May 2010

Real Estate Marketing

Issue #251

News

Mortgages

May 2010

Life is good on Vancouver Island

Randy Forbes and Coast Realty’s success story Page 16

Competition Bureau’s blistering reply to CREA Page 3

Ontario sales rep reaches the peak Page 8

Te c h n o l o g y

Opinion

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REM MAY 2010 3

Competition Bureau sends blistering reply to CREA A

pointed reply filed with the Competition Tribunal by the Competition Bureau has made it clear that the gloves are now officially off in the bureau’s dispute with CREA over access to CREA’s trademark MLS system.

The bureau alleges that CREA’s MLS rules amount to “abuse of dominant position” in the market – contrary to section 79 of Canada’s Competition Act – and filed an application with the Competition Tribunal to hold a court hearing into this allegation. CREA filed its formal response to the bureau’s application in late March, stating that the association felt no tribunal hearing was necessary because changes to MLS access had been passed at CREA’s AGM that addressed the bureau’s initial concerns.

Bureau commissioner Melanie Aitken’s 13-page reply, filed with the tribunal on April 9, uses very direct language to dismiss the CREA arguments, stating that contrary to CREA’s claims, “the recent amendments are further evidence of CREA’s high degree of control in the market for residential real estate services. Given CREA’s high degree of control, even a small impact on competition resulting from the MLS restrictions is ‘substantial’ for the purposes of section 79 of the Competition Act.” The crux of the bureau’s case against CREA is set out in section 20 of the commissioner’s reply: “CREA’s rules continue to prohibit real estate brokers from offering fully unbundled services to home sellers and continue to prevent entry and expansion of alternatives to the traditional, full-service real estate model. Further, CREA (and member boards) have expressly protected the freedom to pass further rules at any time that may hinder or exclude (or have the effect of hindering or excluding) competitors from offering alternative services in the relevant market.” The commissioner further states, “CREA and its members cannot evade examination by the tribunal of their longstanding anti-competitive conduct by purporting to suspend that

behaviour, particularly when it can be reinstated at any time.”

Also countering CREA’s claim that there is vigorous competition among its number individual member brokers, the commissioner alleges that “any such competition is limited to competition within the rules of the game set by CREA. In effect, ‘competition’ is confined to competition for one service model, with one compensation model, and terms limited by CREA. Regardless of the number of CREA members competing in the relevant market, CREA, though its MLS restrictions, sets the terms of competition among all members, restricting the degree to which members can compete with one another.”

What appears to be support for CREA’s position in any eventual tribunal hearing has come from an unexpected source – a new national network representing For Sale By Owner (FSBO) firms. Stephen Skelly, vice-president of operations for the National FSBO Network (NFN), filed a motion to be granted intervenor status by the tribunal.

In his motion, Skelly states he is seeking intervenor status to ensure that the complete range of real estate marketing options is considered by the tribunal before it makes a decision on the application for a hearing.

“Clearly, Canadians who wish to sell their homes fall into a spectrum ranging from, on one end, those who wish to have the whole process handled by an agent, to those at the other, who wish to do everything themselves. The commissioner makes no attempt to quantify where sellers in Canada fall within this spectrum and also fails to demonstrate that the segment of owners who wish to operate on a fee-for-service basis is not already adequately served.”

NFN represents FSBO companies in B.C., Alberta, Ontario and Nova Scotia – the national network has been in operation since January, posting its members’ FSBO listings on its www.fsbo-network.ca website and updating them daily.

“There is serious concern in the FSBO community that if the commissioner’s application is successful,

By Kathy Bevan

it would be very difficult for FSBO businesses to compete with agents who would (have) full use of the MLS and ‘related trademarks’ and who would have all of the advertising and marketing recourses of the CREA and its members,” added Skelly. “This could ultimately lead to the demise of FSBO businesses and the cost effective services they provide and effectively a monopoly situation.”

Lawrence Dale, co-founder of the former Realtysellers brokerage, has also filed a motion requesting intervenor status, stating in his motion that, in general, he intends to support the commissioner’s position. Dale and Realtysellers were both referenced in the commissioner’s original application to the tribunal, cited as an example of the kind of non-traditional brokerage restricted by CREA’s MLS access rules. Realtysellers ceased operations in 2006 after six years of offering alternative ways of supplying real estate brokerage services at lower rates and fees.

In Dale’s intervenor status motion, he says that he “has plans to re-enter the industry with nontraditional brokerages offering innovative services in a number of areas that will compete directly with members of CREA” if the bureau’s application to the tribunal is successful. Dale says he has “a unique and distinct perspective on the matters at issue in the application, as well as specialized knowledge and expertise” to assist the tribunal, as well as “direct knowledge of the relationship between CREA and its member boards, such as TREB, and the operations as far as CREA exercising control over how the member boards operate their MLS systems.”

If Dale is granted intervenor status, he has requested he be allowed to participate in the proceedings by attending and making representations at motions, pre-hearing conferences and the hearing of the commissioner’s application. He also is requesting that he be allowed, among other things, to review transcripts and documents during the “discovery” process and make copies of documents listed in any

Photo: Couvrette/Ottawa

The gloves come off as a tribunal hearing appears inevitable

Lawrence Dale

Melanie Aitken

affidavit – unless restricted by the tribunal – and to cross-examine witnesses after the commissioner has done so, if he can demonstrate he has pertinent questions that the commissioner had not asked, as well as to make oral and written final arguments and submissions.

For its part, NFN has asked to be allowed to participate and to submit written evidence to the tribunal regarding the role of FSBO businesses in the Canadian real estate market and the services that FSBOs provide. While the concerns Skelly expresses on behalf of NFN and its FSBO members seem at first glance to support CREA in its stance countering the allegations of the commissioner, NFN has expressly asked that “CREA not be permitted to seek documentary or oral discovery of the NFN.”

Both CREA and the Competition Bureau now have the opportunity to respond to the motions for intervenor status filed

by NTN and Dale; depending on whether those responses are in support, against or neutral, NTN and Dale will then either respond or the Tribunal will make a decision as to their status approvals.

While no date has been set by the tribunal, it’s expected that the earliest a hearing could be scheduled would be this fall; the latest would likely be at the beginning of 2011. Tribunal hearings are usually held in front of three members: one judicial member and two lay members. The Competition Bureau v.

CREA would likely be a public hearing in Ottawa and could take up to three weeks to conclude.

REM

$750 million Realtysellers lawsuits served Those involved in three other pending court cases are closely watching the Competition Bureau’s application to the Competition Tribunal – all involving Lawrence Dale, Realtysellers and related business models. Dale confirmed to REM in April that a $750 million lawsuit, filed but not served in October, has now been served against Toronto Real Estate Board (TREB) officials and members, as well as a number of other individuals, including senior executives from Royal LePage and Re/Max Ontario-Atlantic Canada. This $750 million lawsuit alleges breach of contract and actions contrary to the Competition Act, on behalf of plaintiffs Dale and his Realtysellers co-founder Stephen Moranis, as well as Toronto real estate broker Fraser Beach.

Meanwhile, an earlier lawsuit for $100 million on behalf of the same plaintiffs is pending trial – this lawsuit was served in September on CREA, TREB and a number of related association and board officers. Dale and fellow plaintiffs are also appealing a December 7, 2010 Ontario Superior Court ruling that TREB was justified in suspending access to its MLS database to Fraser Beach, who was operating a discount brokerage website.

This appeal, and the two other lawsuits, likely won’t be heard before mid- to REM late 2011, well after any tribunal hearing is expected to be held.

4 REM MAY 2010

Multiple Listings

By Jim Adair

Do you have news to share with Canada’s real estate community?

Let REM know about it! Email: jim@remonline.com

A

options. The basic service for $649 includes a listing of the home on MLS, promotion of the property on other listing websites such as Kijiji, and the forwarding of all prospective buyer details to the customer. For $4,999, the most comprehensive package includes MLS and other website advertising, the handling of all paperwork and negotiations, a buying and selling consultation, legal co-ordination and sale completion.

Vancouver sales rep is launching One Flat Fee, described in a company news release as “a ground-breaking website to provide Realtor services to homeowners at heavily discounted prices, in light of the recent MLS changes by the Canadian real estate industry.”

Sellers in British Columbia can list their property on the MLS system for $649 per listing.

“This is an extremely exciting and historic period for home sellers,” says One Flat Fee founder Mayur Arora, who is licensed with Century 21 Coastal Realty in Surrey. “There are huge savings to be had from using a service such as One Flat Fee rather than using the old and traditional Realtor selling model. The savings, combined with the added transparency and control that sellers have when conducting transactions themselves, will significantly affect the future of property exchange in the coming years. We hope to expand across the country shortly after our launch.”

The four packages available at OneFlatFee.ca provide a range of

Silvana Bezina and her real estate team of sales reps Arlene Lindsay, Jenn Rosart and Peter Guzzo have joined Royal Lepage Meadowtowne Realty. Bezina has a background in sales and marketing in the medical and pharmaceutical industry, and has been an awardwinning sales rep. Gloria Riddall and Alex Ocsai, broker/owners of Royal LePage Meadowtowne, say the SilSells.com team is a strong addition to their “growing, energetic Georgetown office.”

Under the direction of Catherine Fox, broker/manager, the team will service the Georgetown,

Cliff Power has been named manager of commercial sales and service at Exit Realty on the Rock in St. John’s, Nfld. A consistent top producer, Power brings more than 25 years of selling experience to the brokerage and has previous experience at the ownership level.

As manager of the new division, he will be responsible for the daily operations of the commercial department.

“The current positive outlook on the Newfoundland and Labrador economy provides incredible opportunities for this department to be a strong force,” says Anne Squires, franchisee of the brokerage. “It will provide service with raw land development, leasing and building requirements for new and growing businesses.”

Squires says, “We are

Mayur Arora

Cliff Power

Valerie J. Moroz

Silvana Bezina

Anne Squires

Mike Shannon

■ ■ ■

Brampton, Mississauga, Acton and Milton areas. Royal LePage Meadowtowne has offices in Georgetown, Milton and Mississauga, with more than 200 agents and staff to service Toronto West to Oakville.

■ ■ ■

approaching the 100 agent mark in our brokerage and we’ve recently moved into our new office location with 9,000 square feet, which includes a training centre and gym for our agents. We’ve had phenomenal growth over the past five years and Cliff is the perfect complement in our ongoing endeavour to be the largest and most productively successful real estate firm in Newfoundland and Labrador.”

■ ■ ■

Valerie J. Moroz, broker/owner of Stalco Realty in Wainwright, Alta. has acquired Ted Bath’s brokerage, Royal LePage Wainwright Realty, and has joined the Royal LePage franchise network. The brokerage will operate as Royal LePage Stalco Realty. Bath will continue in sales with the brokerage, which has a team of five sales representatives servicing the Wainwright community of 5,700 and the surrounding areas of Irma, Edgerton, Czar, Hughenden and Metiskow.

■ ■ ■

Macdonald Realty has appointed Dan Scarrow to the position of VP corporate strategy, and Jonathan Cooper to the position of VP operations.

Scarrow joined the company in 2006 as the executive assistant to Lynn Hsu, CEO of Macdonald Realty, after two years at the Bank of Montreal as an executive assistant. Most recently, Scarrow was

licensed with the Macdonald Realty Downtown office, where he achieved sales of more than $50 million in his first year and received an Award of Excellence in 2009. In his new role, he will be responsible for developing strategies for the company, including corporate and franchise expansion in B.C. and the development of company and agent programs. He will head the social media strategy for the company and act as the company’s spokesperson.

Cooper joined Macdonald Realty Group in 2006, serving as the company’s first relocation director. In this capacity, he designed and implemented a company-wide referral and relocation management system. In 2007 he was promoted to director of marketing and relocation, and he took on additional responsibilities for the creation and implementation of marketing and technology programs for Macdonald Realty’s sales associates and offices. In his new position, he will continue in these tasks, while his role expands to include other initiatives at Macdonald Realty Group – the licensing and service arm of Macdonald Realty brokerage business.

■ ■ ■

Coldwell Banker R.M.R. Real Estate recently opened a new office Continued on page 6

Jonathan Cooper (left), Dan Scarrow

We are moving forward, join us!

Century21.ca

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6 REM MAY 2010

Multiple Listings Continued from page 4

in Fenelon Falls. The new office, at 2 Water St., is owned by Rafael Roberto, broker of record, and managed together with other locations in the Kawarthas by Rosemary McMillan.

“This office is a strategic complement to our nine other locations throughout The City of Kawartha Lakes, Durham Region and Northumberland,” says Roberto. R.M.R. Real Estate was founded by Roberto in 1976. It now has nearly 150 sales reps and employees serving the Eastern GTA, the Kawartha Lakes and Northumberland regions.

in 2006. He has specialized in marketing subdivisions and multi-family units. The brokerage has had a strong profile in the market since affiliating with Royal LePage in 1998, and Shannon says he intends to continue to build his company’s presence in Kamloops and surrounding areas.

■ ■ ■

Royal LePage Kamloops Realty in Kamloops, B.C. was recently acquired by Mike Shannon.

Previous owner Bert Gatien will remain with the company as a comanaging broker.

Shannon joined Royal LePage

Harvey Kalles Real Estate has become a member of the Aventure Realty Network. In over 50 years of operation, Kalles has become one of the premier brokerages in Canada, says Aventure Realty Network president Bernie Vogt. “As both an industry and market share leader, Harvey Kalles Real Estate’s strength in the luxury market and the whole spectrum of properties is undeniable.” Under the leadership of Michael Kalles, the company operates throughout the Toronto and Muskoka markets with more than 275 Realtors in three locations.

Michael Kalles

Patrick Kelly

Ty Lacroix

Ken Lamb

■ ■ ■

Cover photo: DAVID HAYWARD

Envelope Real Estate of London, Ont. has also joined the Aventure network. Ty Lacroix, broker/owner, operates the growing independent organization with a focus on Realtor skills development, performance and tailored service, says Vogt.

Market leader The Whistler Real Estate Company of Whistler, British Columbia has also joined the network.

Broker/owner Patrick Kelly has led the company to consistently hold the No. 1 market share position in the area. The firm has two locations and 40 sales reps.

Another new member in Georgetown, Ont. is Johnson Associates Real Estate. Broker/ owner Finn Poulstrup has four locations in Georgetown, Acton and Erin, and a group of 60 Realtors.

Two Aventure Realty Network

members have opened new locations. Real Estate Professionals of Calgary and broker/owner Ken Lamb will add a third location in Red Deer and build on the team of over 120 Realtors now in his organization.

