTIN LU

1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 0 21 22 2 23 3 24 25 26 27 7 28 8 29 9 30 0 31 1

015 2015 MBER 2 DECEM F S S M T W T 5 4 3 2 1 2 1 12 0 11 9 10 8 7 6 9 8 19 7 18 5 16 17 3 14 15 13 6 5 26 4 25 3 24 0 21 22 23 20 3 0 31 30 9 3 27 28 29

NESDAY D DNES EDNE WEDNESDAY WE WEDNE

DAY SD TUES TUESDAY

MONDAY

SUNDAY

THURSDAY

16 01 20 Y 201 RY AR AR UA ANU JAN VALENTINE E’S

1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 7 18 8 19 9 20 0 21 1 22 2 23 3 25 26 6 27 7 28 8 29 9 30 0

24 4 31

Featuring Outstanding Client Name Customization! For more information, please contact:

courtney@marketconnections.com vivian@marketconnections.com tino@marketconnections.com facebook.com/realtyreport

1-800-387-6058 www.realtyreport.org

easing requires more than just a good eye for location. Your professional duties require you to provide competent services. This means you must understand the legal implications of standard lease terms and how these terms can make or break your client’s business. The scenario: Your client, a hairdresser, has no money to operate her business. The popular coffee shop that generated a huge portion of her clientele shut down. She has no choice but to close her business, let her staff go and work out of her basement. Although she closed the business and turned off the lights at the retail location, she continues to pay rent. Everything was fine until she received a letter from the landlord’s lawyer telling her to reopen. The letter threatened that if she didn’t reopen she would be in breach of the lease. This meant that she would be required to fork up the entire term’s rent increased by 50 per cent. The lawyer referred her to the Continuous Operation clause and the fact that she and her agent (you) signed the Offer to Lease that attached the lease terms. She’ll lose money if she opens,

but she’ll lose money if she doesn’t! Your client is now threatening to sue you for negligence. What happened? You didn’t see the Continuous Operation clause. It is in the landlord’s interests to make sure its tenants are fully operating because this attracts people. More people generate more customers. More customers drive up a tenant’s sales. And higher sales drive up the amount of rent owed to the landlord. High customer volume also attracts grade “A” tenants, a bonus for landlords looking to refinance. In order to make sure that these interests are protected, you may find a Continuous Operation or Conduct of Business clause stipulating the following: Tenant shall operate its business on all regular business days except legal holidays, at least eight (8) hours each day between 9 am and 10 pm. Tenant retains the right, in its discretion, to be open on Sundays or holidays [....]. Landlord has the right to terminate the Lease should Tenant at any time elect to discontinue the operation of its store and Tenant shall immediately pay to Landlord the Present Day value of all rent remaining due for the balance of the term increased by 50%. This clause requires your client to always operate her store even if she is financially unable to do so. She also can’t “shut down” to go on holiday for three weeks. This is because she has to be open during regular business days. If she goes on holidays or shuts down, as she just did, the landlord not only has the right to terminate the lease, but also to accelerate rent payments at a 50 per cent mark-up.

Canadian courts are unclear as to whether or not they’ll enforce a Continuous Operation clause. Some judges have and others haven’t. So, don’t leave it up to chance to determine the fate of your client’s livelihood. You might find yourself in a lawsuit. What should you do? If you’re representing the tenant, strike out this clause completely. If that isn’t possible, request that the clause be modified so that the tenant can close its business, but will still be responsible for all rent, as per the terms of the lease. This is called a “Go Dark” clause and gives tenants the flexibility they need to run their business. It is unlikely, however, that the landlord will grant the tenant a “Go Dark” clause without some restrictions. Be prepared for the landlord to request a recapture right that allows the landlord to take back the tenant’s space. The landlord may also restrict the tenant’s ability to open up a similar business nearby. If a “Go Dark” clause is rejected, another approach that would protect your client is to add a “Co-Tenancy” clause to the lease. Generally, “Co-Tenancy” clauses allow the tenant to stop operating its business or be entitled to reduced rent if another “key” tenant closes up its business. A properly drafted clause would have allowed your client to close her doors or get reduced rent, depending on the terms of the clause, as soon as the coffee shop closed. The next time you’re negotiating a lease, think of these issues and make sure your client is protected. This article offers general comments on legal issues and is not intended to provide legal opinions. Readers should seek professional legal advice on the particular issues of concern. Natalka Falcomer is a lawyer and licensed real estate sales agent who has a passion to make the law accessible and affordable. She founded, hosts and co-produces a popular legal call in show on Rogers TV, Toronto Speaks Legal Advice, and co-founded Groundworks, a firm dedicated to offering practical lease reviews that helps agents, landlords and tenants make more, better and faster lease deals. www.groundworksfirm.com REM

14 REM AUGUST 2015

You don’t need balance. You need a plan “He who lives in harmony with himself lives in harmony with the universe.” - Marcus Aurelius By Ross Wilson

his idea may seem contradictory to common belief, but don’t let anyone convince you to seek balance between your business, personal and family time. Why? If your life is balanced, you’re spreading yourself thin to maintain that precious delusion of equilibrium – and not excelling at anything. Consequently, you’re not investing sufficient time and effort into any particular leg of life to make a difference. Other than preserving a possibly mediocre status quo, you’re staying afloat by treading water, but not progressing downstream toward any significant goal. You’re not succeeding big at home, at work or even with your “me time”. What you really want is harmony. To give everyone an equal opportunity to play their instrument, an average high school band can sound like the onslaught of a horrible headache. It has balance. Conversely, a professional sym-

phonic orchestra flawlessly blends moments when the string section sings, the brass shines smartly, the melodic sound of the wood-winds flutter, the horns honk at centre stage or the percussion section thunders its presence. With the expert guidance of a skilled conductor following a musical score, orchestrated together, they collectively co-operate to create beautiful harmonious music. Well, your life should be the same, with you as conductor and a written life and business plan as score. There are days when your business schedule is packed and you arrive home for a quick dinner (maybe) before heading out again for an evening appointment. When you’re called out unexpectedly, your family may be disappointedly deprived of your loving company. Or you may miss a scheduled golf game or theatre date with friends. Welcome to the real estate business. Hopefully, everyone will understand. With time, they likely will, provided you’re consistent in

your efforts to seek overall harmony by periodically arranging not only to enjoy private time, but also to have your family and friends regularly dominate centre stage. When you’re not business-busy, your family will be the beneficiary of your time largesse. On family days and vacations, direct your attention toward them – and do so guilt-free. Don’t be thinking business when you want and need to be in family mode. If you’re unable to keep your mind off business, you might as well be working. If you fail to focus, you’ll have lost your harmony, your spouse will divorce you and your kids will grow up while you weren’t looking. By thinking business all the time, you may end up having lots of money and a great real estate practice. But by paying attention solely to building financial wealth, you’ll have sacrificed something far more valuable – your loving family, not to mention your own physical health and soul. Every life is supported by five essential pillars – mental, physical, financial, relational and spiritual. If

any of these pillars are unstable or inflexible or if you’re devoting an excessive amount of time and energy to one or two, your life’s structure could collapse. For example, due to excessively long work hours, if your physical health is suffering, how much energy will you have for yourself or your family? If you burn out mentally, how will you continue to operate a successful business? If there’s torment on the home front, how could your business escape damage? If you’re not behaving authentically – according to your true spiritual self – or your bank account is overdrawn, how do you think such emotional or financial stress could affect other pillars of your life? In addition to having solid finances and strong relationships, you need personal time for your own mental, physical and spiritual wellbeing. All pillars are inextricably linked. By ensuring all five are functioning harmoniously like a finely tuned orchestra, flexing when needed, when you’re devoting nec-

essary time and effort to any particular pillar, you’ll not feel guilty. And guilt – a manifestation of fear and the opposite of love – attracts more negative energy into your life. In other words, fear spawns disharmony, whereas love emanates from harmony. To achieve a healthy, blissful loving life of undulating harmony, of beautiful life music, focus periodic attention on each of these pillars in turn. By careful and conscious planning – with serious intent – and by avoiding rigid balance, you can be successful in all areas of your life. Sometimes it may not seem that way. But from a broad perspective, you’ll achieve overall equilibrium. But I don’t have time for a personal life, you say? Well, if your overall wellness is important enough, you’ll become aware of where you spend your precious irreplaceable time and consciously re-order priorities. Ross Wilson, broker with iPro Realty, has enjoyed a rewarding fourdecade career encompassing a highly productive referral sales practice and extensive experience as a brokerage owner, manager, trainer and mentor. His new book, The Happy Agent – Finding Harmony with a Thriving Realty Career and an Enriched Personal Life is available where print and e-books are sold, including the TREB, BREB and OMDREB stores. www.Realty-Voice.com REM

How to work with people who drive you crazy By Tina Plett ho makes you see red? Most of us can think of at least one person who, just by the mention of their name, can make our fists clench. But what happens when that person is someone in your business? A peer, a competitor, a client, an employee – what if they’re the one who drives you crazy? Maybe it’s a shady competitor or a peer who takes advantage of clients. Maybe it’s a client who

takes advantage of an agent, or someone cooking up rumours in a back office somewhere to gain an industry edge. In the service industry that is real estate, there is ample opportunity for people to hurt people. We need to figure out how to work with people who drive us crazy. How can we keep working with those who hurt us? First, we need to admit we are hurt. We are allowed to have emotions. We are human and do not need to “toughen up” or “hold it together”. Pain is a legitimate feeling (even in North America). We need to give ourselves permission to feel. Then, and only then,

can we actually address those emotions. Then starts a difficult process of breaking free. Before the hurt turns toxic and becomes bitterness, we need to run. Flee even, quickly before bitterness takes hold! To escape though, we must drop the heavy weight we carry. That suitcase full of revenge fantasies? We’ve got to drop it and never pick it up again. Let it go. I know, they deserve everything in that case, but this is not about them anymore. We’re saving ourselves here. We’re not running from the person by the way – we still have to work with them. We’re running

from the suitcase of revenge fantasies. Because it’s that desire to exact justice that will keep us stewing in anger. And that will cripple our business dealings with that person. Maybe it won’t be visible at first, but bitterness is a slow burn and will eventually erupt. That’s some self-inflicted damage we really want to avoid. What we’re doing is forgiving. It doesn’t make things rosy and easy, or even repair trust. Forgiveness is not friendship. It’s not even necessarily reconciliation. It takes boundaries, caution and some time to restore broken trust. Forgiveness is just releasing

our hold on the angry suitcase. It’s letting God exact justice. Then we’re freed from the stewing and conspiring and the hurting. It takes that responsibility off of our plate and allows us to move forward. How does one work with difficult people? Drop the angry suitcase, adjust boundaries, repeat. Rural agent Tina Plett says she wins the affections of people near Steinbach, Man. with a blend of forward-thinking business savvy and a down-home, countrified lifestyle. Sutton Group-Kilkenny calls her their own. www.tinaplett.com REM

A generation of opportunity. Right at your fingertips. Discover the advantages of NAR’s Seniors Real Estate Specialist® designation. Build your real estate business with specialized knowledge of the wants, needs and expectations of home buyers and sellers aged 50+. By earning your SRES® designation via the 2-day course, you gain familiarity with these unique buyers and sellers, and connect with a specialized referral network of more than 13,000 REALTORS®. Tap the potential of an SRES® designation. Visit seniorsrealestate.com to learn more.