Murray Powers, broker/ owner of North Bay Home Solutions Realty, has opened a second location in Powassan, Ont. to serve the strong recreational and agricultural markets.

■ ■ ■

Sotheby’s International Realty Affiliates has signed an exclusive 25-year master franchise agreement with Hong Kong Homes Holdings Limited to develop the Sotheby’s International Realty brand throughout Hong Kong, with its first office set to open in July.

The firm will do business as Hong Kong Sotheby’s

International Realty, with Samson Law serving as managing director.

The new Hong Kong Sotheby’s International Realty offices will focus exclusively on serving luxury residential clientele.

Law previously established Hong Kong Homes in 1995 as Landscope Real Estate Services.

Hong Kong Homes is a real estate and property consulting business that specializes in the sales and leasing of luxury residential properties, prime offices, retail spaces and investment properties.

Baltic Sotheby’s International Realty in Riga, Latvia, has also joined the network. The firm is owned by Vestards Rozenbergs, Leonid Kil and Ilze Mazurenko and will serve the Baltic States, which consist of Latvia, Estonia and Lithuania.

The firm is located in Riga, the capital of the Republic of Latvia, within a renovated historical building in area well known for its art heritage. Rozenbergs, who also serves as the firm’s chairman of the board, has plans for further expansion into Lithuania and Estonia in the next two years.

“We have strong local partnerships, good client relationships and a professional infrastructure where we focus on high-level training for each of our sales agents,” says Rozenbergs. “The market throughout the Baltic region remains stable for high-end properties and demand is still high from Russian buyers especially.”

REM

Coldwell Banker R.M.R. Real Estate’s new Fenelon Falls office.

The staff at Johnson Associates Real Estate

Publisher HEINO MOLLS email: heino@remonline.com

Editor JIM ADAIR email: jim@remonline.com

General Manager JOHN COOPER email: john@remonline.com

Senior Editor KATHY BEVAN email: kathy@remonline.com

Director, Sales & Marketing DENNIS ROCK email: dennis@remonline.com Brand Design SANDRA GOODER

Art Director LIZ MACKIN Graphic Design SHAWN KELLY

Murray Powers

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. Subscriptions are $40.95 per year (including $1.95 GST), payable by personal cheque. Entire contents copyright 2010 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.

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8 REM MAY 2010

Orangeville sales rep reaches the peak

Dave Grime climbs 6,764 metres to the top of Mera Peak in Nepal

Dave Grime poses with the summit behind him

I

’ve never understood what drives certain people to risk their future climbing a mountain.

Dave Grime has done it. But his initial pat answer, “Because it’s there,” did little to enlighten me.

Grime says climbing mountains is “not a holiday,” but rather is about “pushing yourself, not giving up, achieving a goal.”

He’s from an intrepid family, and that must have been an influence. He works with his mother, Margorie Grime, and Cindy Zettel at Royal LePage RCR Real Estate in Orangeville, Ont. They bill themselves as “The Grime Team.”

In 2007, to celebrate her 60th birthday, Margorie decided that she and her family would do the Annapurna circuit in Nepal.

It’s a challenging trek around a mountain range west of Everest, and it fired up Dave, 33, for greater things.

So last October, after less preparation than you’d imagine (“a lot of day hikes in Ontario with 45 pounds of books in backpacks,” he says), Dave and his well-traveled younger brother Mike tackled Nepal’s Mera Peak. At 6,476 metres it’s

considered one of the highest trekking peaks in the world. By that definition it’s a fairly nontechnical ascent with no real ice climbing, Dave says.

However, altitude sickness is definitely a concern.

“Once you get above 4,000 metres, you’re out of breath all the time,” Dave said in an interview with his local newspaper, the Banner. The piece was whimsically headlined, Brothers Grime go on a climb. “When you get above 5,000 metres, you can’t sleep at night. You keep waking up gasping for breath,” he says.

“The whole way up you’re questioning yourself … do I even want to do this? If you come down with cerebral edema up on the summit, you can die for sure… You see helicopters coming in and out all the time carrying people away.”

Dave and his brother were fortunate, experiencing no major problems except nausea and headaches – although one headache was bad enough to almost cause him to cancel his attempt at the ascent.

Lack of oxygen made it difficult to think clearly. Dave

By Susan Doran

The high camp on Mera at 5,900 metres.

says that at one point when he thought the ascent was going too slowly, his reaction was to tell the climbing sherpa (their Tibetan guide) to unhook him so he could go on alone – a request that, had it been granted, could have resulted in Dave’s death.

His recollection of the night they spent at the high camp on Mera before beginning the final ascent at 3 am (in order to be at the summit for sunrise) is chilling.

“You would not want to stay there for over one night,” he says. “There were loads of other people. But everybody stays in their tents. You cook with kerosene. There are no trees. It’s pretty barren. The winds were howling.”

you and a handful of the world’s highest peaks stretch relentlessly away, making you feel like you’re on top of the world,” says Dave. Nevertheless, he and Mike stayed at the summit for only 15 minutes. The altitude was causing both of them to feel unwell (Dave’s headache was back) and was also affecting their memory.

“We took a picture with our arms around each other,” says Dave. “But I forgot to put up the Grime Team flag. It went back down with me.”

He considers achieving the Mera summit one of his biggest accomplishments, and says he would definitely go back and attempt a higher peak, although he knows it’s hard on his wife Melanie.

The entire Mera trip took five weeks, including an initial trek from Kathmandu (“Filthy,” says Dave) to Lukla, Nepal, their ascending point.

Dave Grime

such places and tackle mountains come in handy in real estate as well, he says. The support of family is also invaluable in both, he says.

Due to weather issues and altitude sickness, only a small percentage of climbers reach the summit. The brothers Grime succeeded.

“The first thing we did when we got back to Lukla was take a (much-needed) shower,” he says.

He describes Nepal as “mystical,” but also “so primitive that not a lot of people could handle it.”

“In working with my family, I got a great start in the real estate business,” he says. He has been in the real estate business for six years. His mother, a broker, has 12 years of experience. “We have a client base. There’s a support network behind me. My mother was my guide, the support staff my sherpas. I couldn’t do it without them,” he says.

“The view is unspeakably aweinspiring. The clouds are below

The mental toughness and persistence necessary to visit

“We are a small team, heading up the mountain.” REM

They used headlamps on the final ascent but they almost didn’t need them because the stars were so numerous and bright, Grime says.

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10 REM MAY 2010

Lawsuit targets mobile real estate apps

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obile real estate applications company Smarter Agent has filed a U.S. federal class-action lawsuit alleging patent infringement by major real estate companies including Move, Zillow and Trulia, among others.

In the complaint, filed in the U.S. District Court for the District of Delaware, Smarter Agent alleges that the companies named in the suit violated three of its technology patents, all of which allow users to access real estate information via a mobile device.

The suit alleges infringement by “making, using, importing, providing, offering to sell, and selling (directly or through intermediaries), infringing products and/or services.”

“Smarter Agent has been operating and innovating in the mobile space for a decade. We believe our innovations, protected by our patents, are being infringed upon.

We have an obligation to our shareholders to protect our intellectual property. We intend to vigorously protect our intellectual property,” says Shelly Schwartz, Smarter Agent’s spokesperson.

According to the complaint, Smarter Agent seeks injunctive relief – to stop the companies from their alleged continued infringement – and monetary damages.

The complaint demands a jury trial.

Smarter Agent alleges that the companies named in the lawsuit “derive revenue from their infringing products and services by, for example, selling advertisements displayed via their infringing products and services and/or receiving compensation for lead generation from their infringing products and services and/or selling or licensing the use of their infringing products and services.”

The suit names the following companies as defendants: Boopsie Inc., Classified Ventures LLC, HotPads Inc., IDX Inc., Move Inc. and subsidiary RealSelect Inc., Multifamily Technology Solutions Inc. (owner of MyNewPlace.com), Primedia Inc. and subsidiary

Consumer Source Inc., TRSoft Inc. (owner of PlanetRE.com), Trulia Inc., Zillow Inc. and ZipRealty Inc. The complaint was filed March 26.

Move, Trulia, Classified Ventures, Boopsie, HotPads and Primedia declined to comment.

“We intend to vigorously defend against this lawsuit and do not believe that any of our mobile technology infringes on any patent. It is unfortunate that lawsuits of this nature seek to limit companies’ opportunity to innovate, often at the expense of consumers,” says Samantha Harnett, ZipRealty’s vice president, general counsel and secretary.

Katie Curnutte, a Zillow spokeswoman, said in a statement, “We have reviewed the suit and intend to fight the case vigorously.

Beyond that, we cannot comment on ongoing litigation.”

In May 2002, the U.S. Patent and Trademark Office issued Smarter Agent a patent titled Global positioning-based real estate database access device and method.

In December of that same year, the company got a patent for a Position-based information access device and method. A few years later, in July 2006, the company obtained another patent, this time for a Position-based information access device and method of searching.

The Camden, N.J.-based company claims to be the first to offer downloadable real estate applications on all major carriers for all U.S. cell phones. Real estate agents can self-brand its Homes For Sale application, which uses Global Positioning System technology to detect a user’s location and allows the user to search and filter nearby homes.

“We invented the mobile GPS real estate search category. We received our first patent in 2000 and our fifth patent in 2009. We expect several more of our patents will be granted as we invent more cool mobile tools,” the company’s website states.

– Inman News REM

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12 REM MAY 2010

Real Estate Technology iMax is a wireless broadband technology providing an alternative to cable and DSL (digital subscriber phone lines). WiMax is interesting because as it potentially offers real estate agents wireless broadband with high capacity (possibly up to 40MB per second per channel according to Craig Wireless estimates) and speed at a lower cost per bit to the user when compared to some 3G wireless phone networks. Based on the 802.16 standard, WiMax operates in the 2.5GHz spectrum band and there are signs the technology may soon be available across Canada.

Craig Wireless Systems (www.skyweb.ca) began construction of a WiMAX-enabled network for Vancouver in September in partnership with Motorola. It’s still the early days for WiMax, as prototype networks are being trialed at specific locations. The world’s first 4G enabled android phone, the HTC EVO 4G is not due for release until this summer but it’s an exciting start.

W

WiMax isn’t the only new mobile broadband standard to offer us a super-fast network – elsewhere, companies are busy working on Long Term Evolution or LTE, which speeds up the transmission of data by sending it in multiple streams. Bell Canada launched its new HSPA wireless network in November, which they’re hoping will provide them with the most efficient upgrade path to the LTE wireless standard in coming years. In the meantime, we’ll enjoy access speeds as high as 21 MB per second (MBPS) covering approximately 20,000 Canadian cities and towns.

This announcement was swiftly followed by the release of the Novatel Wireless MiFi 2372 Intelligent Mobile Hotspot – a device providing simultaneous WiFi connectivity for up to five devices from laptops to mobile phones that might be handy either for a small real estate agent office or agents who are on the move and want to share Internet access with clients who have their own mobile

Faster broadband and no more uploading Faster wireless broadband devices capable of connecting to the web. Clearly the race is on to offer a choice of faster wireless broadband networks and it’s likely we’ll see growing numbers of 4Genabled mobile phones appearing over the course of the year.

Introducing Pogoplug Ever thought about how much time real estate agents spend uploading property files and images each week? Whether you’re sharing images as email attachments or waiting for new pictures to upload to a real estate website, lots of time is lost while waiting for files to transfer from a PC or laptop to the Internet.

New gadget Pogoplug aims to let us share photos, files and media from multiple USB sticks without ever uploading anything. The Pogoplug itself is a device measuring 7.4” x 5.5” x 2.4” (187 x 140 x 62mm) that connects to your router with a network cable and up to four external hard drives or memory sticks via a USB port. The Pogoplug then uses these connections to make your USB or other external hard drives available via

Video can promote your brand

By Kory Gorgani ideo directories such as YouTube provide an excellent opportunity to promote your brand online and market your services. It provides one of the best, fastest and least expensive ways to drive targeted traffic to your website and generate leads.

Active mobile video users grew by 57 per cent from the end of 2008 to the end of 2009, from 11.2 million to 17.6 million. Much of this increase can be linked to the strong growth of smart phones and PDAs. So why not market your brand and services online?

YouTube is the largest video sharing site, with the most traffic and the most users. It is the definitive place for getting your videos published and marketed.

If you are already sold on this

V

concept, you must also know there is a right way and a wrong way to use video marketing. Here are a few tips: • Be relevant and provide valuable content. While some of the videos you post should be commercial and related to your services, it is important to post videos that provide solutions, answers and help for the issues your clients are experiencing. Videos that are humorous, edgy, share a testimonial, inform and educate often get better responses than videos that simply push your service.

• Get endorsed by viewers. Ask the viewer to rate your video or leave a comment. The more comments and ratings your video accumulates, the higher it will be ranked by YouTube for the purpose of their search results.

By Petra Jones

• Optimize your video description. Before posting your videos online, it is essential that you plan your strategy for getting additional exposure. To make the most of your video marketing efforts, first pay attention to the name of your video file. Be sure to include your keywords in the name. For example: “John_Doe_Thornhill_ Home_Selling_Testimonial_01_ 29_2010.mp4.” When deciding on a title for your video, be sure to also include your keywords to help with search engine optimization.

You can use the same title as the name of the file but this time you can include spaces. Your primary keyword should appear near the beginning of the first sentence in your description. It is wise to also try to include the primary keyword a couple of times in your

The Popoplug in action.

the Internet.

You can access your real estate files on Pogoplug through your web browser by visiting my.pogoplug.com and entering your username and password and then searching for specific files by file type (such as image or video) or by the date the file was added. The files available through the site are protected by HTTPS encryption and the Pogoplug device itself is compatible with firewalls incorporated in consumer grade routers.

Files can then be shared by invitdescription if it is possible.

Using your keywords in the tags for your video will also boost your chances of ranking well in search results.

• Another way to gain additional visibility is by submitting your videos to social bookmarking sites. Sites like Digg and StumbleUpon will help you gain additional visibility and exposure for your work. If you have a Facebook page, don’t leave it out.

It costs almost nothing to use video marketing to promote your brand, your services or your listings, and if you apply these simple strategies and consistently upload a few videos per week, you’ll quickly begin to generate new leads.

Kory Gorgani is a Realtor with Re/Max Hallmark in Richmond Hill, Ont. He holds an MBA in operations management and has an extensive IT background. Email kory@gorgani.com. REM

ing clients to view property files using their emails, although they only have permission to access that file/folder.

There are also options to share property images on social networks like Facebook. The device is powered by household electricity and available for Windows XP/VISTA/7, Linux and Mac OS X 10.4+ operating systems.

There’s also an optional Windows Explorer/Mac Finderstyle desktop app that allows you to drag and drop groups of files across and copy and synchronize content.

You can also access your files using Android, iPhone or Blackberry cellphones providing access to your USB files back at the office even when you’re on the move.

The hardware devices cost $138.97 with no monthly fees and are available in Canada from Tiger Direct.

Real estate photographer Larry Lohrman is already using Pogoplug. In his blog he says, “It is remarkably simple to install and the features are awesome. You can share just folders or whole disks with your clients...and either have the sharing automatically expire in two weeks or if you want, make the sharing permanent and have the sharing be read/write. What this means for real estate photographers is you can get hi-res or fullsize images to your clients easily and painlessly without burning CDs.” More information about Pogoplug is available from www.pogoplug.com to help you decide if it’s right for you. REM

Retail Marketing 100 Yonge Street, 8th Floor Toronto, ON M5C 2W1

File Name: Key Partners_ad_0709 Size: 11-3/8” x 12-1/2” Colours: CMYK, 485 Publication: Real Estate Magazine Material Deadline: ?

Insertion Date: ?

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7/15/09 4:13:58 PM

14 REM MAY 2010

they have about what “we consider a very unfair and discriminatory tax singling out homebuyers”.

■ ■ ■

W

innipegRealtors is launching a campaign to pressure the Manitoba government to give homebuyers a break on land transfer taxes.

“Not unlike the rise of the Red River in the spring, every year we see a new provincial budget and within it a higher revenue stream noted for the land transfer tax,” says the board in a news release.

“It should be noted that the revenue for 2009 was $49.6 million in comparison to $44.7 million in 2008 and $38.2 million in 2007.”

Don Cook, a director and chair of the Civic and Legislative Affairs Committee says, “With the strong likelihood of rising interest rates making housing less affordable, WinnipegRealtors views any changes the province can make to

lessen the burden of land transfer taxes on homebuyers as a way to keep homeownership a possibility for more Manitobans…..It also benefits the local economy since there are huge economic spin-offs from resale and new home sales.”

Cook says, “You might say bracket creep is alive and well in Manitoba since there have never been any adjustments made to reflect higher sale prices since the inception of this tax in 1988.”

The board has launched a website at www.2muchltt.com that includes a question and answer article about Manitoba’s land transfer tax, the board’s January 2010 pre-budget submission to the provincial Minister of Finance, and a link for Manitobans to call or e-mail their MLA to express concerns

Industrial, Commercial & Investment UrbanStar Real Estate launches in Calgary UrbanStar Real Estate, a full service commercial and residential real estate firm, recently launched operations in Calgary.

The two principal figures in the brokerage are Guy M. Priddle and Mike Star.

Priddle has more than 24 years of experience in the real estate industry, covering all aspects of commercial transactions, strategic and capital planning, acquisitions/dispositions, asset and property management, construction and contract management, financial analysis and modeling, tenant services, building operations management and negotiations. He is also

president of UrbanStar Capital, and is the current president of BOMA Calgary.

Star got his start in real estate in 2004 and quickly established himself as one of the most successful Realtors in Calgary, winning numerous real estate awards, the company says. He has extensive experience and knowledge in design, acquisitions, construction, residential homes, architectural styles, condominium living, country residential acreages and urban planning concepts.

UrbanStar Real Estate is active across the full spectrum of brokerage services for both residential and commercial properties, as well as property management and investment, the company says. It

The Real Estate Board of Greater Vancouver (REBGV) recently installed Jake Moldowan as the 2010/2011 president of the board. Moldowan replaces outgoing president K. Scott Russell of Sutton Group – Seafair Realty.

Moldowan has been active within the real estate profession since 1978. He is currently the president of Re/Max Jake Moldowan Realty in Richmond.

Moldowan has served on the Arbitration and Business Practices committees and has chaired both the Professional Conduct Committee and the Agency Task Force Committee.

Supporting the president in 2010 is president-elect Rosario Setticasi of Sutton Group West Coast Realty and vice-president Eugen L. Klein of Royal LePage City Centre. Other members of the board are Judith A. Adamick, Sutton Group West Coast Realty; Paul Brar, Rishi Dhi and Stan Shawn, all of Royal Pacific Realty currently manages over 40 properties in Calgary.

Avison Young appoints three retail brokers Avison Young recently announced the appointments of three retail brokers: Gord Cowan as vice-president in the company’s Toronto North office, Stephen Yu as retail specialist in the Toronto North office and Darren Clare as senior retail consultant in the company’s Ottawa office. All three were formerly with DTZ Barnicke in Ontario.

Cowan, Yu and Clare will work closely with existing retail team members Jordan Karp (Downtown Toronto office) and Tom Bollum (GTA West Mississauga office) to strengthen Avison Young’s Ontario and national retail capabilities by further developing major retail client relationships locally and across Canada, the company says.

Cowan has more than 20 years of experience in the commercial real estate industry, starting with Marsh Hospitality. He moved to Royal LePage Commercial in 1995,

(Kingsway); Ray Harris, Re/Max Sabre Realty Group; Gordon Lockhart, Sutton Group - Seafair Realty; Darcy McLeod, Keller Williams Results Realty; David Peerless, Dexter Associates Realty; Deborah J. Spicer, Angell Hasman & Assoc. Realty; Lani J. Weaver and David Yang of Royal Pacific Realty; and Sandra T. Wyant, Re/Max Ridge Meadows Realty.

Eugen L. Klein

REM

The cost of the land transfer tax to Manitobans

Rosario Setticasi A Sad Story Indeed!

As home prices rise each year, home buyers are confronted with an increasing land transfer tax. It’s nothing but a tax grab.

Since the tax was introduced in the 1980s, the province has not indexed its rates to reduce costs nor change the brackets applied to the tax. In fact, in 2004 the province actually increased the highest rate from 1.5 to two per cent, making it the highest tax of its type in the country. For homes selling for any amount over $200,000, the two-per-cent rate is applied.

The tax is a significant additional closing cost that must be paid before title is transferred. The tax is an impediment to a buyer’s ability to afford a home they are otherwise qualified to purchase. Is it fair? You tell us!

Go to www.2muchltt.com to find out more about this additional tax on home purchases. Take advantage of our call to action to let your MLA know how you feel.

A WinnipegRealtors ad, designed to bring public attention to an “unfair and discriminatory” land transfer tax.

focusing on retail and hospitality clients. Cowan was most recently a senior member of the retail team at DTZ Barnicke in Toronto.

Yu brings to Avison Young eight years of retail industry experience, initially as an owner-operator of a retail business in downtown Toronto before entering the retail brokerage industry three years ago with DTZ Barnicke.

Clare’s background includes more than 10 years of retail experience, beginning with Chambers Hall Real Estate in Hamilton, where he was involved in a variety of sales and leasing transactions. He relocated back to his hometown of Ottawa in 2000 and became DTZ Barnicke’s local retail expert in 2001.

REALpac reports best practices for GHG accounting The Real Property Association of Canada (REALpac) recently released a research report, Recommended Best Practices in Accounting for GHG Emissions in

Jake Moldowan

the Canadian Commercial Real Estate Sector, prepared by ICF International.

Greenhouse gas (GHG) accounting, like financial accounting, involves many rules that can be complex to navigate. While standardized approaches to accounting exist, the field is evolving rapidly and conflicting or unclear guidance is common, says REALpac. The commercial real estate sector is particularly complex, due to the number of entities involved, and the operational and physical diversity of commercial buildings, it says.

“Reasonable and consistent greenhouse gas accounting is particularly challenging for the commercial real estate sector, given the complex relationships between owners, managers and tenants. In the absence of any regulatory guidance, this document is intended to assist the rapidly rising number of stakeholders making greenhouse gas allocation and reporting decisions within the sector,” says Peter Clarke, senior manager, ICF International. The report is available as a free download at www.realpac.ca. REM

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April 2010 - AmeriSpecMD - Real Estate Magazine 10.25” x 11” May Ad Copyright © 2010 Lime Advertising Inc. All rights reserved.

16 REM MAY 2010

No coasting for this Vancouver Island firm

By Kathy Bevan

A

s anyone who lives on Vancouver Island will tell you, the big draw there is the lifestyle. Anchored by Victoria in the south, with its major airport and marine harbour, Mount Washington with its ski slopes to the north, the Gulf Islands to the east and Pacific Rim surf to the west, the island offers a work and play environment matched by few other locales in North America.

As general manager of Coast Realty Group, the largest independent real estate company based on the island, Randy Forbes not only sells the island lifestyle to homebuyers, he lives it himself. Forbes makes his home off a golf course five minutes from his Nanaimo office; he has a ski chalet up the side of Mount Washington, which this winter had one of the highest snow bases in North America; and one January weekend this year, when parts of Canada were enduring sub-zero temperatures, he had to decide whether to go golfing with his buddies or skiing on the mountain.

As for his real estate business – all 13 of Coast Realty’s offices made a profit in 2009, a year that began in the doldrums but ended on a high on western Canada’s coastline.

“We basically hunkered down and tried to predict how long things were going to go sideways,” says Forbes. He says a big plus for the Vancouver Island firm is its business model, which “internalizes” all of the company’s monies. “Coast Realty has no franchise fees to pay, no head office to support – everything we have is inside the Coast envelope and we can adjust that pretty easily. That carried us through until things started to take off again and 2009 ended up being a great year for all of our offices.”

Coast Realty was formed in 1984 by a group of six salespeople from three different Nanaimoarea real estate companies and became the number one office in that market. When the original six found it difficult to try to grow the business as well as work as salespeople, they called Forbes and asked if he’d like to head up their operations.

At the time, Forbes was managing the NRS Block Bros. office in Campbell River, north up the coast from Nanaimo. He was familiar with the Nanaimo area however; he had moved there as a teenager from the Prairies and obtained his Realtor’s license in that city in 1976. He was a manager for Block Bros. (and then NRS Block Bros.) in both Nanaimo and Campbell River for 14 years and was interested in taking on the challenge of growing an independent real estate company on the island.

He also liked the company’s business model. “Because it was started by six salespeople, the core of everything they did was related to the best interests of the salesperson – rather than being top down, it was bottom up.”

Forbes became general manager in 1993 and, within 10 years, Coast Realty had expanded up and down the island, with some 250 salespeople working out of over a dozen offices.

The business model remained centred on the salesperson.

“In many respects, it’s an oldfashioned style of company, more based on people – it’s not corporate. We’ve got non-selling managers in most of our offices.

Most people who start here, end here quite happily.”

The company has also made it profitable for its staff to remain with the firm. Whenever Coast Realty opened a new office, the company gave salespeople

Randy Forbes (Photo by David Hayward)

and managers the option to buy shares, in either the brokerage or its building.

“We own most of our buildings, so we become our own tenant and pay ourselves rent – a fair market rent – no matter what the marketplace is like,” says Forbes. “Over the past two or three years, as we’ve started to pay our buildings off, we’ve started to return an income to all the partners who bought in.”

Forbes also created an RSP eligible mortgage investment corporation for his salespeople and staff about 13 years ago.

Since then, he estimates that CRG Mortgage Investment Corporation has provided average returns of slightly below 10.5 per cent to its 49 Coast Realty shareholders. “We fund developments, we fund construction, and we fund people

who can’t qualify other ways but have a great equity position.

It’s been a very powerful, very successful operation.”

Consumers appear to like the company too – its website averages 25,000 to 30,000 unique visits and approximately eight million ‘hits’ per month. Coast Realty posts comparative sales information and uploads their own listings to their website as soon as the managing broker signs off on the data. “We send it at the same time to MLS, but MLS may take one, two, three, five days to get the data up and running,” says Forbes. “Waiting up to five days in our world is a lifetime. Our sellers really like knowing their listings are on our website right away.”

So far, 2010 is proving to be another good year for Coast Realty. “We see that continuing,

aside from the regular bumps in the road, probably for next five to 10 years, as in-migration continues to carry on, with fewer people leaving and more people coming to the island.”

Forbes doesn’t anticipate having to grow his operations any further to meet the needs of the markets Coast Realty serves.

“I’ve seen people expand beyond their capabilities and there’s no win in that. Victoria would be a natural for us to be interested in, but there are a couple of great independents in Victoria and we’re better to send our clients to them,” Forbes says. He still gets calls from people asking to open new offices, but he has a standard response. “I say to people who call that bigger’s not better, better is better. We have a pretty good operation now – we just want to continue to get really good what we’re doing.” REM

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2010 Election of Directors — Here are your candidates This year the Election of Directors is conducted by online voting only. Online voting instructions were mailed to registrants the week of April 12, 2010. Online voting closes at 4:30 p.m. on Thursday, May 20, 2010.

Region 1 WENDEL J. BONAIR; BROKER HomeLife/Cimerman Real Estate Ltd., Brokerage, Toronto Years Registered: 18 Area(s) of expertise, committee experience (RECO, real estate, other), additional comments: Along with relationship management, strategic planning/budgeting and business development, Wendel’s business acumen also includes training, coaching and mentoring REALTORS for sales’ success within his current practice. He applies over 25 years of consulting experience in problem recognition and forward-thinking resolution to bring strategic and tactical leadership to offers and successful “Win-Win” negotiations for his clients’ benefit. Wendel has leveraged his expertise in the Real Estate, Land Surveying and Information Technology professions to have participated in a key consultant role for the re-design, re-development and implementation of the next generation of GeoWarehouse (2009); the “land registry” software that over 90,000 real estate practitioners embrace in providing added-value services.

Volunteering with many committees and organizations since 1978, including the BMO-The Learning Partnership’s Entrepreneurial Adventure Program (Mentor and “Business partner” to a number of schools), the Legacy Community Ratepayers’ Association (past Director and past Vice-President) resolving community issues and concerns, the School Council for local Elementary and High Schools (PTA President and Past Chair) and others, has positioned Wendel to be the ideal candidate to help improve the value proposition of RECO, our valued members and the real estate industry.