16 REM AUGUST 2015

Financing obstacles for rural properties By Don Procter

ural vacation properties have been on the radar of many urban dwellers for years but in recent times a growing number of buyers have been turning to permanent rural residency. A case in point is in the Land ’O Lakes region in eastern Ontario. While the region is seeing more home buyers from the Toronto-toMontreal corridor, securing a conventional mortgage isn’t always easy – or, in some cases, even possible. Banks often steer clear of rural financing because things like septic tanks and adjacent farms are issues they don’t understand. “It is stuff the banks could do (learn) but the market isn’t large enough,” says Matthew Robinson. “They really don’t understand what it is like to live on a lake. They don’t have enough data.” Robinson is CEO of WA Robinson Management, Pillar Financial Services and Lake District Realty – family owned businesses based in the hamlet of

Sharbot Lake, an hour north of Kingston. He offers alternative financing solutions for buyers in rural areas. He says his father Wayne saw a need in the early 1980s for alternative financing when the local bank in Sharbot Lake wouldn’t finance a property for the hamlet’s school principal because it had a well and septic system. To address the problem, Wayne opened a business providing loans and mortgages for real estate. Deals for properties back then were straightforward by today’s standards. Robinson recalls when he got into real estate in the mid1990s, a typical no-frills cottage on Sharbot Lake sold for about $60,000. Times have changed. Buyers in the region now fork over $250,000 and up for a country home/cottage. One of the reasons for the bigger, more permanent home in what was once a region dotted with simple cottages is because lot prices have soared. After paying big bucks

for a lot, many buyers can’t justify building just a bare-bones cottage for summertime use only. “It is not so much a cultural shift for people from big cities as it is a price-driven one,” Robinson says. That’s led to many buyers rethinking the purpose of a place in the country. They often choose to stay longer, even into winter, which, in some instances, leads to a four-season home. “We’re seeing that trend more and more with the baby boomers,” says Robinson. He says of his clientele seeking alternative financing, 40 per cent of them are after construction loans – either for renovations or new construction. Pillar Financial works with mortgage brokers across Ontario to provide short-term construction and rural home financing – typically three to 16 months. Financing might be about one per cent a month on a construction loan of 12 months. He says big banks don’t take that type of lending risk because the margins are small. “If you have

Insurance Renewal

ABOUT THE INSURANCE PROGRAM The Real Estate Council of Ontario (RECO) works with insurance broker Alternative Risk Services to negotiate and secure the best coverage and rates for you year after year. RECO’s insurance program provides essential protection for you and your clients and customers through its Errors & Omissions, Commission Protection and Consumer Deposit insurance coverage. Insurance renewal invoices will be mailed in early July to all registrants. A copy of the insurance invoice package is also available on RECO’s website at www.reco.on.ca

2015

Payments are due by August 14, 2015

lic market.” The funding required for alternative mortgages has opened a door for investors, he says. Returns can be in the six per cent range per annum because the investment is not correlated with interest rates. “Even if interest rates go through the roof, it doesn’t have any real affect in the short-term on our returns for the investor.” He says for financiers to be successful in rural markets, they need to develop relationships with real estate agents, mortgage brokers and appraisers from those regions. He advises anyone looking for property in the country – even if they get financing from a bank – to get a mortgage broker with expertise in the region. “You might just find that there is a credit union or a broker like us that can do shortterm financing better, cheaper and faster with less risk.” On Canada’s West Coast, a couple of the most popular big city Continued on page 28

The total cost of insurance, including taxes and expenses is $417 for the 2015 – 2016 policy period. Payments are due by August 14, 2015. Additional insurance program details are available on MyWeb. To pay your insurance online please visit MyWeb at https://myweb.reco.on.ca.

HOW TO MAKE A PAYMENT You can make your payment online. Over 83% of registrants are making their insurance payments through MyWeb, RECO’s exclusive web portal for registrants. If you do not already have a MyWeb account, creating one is easy and free; simply visit https://myweb.reco.on.ca to sign up. Use your MasterCard or Visa to pay your insurance online for immediate processing and confirmation of payment. Please note that insurance payments are non-refundable and RECO does not accept insurance payments in cash or by phone.

POLICY CHANGES FOR 2015 – 2016 Effective September 1, 2015 the policy has been expanded to provide some bodily injury coverage. Registrants will now have up to $25,000 of coverage under certain circumstances in the event a consumer makes a claim for bodily injury arising out of Professional Services (as defined in the policy), where the registrant accompanies the consumer to a property in connection with the purchase or sale of that property. This change also includes coverage for claims related to mental anguish or distress after the purchase or sale of a property where it is alleged the registrant failed to disclose an adverse condition relating to that property.

bruised credit . . . and you are doing a construction deal, you do not qualify if you are a business yourself. It’s becoming more difficult to get that 2.99 per cent mortgage.” That’s the advantage of mortgage investment corporations (MIC) like Pillar, which are tailored to lend mortgages to that type of client, he says. “We will do it at a higher rate, but we’re willing to listen to your story and evaluate what the real risk is.” He says, “The banks are going to a higher rate at the front and lock it in lower at the back. On an average basis we might be higher over the short term but once it is all completed, the risk assessment on the other side might be lower for the five-year term so it would be cheaper to do it with us.” He says his MIC represents more than $150 million in assets under management and is the only MIC publicly sold by prospectus in Canada that is not traded on the TSX. “I have that control of capital; I don’t have to wait for the pub-

Bodily injury claims not pertaining to Professional Services are not covered by the RECO insurance program. The insurance program does not include general liability coverage. Ask your insurance broker about general liability coverage and review all your coverages frequently as changes in the insurance marketplace can occur at any time. The policy has also been modified to allow the insurer to settle claims without consent. This does not change the program’s commitment to keep you informed about settlement offers, or negate your opportunity to provide input on them. Whenever reasonably possible, the program is committed to seeking your consent for any settlement. This change is especially

important in instances where registrants are unable to give their consent due to serious illness. New regulations under the Estate Administration Tax Act have no effect on the existing coverage. Registrants will continue to be covered when providing an opinion of value for estate valuations (subject to the terms of the insurance policy). Opinions for the purposes of financing continue to be excluded. For more information about the insurance program visit the insurer’s web site for registrants at www.reco-claims.ca.

RETIRING OR LEAVING THE BUSINESS BEFORE SEPTEMBER?

SUSPENSION PROCESS – WHAT HAPPENS IF MY PAYMENT IS LATE?

Terminate your registration by August 1, 2015 to avoid becoming involved in the suspension process. You have two options for completing your termination: 1. Send a completed “Notice of Employee Change: TERMINATION” form, found on RECO’s website under Real Estate Professionals > Resources > Forms, and a copy of your resignation letter to RECO’s Registration Department; or 2. Have your Broker of Record or Branch Manager complete the termination process for you on MyWeb. See RECO’s website for further details.

Registrants who fail to make their insurance payment by the due date will become part of the suspension process and will be required to pay an additional $35 for expenses related to administration of the suspension process. The total insurance payment after the due date is $452. Failure to make an insurance payment results in the suspension of your registration and the right to trade in real estate effective September 1, 2015.

Contact RECO’s insurance department at: MyWeb: https://myweb.reco.on.ca | PHONE: 416-207-4841 or TOLL-FREE:1-866-757-7772 | FAX: 416-207-9020 or 416-207-4820 | EMAIL: insurance@reco.on.ca

The Craig Proctor Toronto SuperConference Fri, Aug 21 - Sun, Aug 23, 2015 HToronto Hilton This is THE premier convention of your industry â&#x20AC;Ś THE event that the most successful agents in the country attend religiously and without fail. Not attending THE convention of your industry is breach of duty.

ttending this SuperConference will be the best business decision you will ever make. While you may have attended other seminars conducted by other trainers, remember that the critical difference between the Craig Proctor SuperConference and all other seminars is that Craig Proctor has over 22 yearsâ&#x20AC;&#x2122; experience selling real estate right here in Canada at an alarmingly successful level. Craig Proctorâ&#x20AC;&#x2122;s phenomenal track record garnered national attention. The Toronto Star called Craig, â&#x20AC;&#x153;The Selling Machineâ&#x20AC;?. The Ottawa Citizen called Craig, â&#x20AC;&#x153;The King of Canadaâ&#x20AC;&#x2122;s Real Estate Agentsâ&#x20AC;?. Craig was featured on National TV on CBC Venture. He was named the #1 RE/ MAX X agent in the world for commissions earned for several years, starting at age 29. Over 30,000 agents have paid to learn and use Craigâ&#x20AC;&#x2122;s system. Most importantly, Craig Proctor has created more millionaire real estate agents than anyone else. Throughout the 22 years of his career, Craig consistently sold more than 500 homes a year and earned almost $4 million in commission each year. In fact, for 10 years straight, no one listed or sold more homes in the Greater Toronto Area than Craig Proctor. (Source: TREB Statistics)

This consistent performance put Craig in the Top 10 for RE/MAX Worldwide for 15 years. The major difference between this SuperConference and all other seminars is that youâ&#x20AC;&#x2122;ll be taught by a

DOER â&#x20AC;&#x201C; by someone who knows from firsthand experience not only exactly how to make millions selling real estate, but also how to teach other agents in marketplaces all across Canada how to do the same.

â&#x20AC;&#x153;Craig Proctor is â&#x20AC;&#x153;a perfect exemplar of what I teach. A visionary who reinvented the job called real estate and who teaches agents about freedom rather than about workâ&#x20AC;?. -- Michael Gerber, author of the bestselling business book The EMyth

â&#x20AC;&#x153;If you literally do what Craig tells you to do; if you copy what Craig teaches you, youu ca yo cann re reac achh th thee sk skyy. A Any nything is possible. But you have to get beyond yourself and you have to just say, â&#x20AC;&#x153;Okay, ured it out -- the only one with a full-blown system where all the little wheels come togetherâ&#x20AC;? an er andd ju just st ssay ay, â&#x20AC;&#x153;T Thi hiss is iit;t; IIâ&#x20AC;&#x2122;m m doing it and Iâ&#x20AC;&#x2122;m doing it wholeheartedly.â&#x20AC;? You can reach any of your goals, whatever you want: more time at home, you can reach any goals that youu se yo sett foor yo your urse self.â&#x20AC;? -- Danielle Miller, Syracuse, IN ence we attended was almost 5 years ago and at that time

I had just become a Realtor and Dione didnâ&#x20AC;&#x2122;t even have her license yet. Right from thee st th star artt, w wee em embr brac aced ed wha whatt Craig taught us. Our GCI for 2014 was $1.87 Million. This has created freedom for our other people, put more money into marketing, take better care of our clients and become co me a rrea eallllyy st stro rong ng ffor orce ce in in our city. In our wildest dreams, we never thought we could be where we are in our real estate careers and in our lives. If youâ&#x20AC;&#x2122;re having any doubt, you need too pu ne push that as asidee an and you need to just do it because youâ&#x20AC;&#x2122;re going to reap the ben people around you as well.â&#x20AC;? - Paul Seib & Dione Irwin, Airdre, AB

SPECIAL LIMITED TIME DISCOUNT FOR REM READERS

SAVE $500 When You Register BEFORE Aug 15/15 PLUS Receive $2,900 Worth of Bonus Items Discount and Bonuses available only until Aug 15/15 at: www.