MASOOD KHAN; MVA BROKER Re/Max Professionals Inc., Brokerage, Mississauga Years Registered: 30 Area(s) of expertise, committee experience (RECO, real estate, other), additional comments: Salesperson – 30 years, Broker – 21 years, Market Value Appraiser – 6 years Member RECO’s Discipline and Appeals Committee under REBBA 2002, Member RECO’s Discipline and Appeals Committee under By-Law No. 10, Member TREB’s Election, Task Force 2010, Former Vice-Chair TREB’s Discipline and Appeals Committee, Former Director Mississauga, Real Estate Board, Former Vice-Chair Public Vehicle Committee, City of Mississauga (6 years), Former Vice-Chair Trillium Health Centre’s Community Advisory, Mississauga, Chair, Canada Day Committee of South Asians, City of Mississauga honoured with a street name KHAN CRESCENT, Her Majesty the Queen’s Golden Jubilee Medal recipient, TREB’s 2007 Civic Award Recipient

CYNTHIA LAI; FRI BROKER Global Link Realty Group Inc., Brokerage, Toronto Years Registered: 26 Area(s) of expertise, committee experience (RECO, real estate, other), additional comments: Area of Expertise: Residential, Commercial and R.E. Development Committee Experience: TREB President – 2003-2004; RECO Director – 2004-Present; TREB Commercial Council – 2005-Present; Vice Chair, Registrar’s Education Advisory Committee – 2009 – Present; Chair, RECO Commercial Advisory Group 2008; Chair, RECO Audit Committee – 2008; Chair, RECO Premium Stabilization Committee 2009; Member of RECO Governance Committee and Finance Committee. Additional Comments – I believe that many challenges are on the horizon and our success depends upon solid strategic directions, accountability and organizational efficiency. If given the opportunity I will continue to listen, communicate, be a strong voice and bring experience, knowledge, energy and diversity on your behalf to the RECO board table. It has been a pleasure serving on RECO for the past 6 years, I sincerely wish to continue that commitment and ask for your support.

CECILIA LUU; BROKER Gold Mountain Realty Inc. Brokerage, Toronto Years Registered: 6 Area(s) of expertise, committee experience (RECO, real estate, other), additional comments: TREB – Education Committee – Past, Davenport Liberal Association – Fundraising Committee - (Past) & Vice-President – (Past) Rotary Club of Toronto – Membership Committee – (Past), Queen’s Park Toastmasters International Club – Area Governor – (Past)

BRIAN MADIGAN; LL.B. BROKER Royal LePage Innovators Realty, Brokerage, Mississauga Years Registered: 5 Area(s) of expertise, committee experience (RECO, real estate, other), additional comments: Area(s) of expertise: real estate broker, real estate litigation advisor, venture capitalist and educator, approved RECO Education provider (Disclosure Laws), published over 1,200 articles on real estate for the consumer emphasizing ethical practice by real estate practitioners, developed independent comparative performance index for real estate; served as mediator and arbitrator in real estate matters; graduated Osgoode Hall Law School 1974, practiced law in Toronto for 25 years, commercial and negligence litigation, professional discipline experience as advocate, prosecutor and chair, professional liability experience; over 1,000 court appearances; closed over 5,000 real estate transactions; served on Boards of Public Hospitals, Foundations and Chairman of Investment Committees for publicly funded pension plans, advisor to Insurers underwriting corporate governance polices, Speaker, Canadian Bar Association, Lecturer, Law Society of Upper Canada, Instructor Bar Admission Course, Director, numerous non-profit organizations.

Region 1 Continued SHIRLEY PORTER; BROKER Re/Max Professionals Inc., Brokerage, Mississauga Years Registered: 34 Area(s) of expertise, committee experience (RECO, real estate, other), additional comments: With over 30 years of real estate experience Shirley’s background represents all facets of the industry including real estate sales, brokerage management, consulting, franchising, mergers and acquisitions along with regional corporate experience. As our industry undergoes significant transformation it’s more important than ever to have experienced local representation that identifies with membership issues. Shirley has a strong leadership background and has previous director and committee member experience on real estate boards.

ARUN SAHNI; BROKER OF RECORD Great Lakes Real Estate Inc., Brokerage, Mississauga Years Registered: 7 Area(s) of expertise, committee experience (RECO, real estate, other), additional comments: I am professional educated with Post graduate Degree in Cost and Works accounting & Diploma in Materials Management. Extensive 25 years experience in Real Estate Development, Management & Sales worldwide. Broker of Record for 3 years in Ontario with total sales experience of 7 years in GTA Area. Maintaining market knowledge by selling Real Estate myself & guiding my sales staff.

CHRISTOPHER H. SEEPE; SALESPERSON The Behar Group Realty Inc., Brokerage, Toronto Years Registered: 1 Area(s) of expertise, committee experience (RECO, real estate, other), additional comments: I promise to make myself available to, and represent the best interest of all RECO registrants. I have a fervent desire to contribute to improving the public’s perception of Ontario’s real estate industry and community.

Qualifications: 30+ years of strategic business and financial planning experience and expertise primarily sales and marketing in Information technology (several years in geospatial – Teranet, Google Earth, aerial imagery, 3D buildings, etc.), 15 years senior executive roles, CEO of public company, sat on the board of 2 public companies, served on board of non-profit “newcomer” agency, founded consumer software company and grew it to $10 million revenue in 6 years with IPO, winner of the Canadian Government’s 1996 Canada Export Award for outstanding achievement in export development, Notable Mention for Canadian Airlines’ Entrepreneur Award, 3.5 years with Hydro One as a senior IT architect, familiar with RECO regulatory framework, married 31 years with 3 children.

ROBERT SOPRONEY; SALESPERSON Re/Max Realty Enterprises Inc., Brokerage, Mississauga Years Registered: 35 Area(s) of expertise, committee experience (RECO, real estate, other), additional comments: RECO - Member of Discipline and Appeals Committee (Since January 25, 2000), TREB - Hearing Panel since 1998, MREB - (Mississauga) Investigation/Hearing Panel 1995 – 2000, MREB – (Mississauga) Director 1998/99, MREB – (Mississauga) - Chair of Operations/Social Events 1998/99, MREB (Mississauga) Member of Nomination Committee, City of Mississauga – Public Advisory – (9 years – Vice-Chair)

Region 2 NEIL DEVLIN; BROKER Re/Max Grey Bruce Realty Inc., Brokerage, Owen Sound Years Registered: 26 Area(s) of expertise, committee experience (RECO, real estate, other), additional comments: Residential/Commercial Real Estate Broker since 1984, Director of local Real Estate Board – (1993-2000) (2002–2010), President of local Real Estate Board – 1996, 1999, 2009, Professional Standards Committee Chair – 1995, 1997, Discipline Committee Chair - 1998, Member OREA Interconnectivity Task Force – 1999, Member OREA Finance Committee – 2001, 2002, 2003, 2007, Member OREA Leadership Development Committee – 2006, Member OREA Governance Review Task Force – 2008, Member RECO-REALTOR Relations Task Force – 2009 I feel that I can make a contribution to the RECO Board of Directors and respectfully ask for your vote. Thank You.

LEROY DAVID DIRCKX; BROKER OF RECORD Atlas World Real Estate Corporation, Brokerage, Lions Head Years Registered: 18 Area(s) of expertise, committee experience (RECO, real estate, other), additional comments: Licensed as a Realtor – 1992 with about 18 years as a realtor, Experience with commercial, residential and recreational real estate. Present position with Atlas World Real Estate Corporation, Brokerage as President and Broker of Record, Honors degree from York University in the discipline of Philosophy wherein my focus was morality and ethics. Experience public speaking in political elections locally and with nominations provincially at the party level.

2010 Election of Directors — Here are your candidates This year the Election of Directors is conducted by online voting only. Online voting instructions will be mailed to registrants the week of April 12, 2010. Online voting closes at 4:30 p.m. on Thursday, May 20, 2010.

Region 2 Continued GARY HERRON; BROKER Coldwell Banker Pinnacle Real Estate, Brokerage, Hamilton Years Registered: 16 Area(s) of expertise, committee experience (RECO, real estate, other), additional comments: Committee Experience: OREA – Member Services – REBBA 2002 Task Force, Realtors Association of Hamilton-Burlington – Former President, Committees – Communications – Professional Standards – Currently Chairperson, Finance, Executive and numerous Task Forces I have been involved in organized real estate for the past 10 years and would like to continue to give back to our industry. It is important for our industry to ensure consumers are always protected and they are provided the best representation possible when purchasing what may well be the largest investment of their lives.

PETER HOFFMAN; BROKER OF RECORD Royal LePage Triland Realty, Brokerage, London Years Registered: 33 Area(s) of expertise, committee experience (RECO, real estate, other), additional comments: Broker of Record/Owner of Royal LePage Triland Realty – 5 branch offices – 230 salespeople, President of London & St. Thomas Association of Realtors – 1994, RECO – Discipline and Appeals Committee – 2008 – Present, OREA Instructor of Real Estate Brokerage & Management Courses, as well as Phase 1, 2, & 3 Courses – 1982 – 1997, OREA Finance Committee – 1998-2000 Chaired the following London & St. Thomas Association Committees: Finance; Education; Data Management; in addition sat on the following Committees – Brokers Issues; Key Box; Executive Committee; Vermiculite Task Force; PAC; Privacy Task Force; Community Relations; Land Registry/Assessment; Commercial; Technology; Membership; Rules & Reg Review

Region 3 RICHARD A. KOLARI; BROKER OF RECORD NBR R.A. Kolari Realty Inc., Brokerage, Sudbury Years Registered: 29 Area(s) of expertise, committee experience (RECO, real estate, other), additional comments: Real Estate Registrant – 29 years, Broker for 25 years, Board of Directors – Sudbury Real Estate Board – 6 years, Past President of the Sudbury Real Estate Board, Past Region 9 Director for OREA representing Northern Ontario – 2 years. Formerly an OREA Instructor for the Introductory Courses Phases 1,2,3 for approximately 10 years. Currently serving the sixth year as a Region 3 Director for RECO. Chaired several RECO Committees, as well as Committee member on several. Currently serving RECO’s Education Committee and Chair of the Discipline Committee.

JODY LAVOIE; BROKER Royal LePage Team Realty, Brokerage, Ottawa Years Registered: 5 Area(s) of expertise, committee experience (RECO, real estate, other), additional comments: Arbitration Committee – 2008 + 2009, MLS Committee – 2009 + 2010, OREB Website Task Force – 2009 + 2010, Leadership 100 Course 2008; Leadership 200 – 2010, Royal LePage Shelter Foundation Individual of the Year Award – 2008, Creator of the Renovation Challenge, Independent business person for over 10 years.

GEORGE WATSON; BROKER Royal LePage In Touch Realty Inc., Brokerage, Wasaga Beach Years Registered: 37 Area(s) of expertise, committee experience (RECO, real estate, other), additional comments: RECO registrant since 1973 and a Broker since 1976. Appraiser through Canadian National Ass. Real Estate Appraisers (CNAREA). George Watson Mortgage Brokerage - Owner, Ontario Commercial Council Member (Director), Director Georgian Triangle Real Estate Board – 1994 to 2009, Past President (2005) 1973 – 1995 – Manager of Real Estate Brokerage, 1995 to 2008 – Broker/Owner Royal Lepage Beach & Beyond Realty. Member of RECO Discipline & Appeals Committee.

Municipal Councillor Town of Wasaga Beach for 7 years.

REM MAY 2010 21

METES & BOUNDS

By Marty Douglas

T

he full page ad in the March issue of REM from Michael Polzler, executive VP of Re/Max Ontario - Atlantic Canada, caught my eye – hope it did yours. Nothing to do with recruiting, being above the crowd or being better than just about everyone else in the world, although you could be forgiven for not reading the ad if you made one of those assumptions.

Au contraire mes amis, the ad was written to all of you under the heading Taking back the industry.

Considering the current rumble in Ottawa with the Competition Bureau commissar, you might also be forgiven if you thought Mr. Polzler’s ad was his position on proprietary rights and access to Realtor.ca by the great unwashed.

Wrong again.

One shocking statistic forms the root of his observations, that one in five members of the Toronto Real Estate Board failed to sell a home in 2009 and that

On part-timers and the Competition Bureau more than half fail to do a deal every three months. With 28,000 or so members, I think it might be fair to assume those numbers are a representative statistic for the rest of Canada.

If you missed the ad and REM’s March issue has followed the recycling path to your bird cage, there’s a website at www.takingbacktheindustry.com with a survey and an opportunity for readers to weigh in. So weigh in.

One man and one ad and one organization will not sustain this issue – but they can start the ball rolling. In my October 2009 column (REM #178) on this very topic I wrote, “We will not stop turnover until we change entry standards to incorporate training and mentoring. We will not achieve higher standards of ethics, if in fact we lack them, until we have lifelong commitments to the profession – if it in fact is one. We will not instill a voluntary culture of learning until young people, comfortable in a learning environment, see real estate as a lifetime career path.”

So I’m aboard. But in my 40th year in the business I’ve seen this theme wax and wane with gradual improvements along the way.

Slow and steady drips don’t extinguish those whose hair is on fire.

More than 50 years ago, in B.C., a commission studying the real estate industry recommended progressive licensing, standard forms and practical education. Well, two out of three isn’t bad.

Back to the Competition Bureau – got another idea. I’m going to ask the Competition Bureau to force Coca-Cola to let me use their bottles, brand and distributors to sell the concoction I whipped up in the laundry tub last week. Based on the commissar’s approach to Realtor.ca I can’t see a problem. Of course, I’ll have to promise the ingredients are accurately displayed on the label, aren’t toxic and that I have the requisite liability insurance and bonding to cover any consumer complaints. I’ll promise to stay in the vicinity and be accountable because I value good references and repeat business. As for experience in the ‘concoction’ business, don’t you think that’s a little over rated? I mean they recognize the rookie of the year in every sport don’t they? Give me a break!

Would I buy the product myself?

Are you kidding me? Wouldn’t bathe your cat in it but I do need to get it out of the sink – it’s causing a stain and it bubbles something fierce!

As I write this column, the

verbal sword fight is well underway between Commissar Aitken and CREA. CREA’s letter of March 25 made me proud.

Nervous but proud. I mean two pages of tongue lashing for her “unfounded allegations” and twice using the word “disingenuous” is hardly a sissy taunt. It’s a slap across the face with a leather gauntlet, suggesting that seconds and pistols at dawn are in the near future.

There’s not much room for interpretation. “Unfounded allegation” strictly means an accusation with no basis in fact. While the Canadian Oxford Dictionary gives “disingenuous” a break by offering “insincere, lacking in frankness” the Canadian Thesaurus is much bolder. In alphabetical order, “deceitful, dishonest, duplicitous, false, fallacious” – my favourite because it sounds dirty –“sly, sophistic and specious.”

Phew. Pretty much called her a liar, didn’t we? If her pants aren’t on fire, they are smoking. We’re all in this together so none of that, “Not me, I wasn’t there!” or “I was only following the orders of the Grupenfuhrer!” or “Don’t blame me, I voted NDP!” No doubt there’s an appetite to tussling with the bureaucratic bully once and

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for all. At a recent meeting of VIREB’s managing brokers, one asked about our commitment to fighting the Competition Bureau over agency and the pillars of membership: “Is this the hill we want to die on?”