CanadianSummit.com

20 REM AUGUST 2015

Syndicated mortgages are popular, but use caution By Jean Sorensen

yndicated mortgages are growing in popularity but they come with investor cautions for mortgage brokers putting them out there. A syndicated mortgage is formed when a number of investors or individuals pool their funds to make a loan to the developer. Each investor in the syndicate is registered on the title of the property in accordance with the amount contributed to the syndicate. The growth is fuelled by developers looking for another source of cash after traditional lenders tightened loan conditions following the 2007-2008 economic collapse. Investors today are becoming disillusioned with the rate of return on traditional investments. “Three years ago, we had 20 to 24 projects (that were financed with syndicate funds) and now we have 72,” says Asad Saeed, sales manager for FDS Broker Services, an Ontario-headquartered mortgage broker that deals in syndicated mortgages across Canada. It also has a branch office in Nova Scotia. Saeed said that of those 72 projects the firm is handling, 10 have exited or moved to a completion phase and investors have seen the return of their principal investment. The remaining 62 are in the planning or construction phase. “Typically, the interest paid out on the investment is eight per cent (per annum) paid out in quarterly instalments,” says Saeed, adding there can be a bonus component at the completion of the project. If the developer makes a profit over what is expected, then a bonus can be shared by investors. The project’s life is set as part of the syndicated mortgage terms. It could be two to five years. During the intervening years, before the project is completed, it’s common practice for developers to set aside enough funds to pay the quarterly dividends, which is a fixed annual rate during the project life. (The funds are usually parked with a fund administrator

who has to file annual reports with provincial regulators.) At the exit point, the investor’s capital is returned and, if feasible, the bonus is paid. Mortgage brokers, who are not exclusive to the syndicated mortgage market, say that syndicate mortgages are just another tool in the toolbox to get projects off and running. The mortgage structure can vary and mortgage brokers may either put together their own syndicates from a regular pool of investors, develop their own syndicated mortgage product that brokers can bring clients to, or deal with a company that underwrites a project after putting it together and then rely on one or more mortgage companies to raise the funds. FDS uses Fortress Real Developments of Richmond Hill, Ont., a Canadian real estate development company that seeks out and analyses investment opportunities in major Canadian markets. Saeed calls Fortress the “underwriter” of projects that FDS can put out to investors, who then choose which project syndicate to join depending on that building’s time line and location. FDS takes cash investments to a minimum of $30,000 and investments can take the form of RSPs, a Tax Free Savings Account or even a Registered Retirement Income Fund. The question that might be asked is why developers might want to go to private investor syndicates and pay a higher interest than the banks. And how do such vehicles ensure protection for the investor? Saeed says that while banks will often lend funds that are a portion of the land value to cover “hard” costs such as construction, the developer may have to cover some soft costs such as planning, zoning and architectural design costs. The developer would need a higher amount than a bank might be willing to loan. A B.C. mortgage broker inter-

viewed by REM says that a syndicate might also step in because the pre-sales have not reached the level the bank feels comfortable with. Some syndicated mortgage funding can keep the project moving until the pre-sales reach the desired level and the syndicate members can be bought out by a more traditional lender. The protection offered the investor is being registered on the land title. Paolo Abate, CEO of Real Wealth Mortgages (which is being rebranded later in 2015 to Union Capital Management Co.) says his brokerage firm matches capital to needs and does a variety of mortgage deals including syndicated mortgages. But, he only puts investors into a mortgage when he has determined their risk tolerance, he says. “We try to do a suitable assessment of whether they should be in a first mortgage, a second mortgage or a syndicate mortgage,” he says, adding the minimum investment is $25,000 but the average investment is $75,000 to $100,000. Abate has authored a consumer’s e-guide to Real Wealth’s syndicated product called Syndic8, with the 8 denoting the interest rate of return. The online document is a primer on the mechanics of how syndicated mortgages work, the positive returns they can generate, and also the pitfalls that can occur. Abate says he published the guide because “I thought there was a lot of misinformation out there in the marketplace and average Canadians often didn’t know what they were investing in,” he says. “There is also a lack of information.” Abate’s approach to syndicate mortgages is slightly different; the company only operates in the Toronto market. “We only fund projects and developers that we know,” he says, adding that one of the mistakes made on syndicate mortgages is not carefully monitorContinued on page 22

2015 Canadian Commercial Conference Featuring Closing Speaker: Cathy Jones, CCIM, CPA, #1 woman owned brokerage in Las Vegas and President of Sun Commercial Real Estate

Christopher B. Leinberger, Land use strategist, President of Locus and Professor at George Washington University Session: Changing Dynamics, New Perspectives in the U.S. and Canada Glen Hodgson, Senior Vice-President and Chief Economist, Conference Board of Canada Session: Commercial Real Estate in Canada, An Economic Outlook

Open to all REALTORS®

Snapshot of what to expect: • Topics such as emerging trends in REITS, the changing face of office space, how to benefit from global opportunities, and more. • Courses, including “Commercial real estate negotiations” and “Leasing for retail landlords and commercial tenants”. • Networking with commercial REALTORS® from across Canada.

September 30 – October 2, 2015 Delta Winnipeg Hotel

Space is limited register today events.crea.ca

22 REM AUGUST 2015

Mortgage broker’s services for agents go beyond financing L

orne Andrews doesn’t need to be in the limelight. The broker/owner of Dominion Lending Centres Expert Financial says he is happy to stand in the background, quietly providing support services to real estate agents so they can be the stars. In addition to taking the hassles out of the financial process, the mortgage brokerage provides the Agent Marketing System. For a monthly fee, it offers access to some of the best real estate tools in the industry, Andrews says. Partners, including trainers, printers and website design companies, are carefully screened to ensure they bring value to the agent, he says. Thirty topics, from social media to how to become an exclusive real estate rep for an organization, are covered by webinars and seminars. Special offers, such as financial deals, are made available to agents, who in turn invite their

clients and potential clients to call them for details. One example is for unsecured lines of credit for up to $25,000 and another is for special mortgage rates. Some items are included with membership. “We provide the Unlimited Agents and Single Property websites, and access to Buffini TV, Surina Hart Fundamentals and Dan Wood. Members get discount rates on Ixact Contact CRM, Corporateplus cards, Morris Marketing and Peak Producer training,” Andrews says. Agentmarketingsystem.ca has a list of what’s included, discount programs available and savings partners. The company offers value and economics – agents don’t have to pay high prices for individual items, says Andrews. Instead services are available under one roof, he adds. DLC, which also has a commercial division, has 24 brokers

from Stoney Creek to Oshawa to service the GTA. Andrews has worked in the real estate industry and been a facilitator at OREA’s Real Estate College at York University in Toronto for 10 years. The regular price for the system is $24.95 per month, but until Aug. 31, new members can use the promo code 12129 and receive the annual membership for $120 plus HST. The Brampton Real Estate Board recently signed on as a partner and will promote the service to its members. DLC Expert Financial is in talks with Mississauga and other real estate boards. “The goal is to provide a level of support that goes beyond financing, which will allow the consumer to be serviced at the highest level and help build the businesses of our Realtor partners,” Andrews says.

Syndicated mortgages Continued from page 20

ing the project and how the funds are spent. “There is a huge infrastructure boom going on in Ontario today and the projects we are focusing on are those that are 500 metres from public transit,” he says. Mortgage brokers interviewed in B.C. and in Ontario pointed out the risks of real estate development. The major one is that the appraisal for the property’s value, upon which borrowed funds are based, may not be accurate or reflect current market values. Another is an improper site investigation. Site conditions that may impact site use include zoning problems or added construction costs as geological issues are encountered. Saeed says that because syndicated mortgages come with risk, his firm requires that investors seek legal advice to understand what they are contracting to. “For every project we provide the investor with free independent

legal advice (paid for by the developer),” he says. The growing popularity of syndicated mortgages has prompted unlicensed companies to jump into the fray. In Ontario, the industry regulator is the Financial Services Commission of Ontario (FSCO), which late last year issued a consumer warning regarding syndicated mortgage websites operated by nonlicensed entities. Only investors who participate with mortgage brokers that are registered with FSCO are protected, as FSCO holds those companies to a set standard. “These websites may refer to the investments as ‘pooled mortgage investments’ or ‘principal secured investments’,” FSCO cautioned. As of July 1, FSCO has also issued new disclosure forms that mortgage brokers must fill out and give to clients or lenders involved in syndicated and other REM mortgages.

REM

Toronto Real Estate Board 2015/2016 Board of Directors

Mark McLean President

Larry Cerqua President-Elect

Paul Etherington Past President

Don Kottick Director-at-Large

John Lusink Director-at-Large

Michelle Makos East Non-Brokerage Director

Gurcharan (Garry) Bhaura Richard (Dick) Briscoe West Brokerage East Brokerage Director Director

Lisa Patel Central Non-Brokerage Director

Donald Patterson Director-at-Large

Peter Burdon North Non-Brokerage Director

Michael Collins West Non-Brokerage Director

Howard Drukarsh Director-at-Large

Sandra Rinomato Director-at-Large

Joseph C.W. Shum North Brokerage Director

Tim Syrianos Central Brokerage Director

ROYAL LePAGE HAS MORE THAN

DOUBLED IN SIZE Learn what over 16,000 Royal LePage Realtors® already know – our strong national brand opens doors. Maximize your earning potential. Join Royal LePage.

Year 2000

7,000 REALTORS ®

royallepage.ca/joinus This is not intended as an offer to sell or a solicitation of an offer to buy, including a solicitation of any sales representatives or broker that is currently under contract. ©2015 Brookfield Real Estate Services Manager Limited. Any copying, reproduction, distribution or other use of these materials is prohibited. All rights reserved.

Year 2015

over

16,000 Realtors ®

24 REM AUGUST 2015

Royal LePage Your Community wins business excellence award Royal LePage Your Community Realty of Toronto recently won a Consumer Choice Award for Business Excellence. Established in 1987, the Consumer Choice Award is “the only organization in North America to recognize business excellence by conducting research via third-party companies that “surveys both the consumer and business community with statistical accuracy,” says the company. Royal LePage Your Community Realty broker/owner Vivian Risi accepted the award. Also attending the presentation was her daughter Michelle Risi and son Justin Risi, who work alongside her as executive vice presidents. The company has approximately 1,000 agents and 11 offices across the GTA. It has been ranked the No. 1 Royal LePage franchise in Canada for 12 consecutive years.

ety of task forces and serving as president of the National Board. She has gone above and beyond to advance the property management sector and the real estate industry as a whole, while enjoying a successful professional career and business. She is an inspiration to us all.” REIC also announced the recipients of the 2015 REIC Pursuit of Excellence Awards. The awards are presented annually to individuals and organizations that have advanced excellence in the industry. J.A. Weber Award: Aleksandar Riminchan, B.C. Housing Murray Bosley Sales and Leasing Member of the Year Award: Carmela Corrado, Metrolinx

Longley Condominium Real Estate Management Member of the Year Awards: Ken Finch, Royal LePage Signature Realty Brokerage and Ken Loeppky, Innovation Place Real Estate Finance Member of the Year Award: Don Myhre, consultant Community Services Award: Vijitha Bulathsinghala, Century 21 Leaders Realty W.P.J. McCarthy Corporate Citizen of the Year Award: Innovation Place REIC Association of the Year Awards: City of Winnipeg and Saskatchewan Housing Authorities Network Bentall Kennedy Literary Award: Don Kottick, Peerage Realty Group Bentall Kennedy Excellence Award: Jonathan Tkachuk, DTZ Winnipeg Don Hill Awards, Small Chapter: REIC Nova Scotia Chapter and Real Estate Institute of Saskatchewan Don Hill Award, Large Chapter: REIC Toronto Chapter Chapter of the Year Award, Large Chapter: REIC Toronto Chapter

In addition, the REIC Edmonton Chapter received the IREM Chapter of the Year Award.

Ryan Jones honoured on Coldwell Banker ‘30 under 30’ international list The global Coldwell Banker real estate network has named Ryan Jones, a sales rep at Coldwell Banker First Ottawa Realty, to the international Coldwell Banker 30 Under 30 list. Jones is the sole Canadian honouree on the list of the top young real estate professionals among the 86,000 Coldwell Banker professionals working in 43 countries around the world. This group was named to recognize the heritage of the company founders, Colbert Coldwell and Arthur Banker, who started their company at 24 and 28 years old, respectively. Jones was honoured for his commitment to advanced education, his charitable contributions to his community and his focus on technology innovations. “This is a monumental achievement for Ryan and we couldn’t be more proud of him,” says Ross Webley, broker/owner of Coldwell Banker First Ottawa

Realty. “He has been a shining star in our company since he joined us in 2012 and is so deserving of this international Coldwell Banker honour.”

Peter Benninger wins commercial awards Coldwell Banker Peter Benninger Realty president and broker of record Peter Benninger earned a spot in the elite “Top Two” of Coldwell Banker Commercial (CBBC) for 2014. The Top Two designation is reserved for the top two per cent of producers from among nearly 3,000 CBCC affiliated sales professionals in the organization. Benninger was also named Coldwell Banker Commercial’s No. 1 sales professional in Canada. His brokerage was also named the No. 1 Office in Canada based on transaction revenue. This is the sixth consecutive year it has accomplished this feat. Benninger was also awarded a Platinum Circle of Distinction award for his sales volume in 2014, while sales rep Lester Tobin took home a Bronze Circle of Distinction award for his exceptional sales accomplishments. REM

Suzanne LeValley presented with REIC Emeritus Award Suzanne LeValley, president and CEO of Longley Condominium Services in Calgary, is the recipient of the Real Estate Institute of Canada (REIC) Emeritus Award, the association’s highest honour. It recognizes a member’s sustained commitment and outstanding contribution to REIC at both the national and chapter level. “Suzanne has been a dedicated and tireless champion of advanced education since joining REIC in 1985,” says REIC executive director and CEO Maura McLaren. “Her long service at REIC has been demonstrated by her leadership at the chapter and national levels – serving on an entire spectrum of committees, leading a vari-

From left: REIC executive director and CEO Maura McLaren; Suzanne LeValley and REIC national director Joedi Pruden.

Vivian Risi accepts the Consumer Choice Award for Business Excellence.

Ryan Jones

Peter Benninger

The City of Courtenay, B.C. recently honoured 100 residents with Citizens of the Century awards. REM columnist Marty Douglas of Re/Max Ocean Pacific Realty, along with Rick Gibson and Art Meyers of Royal LePage in the Comox Valley, were among the award recipients.

REM AUGUST 2015 25

The top five fears that are holding you back It’s okay to feel afraid

eal estate is a highly paced, intensively competitive industry. You have to get known around your location and build a reputation, and each success is bittersweet. Every time you make a sale you have to find another client. There are five main fears people face in their professional lives. Sometimes these fears can practically paralyze you and hold you back from the success you deserve. Here are the top five fears and how to combat them. 1. Fear of success: Personal and business coach Joe James of Red Deer, Alta., says this is the No. 1 thing holding people back in business. “The fear of success comes from this: change takes work. It can be hard work and although progress feels good, repeating that and sustaining it is the hard part,” says James. He says the best way to overcome the fear of success is by putting yourself out there as a sales rep. Ask what the successful people did to achieve their tri-

By Yvonne Dick umph. Realize that small victorious steps are encouraging; but if you want big success, you will eventually have to take the big steps. 2. Fear of failure: Sometimes the fear of failure is overwhelming. The comfort zone keeps you in a lowered state of existence that, while not as pleasant as doing well, seems to be better than the risks of failing. “Say what if. Instead of what if something bad happens, what if something good happens instead?” says James. What if you fail but learn something, which leads to greater success? What if you succeed, or meet someone who can help you succeed? This is where a mentor can be extremely helpful. 3. Fear of the unknown: Fear of the unknown is fear of anything that could happen, no matter how outrageous or unlikely. For example, lying in bed at night talking yourself out of going cold calling in the morning “in case” you get the flu or because there is a noise in the car, which is logically just

the fan but “could be” something worse? Think about the positive unknowns. If you pick the right neighbourhood, maybe you will even be able to sell several houses on the same block. While going door to door, you might meet a new friend whom you cherish for a lifetime, or find information that you didn’t know before. 4. Fear of rejection: Fear of rejection is the fear that you will feel even worse if you fail. It can be when a transaction is taken too personally. Say a deal falls apart after it conditionally sold, or a prospective client who says they will call you when they’re ready instead goes to the competition. Don’t over analyze these events on a personal level. If you do know the reasons for being rejected, work hard on correcting those points for next time around. Keeping a professional and objective viewpoint makes for a much more relaxed and calm sales rep, which leads to better sales. 5. Fear of being overwhelmed: Take all of the little

fears and stick them inside one large pot. Now step inside the pot. This is what it is like to have the fear of being overwhelmed. James offers advice on a shift in your mindset that might do the trick. “Think about how it’s all about making connections and contributing to people’s lives in real estate and business. Feel good if you can help them.” In other words, remember who you are doing this for. It isn’t just about you, but the people you are selling homes to and finding homes for. Think of the human interaction side of things. How can you improve on that? Are there ways that you can think differently in order to handle the issues that might come up? Fears grow and thrive in negative conditions. Small things such as not enough sleep, dehydration, under or overeating and especially taking time off to have fun and play all impact how you do your job. Think of your brain as your main asset. If you take care of your body, your brain will be happy. Not trying as hard as you really

Joe James

want to feels the same as failing, but at least if you try you are doing something. The unknown isn’t just a negative pit; it’s also that space where opportunity and connection and growth occur. If you fear being rejected, realize that you are already rejecting yourself by dwelling on the problem rather than the solution. Even action ending in failure is better than no action. You are only given one life, so go all in and let your individual talents shine. Follow the tips above and you will find that you can handle life one thing at a time. REM

Choosing your summer open houses By Dan St. Yves

t seems that this time of year I reflect back on doing open houses – I wrote a REM piece last August on this very subject. I suppose this might be due to the perfect storm of being cooped up at an open house in a hot old home with no air conditioning, on a record setting high temperature day. That day stands out in my memory, even after all these years away from hosting the event. I’m sweating like a yak just thinking about it. This memory got me to thinking

that perhaps (despite demands and pleas from clients) an agent should be able to choose the best possible home in which to do an open house during those hot August days (apologies to Neil Diamond). Here are a few suggestions: 1. It goes without saying – but I will anyhow – ONLY agree to host an open house in a home that has air conditioning. DO NOT fall for that frantic phone call from a client suggesting that someone has walked in from off the street and has decided to make an all-cash offer ONLY at that very moment. When you arrive to put that “deal” together, the clients will already be packed and sitting in their car for a trip to the lake, having posted on an electronic boulevard bulletin

board two eight-hour tour sessions Saturday and Sunday. 2. All things being equal, agree firmly and resolutely to only host open houses in homes that have pools. Sure, that’s not really a selling feature, but the “back in 30 minutes” sign that you can tape on to the front door should allow just enough time to dry your hair after a quick dip between showings. 3) In my perfect world, I would open house a four-star seafood buffet restaurant that was for sale through me or a commercial real estate sales colleague. The worldclass, fresh from the boat restaurant would be required to have their buffet selections open and available for consumption during the showing period. Ensure that you have

brought along that Back in 30 minutes sign again for this situation. You know, it may be a good idea to laminate that puppy. 4. Ideally, the large-screen movie room in your featured listing will have some sort of alarm system triggered by the front doorbell. Bring your own napkins in case there is too much butter on the popcorn, or you spill your supersized diet soda. If you have been out late the night before, it may be prudent to watch the screening standing up rather than reclined in the darkened room. 5. Are there any remote waterfront cabins in your listing inventory, accessible only by boat or helicopter? Why not? Maybe a houseboat home that accidentally slips

from its mooring? Co-list a Caribbean yacht charter enterprise if you can? 6. While you may live to regret it the next morning, it could be fun to do an open house in a distillery that produces a wide variety of products. A distillery that doesn’t have too strict an inventory policy, or much of an accounting process. Depending on how much sampling you can do, you way want to scribble “Back in 8 hours” over that laminated notice. Humour columnist and author Dan St. Yves was licensed with Royal LePage Kelowna for 11 years. Check out his website at www.nonsenseandstuff.com, or contact him at danst.yves@hotmail.com. REM

26 REM AUGUST 2015

STOP SELLING HOUSES & START MAKING MONEY

By Debbie Hanlon

very now and then I get what I like to call the urge to purge. When that feeling comes upon me I go through my closets and pick out all the stuff I no longer wear, that is no longer in fashion or that, for some strange reason, has shrunk and no longer fits me. This all gets piled into bags and taken to my local Goodwill store so that someone else can enjoy them for a while. I carry out a similar annual purging of another space in my life that tends to get crowded through neglect – my database. Now, I told