By the time you read this, all may be dishwater long under the bridge. But I doubt it. And that’s the problem facing Michael Polzler’s campaign to take back the industry. While he is trying to rally the troops inside the moat, a dragon is at the gates and we are on the barricades facing out. But our industry challenges will be here when the Competition Bureau has gone away.

Where will you be?

Marty Douglas is a managing broker for Coast Realty Group (Comox Valley) Ltd., managing two of 15 Coast Realty Group offices on Vancouver Island and the Sunshine Coast of B.C. He is a past chair of the Real Estate Errors and Omissions Corporation of B.C., the Real Estate Council of B.C., and the B.C. Real Estate Association, and is a current director of the Vancouver Island Real Estate Board. Email mdouglas@island.net; 1-800-715-3999; Fax (250) 8973933. REM

22 REM MAY 2010

THE UN-COMFORT ZONE

By Robert Wilson

O

n June 29, 1863 a 23year-old first lieutenant received an unexpected promotion. The freckle-faced strawberry blonde, who graduated at the bottom of his class at West Point, was elevated directly to the rank of brigadier general in the Union Army. He completely skipped over the traditional ranks in between of captain, major and colonel. As you can imagine, such a promotion was met with skepticism, dismay and envy by his former peers and superiors – especial-

Thrown into the driver’s seat ly at a time when the South was winning against the North during the American Civil War. Major General Alfred Pleasonton, who promoted the boy, saw his gamble put to the test just four days later in the Battle of Gettysburg. The young general was put in charge of the Michigan Cavalry and tasked with keeping Confederate general Jeb Stuart from attacking the Union Army’s rear.

Was he up to the task? Could he keep that dubious star on his shoulder that so many wanted removed? Motivated by the desire to prove himself, George Armstrong Custer, his gleaming saber outstretched in front of him, led the cavalry charge and held the Union line. His successful leadership served as a crucial contribution to the battle that was the turning point in the North winning the war.

When leadership is thrust upon us, many of us are motivated to rise to the occasion.

Sometimes, however, leadership

must rise in a vacuum. What motivates us to become leaders when there are none?

A few years ago, five friends and I went white water rafting for the very first time. We went on the upper Ocoee River in Tennessee where the rapids are rated Class Four. Not exactly the best choice for beginners, but we had a competent guide, who gave us plenty of instructions on when and how to paddle. He was so good that we were the only rafters in a group of 10 rafts that did not capsize and get soaked.

Then halfway through our trip, we went over a small waterfall. When our rubber raft hit the bottom it bent in the middle and folded up like a book. When it sprung back apart our guide was catapulted from the boat and landed several feet behind us. As our leaderless raft sped forward, getting further and further away from our guide, five of us thought, “Uh, oh, what are we going to do?” Before we could panic, my friend Bill started barking com-

mands, “Left side four strokes!

Right side two strokes!” With great relief we followed his orders and within minutes he had us safely out of the rushing white water and into the calmer water by the river bank, where our guide was able to catch up to us.

A leadership role can jumpstart motivation. When you have the responsibility of guiding others, it forces you to guide yourself first. I have found volunteering for leadership roles at work and for non-profit organizations to be self-motivating. Back in the early 1990s, I had a particularly bad year. My mother passed away, a business venture failed and I had a falling out with my best friend.

Needless to say, I was in a funk, and seriously needed something to move me out it. That’s when I learned that my community association needed a new president. It was a huge job with a two-year commitment that required fundraising, event planning, managing several committees and supervising dozens of volunteers. It con-

sumed tonnes of my time, but it also taught me that I could do more in a day than I ever knew.

During that same two-year period, I launched two new businesses, both of which became success stories.

As a manager, you can motivate your employees (or your volunteers) by giving them a mantle of leadership. Suddenly he will no longer be just another disaffected cog in the wheel. But with a position of responsibility, he will be empowered to do more and be more. Sure, it may require a greater effort on your part, but you will challenge their minds, expand their abilities and imbue them with a sense of accomplishment.

Robert Evans Wilson, Jr. is a motivational speaker and humorist.

He works with companies that want to be more competitive and with people who want to think like innovators. For more information visit www.jumpstartyourmeeting.com.

REM

EXIT_Ad_May2010 new.pdf 4/14/2010 11:23:51 AM

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Cindy Crutcher Sherry Freimuth

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*Residual earnings as of June 2009

Helping more than 30,000 women and children 100% of every dollar raised at the Royal LePage Shelter Foundation goes directly to supporting women’s shelters and violence prevention.

Our real estate professionals and offices have raised more than $10 million to help Canadian families.

For more information on Giving Back and to hear more from our team on Why Royal LePage?, visit www.royallepage.ca/careers

each year.

Royal LePage is the only Canadian real estate company to have our own charity.

Each May we hold the National Garage Sale for Shelter in hundreds of locations.

26 REM MAY 2010

What’s

New Zoomlistings.com offers 3D Vancouver condo search Zoomlistings.com is a new web-based condo search engine for Downtown Vancouver that offers many unique features.

“We’ve modeled over 250 downtown condos, in nice detail, and placed them on a map using Google’s 3D Flash API,” says Zoomlisings.com’s James Laidler.

“The effect is a kind of mini 3D model of the city. In addition, we’ve added a database of views

from different levels, and images of the finishes, common areas and amenities.”

The company has spent the last two years developing real estate based software. “We do a bunch of virtual tour products, website hosting and content management and Realtor tools, but first and foremost we are a search-based company,” says Laidlaw. “We want to be the Google of real estate (or technically, for our clients to be, as the searches appear on their sites).”

The company is offering just 200 licenses to Realtors. “We are limiting the 3D condo search to just 200 agents to increase the traffic each agent receives and to make it somewhat exclusive,” says Laidlaw. “The cost is $49.95 per month, and it includes all the other systems including the Flash websites, tools, our regular search, and all the virtual tour products we offer like HD video, flip book online showing, 3D floorplans, 360 virtual tours, images and maps. Plus our rebrandable mobile location based search apps for iPhone and BlackBerry,” says Laidlaw.

The Canadian Real Estate Association Hugh Foy The Canadian Real Estate Association (CREA) is pleased to announce the election of Hugh Foy as the Association Executives Council (AEC) Chair on the CREA Board of Directors.

Hugh has been active in the real estate profession for over 30 years. For 25 years, Hugh was a real estate salesperson and broker in his hometown of Brantford, Ontario and for the past eight years, he has been the Director of Commercial and Member Development for the Toronto Real Estate Board (TREB).

Hugh is a REALTOR® who has been extensively involved in all three levels of organized real estate, serving on over 50 committees as a member or chairperson, President of his local Board and the Ontario Real Estate Association (OREA). He has also instructed a number of courses on behalf of OREA throughout the province.

The Canadian Real Estate Association is one of Canada’s largest singleindustry Associations, with more than 98,000 REALTOR® members across Canada. Information about the professional services provided by Canadian REALTORS® can be found at howrealtorshelp.ca.

The company says it is now considering expanding to the Toronto condo market. For more information: www.zoomlistings.com

Debbie McDonald named Colour Tech Marketing’s general manager Debbie McDonald has been appointed general manager of Colour Tech Marketing Inc. McDonald began working with Colour Tech as a local sales representative in London, Ont.

Debbie McDonald

in 1994. In 1996 she moved into the area and began working as a sales representative at the main office in Mississauga. Over the years she became the Graphics Department manager, the customer service rep manager and the marketing manager. She has looked after major accounts and overseen several important projects during that time. As a 15year trade show veteran, she is well known by many brokers and agents in the real estate industry as well as many of the other suppliers.

“Debbie has contributed a great deal to Colour Tech’s growth and stability and we look forward to her continued success in the years ahead,” says Bob Campbell, president of Colour Tech Marketing.

Lone Wolf wins prestigious award Lone Wolf Real Estate Technologies has been named Business of the Year (over 50 employees) by The Cambridge (Ont.) Chamber of Commerce.

Lone Wolf was selected for its

Lone Wolf has grown to more than 100 employees across North America.

phenomenal growth over the last 20 years. More than 8,000 real estate offices in North America use the company’s products and services, and it has more than 100 employees across Canada and the United States.

Lone Wolf has also given to the community through its extensive work with various charitable organizations throughout the year.

“When Lorne Wallace moved his small startup, Lone Wolf Real Estate Technologies, to Cambridge in 1997 it only had four employees. Over the next 13 years, he built the company from humble beginnings into a force to be reckoned with in the real estate industry,” says Chuck Howitt, writer for The Record.

“We were very excited to be considered for the Business of the Year (over 50 employees) award and were absolutely thrilled to take this honour back to the office,” says Lorne C. Wallace, president and founder of Lone Wolf. “When we were called to the podium at the awards dinner, our first thought was that we should really have 100 others standing behind us accepting this award as we couldn’t have done it without our amazing team.”

Lone Wolf also recently purchased the Real Estate Profit Navigator software from Real Estate Broker Solutions Inc. (REBOS), part of the Real Estate Business Services (REBS) family of companies. Lone Wolf has been developing the “Wolf Index” set of brokerage analytics and will merge this into the new product, which will be called “Profit Navigator powered by the Wolf Index.” REAL Trends, an early partner in the Profit Navigator project, continues involvement in the new enterprise.

Real Estate Profit Navigator is a secure, online business planning tool to help owners, brokers and managers improve their business performance. Complex financial data is broken down into key performance ratios, statistics and detail, providing brokers with a clear understanding of their operation and also allowing them to compare their results with aggregated industry averages around the U.S. and Canada, the company says. For information: www.lwolf.com.

Agent, lawyer, inspector, stager write a book What do you get when you put together a real estate agent, a lawyer, a home inspector and a home stager? In this case it’s a book called The Real Estate Process - Pros Discuss Buying & Selling Your Home.

In the book, each of the professionals discusses their role in the home buying and selling experience to help “empower the consumer.”

The agent is Vi Brown of DFH Real Estate in Victoria. She has been an agent and broker in both Ontario and British Columbia and has 20 years of experience. Kelly Orr of Browne Associates in Victoria is the lawyer; Robert Hughes, owner and operator of Fleetwood Building Inspections (FBI) in Victoria, is the inspector; and Josée Lalonde of Josée Lalonde Real Estate Staging in Victoria is the stager.

The book is available now for $17.75 at bookstores or www.askvibrown.com . REM

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28 REM MAY 2010

LEGAL ISSUES

Don’t take my golf away

By Donald H. Lapowich

The purchaser then waived a condition for further financing because he decided to replace the existing first mortgage with a fresh increased first mortgage. He handed a cheque to his solicitor for the second deposit, but the lawyer inadvertently failed to place it into the trust account.

The vendor was not aware the second deposit was not in trust, but he refused to transfer the property on learning that the first mortgage was not to be assumed.

The purchaser then sued for

A

tenant leased part of an office building on the landlord’s golf course.

The lease included a golf membership that was paid for through rent.

The Canadian Open was being held at the course, and the landlord relinquished control of the golf course to the Canadian Golf Association, which created off-site parking sites for tenants and provided a shuttle service to the office building. Passes were given to tenants to hand out to clients.

The tenant was not very happy with the temporary loss of his 16 reserved parking spots. He had a number of run-ins with security, the landlord and the golf association.

The landlord then tried to terminate the lease and golf membership and sought a declaration that the lease was validly terminated.

The court ordered the golf membership reinstated and awarded the tenant compensation for breach of contractual rights.

Access to the golf course was important to the tenant for client entertainment and was an important feature in his decision to lease the premises. It determined that the tenant’s conduct did not justify termination of either the lease or golf membership.

■ ■ ■

In a different case, a vendor sold a property with the condition that the purchaser would assume the first mortgage. This enabled the vendor to avoid a prepayment penalty to discharge the mortgage. The purchaser paid the initial deposit and was to pay a second deposit into its solicitor’s trust account, once the purchaser obtained secondary or further financing.

The court ordered the golf membership reinstated and awarded the tenant compensation specific performance and damages.

Surprisingly, the court would have voided the sale even though the vendor was not aware that the second deposit was not in lawyer’s trust account. The reasoning was that the second deposit was a “true condition”, time was of the essence and vendor’s unawareness did not mean the condition was waived.

The agreement was voided because the assumption of the first mortgage was a true condition precedent and had not been waived by both parties.

Donald Lapowich, Q.C. is a partner at the law firm of Koskie, Minsky in Toronto, where he practices civil litigation, with a particular emphasis on real estate litigation and mediation, acting for builders, real estate agents and lawyers. REM

30 REM MAY 2010

Canada’s new competition law How it impacts Canadian real estate brokers, agents and boards

By Steve Szentesi

O

n March 12, the last of Canada’s Competition Act amendments came into force. They are the most significant changes to Canadian competition law in 25 years and arguably since Canada adopted competition law in 1889.

Included are changes to most of the cornerstone provisions of the Act, including changes to the conspiracy, bid rigging, misleading advertising, criminal price maintenance and abuse of dominance provisions. The amendments, all of which are now in force, will alter the way Canadian and international companies do business in Canada and have a number of

potential impacts on Canadian real estate brokers, agents and real estate boards. This note discusses some of the recent changes and some of the potential implications going ahead for organized real estate in Canada.

New conspiracy regime – On March 12, 2010 a new U.S.-style two-track criminal conspiracy regime came into force, making three types of “hard core” conspiracy agreements illegal (price fixing, market allocation and supply restriction agreements). In addition, the former competitive effects test has been removed, which means that agreements may be caught even where the parties have a small or negligible market presence. This change will significantly lower the bar for the Competition Bureau and private plaintiffs to prove conspiracy agreements. At the same time, the penalties for contravention of the conspiracy provisions have increased to up to $25 million and/or imprisonment

Valerie J. Moroz Royal LePage Stalco Realty Wainwright, Alberta

Andy Puthon, Executive Vice President, Network Development, is pleased to announce that Valerie J. Moroz broker/ owner of Stalco Realty Inc. has acquired Royal LePage Wainwright Realty from Ted Bath effective March 22, 2010. Ted will remain with Royal LePage Stalco Realty in a sales position.

Irma, Edgerton, Czar, Hughenden, and Metiskow.

Valerie has been selling real estate in Wainwright since 1985, where she started with local independent StaffordAgencies. Active in her local community, Valerie sits on the Downtown Main Street Association.

Please join us in welcoming Valerie, and wishing her and everyone at Royal LePage Stalco Realty continued success.