Cleaning out your database closet you some time ago about the importance of building and maintaining your database, about adding a preset number of contacts a day and rewarding yourself for reaching those goals. Real estate is, after all, a contact sport and the more contacts you have, the better your chance of winning in today’s highly competitive market. If you’ve been following my advice – and why wouldn’t you – there’s one more step you need to learn to make your database as profitable as possible: purging. Just like a closet or shoe rack, your database is going to collect contacts you’ll use time and time again as well as those that are simply no longer useable after a while. Let’s face it, people move, they change emails with new jobs or they simply migrate to the newest email server. Remember the exodus from hotmail when gmail came along? For those and a host of other reasons you need to clean out your contact list on a regular basis. Otherwise, it will end up being lit-

tle more than a pile of names covered in digital cobwebs. Like sit-ups or skipping dessert, this used to be easy to do. You’d simply send out a bulk email telling people you were updating your email list and asking them if this was still the correct address to receive correspondence from you. Thanks to the new anti-spam laws, however, that easy, all-inclusive way of cleaning up the clutter is no longer possible. Now it has to be done on an individual basis. This may seem daunting at first, but if you assign time in your calendar to spend 10 minutes a day at it, you’ll be finished before you know it and, trust me, the reward is well worth the effort. Recently I finished purging my own contact list, which as a result of my daily dedication to adding names, had grown to more than 15,000 contacts. Now, to open up my contact list and scroll through that seemingly endless list could easily have turned me off from even considering carrying out a

purge. It’s not unlike swinging open the closet doors and looking at the mass of colours and fabrics that await behind them. That could easily have been overwhelming and I could have put it off or simply not done it at all without feeling too bad about it, but I employed my cheesecake strategy to get it done. Whenever I’m faced with a huge undertaking, I always think of the task ahead as a giant cheesecake. How do you eat cheesecake? That’s right, one bite at a time. So I broke it into bite-sized pieces and penciled in a small amount of time each day for a couple of weeks to get it done. Once again, as with everything I do, I also included a reward program for myself. After I reached a certain number of contacts that had been tested and completed, momma got a new pair of shoes. I have an assistant who helps me, but if you don’t have one, do not use that as an excuse not to do this. For years I did it on my own and as

a result I can now afford an assistant to help me and so will you if you make purging a regular practice in your professional career. Plus there are a host of programs out there that can make this undertaking a whole lot easier. In my next column I’ll tell you about the best way to use those programs to make your database the money maker it should be. Until then, commit yourself to adding one contact a day. Think of it as a surge before the purge. Debbie Hanlon is a real estate broker who has helped train hundreds of sales reps and brokered and managed a national real estate franchise. She also founded an independent real estate firm. Currently she coaches sales reps all over the world. She is the CEO of All Knight Inc, a global educational mobile company, as well as a published children’s author and the creator of the national I’m No Bully Show. https://www.facebook.com/missdebREM bieandfriends

TAKE AN ADDITIONAL

% OFF AGENT15

EVERYTHING!

use the discount code:

Sale ends August 31, 2015. *Discount does not apply to admail products. Enter discount code at time of purchase to receive discount. Discount codes cannot be combined. Shipping and taxes are extra where applicable. Upgrade cost is in addition to regular product price. All prices in CAD.

1-877-659-4479 info@eprintagent.com

Join eprintagent.com today!

REM AUGUST 2015 27

How to kill off bad decisions in four steps

By Dan LeFave

here is a single mental move you can make that, in a split second, will solve most of your problems. It has the potential to improve just about any personal or professional circumstance you encounterâ&#x20AC;Ś and it could literally propel you down the path to phenomenal success. We have a name for this. Itâ&#x20AC;&#x2122;s called making a decision. Decisions, or the lack thereof, are responsible for many missed opportunities and in some cases, the death of an idea. Entrepreneurs who have become very proficient at making effective decisions, without being influenced by the opinions of others, seem to live an enchanted life and enjoy six, seven or even eight-figure incomes. However itâ&#x20AC;&#x2122;s not just your income thatâ&#x20AC;&#x2122;s affected by your decisions â&#x20AC;&#x201C; your whole life is influenced by this immutable power. The health of your body and mind, your relationships, your social life, the well-being of your familyâ&#x20AC;Ś all are dependent on your ability to make effective decisions. The word â&#x20AC;&#x153;decideâ&#x20AC;? is from the same family of words as suicide, which means â&#x20AC;&#x153;to intentionally kill oneselfâ&#x20AC;?. So when you make a decision, you have to kill off one option in order to move ahead with another. You literally have to leave something behind and sometimes part of your past. We resist the idea of strategic focus. Itâ&#x20AC;&#x2122;s easier to move forward with a list of 10 or 20 ideas than to do the hard work of deciding which one or two deserve our undivided attention, our true focus. Iâ&#x20AC;&#x2122;ve never been able to understand why that process is so diffi-

cult for us. Iâ&#x20AC;&#x2122;ve studied and attempted to understand multitasking and what I affectionately call Shiny Object Syndrome. By deciding to focus on only one or two of our pet projects, it feels like weâ&#x20AC;&#x2122;ve â&#x20AC;&#x153;killedâ&#x20AC;? our bright and shiny ideas. By limiting our options, we feel like weâ&#x20AC;&#x2122;ve given up our precious flexibility. But even in a world of abundance, we have limited cognitive ability. That is, each individual can only handle so many tasks, objectives or strategies. We trade off focus for flexibility. Of course, with flexibility comes the never ending juggling of projects, priorities and tasks and the reduced likelihood of accomplishing any of them. When we focus, we can achieve a lot, both individually and collaboratively and have the satisfaction of accomplishment. Use the following 4 Point Decision Making Process the next time you are making a decision and see how it feels to â&#x20AC;&#x2DC;killâ&#x20AC;&#x2122; off one option and move forward with the one that inspires and empowers you. 1. Do I want to be, do or have this? 2. Will being, doing or having this move me in the direction of my goal? 3. Is being, doing or having this in harmony with Godâ&#x20AC;&#x2122;s laws of the universe? 4. Will being, doing or having this violate the rights of others? If the answer to the first three questions is yes, and the answer to the last question is no, make the decision and get moving. Dan LeFave is the co-author of Stepping Stones to Success and the creator of a virtual training program Rich Mindset Secrets Revealed - 10 Easy Steps to Ditch Your Poverty Mentality and Reclaim Your Rich Mindset. He has been profiled on radio shows, in magazines, articles and podcasts, from Manhattan to Vancouver. He says, â&#x20AC;&#x153;You can have results or excuses but you canâ&#x20AC;&#x2122;t have both at the same time.â&#x20AC;? www.danlefave.com REM

ÂŽ

A NEW WAY TO GROW Want to meet in person? LeadingRE is hosting an event in Vancouver this September. Contact us for details.

LOCAL STRENGTH. GLOBAL RESOURCES. Leading Real Estate Companies of the WorldÂŽ has brought its unique and compelling business model to Canada â&#x20AC;&#x201C; one that has helped create a real estate powerhouse responsible for over 1,000,000 transactions valued at $321 billion in annual home sales. If you are a local leader of an independent company â&#x20AC;&#x201C; or are intrigued connections â&#x20AC;&#x201C; we invite you to learn more about the value of aligning with Leading Real Estate Companies of the WorldÂŽ.

LeadingRE.com

sbarr@LeadingRE.com

312.361.8632

28 REM AUGUST 2015

METES & BOUNDS

When salespeople leave you I don’t know which is worse, the weekend desk clean-out and farewell note, or the late in the day visit from the departing salesperson.

By Marty Douglas

lost a salesperson a couple of months back. Not a new experience. I have helped people to the exit but when one of them chooses to go voluntarily to another broker, it’s a shock. It makes you evaluate and do a tally. I came to my current position as a managing broker nearly three years ago when the office staff numbered 59 licensees. Since then, 24 have joined the brokerage, 13 new to the business, 11 experienced. So you wouldn’t be surprised if our total today was in the high 70s, allowing for some attrition. Sorry. It’s 67. A net gain of eight. Those are the realities of turnover.

Still, a .333 average will get you into the Baseball Hall of Fame. And when we look at the age group of existing licensees and the increase in the number of women in the business, we shouldn’t be surprised by attrition due to retirement and parental leave – challenges faced by every segment of the labour market. In our case, of the 16 no longer in the trenches on our team, half were a combination of retirement, parental leave and spousal transfer. The other half saw greener grass. Or cheaper grass. In the ’80s, because we added new people every year, we took an annual group photo. Yes, it was in black and white! For history, I started blackening out the faces of those missing in action from the original photo. In 10 years there were only four of us left out of 24. In hindsight the churn or burn rate is shocking. My goal was to do all I could to

CENTRAL OFFICE: Is looking to hire Real Estate Professionals who are currently earning a minimum of $100,000 annually. These agents must be diligent in their work ethic and take pride in their career and Brokerage. If you feel you qualify, kindly contact Jeffrey Wagman, Broker of Record.

416-785-1500 jwagman@foresthill.com

make sure the reason for leaving was out of my control. Every manager and owner has one critical responsibility – recruiting. Then comes the nasty bit. In the early years, in a galaxy far, far away, there was a franchise called Realty World. It was brought to Canada in the 1970s by Harold Waddell, one of the most respected Realtors in the greater Vancouver marketplace. As an international franchise, Harold’s region outshone other North American franchise members. Canadian offices regularly hauled home trophies from whatever U.S. city the international convention gathered in. Today, particularly in Western Canada, those former Realty World offices are the backbone of Royal LePage. Realty World’s strength was in its broker council, a group of managers and owners who believed in the strength of the brand. We met every two months and the annual two-day goal-setting session inevitably had recruiting high on the agenda. In assessing one particular Fraser Valley brokerage, the facilitator criticized the manager’s recruiting. We’ll call the manager Bill because that was his name. Bill wound himself up to his steely 5’8”and hissed, “Our company is very good at recruiting. We’re just piss-poor at retention.” I don’t know which is worse, the weekend desk clean-out and farewell note, or the late in the day visit from the departing salesperson who says something like, “It’s nothing personal, just business.” But of course that’s not the case. It’s very personal. People leave for a variety of reasons, as long-time REM columnist Barry Lebow noted in a recent issue. His advice, “Ethics - over all else”, should be the guide. The reality of many transitions is summed up in an old Scottish proverb, “No matter where you go, there you are.” When they get to where they are going, after the enthusiastic greeting, it turns out it’s the same grass! Listings are the name of the game and that means prospecting, spending a couple of hours a day seeing the people. You don’t do that on the golf course or behind a

desk. You do that face to face, voice to voice, a minimum of 10 times a day. Simple. Despite what the departed say, many don’t leave for a better deal. Incentive recruiting is a two-edged sword and inevitably, the bonus comes to an end. We recruit with a long view. Some will tell you they leave because of the manager. Okay, I’ll take that hit for the team. Many leave because the work effort required is a surprise, because they aren’t as “lucky” as others, because their hands weren’t held as they crossed the road. In her boot camp for real estate office managers, Dyan Dobbin explained, “We’re running our real estate agencies like adult day care facilities.” Which caused me to reach back once again to my Realty World days and a great manager from Campbell River, B.C., Barry Watchorn. “We are too soft in this business. We spend too much time herding turkeys up and down the runways, hoping they’ll fly,” he said. Look. Real estate is not an easy job. It shouldn’t be for the bucks we are paid. But it is a simple job, which is why we don’t need a university degree to qualify for licensing. Ready for the lesson? LIST PROPERTY, FIND PEOPLE AND GIVE THEM REASONS TO BUY! The most important

Rural properties Continued from page 16

getaway areas are Whistler and the Sunshine Coast, says Jared Dreyer, vice-president, corporate relations, Verico Financial Group Inc. Properties within a two or three-hour drive from Vancouver are in the most demand and therefore most apt to meet the requirements of a conventional mortgage. Verico is a national company of mortgage professionals that sees more than $13 billion in mortgage volumes annually. Further afield in more isolated regions of B.C., however, it is a different story, Dreyer says, suggesting that alternative financing can sometimes come from local credit unions familiar with a host of issues property owners might face

thing you can do in ANY sales position, vacuum cleaners or sex toys, is go out to find the client, not wait for them to come to you. Good people are in the business, in and out of the office, every day. Re/Max’s Dave Liniger said recently that the downside of an improving market (in the USA of course, never in Canada!) is that part-timers and losers come back into the business. Inevitably, we will manage someone of modest talent. Their presence in the office or on the team can be a detriment to recruiting. David Knox, one of the best trainers in real estate and a speaker not to be missed, asked this question: “What would you rather have – an empty kennel or a dead dog?” As they say at UBC, “Tuum est.” Contact Marty Douglas by email at mgdouglas247@gmail.com . Follow or connect with Marty on Twitter, LinkedIn and Facebook. He is a managing broker for Re/Max Ocean Pacific Realty in Comox and Courtenay, B.C. He is a past chair of the Real Estate Errors and Omissions Insurance Corporation of B.C., the Real Estate Council of B.C., the B.C. Real Estate Association and the Vancouver Island Real Estate Board. REM

in the country. While a growing demand to convert cottages to homes might be happening in some regions – Ontario’s Muskoka, for example – Dreyer doesn’t see it happening so much in B.C. While new construction is slowing down in Robinson’s region, north of Kingston, he says there still are renovations going on that require loans. The hamlet of Sharbot Lake serves about 5,000 people in the summer and has a population of 1,000-1,500 permanent residents. While the lake is far removed from a big city, today’s technology allows people to run businesses from almost anywhere – a carrot for entrepreneurs from the city looking for a change of pace. REM

REM AUGUST 2015 29

In praise of the women in real estate AS I SEE IT FROM MY DESK

By Stan Albert

ere’s why, in my opinion, women are better suited for real estate than we

guys are. When the hit song I am Woman was made famous by Helen Reddy, it was at a time when women started taking larger roles in all phases of the business world. Fast forward to today, and in our particular business we find the distaff side of our field has come to the fore. Most of the top producers and top managers and broker/owners are women. We all know that developing and building a successful career in real estate is a never-ending process. I’ve been an observer of human traits and personalities for nearly 50 years. Here’s what I know about why women are better at our business. 1. They’re better organizers. Not only better, they excel! Think about it. Most women in our industry have to be excellent at multitasking, taking on the roles of mother, wife, nurse, transportation arranger, disciplinarian, cook, shopper and scheduler. They make sure the family is fed, dressed for school, have a lunch and are ready to catch the bus for school, as well as making sure hubby has his morning cup of Java. Then comes tidying up the kitchen and planning what to serve for dinner, and all before they even begin to think about getting ready for their own day. 2. Once the above is accomplished, they plan their day as a real estate professional, checking/making appointments and

placing some early morning calls. 3. They arrive at the office fully prepared. After checking their calls and returning those that require quick responses, they set out to inspect properties. 4. When showing properties, they seem to have a better way of illustrating the features to the prospects; a more intrinsic method of showcasing the home’s best features. 5. They are more efficient in handing in the paper work, and in a timely manner. 6. They are social activists, event planners and conflict resolution experts and seem better at handling irate/upset clients. 7. They attend, on a pro rata basis, more training sessions than we guys do. 8. They give freely of their time and expertise to help others just starting out in the business, offering suggestions. They are social, generous and thoughtful. 9. They excel in doing open houses by being better prepared. 10. And last but not least, they will take a leadership role in charitable causes and usually raise more funds. So I tip my my hat to the professional women who bring so much to our industry. Now, having raised the ire of the male readers of this article, my opinion is just that, my opinion. It doesn’t mean that you have to be a female agent to attain the foregoing attributes, so, don’t be sending me hate mail. It’s just this old guy’s opinion and that’s all. I wish you all a great summer and fall campaign and the best of everything. I encourage all of you to ramp up your activities for the rest of 2015. Got a topic you’d like to see me weigh in on? Contact me at the email below. Stan Albert, ABR, ASA is a consultant with Re/Max Premier in Vaughan, Ont. He can be reached for consultation at stanalb@rogers.com. Stan is now celebrating his 45th year as an active real estate professional. REM

30 REM AUGUST 2015

Good Works D

on Patterson’s Spirit Runner Ride 2015, in which he planned to cycle 7,000 km from Inuvik, Northwest Territories, to Point Pelee, Ont., came to an abrupt end recently. “After two years of planning and training, I crashed in the Yukon, only three days into the ride,” says Patterson. “I fractured my right hip and broke my right shoulder but luckily not even a scratch on the bike!” He was riding to increase awareness of the importance of physical activity for Aboriginal youth, to raise funds to support sports activities and to develop sustainable community bike programs. Patterson, 61, says he is healing

well and although the ride had to be called off, “I’m continuing to build sports programs in Aboriginal communities across the country. As we speak, I’m getting bikes and skis shipped up to Fort McPherson, near Inuvik. It’s based on a collaborative approach (and lots of persistence) that can be widely copied.” He invites REM readers to take a look at his blog posts for more details on the ride/crash and his latest “Believe in yourself and create opportunities, which summarizes the personal challenges I’ve faced and my philosophy.” Visit www.spiritride.ca. ■ ■ ■

Exit

Realty

Corp.

From left: Nick Munter and Kristin Pierce of Royal LePage Premier Real Estate; Marc Strafford; Shirley Williams, broker/owner of Royal LePage Premier Real Estate; Dustin Haun; Adam Doyle, broker/owner of Royal LePage Stalco Realty; and Amy Berg, Royal LePage Premier Real Estate.

International has pledged $500,000 to Habitat for Humanity International in 2015, bringing its total pledges to $2.5 million to date. “A portion of every transaction fee collected by Exit Realty Corp. International is pledged to Habitat,” says Christine Ireborg, Exit Realty’s liaison with the organization. “To date we have contributed both financially and with volunteer hours towards 19 home builds, the majority of which benefited families led by single mothers. We’ve participated in a community revitalization project and in the Jimmy & Rosalynn Carter Work Project. Along with this latest pledge, we are pleased to announce a new co-op program, where the local fundraising efforts of an Exit Realty sales rep or broker may be matched by our fund.” ■ ■ ■

Royal LePage Premier Real Estate in St. Albert, Alta. hosted its third annual charity golf classic recently, raising $19,500 in support of the Royal LePage Shelter Foundation. The event attracted 118 golfers for a beautiful day on

the links, followed by dinner and a silent auction. The funds raised will support the Stop Abuse in Families Society. ■ ■ ■

HomeLife Realty (Guelph) Limited recently held a garage sale fundraiser to support Guelph’s Michael House and its Home for Generations project. Michael House Pregnancy Care Centre provides shelter and support for pregnant and parenting young women and their babies in the community. The funds will be used for A Home for Generations, a new supportive housing program. It will accommodate up to eight mothers who have completed the residential program, allowing them to live independently and responsibly on their own and benefit from continued access to the services that Michael House offers. ■ ■ ■

Staff and sales reps at Royal LePage True North Realty recently presented a $17,000 donation to representatives of the Fort McMurray Family Crisis Society. The funds were raised at the 14th

Sutton Group - Preferred Realty recently held a golf tournament to support Ronald McDonald House.

annual Slo-Pitch Tournament in support of local shelter, Unity House. The popular tournament brought hundreds of local athletes to the Syncrude Athletic Park in Fort McMurray, Alta. over the Father’s Day weekend, with residents coming out to watch and support 21 teams competing in four divisions. “The baseball community gives their full support to our tournament each year and they believe in the cause,” says Jill Kerrigan, event organizer and associate broker of Royal LePage True North Realty. Throughout the year, the brokerage hosts several community initiatives to help raise awareness and funding for the Fort McMurray Family Crisis Society via the Royal LePage Shelter Foundation. ■ ■ ■

Leaving home for days, weeks or months of hospital treatments can be difficult for children. For parents, the cost of staying in hotels and buying meals becomes very expensive. Fortunately, London, Ont. has a Ronald

Don Patterson

Shannon Doell in her costume. The Yorkton Re/Max Blue Chip Realty residential agents recently made a $500 donation to the Boys and Girls Club of Yorkton, Sask. “This donation will help with the summer day camps for children in our community,” says Doug Jonassen, marketing manager. Summer day camps are available for ages 6 to 12 and teen day camp for ages 13 to 18.

REM AUGUST 2015 31

McDonald House (RMH) where families can stay for just $10 per night, have access to supportive services and enjoy hot meals prepared by volunteers and staff. The team from Sutton Group Preferred Realty regularly volunteer at the RMH in London and recently they hosted a golf tournament in support of the charity. Thanks to generous sponsors and donors, 72 golfers and the organizers, the tournament netted $2,365. ■ ■ ■

In recognition of 25 years in the real estate business, Dan Cooper of Royal LePage Real Estate Services in Oakville, Ont. recently held a celebration evening during which $10,000 was raised by the Dan Cooper Group in support of the Royal LePage Shelter Foundation. Proceeds were raised through a draw, silent auction and a personal donation from Cooper. The proceeds will be donated to a local shelter, Halton Women’s Place. ■ ■ ■

The team at Sutton Group -

Incentive Realty in Barrie, Ont. held a community barbecue recently at their Minet’s Point Road office to benefit children requiring care at the Royal Victoria Hospital. “We had an excellent turnout and raised close to $1,000 for the department at the Royal Victoria Hospital that treats kids who have depression and mental illnesses,” says Bill Kindou, broker of record. “This topic doesn’t get the same attention as cancer, for example, but mental health has a major impact on individuals and communities.” News of the charitable barbecue spread quickly through Barrie. “We had all sorts of people from other real estate companies drop by. Even staff members from the City of Barrie were calling each other about how wonderful our food table was,” says Kindou. ■ ■ ■

Royal LePage Ville-Marie recently hosted a Walk a Mile in Her Shoes event to raise funds and awareness for gender-based violence. The event featured a group of 12 men wearing bright red high

Dan Cooper (kneeling, front right) presents a $10,000 donation to Royal LePage Shelter Foundation executive director Shanan Spencer-Brown (centre). They are gathered with agents and staff of the Dan Cooper Group.