Royal LePage Stalco Realty has a team of 5 sales representatives, servicing the Wainwright community of 5,700 and the surrounding areas of

Valerie and her team can be reached at: 215-10th Street, Wainwright, Alberta T9W 1N7 Phone: 780-842-5327 Fax: 780-842-5480 valeriemoroz@royallepage.ca

For information on the Royal LePage franchise program, please call Andy Puthon directly at (416) 510-5827.

Email: franchise@royallepage.ca †

†Royal LePage is a trademark used under license.

for up to 14 years.

A second civil track has also been introduced for other types of non hard-core agreements between competitors (or potential competitors) that may prevent or lessen competition substantially.

Unlike the new criminal offences, the new civil provision is not subject to criminal fines or imprisonment, but gives the Competition Tribunal the power to make remedial orders following successful applications by the bureau.

• “Hard-core” agreements. It will now be easier for the bureau and private plaintiffs to prove criminal conspiracy agreements, which means that the potential liability associated with “hard core” criminal conspiracy conduct will now be more significant (for example, formal or informal agreements between two or more brokers or agents to fix commissions or splits, divide territories or refuse to deal with competitors). The new rules may also impact real estate boards in some instances (for example, in some cases where membership is refused or access is denied).

• Franchise and other vertical agreements. At the same time, the bureau has indicated in its recent Competitor Collaboration Guidelines that it will likely review most common forms of vertical agreements, such as franchise agreements that allocate markets or customers, under the civil sections of the act and not under the criminal conspiracy provisions.

• Information exchanges.

Regulating improper exchanges of competitively sensitive information (for example, relating to pricing, marketing, markets, clients, costs) will now be more important.

It will be prudent for real estate professionals to take basic precautions when dealing with competitors and participating in board activities, outside specific transactions, to avoid discussing commissions, marketing strategies and refusing to deal with competitors.

• Compliance programs. The recent changes increase the importance for brokers and boards to adopt new or revise existing competition law compliance programs and to provide competition law

training for personnel.

• Independent contractor and employment agreements. The amendments will make it necessary in some cases for brokers to review and amend existing agreements with agents and staff to reflect the new law (for example, to review covenants and policies in relation to commissions, territories and advertising for compliance).

Brokers may also wish to ensure that agents and employees acknowledge compliance with the new competition laws as a condition of employment or independent contractor agreements.

New bid rigging offence: A new criminal bid rigging offence has been introduced and added to the existing bid rigging offences. It is now an offence to agree to withdraw a bid or tender submitted in response to a call or request for bids or tenders. In addition, the maximum prison sentence for bid-rigging has been increased to 14 years (from the previous five years).

• Compliance. These changes increase the importance for real estate brokers, agents and other real estate professionals involved in competitive bids or tenders to understand and comply with the act’s bid rigging rules.

Increased penalties for misleading advertising: Significantly increased penalties for false or misleading representations have been introduced including “administrative monetary penalties” (essentially civil fines) of up to $750,000 for individuals and $10 million for corporations.

• Compliance. While the substantive law has not changed for misleading advertising, the new penalties increase the importance for real estate brokers and agents to comply with the misleading advertising provisions of the act.

• Compliance programs. The new penalties also make it essential to include misleading advertising compliance guidelines in brokerage competition law compliance programs.

Repeal of the criminal pricing provisions: The criminal pricing provisions of the act, including the former price maintenance provisions (which dealt with, among other things, refusals to deal or dis-

crimination based on another person’s low pricing policy), have been repealed. In the case of price maintenance, the former criminal offences have been replaced with a new civil reviewable matters provision, which includes a competitive effects test and allows the bureau and private parties to seek tribunal remedial orders.

• Criminal liability. The former potential criminal liability associated with price maintenance conduct (for example, unilateral refusals to deal or otherwise discriminating against competitors based on their low pricing policies) has now been eliminated.

• Private access applications.

A new “private access” right has been introduced, as the new civil price maintenance rules allow private parties to make applications to the tribunal for orders to cease conduct.

• Reduction in cases. The number of price maintenance cases will likely be reduced based on the introduction of a competitive effects test for the new civil price maintenance provision (i.e., raising the bar to establish a contravention).

New penalties for abuse of dominance: For the first time in Canada, significant civil fines have been introduced for abuse of dominance of up to $10 million ($15 million for subsequent orders).

• Franchisors, brokerages and boards. The new penalties will mean that some franchisors, brokerages and boards may face increased liability for anti-competitive conduct in some instances (for example, conduct that may make it more difficult for particular business models to enter or effectively compete).

Steve Szentesi is a Canadian competition lawyer based in Vancouver. He practises federal law, has advised Canadian and international firms in many industries and has worked on hundreds of domestic and cross-border competition law matters. He is currently working in association with Norton Stewart, Business Lawyers. For more information about Canadian competition law visit www.competitionlawcanada.com. REM

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32 REM MAY 2010

Trade Shows and Conferences For complete listings, visit www.remonline.com To add a listing to this calendar, email jim@remonline.com New Brunswick Real Estate Association AGM & Conference April 27 - 29 Fairmont Algonquin Hotel St. Andrews, N.B. www.nbrea.ca/conference/2010_conference.html

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Toronto Real Estate Board Realtor Quest May 5 and 6 Toronto Congress Centre Toronto www.realtor-quest.ca

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Real Estate Institute of Canada Annual Conference June 2 – 6 Marriott Fallsview Hotel & Spa Niagara Falls, Ont. Register at www.reic.ca

Oakville, Milton and District Real Estate Board 2009 Halton Symposium and Tradeshow Thursday, September 16 Oakville Conference Centre Oakville Cindy Amodeo – 905-844-6491, Ext. 106

2010 Atlantic Connection October 5 – 7 Halifax Marriott Harbourfront Hotel Halifax “A Realtor ‘How To’ conference” www.atlanticconnection.ca

Realtors Association of Grey Bruce Owen Sound Trade Show Tuesday, October 19 Harry Lumley Bayshore Community Centre Owen Sound Info: MarilynN@ragbos.com

National Association of Realtors 2010 Conference and Expo November 5 – 8 New Orleans Registration opens May 5 www.realtor.org/convention.nsf/

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

34 REM MAY 2010

Meth labs on the market

YOUR LOCAL MARKET REPORT Targeted Neighbourhood Advertising

By Dan Steward EAST END REPORT Market Connections Inc.®

Volume 4, Issue 4

Market Update: Present and Predicted

Compliments of Danny Brown

One Step

RIVERDALE MARKET WATCH

Market Connections Inc.®

APRIL 2010

DWiV^c V Xden d[ ndjg XgZY^i gZedgi# In the event it In the Canadian Real Estate ratesany start rising. even(e.g., closed charge contains errors orLooking omissions Association’s (CREA) 2010 forecastaccounts for further CREA anticipatescredit or repaid loans thatahead, appear as available home sales via the MLS®, there is an interest rate increases to contribute that show up aspercent outstanding), you’ll those indication of how the market might to a seven decline in saleswant to getDETACHED cleared up before they hamper be affected by changes to interestmistakes activity for 2011, but doesn’t expect your chances 2 BEDROOM of obtaining a loan. and tax rates. the higher rates to put housing out 3 BEDROOM of reach for most buyers.

4 BEDROOM The good news is that CREA forecasts <Zi egZ"VeegdkZY [dg V bdgi\V\Z! and make sure national activity will reach 527,300 CREA President Dale Ripplinger 5+ BEDROOM estate sales representative By getting units in 2010, a rise of 13.3 percentyour real predicts, “Although interest rates knows. are notrise, only will your be able from 2009. Continued low interestpre-approved, expected to they will stillrepresentative be low SE DE ACHED HE SEMI-DETACHED properties fit your within budget, you’ll know rates are boosting housing demandto target enough to keepthat affordability BEDROO BEDROOM in nearly all provinces during reach for many requiring that financing won’thomebuyers be a stumbling block when2 you do the first half of this year, led by find that mortgage financing, ROO 3 BEDROOM perfect home. and support British Columbia and Ontario, two overall housing demand.”

4 BEDROOM provinces where many buyers are also Also, as a pre-approved you can offer sellers If you’re consideringbuyer, a move, you’ll 5+ BEDROOM motivated to avoid the HST before it a quicker which can giveonyou the edge over wantclosing, the latest information local comes into effect on July 1, 2010. housing prices,who financing information competing buyers have yet to secure their own TOWNHOUSE During the second half of 2010, CREA and new regulations that may have loan approval.

2 BEDROOM expects national activity to ease, as been implemented since you last the last of the pent-up demand forBV`Z hjgZ ndjg gZVa ZhiViZ hVaZh gZegZhZciVi^kZ bought or sold real estate. Please call 3 BEDROOM housing is exhausted, and interest for the latest information, today!

4 BEDROOM STAN `cdlh i]Z fj^X`Zhi lVn id XdciVXi ndj Vh egdeZgi^Zh Figures are based on MLS® sales as reported by the Canadian Real Estate Association. Market values depend on factors besides housing type and bZZi^c\ ndjg Xg^iZg^V WZXdbZ VkV^aVWaZ# And have number of bedrooms. Overall condition, square footage, upgrades, lot size and specific location are some other key factors involved.

Source: Canadian Real Estate Association a contingency plan ready for viewing properties at a moment’s notice (e.g., It may be preferable that your From the desk of Danny children Browndo not come to showings — how will you arrange that?).

NO. SOLD

AVERAGE PRICE

DAYS ON MARKET

25

$ 331,098

25

54

$ 384,591

23

16

7,222 $ 497,222

22

10

$ 588,500 5 5 0

35

45

$ 308,624

20

100

$ 297,423

17

26

$ 429,054

24

5

$ 403,360

14

12

$ 317,667

13

33

$ 378,779

20

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$ 290,900

8

Whether you’re thinking of buying or selling your home, or are just curious as to

Ndjg egdeZgin ejgX]VhZ l^aa a^`Zan cZXZhh^iViZ estate you’ll want to make sure you talk to a hZXjg^c\ i]Z hZgk^XZh d[ egd[Zhh^dcVah! hjX] Vh V Spring is peak home-buying real time.

Youvalues in your neighbourhood, professional who]dbZ ^cheZXidg VcY V aVlnZg# is knowledgeable and familiar the area.

Have with your team lined might be in the market for a real newestate home up ahead of time, because you might hinder the this season — but so are a lot of other I invite you to call me at 416-223-2250 the most home-buying for process if you up-to-date wait until themarket last information people. To get a jump on your competition, minute to recruit. about Riverdale and East Toronto. here are a few things you can do before Danny Brown Please call today, for more tips on ensuring the smoothest, beginning the home-hunting process. most successful real estate experience possible.

Market Connections Inc.® (800) Fax: 800-7093 The information and opinions contained in this newsletter are obtained from sources believed to be reliable, but their accuracy cannot be guaranteed. The publishers assume noBus: responsibility for errors387-6058 and omissions or for any damages(800) resulting from the use of the published information. This newsletter is provided with the understanding that it does not render legal, accounting, or other professional advice. Not intended to solicit properties or businesses listed for sale and agency agreements in place with other real estate brokers. Whole or partial reproduction of this newsletter is forbidden without the written permission of the publisher. © Market Connections Inc.® 2010, Phone: (800) 387-6058. 4950 Yonge Street, Suite 101, Toronto, ON M2N 6K1

Danny Brown Broker

Danny Brown

Bus: (800) 387-6058

Fax: (800) 800-7093

Broker

Exclusivity For Your Unique Marketing Area

TARGET YOUR AREA! For more information on the Local Market Report and other products please call:

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

ne of the most insidious dangers in the real estate market is the increasing inventory of houses used for production of illegal, toxic substances – notably methamphetamines.

Crystal meth use has risen drastically since 2003, with the highest concentration of crystal methrelated deaths occurring in British Columbia. Meth lab seizures are rising for the first time since 2003, drawing attention to the problem of meth contamination, which can permeate drywall, carpets, insulation and air ducts, causing respiratory ailments and other health problems.

Many of us have read accounts of families who’ve bought their dream homes, only to experience unexplained illnesses, grapple with associated medical bills and ultimately make the discovery that the home was used as a meth lab, a fact not disclosed during the sale. In an extraordinary example of adding insult to injury, these homeowners are now liable for the tens of thousands of dollars that cleanup and detoxification require.

The health effects of meth contamination are frequently difficult to prove, and research is scant. But John W. Martyny, a meth expert at the National Jewish Medical and Research Center in Denver, says living in a former meth lab made children more likely to develop learning disabilities and caused long-term respiratory and skin problems. Even brief exposure can have severe effects, Martyny says.

A 2007 study by the Denver centre found that more than 70 per cent of law enforcement officials who had inspected meth labs subsequently reported health problems.

Some regions have tried to fix the problem by requiring cleanup and, at the time of sale, disclosure of the house’s history. But the high cost of cleaning – $5,000 to $100,000, depending on the size of the home, the stringency of the requirements and the degree of contamination – has left properties

O

vacant and quarantined, particularly in areas afflicted with meth use.

What about disclosure regulations? From a legal perspective, disclosures include patent defects, which are obvious, and also “latent” defects. These would not be revealed by a reasonable inspection. Although there is no implied warranty that a property is of any particular quality, if the seller knows, or could be expected to know that the buyer would not purchase the property if they were aware of the latent defect, the seller has a responsibility to disclose such defects to the buyer.

However, individual sellers can simply check the box that says “no” when asked if the house was used as a meth lab, and then disappear from sight. For those homes seized in police raids, there is often a series of transfers and sales, only lightly supervised, prior to sale at auction. In these cases, notice of use as a meth lab may simply fall away during the process.

Exerting best efforts to ensure a home has not been used as a meth lab is clearly the most prudent means of protecting your client, and yourself.

I believe a thorough home

inspection is your best weapon to identify potential risks in a home.

This means a thorough examination of the structure and systems including HVAC, electric and plumbing, plus walls, floors and attic and basement spaces. A professional inspection provides a clear, unbiased assessment of the home, presented in report at the time of the inspection, on the home’s condition. Pillar To Post now offers specific meth lab and marijuana grow house testing in certain markets and will expand to offer this service in additional regions in 2010.

The RCMP estimates there are 18,000 drug labs currently operating in the lower mainland of B.C. There are thousands more across the rest of Canada. You, as a Realtor, gain the greatest advantage by being aware of the preponderance of meth labs in the real estate market, and by guiding your clients on the safest ways to avoid these toxic risks.

Dan Steward is president of Pillar to Post home inspections, which has almost 500 locations in nine provinces and 43 states. 1-800-294-5591; www.pillartopost.com. REM

Letters to the Editor Lots of Competition With the recent buzz regarding the Competition Bureau alleging that CREA’s strict rules governing the MLS system makes it impossible for competitors to offer innovative services to consumers, I would like to note that there is competition in the current marketplace and it is innovative.