Jacqui Rostek

heels, accompanied by their supporters. Together, they walked just over a mile through the streets of Monkland Village in Montreal, collecting more than $4,200 in pledges. Funds raised will be donated to local shelter, Auberge Transition, via the Royal LePage Shelter Foundation. “We had a wonderful time walking together to show our support for women in our community who have been affected by domestic violence,” says broker/owner Georges Gaucher. “We cannot wait to grow this event next year and hope to double our impact.” ■ ■ ■

At the first-ever 100 Entrepreneurs Planting Seed$ competition in Halifax, 100 hopefuls between the ages of 17 and 24 pitched their business plans for a chance at $10,000 in “seed” money. The prize was funded by 100 businesspeople who participated in the event. Putting young entrepreneurs on the path to success started with four original thinkers. Jacqui Rostek, a sales rep with Sutton Group - Professional

Realty, along with Stefanie MacDonald, Allyson England and Amy Richard brainstormed on ways to inspire Halifax-area youth. They came up with the concept for the competition and within just five weeks they had invited applicants to apply with the help of Yes N.S., gathered a diverse panel of judges, arranged a venue for the competition finale and secured 100 seed money donors plus additional event sponsors. A panel of judges selected one winner – Canadian Cold Press Juices – to receive $10,000. This start-up company produces juice mainly from locally sourced fruits and vegetables. ■ ■ ■

With their hearts on their sleeves and their bras on the outside, the Braz for the Cause Fling’em for Breast Cancer Gala in Stratford, Ont. was another success. The event has raised $90,000 in seven years to help women in financial need who are undergoing breast cancer treatments. It provides short-term assistance with the costs of child care, taxi fares, nausea medication, wigs and other

The hosts from Sutton Group – Incentive Realty had fun cooking for the community and raising funds for the Royal Victoria Hospital.

From left: Maria Annable, HomeLife Realty (Guelph) sales rep; Rosemarie Coombs, Michael House executive director; Wendy Banks, Michael House development manager; and Gasper Russo, HomeLife Realty (Guelph) Limited broker of record.

items not covered by health insurance. Shannon Doell, a sales rep with Sutton Group - First Choice Realty, recruited participants for the fourth year in a row, and arranged a work area at the Meadow Run Game Club where they could create their costumes, socialize and enjoy food and refreshments. This year they were named “The Milk Mommas” and the costumes included toy nursing babies. “The first year, I didn’t know what to expect so we went to the gala in differently decorated bras,” says Doell. “We get more creative each time and challenge ourselves to come up with original costumes for a great fundraiser. The original members of our group are now recruiting friends, daughters and mothers to join in the fun.” The women involved donate not only time but money. In addition to a gala fee of $40 per person, this year Doell asked each member of her group to donate a bottle of wine to be auctioned off for the charity. There were also unique, individual contributions. REM

Walk a Mile in Her Shoes participants, from left: Erin Montgomery; Sean Murphy and Normand Deshaies of Royal LePage Ville-Marie; Mohamed Maïga, mortgage specialist, National Bank; Georges Gaucher, broker/owner; Christophe Larouche, branch manager, RBC; Erik Hamon and Demetri Marinakis of Royal LePage Ville-Marie; Samuel Sun, mortgage broker, Desjardins; and David Tardif and Nasr Abou Nasr, Royal LePage Ville-Marie. From left: Royal LePage True North Realty associate broker Jill Kerrigan; Tim O’Rourke, director of fund development for FMFCS; Marian Barry, broker/owner of Royal LePage True North Realty; Michele Taylor, executive director of FMFCS; Cindy Scantland and Alejandra Carroll, sales reps; and Jenna Longaphie of FMFCS.

32 REM AUGUST 2015

andace Le Roux of Bentall Kennedy in Vancouver is the new president of the Real Estate Institute of Canada (REIC). She and the new Board of Directors were installed at the institute’s 2015 Annual Conference and AGM. With over 20 years of experience in the real estate management field, Le Roux has been a member of REIC since 2004. She is an active volunteer with REIC serving on boards, committees and task forces at the national and chapter level. Named vice-president is Don Kottick of Peerage Realty Partners in Toronto. Serving as secretary/treasurer is Winson Chan of Tridel Corporation, Toronto. The past president is Ron Penner of Globe General Agencies in Winnipeg. The directors are Lindsay Carlson, Now Real Estate Group, Sherwood Park, Alta.; Steve Kincade, Kincade Property Management, Saint John, N.B.; Walter Lui, Century 21 Leading Edge Realty, Toronto; Joedi Pruden, City of Winnipeg; Johnmark Roberts, B&B Associates Realty, Toronto and Bruce Bassett, RBC Global Asset Management, Halifax. ■ ■ ■

Mark McLean took over as president at the Toronto Real Estate Board (TREB) on July 1. A 26-year TREB member, McLean first ran for the Board of Directors in 2012 as director-at-large, pledging to foster relationships with consumers and within the profession. “The most important thing is simply to participate in the conversation,” he says. “With respect to organized real estate, I believe firmly in the three-way agreement and I hope that we will continue to offer leadership and support to smaller boards throughout Ontario and across Canada.” When it comes to TREB’s dialogue with consumers, McLean

believes it is important to the city’s future to continue promoting the benefits of home ownership. “As a centre of finance, innovation and creativity, Toronto is destined to become one of the world’s great mega-cities, and recognizing this, it is important for us take it in a positive direction” he says. “Walking around, it’s easy to see that it is a city of entrepreneurs and as entrepreneurs ourselves, Realtors have an important role to play in its development.” Another of the Greater Toronto Area’s characteristics that gives it an advantage, says McLean, is its multiculturalism and in future years, he hopes the city’s diversity will be even better reflected at TREB’s board table. “I would encourage anyone to get involved in organized real estate because it gives you a big picture perspective, insight into emerging trends and the opportunity to talk with other Realtors from throughout North America who are happy to tell you about what works for them.” McLean’s perspective on the overall outlook for the profession is equally positive. “In years past you would say to clients, ‘I found a house’ and today they say to you, ‘I found a house; how do I maximize my dollar?” he says. “We really are needed to take all of the information that’s out there and make the best use of it.”

recently presented two student scholarships. Recipient Annie Young is perusing a career as a veterinarian and is currently studying biomedical science at the University of Guelph. Nicholas Zingone is a graduating student from Chatham-Kent Secondary School and will be studying biomedical toxicology, also at the University of Guelph. Both students are related to local Realtors. Jamie Winkler, president of CKAR, says, “This has been a tradition of the association that has been carried on for over seven years and we are so happy to be able to support local youth in Chatham-Kent.” ■ ■ ■

Real estate consumers in Ontario are now permitted to use electronic signatures on real estate agreements of purchase and sale, after years of lobbying by the province’s real estate association. The government’s decision

comes in the form of a proclamation of a 2013 amendment to the Electronic Commerce Act, 2000 (ECA), which extended the legal protections of the Act to include electronic real estate agreements of purchase and sale. The Ministry of the Attorney General is responsible for the ECA. The ministry led the consultations and approved the final proclamation of the amendment. Patricia Verge, Ottawa-area Realtor and president of the Ontario Real Estate Association (OREA), says, “The government has taken the time to get this issue right. Extensive consultations were hosted to ensure that both the industry as well as the public were well served by the move to electronic signatures.” ■ ■ ■

The Notley government’s announcement of a plan to work with cities and municipalities in Alberta to ensure that more afford-

The REIC National 2014-2015 Board of Directors. Back row, from left: Bruce Bassett, Steve Kincade, Candace Le Roux (president), Winson Chan, Ron Penner and Johnmark Roberts. Front row: Walter Lui, Joedi Pruden, Don Kottick and Lindsay Carlson.

able housing units are built is being met with approval by the Alberta Real Estate Association (AREA) and its 10,000 Realtor members. AREA says it recognizes the value in building more affordable units, as opposed to implementing rent controls. While talk of rent control measures came up during election campaign, the government, including Municipal Affairs Minister Deron Bilous, say that in the current market, where rent levels have been plateauing, it makes good sense to put resources into making more affordable units available. This will increase supply and, in turn, lower rents. AREA says affordable ownership and a secure home provide a stable foundation from which individuals, families, communities and Albertans can prosper. “Allowing households to accumulate equity is the basis for a number of positive social, economic, family and civic outcomes,” says AREA. REM

The KLREA raised about $14,000 for Habitat for Humanity.

■ ■ ■

Members of the Kawartha Lakes Real Estate Association, with the help of the public and local service clubs, raised about $14,000 in a recent “sponsor a stud” campaign for the first Habitat for Humanity build in the City of Kawartha Lakes. The KLREA was recognized by Habitat for its community spirit. The association is now organizing a local Realtors Build Day to take place in the fall.

From left: Kristi Willder, CKAR vice president; Jamie Winkler, CKAR president; Annie Young; Nick Zingone; and Barb Phillips, CKAR president elect.

■ ■ ■

The Chatham-Kent Association of Realtors (CKAR)

Mark McLean

The Asian Real Estate Association of America (AREAA) Greater Toronto Chapter recently held its inaugural gala event to raise funds for the Ontario Realtors Care Foundation, Hua Zuo Centre Canada (serving the Chinese community) and the Seva Food Bank (serving the Sikh community). REM was the media sponsor and the Grand Sponsor was Concord Adex Developments Inc. For more information on how to become a member of AREAA Greater Toronto Chapter, visit www.AREAA.org or on Facebook, www.facebook.com/AREAAGTA.

REM AUGUST 2015 33

What’s

New Exit announces sales rep safety initiative Exit Realty Corp. International is teaming with Project Safety Inc. to provide the Smart Automated Notification & Deterrent (SAND) system to real estate professionals in the U.S. and Canada. “I come from a family of Realtors,” says Alan Blair, CEO of Project Safety. “As a career I.T. professional responsible for developing technology processes, I knew there was more that could be done to help protect real estate brokers and agents. Exit Realty is our first Community Safety Partner in real estate and we are thrilled to be working with them.” Project Safety says its mobile and cloud technologies allow users to construct an automated proactive safety plan. The journal function can be used to store information for use at a later time, such as auto accident images and data, and information on abusive relationships and other circumstances that can lead to the need for the support of a legal case. Agents in the field can mark their location with a single touch of the GPS tag button as often as they like. The system also contains reactive elements for emergencies that use technology to help to deter personal crime, the company says. For information: www.ProjectSafety.com.

Royal LePage introduces healthcare, flooring partnerships Royal LePage has partnered with ICC, a provider of insurance industry flooring replacement, to offer Royal LePage agents, brokers and their clients “significant discounts from some of Canada’s

best-known flooring manufacturers, sold throughout the ICC network of more than 540 retail locations across Canada,” says the company. ICC will donate one per cent of incremental revenues as a result of volumes associated with this program to the Royal LePage Shelter Foundation. Royal LePage also announced a new partnership with Medcan Clinic, Canada’s largest professional healthcare clinic dedicated to preventive medicine and wellness. With more than 65 physicians and specialists on-site at its downtown Toronto location, Medcan provides health and lifestyle management services for individuals, families and organizations, with customized programs tailored to specific needs. These services are also available through affiliated clinics in major centres across Canada, the company says.