Canaterra.com is gaining listings across Canada from all segments of the market, whether that be Realtors, builders/developers, private sellers and rentals. Smaller regional sites serve their areas faithfully, and bigger companies like Property Guys and many other FSBO companies offer list-

ings on their sites.

As for innovation, the fact that we are all competing with such a well established website as Realtor.ca drives us all to be more creative for our clients. So in essence, having MLS to compete with is what drives competition in this industry.

So in the end, there IS competition and it IS innovative. There is no better way to spur innovation than to have strong competition.

So keep MLS as is and the industry will thrive.

Karen Thompson President and Founder Canaterra.com REM

36 REM MAY 2010

What lurks below – A Phase 1 assessment

By Matthew Brewer

T

he call to our office was simple enough. A client was looking to purchase an older building. As the Canada Mortgage and Housing Corp. explains in their publication Introduction to Environmental Site Assessments, “Individuals and corporations are, with increasing frequency, being charged and convicted of offences associated with contaminated sites, although they may not have been directly responsible for the contamination.

Such cases are expensive and can stain corporate or personal reputations long after a site is cleaned up and the case is closed.”

As such, the client’s bank requested that he provide a Phase 1 Environmental Site Assessment (ESA) of the property.

We ordered the typical background documentation on the property. A deed search showed that the lot, located in one of the oldest sections of the city, had

been divided and merged over the past hundred years. A search through the provincial Department of the Environment showed no red flags in the site’s environmental history, or any within the immediate area.

The client did have one concern about the building on the property. We were informed that there was an oil tank in the basement, apparently only a few years old and sitting on a concrete floor.

He wondered if the previous tank had leaked, which could potentially open him up to legal action or an expensive remediation should he purchase the property.

On the day of the assessment, I approached the property and began to take notes. The building was indeed an old structure. The street level had been used for various commercial ventures over the years, including a used-goods store. The building appeared to have been built in several stages

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over several decades.

Once I entered the building I immediately began to see other concerns that the client had not considered. The main floor of the building had been vacant for some time and had voids in the walls and ceiling. These holes allowed me to note potential asbestos sources, including plaster and joint compounds that might otherwise be hidden from sight. The flooring was also a prime candidate for asbestos backing. Windowsills, doorways and handrails throughout the building were noted to be thick with many layers of paint, giving the potential for older lead paint to be present.

Mould was noted throughout the main level and the upper floors, which were vacant apartments. After the building was deserted, the pipes were left as they were; the water system had not been drained. Once winter came, pipes froze, burst and leaked, causing substantial water damage throughout the building.

At last it was time to descend into the basement to investigate the fuel tank. Once downstairs, I was immediately met with a familiar musty smell. Using my flashlight, I was able to get a better picture of the environment around me. On one end of the basement was a modern concrete wall, with the new fuel tank sitting on a concrete floor. No staining was noted around the tank, and the floor was relatively old – certainly older than the new tank.

I turned around and was met by a different sight. The back and side walls were laid over several years, and included old stone blocks and bricks. The stones glistened with moisture; the floor was visibly damp. Along one wall was a new addition: a furnace room with drywall siding. This was against the wet stone blocks, and it soon became apparent that there was a problem.

Covering the lower half of the furnace room interior was major mould growth. Layers of mould were present over other layers.

The environment was ideal for growth: moisture, found on the ground and stone. Food from the cellulose was present in the drywall material. Being below ground level, the temperature seldom fluctuated, staying relatively warm.

Separately, these pieces aided in growth. When combined, it was a mould paradise.

The fact is, mould in buildings can create a hazardous environment. We are only now beginning to learn the true nature of the hazards that come from mould in our living environment. “People living in houses where moulds grow are more likely to suffer from asthma or respiratory symptoms,” says Health Canada.

This situation is a good example of why we as consultants are called upon to perform Phase 1 Assessments for not only industrial sites, but also commercial and residential properties. According to the Canadian Standards

Association’s Standard Z768-01, “Phase 1 ESAs may be used to estimate the likelihood, types and locations of contamination that may be present at properties. The information generated by Phase 1 ESAs can be used by property owners, purchasers, lenders and leasees to make informed decisions about property management, facility operations and investments.”

As consultants performing site assessments, the onus is on us not only to report the apparent, but also find the unseen or overlooked. The assessment addresses the obvious, but also sheds light on the potential problems that could otherwise be missed or ignored by the property owners or potential buyers.

In this particular situation, the would-be buyer suspected that there could be potential problems on the property. He believed that the oil tank could be a problem laying in wait. The Phase 1 ESA allowed him to take information gathered during the assessment and determine what work might be required to remediate the property, should he still be interested in purchasing it.

A Phase 1 only determines what is visible and therefore could be present on the property. No samples are collected during a Phase 1 assessment. In order to establish what work is required and to what extent, a more detailed investigation would be in order, which would be considered a Phase 2. This type of assessment includes taking samples of any suspect materials to determine what they are. In this particular case, lead and asbestos sampling were recommended, as well as investigation below the concrete floor under the fuel tank.

Remember that a Phase 1 gives a professional perspective of what may be present, so that as an owner/buyer/seller, you are aware of the potential risks that may be present.

Matthew Brewer is an environmental consultant and writer based in Bedford, N.S. www.matthewbrewREM er.ca

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38 REM MAY 2010

Boosting tenant satisfaction

By Bernhard Klein Wassink

W

hat do commercial tenants want?

Here’s a clue: often rent reduction isn’t the top request. A GE Capital Real Estate survey of more than 1,200 tenants across the U.S., Spain and Sweden says hands-on service, communication and fixing problems drive satisfaction.

Most important, tenant satisfaction translates directly into higher renewal rates.

As the commercial real estate sector continues to be challenged, investors are looking for new ways to maximize the value of their assets. In order to do so, owners and

managers have redoubled efforts to retain quality tenants.

The reason is simple: the financial rewards of strong tenant relationships can be significant. In this economy, replacing a tenant is a difficult and unprofitable event.

But how can an owner know if tenants are satisfied – and how can he know what to do to boost satisfaction?

To be a landlord of choice, owners and managers must actively reach out to tenants, ask substantive questions – and be prepared to act on what they learn.

Surveys are powerful tools to get feedback from a range of tenants. Careful crafting yields real insight. Questions might include: “How satisfied are you with response time from your property manager?” “Would you recommend this property to others?”

“How likely are you to renew your lease?”

A tenant survey should address a variety of issues, from frequency of communication to mainte-

nance, intent to renew, sustainability and response times. Tenant bankruptcies and reduced need for space are real factors, but existing tenants still have high expectations. The high response rate to a recent GE Capital Real Estate survey – just over 50 per cent – proves tenants want to be heard and to have concerns taken seriously. (The survey, part of the company’s tenant-loyalty program, included properties in North America and Europe.)

There is a caveat. Owners shouldn’t seek tenant input unless they’re willing to take action. If tenants identify problems that aren’t addressed, they’ll be frustrated and angry. That’s why a plan, with follow-up and communications, is critical. Share survey results and reports with property managers, portfolio managers and asset managers, among others.

Right now, spending capital to make tenant improvements wisely is very important. What can an owner do to get the most bang

for the buck?

One solution is to spend in a targeted way. Survey data, for example, revealed a pattern among buildings in one market. Tenants were dissatisfied with slow response to “quick-fix” problems, like minor painting, signage, plumbing and lighting. A newly formed “regional strike team,” a self-contained maintenance group able to respond quickly, can do so quickly at a low cost. Small fixes, as long as they are on items the tenants value most, can have a big impact in how they experience the upkeep of a building.

Direct contact with tenants is also critical. Supplement the survey with follow-up interviews and hands-on communication. That means visiting or calling tenants who responded less favourably or indicated they wouldn’t renew.

In one Pacific Northwest building, a tenant’s response showed it was unlikely to renew. The owner immediately called to ask why.

Simple: the tenant couldn’t find a

high-speed Internet provider. This was outside the landlord’s role, but we leveraged internal experts to help. The tenant, who leased nearly 10,000 square feet, renewed within a week.

Would they have mentioned the problem on the way out the door? Perhaps. But by then it would have been too late. The owner’s follow-up call saved the day.

So what are tenants looking for? According to the survey, top drivers include location, quality of building and property management. Moreover, proactive work on non-emergency inquiries has an almost linear relationship with satisfaction.

By exploring what tenants want and delivering on their needs, owners engender loyalty. That results in the ultimate payoff in a competitive market – satisfied tenants who renew leases.

Bernhard Klein Wassink is chief marketing officer, GE Capital Real Estate. REM

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The most recent census data available shows that in 2006, almost 72 per cent of immigrants lived in a dwelling owned by a household member, up from 68 per cent in 2001. The comparable share for the Canadian-born population rose a more modest two percentage points over this period, from 73 per cent to 75 per cent.

“Homeownership tends to increase the longer one has lived in Canada, with the majority of new arrivals first settling in rental accommodation,” says Adrienne Warren, senior economist, Scotia Economics. “Over time, immigrant families eventually make the move to homeownership, at rates similar to the Canadian-born population. However, between 2001 and 2006, the homeownership rate rose for all immigrant groups, regardless of how long they had resided in Canada. The biggest increase was among those living in Canada for less than 10 years.

“As recent immigrants to Canada make the transition from renter to owner, they will increasingly drive housing demand,” says Warren.

The report says the faster transition to homeownership has been supported in part by strong labour markets. The employment rate for core working-age recent immigrants jumped 3.5 percentage points between 2001 and 2006 (to 67 per cent). This was faster than the 1.5 percentage point gain among their Canadian-born counterparts (to 82.4 per cent). The employment rate for all immigrants also increased over this period, but by a more modest one percentage point (to 77.5 per cent).

“The better labour market performance of recent immigrants may reflect a favourable skills mix, with many employed in highgrowth industries such as engineering, construction and skilled trades. It may also reflect a greater geographic mobility to meet shifting regional labour requirements,” says Warren.

The report also states that, of the more than one million immigrants that came to Canada between 2001 and 2006, 69 per cent settled in the three largest census metropolitan areas (CMAs) – Toronto, Montreal and Vancouver – and their surrounding municipalities. Meanwhile, a growing proportion (28 per cent) of immigrants settled in smaller CMAs, most notably Calgary, Ottawa-Gatineau, Edmonton, Winnipeg, Hamilton and Kitchener. Less than three per cent chose to live in a rural area.

“Given Canada’s aging population and relatively low fertility rates, longer-term household formation and housing needs will be largely determined by immigration,” says Warren. “Using standard assumptions regarding immigration, fertility and mortality rates, the share of Canada’s population growth coming from immigration could rise to three-quarters a decade from now, up from 60-65 per cent today and almost all by 2030. Most of this growth will be in Canada’s urban areas.”

- Original Article in REM Magazine

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ort Moody Realtor Sheila Francis was recently named the second ever recipient of the Real Estate Board of Greater Vancouver’s Professional Excellence Award.

The award is presented annually to a Realtor who exemplifies the highest level of professional knowledge, ethics, peer and client relationships and community involvement.

Francis served as a division director with the REBGV for four years; sits on the board of the Eagle Ridge Hospital Foundation, Port Moody; served on the capital campaign for Crossroads Hospice, Tri-Cities; and has been an active fundraiser for B.C. Children’s Hospital for more than 15 years.

“Sheila is dedicated to promoting the highest level of professionalism amongst her peers.

Drawing upon her extensive knowledge and experience, she has served as a role model and mentor for countless Realtors throughout her time in the business,” says Jake Moldowan, REBGV president.

Four Realtors were recipients of 2009 Realtors Care Awards.

The award is presented annually to Realtors who work and advocate for their communities through fundraising or volunteer activities.

Allan De Genova of Sutton Group West Coast Realty served as the 2009 president of the Honour House Society, which will provide temporary housing for families of wounded military personnel and local first responders. Honour House will open on Remembrance Day. He’s also a director of the Vancouver Resource Society, which secures housing for people with disabilities.

John Grasty of Prudential Sterling Realty is a homeowner advocate who served as the 2009 president for the Consumer Advocacy and Support for Homeowners Society. He also serves on the national advisory council for Canadians for

Properly Built Homes.

Arnold Shuchat of Multiple Realty helped raise $42,000 for the Richmond Jewish Day School and the Louis Brier Foundation for the Aged by organizing a successful second edition of last year’s Battle of the Bands fundraiser.

Marianne Wilson of Royal LePage Black Tusk Realty is a founding director and the 2009 president of the Squamish Community Foundation. She has created Realtor-funded local initiatives such as a shelter fund and a program that collects weekly donations from Realtors for the local food bank.

■ ■ ■

Jim Fife of HomeLife Muskoka in Bracebridge, Ont. is the recipient of the Muskoka & Haliburton Association of Realtors 2009 Community Services Realtor of the Year Award.

The criteria established for this award was simple but included three admirable qualities: professionalism, public relations and involvement in the local community with respect to volunteer activities. The award was presented in honour of Jim Graham, a long-time member who retired in 1999 after 30 years in the business. Graham, one of the most respected brokers in the area, was acknowledged for his mentorship and success.

Fife has been a Realtor for 36 years. The board says he has shown his peers respect, honesty and impeccable work-related ethics.

He has always had a high profile in the community, whether it be fundraising, assisting with local events, volunteering his time, or stepping in to assist as an auctioneer, the board says.

■ ■ ■

Recognized for their exemplary volunteer efforts on a local and international level, Marvyn Baker and Terry Courtney from Royal LePage Kelowna are the

2009 recipients of the Realtors Care Awards for the Central Okanagan Zone of the Okanagan Mainline Real Estate Board (OMREB).

“Marvyn Baker is being honoured for his exceptional local volunteer efforts spanning close to 40 years. He has given countless hours of his time to make Kelowna a better place to live, work and play,” said OMREB past-president Bob Cliffe during the awards presentation. Baker helped build the Knox Mountain Trail and worked with fellow Rotarians to raise more than $1 million for an accommodation centre for the family members of cancer patients at the Cancer Lodge. He acted as team captain for the Heart and Stroke Big Bike Ride, and has assisted with the Salvation Army’s Fill the Van and Christmas Kettle programs.

He has been actively involved with Rotary since 1971.

“Terry Courtney’s outstanding volunteer work outside of the Okanagan and Canada earned him this very worthy recognition,” said Cliffe. “He and his wife Janet have impacted hundreds of Manzanillo (Mexico) residents and people in the surrounding villages each and every year. Their ongoing efforts have significantly improved the lives of many families and given their children hope for a better future.”