Lone Wolf acquires Real Web Solutions Lone Wolf Real Estate Technologies of Cambridge, Ont. has acquired Real Web Solutions, a real estate website software provider in Toronto. The purchase includes the Realigin platform, designed to help real estate profes-

“This acquisition aligns with our vision for the growth of our product and service offerings to real estate agents,” says Lorne C. Wallace, CEO of Lone Wolf. sionals and companies develop and enhance connections with consumers and each other; along with the Real Web Agent and Real Web Brokerage tools. “This acquisition aligns with our vision for the growth of our product and service offerings to real estate agents,” says Lorne C. Wallace, CEO of Lone Wolf. “We have a strong foothold in the broker marketplace. Now we’re continuing to expand our presence in the agent marketplace through the growth of our complete eco-system

of product, service and partner offerings to meet the needs of real estate professionals.” The addition of the Real Web Solutions product line to Lone Wolf’s Complete Enterprise Solution follows last year’s acquisitions of eWebEngine and WebTech Dezine’s Moneymaker website platforms. Lone Wolf also recently received a strategic minority growth investment from Vista Equity Partners. The Real Web Solutions deal is the first acquisition inked since the investment. “Joining the Lone Wolf team is an exciting step for us,” says Trevor Snooks, CEO at Real Web Solutions. “This opportunity will provide the market exposure, marketing tools and leadership we need to take our platforms to the next level. Clients will benefit from the vast resources we now have access to in order to bring new features to market faster and more efficiently than ever before.”

Re/Max of Western Canada partners with RankMyAgent.com On the heels of an alliance with Re/Max Integra, RankMyAgent.com has now formed a partnership with Re/Max of Western Canada. The company says it enables users to search for agents in their desired neighbourhood and view unbiased, user-generated evaluations based on the agent’s experience, neighbourhood and property knowledge, negotiation and communication skills and professionalism. “RankMyAgent.com offers our network of real estate professionals the opportunity to monetize the value of online reviews. This partnership will allow our sales associates to be recognized for their strong customer service and it will provide an additional level of transparency for potential clients,” says Elton Ash, regional executive vice president, Re/Max of Western Canada. “As digital devices become more firmly entrenched in people’s lives, engagement online is critical to building a personal brand and establishing trust.” While RankMyAgent.com consolidates communication to save an agent time, it also creates a verified network of leads and referrals, says founder and president Riti Verma. REM

GET

AT HOME!

12 ISSUES

FOR ONL LY $24.99 9*

Viisi s t remonline.com/home-subscription to le earrn mo ore r ! *Plus Pluss applicabl Pl app p licable ab e sales ale tax tax x

34 REM AUGUST 2015

THE PUBLISHER’S PAGE

By Heino Molls

f you want to operate a taxi in a big city, you have to have a license issued by the government. I am therefore confused that there are people without taxi licenses who give people rides for money, just like a taxi, and they can do so legally. I am told they can do that because, technically, they are not a taxi service but rather they are a ride-sharing system operated on the Internet. I am advised they are a different “business model”. I know that to consult people on their medical well-being you must have a license to be a doctor. So I am confused that there are “medical consultants” who are allowed to operate without a license and tell people about what vitamins to take as well as consult on a variety of health-related issues from having children to what foods a person should eat. I am told they are a different “service”, not the same business model as doctors. If you wish to advise people on legal matters, you have to have a license to be a lawyer. So I can’t figure out how so many people advise others on their legal rights in matters from immigration to labour relations to taxes and yet they are not licensed lawyers. Again I am told these people are in a different

Licensing and business models Trade Shows and Conferences business model from lawyers. I have spent over 35 years now watching the real estate industry. I always understood that if you want to act as a real estate agent for people who want to buy or sell property, you have to have a real estate license issued by the provincial government. I have watched the people in this business struggle with interpreting the laws that govern real estate licensing and I have seen these laws stretched and pulled in many different directions. I have seen a lot of non-licensed consultants in this business and I see them now. Many claim they are not the same “business model”. I have seen all manner of different “business models” rolled out under the guise of credible real estate services that just don’t seem right to me but I cannot deny that they have been ruled legal in courts of law and wise legal opinion. I am embarrassed that after all these years of thinking I knew this business that I find myself lost in a sea of confusion of what is right and wrong. I have to ask myself this question: Why would anyone go to the trouble of getting a real estate license to charge people a negotiated fee or commission to help them buy or sell a house when it may not be necessary to have a license to do that? I am adding this to the question that I have been asking for almost 20 years now. How come, in each job where people must have licenses, they have a fee structure approved by either the provincial

or municipal governments who issue the licenses? In all cases the fees can be negotiated but there is a fee structure that all parties refer to when circumstances call for negotiations. That is, a base fee, often from a printed government book that outlines fees. Fees that can be adjusted when negotiated. That is the case with teachers, lawyers, doctors, dentists and yes, cab drivers. I knew from the time I was 15years-old that in Toronto, the base structure to pay a real estate agent was five per cent to sell your house if it was an exclusive listing and it was six per cent if the agent got the whole real estate community involved in selling the place by putting it on MLS. I agree that commission rates should be changed to reflect the difference of values from region to region but you need to at least have some guideline of a price for service to start from. What we have instead seems like the Wild West to me. I know that, truth be told, out of all the people reading this, it is likely that both of you may not even have been born back when I was 15. I admit back in those days there were flim-flam artists and cheaters but nothing like we have today. Not even close. There was a lot more integrity in business back then. That was our business model. Heino Molls is publishers of REM. Email heino@remonline.com. REM

To add a listing to this calendar, email jim@remonline.com Coldwell Banker Generation Blue Experience Sept. 16 -18 Chicago Includes Canadian pre-conference program www.genblue.coldwellbanker.com/

Realtors Association of Grey Bruce Owen Sound Trade Show & AGM Tuesday, Oct. 27 Harry Lumley Bayshore Community Centre, Owen Sound Marilynn@ragbos.com

CREA Canadian Commercial Conference Sept. 30 - Oct. 1 Delta Winnipeg, Winnipeg www.events.crea.ca

Ottawa Real Estate Board Trade Show Thursday, Oct. 29 Ottawa OREB.Admin@oreb.ca

Century 21 Canada Conference and Supplier Expo Oct. 5 - 6 Delta Prince Edward Charlottetown, PEI supplier.expo@century21.ca

WinnipegRealtors Association Annual Technology Conference and Trade Show Thursday, Oct. 29 Victoria Inn, Winnipeg lhajkowski@winnipegrealtors.ca

Durham Region Association of Realtors Realtor Connect Thursday, Oct. 15 Deer Creek Golf & Banquet Facility communications@DurhamRealEsta te.org

National Association of Realtors Conference & Expo Nov. 13 - 16 San Diego Convention Centre San Diego www.realtor.org/convention.nsf

Barrie & District Association of Realtors R.E.I.G.N. Event Thursday, Oct. 22 ANAF Club Barrie bonnie@barrie.realtors.ca

Canadian Association of Accredited Mortgage Professionals Mortgage Forum 2015 Nov. 15 - 17 Toronto events@caamp.org

Compiled with the assistance of Bob Campbell at Colour Tech Marketing, www.colourtech.com

MARKETPLACE Promoting Professionalism and Competency in the Home Inspection Industry Find your inspector now at

om ICIWORLD.com

REAL ESTATE NETWORK K How to Promote Your Website Monthly FREE Internet Webinar iciworld.com Click on Webinars

www.phpic.ca

ICIWorld.com Real Estate Broker Information Listing Service 30,000+ Listings, Haves & Wants 75% Exclusive Residential & Commercial 416-214-4875 1-877-272-1721 Let your information do the networking 24/7

Track Your Website Leads to Close!

92% BEGIN ONLINE.

OF HOME SEARCHES

How is your brokerage ensuring you capture and track all of your website leads to close?

It’s your business. Brokers, run your office with:

Your back office management

Your front office management Ready for transaction and lead tools?

Your paperless office

Implement tools built for the real estate industry and designed to ensure that your website lead opportunities are captured, tracked and pushed through seamlessly to close. One point of data entry supports streamlined processes, efficient operations, increased profitability and visibility into your business. >>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>

6 SIMPLE STEPS!

>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>

Your website solution Want new revenue opportunities?

Your ad revenue program

Your real estate solution since 1989! www.lwolf.com

Your agents’ toolbox

1.866.CRY.WOLF(279.9653) | sales@lwolf.com

LEAD MANAGEMENT That lead is captured in globalWOLF and the data is sent to the WOLFconnect front office management system.

LEAD CONVERSION That lead becomes a client and buys a house from your agent.

AUTOMATIC DATA SYNC The transaction is entered online via the Electronic Deal Sheet (EDS) in WOLFconnect. Contact and listing info syncs into the office’s brokerWOLF back office management solution. Here, agents can upload all the relevant documents for the transaction using loadingDOCS document storage.

LEAD TRACKING TO CLOSE Now that all of the transaction data has been seamlessly sent to brokerWOLF, the system uses name recognition technology and the lead is tracked to close.

Achieve your success with the right tools!

www.lwolf.com

LEAD CAPTURE A potential buyer fills out their information on your globalWOLF website.

Lone Wolf offers true lead tracking to close in

Learn more: www.lwolf.com/truetracking

Also providing your agents with the tools they need:

Heading to the RE/MAX Broker Owner Conference in Boston? VISIT US AT BOOTH #505!

GROW YOUR BOTTOM LINE You can now pull the Lead Production Report to show the leads you’ve passed to your agents, reinforcing the value of the brokerage and your partnership.

Simplify Your Life! The BT iBox LE and eKEY are inseparable. TM

Your smartphone communicates directly with the iBox using Bluetooth® technology, so your phone is your key! The BT iBox LE and eKEY together will simplify your life considerably... and who wouldn’t like that? TM

Contact us at 1-888-652-3540 or visit www.supraekey.com To learn more about the iBoxTMLE contact John Fancy. Tel 902-252-3610 Toll free 888-652-3540 Mobile 902-579-2648 Email john.m.fancy@fs.utc.com

Give our kids every chance to get better.

PUT YOUR MONEY WHERE THE MIRACLES ARE. JENNIFER LOPEZ ACTRESS, MUSICIAN, TV PERSONALITY, MOM

Like all moms, I’m always concerned about my children’s well-being. But sometimes they get sick. Sometimes they get hurt. That’s why I’m so grateful we have children’s hospitals. If any child needs a miracle, they’ll do everything in their power to make one happen. Please join me in giving sick and injured children every chance to get better. Put Your Money Where the Miracles Are. Give to your Children’s Miracle Network member hospital.

Give Today to your children’s hospital foundation ChildrensMiracleNetwork.ca

MIRACLE HOMES MAKE MIRACLES HAPPEN. Through the Miracle Home Program, participating RE/MAX agents have donated a portion of their income to a Children’s Miracle Network member hospital in their area. Since 1992, we’ve raised over $56 million in Canada.

Each RE/MAX office is independently owned and operated. This advertisement is not intended as an offer to sell, or the solicitation of an offer to buy, a franchise. It is for informational purposes only. If you own a franchise affiliated with another organization, this advertisement is not intended to offer a RE/MAX franchise or to solicit a change in your affiliation.

[SPRING ARTWORK SPECS] REMAX | MAGAZINE AD SIZE: TRIM SIZE: 10.25 X 11 IN COLOUR: CMYK