On their own initiative, with their own money, and with funds raised from family and friends, the Courtneys have gone to Manzanillo each winter to help people in need for the last five years. They have worked with other volunteers to build homes for families in the community who are in desperate need of shelter and assistance. Together, they also created large feeding and teaching programs for schools and orphanages in the surrounding area.

■ ■ ■

Jan Lyall of Royal LePage Benchmark is this year’s Calgary Real Estate Board (CREB) T.W.H. (Bill) Saunders Memorial Award recipient.

Also known as Realtor of the Year, the award is the highest honour in Calgary real estate. It is presented to a CREB member for outstanding contributions to the real estate industry and to the community.

Lyall began her career in real

REM MAY 2010 41

estate in 1977 and, within eight years, she became a manager, partner and subsequently owner of Royal LePage Benchmark.

Throughout the years, she has been a constant contributor and champion on numerous committees and task forces within CREB. She is an honorary life member of CREB and a past-president of the CREB Charitable Foundation.

“Close friends and family describe her as a competitive person, an over-achiever who constantly displays perseverance and strong determination, a true positive life-force for those around her,” says the board in a statement.

Shireen Preksta, broker of record and owner of Century 21 Dreams of Oakville, Ont., was recognized in the March 4 issue of the Oakville Beaver newspaper, in celebration of International Women’s Day. Among Preksta’s accomplishments are her roles as past director of the Oakville/Milton District Real Estate Board and 2008 chair of the local Real Estate Brokers Council and Education Committee. REM

The 2009 Realtors Care Award recipients, from left: John Grasty, Marianne Wilson, Arnold Shuchat and Allan De Genova.

■ ■ ■

At a recent office meeting, Paula Hodgson of Sutton Group - Select in London, Ont. was presented with the 10th Michele Montour Award. The award goes to a sales rep who possesses the positive attributes that the late Michele Montour was known for.

Hodgson places service to others at the top of her priorities in the community, in business and for her family, says broker of record Bruce Sworik. “Her charitable works for the homeless, the Salvation Army and her church are just a few of the causes she supports. A vital member of the Sutton - Select team, Paula is a wonderful team player and powerful ally who can rally support with her mischievous grin and boundless energy,” he says.

■ ■ ■

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Good Works B

roker Neall Stevens and 28 sales reps at Sutton Group - Landmark Realty in Red Deer donated about $700 to World Vision to assist children in developing nations. The group selected $100 in medical supplies and two goats. Stevens says the medical gift goes a long way in developing countries and will purchase approximately $1,200 worth of medication and supplies.

The two goats (a male and female) will produce up to 250 litres of protein-rich milk each year and the family can sell any milk that they don’t require. They can also breed the pair of goats to generate sustainable, long-term income.

For the past two years, Stevens has volunteered for an organization in South Africa that deals with HIV and AIDS. “In 2008 and 2009, I used vacation time each March to volunteer and raise money for the Dibanani AIDS Project. Dibanani provides support to people living with HIV/AIDS and those displaced because of the diseases. The work is so important; I encourage people to visit the website (www.dibanani.org),” he says.

■ ■ ■

Combining his passions for music and assisting others, broker Paul Swartz of Sutton Group - Old Mill Realty in Toronto has raised more than $8,000 for the Greenborough Church and its various ministries. A Valentine’s concert was the fourth musical event that he has co-ordinated and performed for the church. His specialties – romantic ballads and lively swing tunes – made the Valentine’s event the most successful concert so far.

“I think the Valentine’s concert was so successful because it had one of the best jazz singers in the country and we have developed a following to our excellent concerts,” says Swartz. “The jazz ensemble was made up of seven

people including singer June Garber. We played music from the war years so it was mostly swing. It was very popular with our audience.”

Performing on behalf of the church allows Swartz to entertain as he helps to raise money for church maintenance and various ministries. “My main passion is the youth ministry and various others including the food bank, which is why I organize and sponsor one large music concert a year.”

■ ■ ■

In March WinnipegRealtors held a social to raise money for the MREA Shelter Foundation. Six different bands played during the evening, all featuring WinnipegRealtors members. Many hours of volunteer work to organize this fun-filled entertaining event paid off with an estimated $26,000 raised for the cause.

Members turned out in droves and the venue was packed with more than 700 tickets sold.

In January WinnipegRealtors came together to help ease the despair in Haiti. The relief campaign ran for a three-week period, raising $6,601 that was donated to the Canadian Red Cross.

■ ■ ■

Patrick Pinsonneault, broker of Royal LePage Peifer Realty in Chatham, Ont. recently donated his time and his real estate commission when he sold a historic building to benefit the ChathamKent Health Alliance. The Union Hall in the former Raleigh Township was built in 1871 and trustee owned. The community decided the time had come to sell the hall to benefit an MRI campaign. More than $55,000 was donated to the cause as a result of the sale.

■ ■ ■

Re/Max Twin City Realty, led by broker/manager Moses Silva, is one of the local businesses in

Brantford, Ont. that are banding together to raise funds for the Children of Sunshine Group, which is sending children with medical disabilities to Disney World in Orlando, Fla. But the group isn’t just sponsoring one or two children – it’s sending an entire planeload of about 90 children and support staff.

Ted Ward-Griffin of Re/Max Twin City says that more than $111,000 has been raised for the Dream Lift event during the last three years. The goal is to reach the required $160,000 so the trip can happen in 2011. Ward-Griffin spearheaded the first Dream Tree event 26 years ago.

■ ■ ■

Jim Knowles of Re/Max Kamloops in Kamloops, B.C. took part in the Paralympics closing ceremonies recently, assisting disabled skier Pramod Thapa. Knowles is active with Sun Peaks Adaptive Sports, which helps people with disabilities learn to ski.

Thapa, a 17-year-old skier, has cerebral palsy, a neurological disorder that affects muscle co-ordination and body movement. He came with his parents to Kamloops last year from Nepal, says a story in the Kamloops Daily News.

Knowles told the Daily News that the Pramod family lives in a hotel room in Kamloops and Pramod’s activities and friendships have been limited by his command of English and physical disability.

“I got a call from the school and they said ‘you’ve got to get this kid out of his hotel room,’” Knowles says.

With Knowles’ help, Thapa has progressed from skiing with a tether to skiing intermediate runs and parallel turning for slalom and giant slalom. Knowles said Thapa’s goal is to compete in the 2014 Paralympics Games in Sochi, Russia.

The Kamloops residents took part in a torchlight descent at Whistler that was filmed for broadcast in the Paralympics closing ceremonies.

■ ■ ■

Danielle Masri, a sales associate at Sutton Group - Preferred Realty in London, Ont., is running in the 5-km Spring Sprint on April 25 to help find an effective treatment for brain tumours. Her brother Ryan was 26-years-old when he was

REM MAY 2010 43

diagnosed with a brain tumour in 2002. Since then, he has suffered from seizures due to the size of the tumour and the pressure it has been putting on his brain. He has undergone surgery, chemotherapy and radiation and none has succeeded. In the past four months, Ryan’s tumour has become dangerously aggressive.

“Throughout all of this, I have discovered that my brother is truly the bravest person I know. He is loving and kind to everyone, and is an amazing brother, son, friend and

Neall Stevens

uncle. I would like to do anything I can to support Ryan and my family along with others who are affected by cancer,” says Masri.

She originally set a fundraising goal of $2,000, but with support from fellow Realtors, her broker of record Gerry Weir, friends and business associates, she has exceeded the goal already. To offer a message of encouragement or make a donation, visit http://my.e2rm.com/personalPage. aspx?registrationID=832911

Paul Swartz

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44 REM MAY 2010

A competitive edge

GREEN REAL ESTATE

By Elden Freeman

M

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ore than ever, homebuyers are concerned with the security of their investment, and one excellent tool Realtors can use to optimally position themselves in the market is a home energy evaluation. “After purchasing a home, the cost of running it is the largest expense a homeowner faces. Understanding energy

efficiency helps home buyers not only predict but have a better understanding of what their energy costs will be,” says AnaBela Azevedo, marketing manager at The Energuy Home Energy Advisor, Ontario’s largest organization licensed to conduct home energy audits.

Home energy audits give homeowners the benefit of learning more about their house (or prospective property) by evaluating its energy efficiency and pointing the way to improvements that could increase efficiency and reduce energy costs, as well as a house’s carbon footprint. In Ontario, it helps homeowners qualify for government grants offered for energy efficient improvements under the Ontario Home Savings Program.

The audit involves two visits from a certified energy advisor.

The first is an assessment of the house’s current efficiency level.

The results are assessed and a list of improvements is generated to show how the energy efficiency of the house might be improved. At this point, the owner can choose which improvements to make.

After these upgrades have been installed, the second visit evaluates the improvements and the energy advisor submits the paperwork to the government and applies for the grants on the homeowner’s behalf.

The benefits vary from home to home, depending on the initial age and condition of the housing stock, and what improvements are made. An average participant sees a 30 per cent reduction in energy costs, and receives

rebates of $2,250 for their improvements.

In the hands of a savvy Realtor, audits can be a highly effective tool for differentiating one’s practice in the competitive marketplace. Realtors with selling clients can instantly add value to a sale with a home energy audit, whether it’s from showing the upside for grants that a property can qualify for, or by showing the selling client how they can increase their property value using government grant money.

The National Association of Green Agents and Brokers (NAGAB) recently announced a partnership with The Energuy, which is providing a course for NAGAB members that qualifies for RECO credits in Ontario.

NAGAB and Energuy are also developing a series of webinars on home energy audits for distance learning. NAGAB members also qualify for discounted rates for themselves and their clients, as well as preferential scheduling of evaluations and expedited reports so that the energy audit never impedes the sales process. There are also marketing support materials that assist Realtors in educating their clients about home energy evaluations.

The home energy audit process represents a huge opportunity for Realtors to add value to the services they provide their clients.

For more information, visit www.nagab.org www.ecoaction.gc.ca and www.energuy.ca.

Elden Freeman B.A., M.E.S, broker is the founder and executive director of the non-profit National Association of Green Agents and Brokers (NAGAB). 416-5367325; elden@nagab.org REM

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Cautionary housing tales (A bedtime story)

By Dan St. Yves

O

nce upon a time there were three little pigs.

They lived in a forest that surrounded the suburbs of a major North American city, identifiable by a distinctive and highreaching tower. Sure, the forest was woody, and filled with silverfish, but there was a Wal-Mart and a Starbucks, so life wasn’t that bad after all.

One day, a wolf from the nearby countryside came to visit.

He had read an online article

about pork stir-fry, and simply couldn’t find an abundance of piggies up in the rugged terrain he called home. Plus, he had a coupon for a dollar off a grande mocha latte.

Well, the first thing the old wolf spotted when he arrived were the three little pigs, napping under a tree by a babbling brook. Fortunately, the old wolf had brought along his non-stick wok, which he had planned on using to wallop any pigs he came across. However, his arthritic knees popped all the way along his approach, awakening the pigs, and each ran off, squealing all the way home. One had roast beef. One became a nun.

To protect themselves from

this vicious predator, each pig decided to build a home. One used straw, which failed preliminary building inspections. The bylaw officer burned it down with a flame-thrower, essentially preparing that hapless little piggy for the old wolf. With just a dash of sweet and sour sauce, Piggy #1 was a delightful complement to a side of chop suey.

Hey, isn’t that how you call a piggy?? “Soo-ee!!!” Ironic.

Further along the way, the old wolf came across the hastily constructed abode of the second pig (Irwin, if you feel you must know) – this house constructed of sticks. No stones. This was good news for the old wolf,

which was suffering from diverticulitis, and needed more fibre in his diet. He knocked on the little pig’s door and howled loudly: “Hey pig – can I borrow some eggs? I’m makin’ ham ‘an eggs, I am!”

The little pig replied: “Not by the hair of my chinny-chin chin, Dumb-head.” Which frankly did little for his cause. The old wolf just huffed, puffed on his cherryflavoured cigarillo, and lit the brittle house of sticks on fire.

Piggy #2 was soon a side of baked ham.

The last remaining little piggy opted to take extreme measures to protect himself. He built a house of brick, discussed insurance products with a friendly

green Gecko, discreetly purchased an unregistered handgun from a rough-and-tumble weasel with one eye.

Kids, if your parents hide a key under the doormat at the front door, you may want to get back to Clifford, The Big Red Dog or see what magical adventure Dora The Explorer is about to embark upon today. Truly, a security system is only as good as its weakest link, and if there is a moral in this tale anywhere, it may be that one should exercise some originality when it comes to hiding a spare key outside their home.

For the wolf, it was a very good week.

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 ThatDanGuy@shaw.ca. REM

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THE PUBLISHER’S PAGE

By Heino Molls

A

wise person once said to me there should be a cap on the amount of time a police officer serves. This person suggested a time limit of five years for working the streets of a major city. The reason is that after five years a police officer would become jaded, perhaps frustrated and not as effective as a fresh recruit who would take on the daily challenges of police work with a greater passion and vigour than a hardened veteran.

I also recall a conversation I once had with a person in the teaching profession who suggested

Youth need recognition a limit for classroom teaching to perhaps 10 years, rather than teaching until retirement age. The argument is that a young teacher would bring a greater energy to match the enthusiasm of students and new developments in teaching that use ever-changing technology.

There are opposing arguments to all that are plain to see.

Without the presence of veteran police officers or teachers, new recruits would have no one to turn to for advice and mentoring.

Energy and youthful passion are wonderful but without the tempering calming advice of experience, youth could go flying off in the wrong direction.

The best way to run any service or work environment is to have a good combination of youth and elders. To be honest I would find it comforting to see a police car with a young person and an old person working the unit. The trick is to find the right combination to make it work. Too many times we are bogged down with politics and resentment.

The most annoying thing in the world for a veteran in any business is to have some young person come along and show them up by doing something faster; or worse, doing something better. The most annoying thing for a young whippersnapper is to have some old fart show them slowly and methodically how to do something properly so it doesn’t have to be done over again later.

For many years I have heard the laments about how real estate is an aging business. The average age of a Realtor is 50-something.

That may be so but I do not think that it is the result of aging in the business. It occurs to me that the majority of recruits have been those who began in real estate in their 30s and 40s. I may be wrong on this because I have met a lot of great stars in this business who started in their 20s, but the majority I know began in their 30s and 40s.

It seems this business almost demands maturity in a recruit before they even begin to learn the

craft. I will wager that is why so many successful Realtors began their careers in real estate after they blew the stink off their crazy years of youth. I always remember the conversation I had with a broker I highly respected, who told me, “The perfect recruit is someone in their mid-40s, who has had some success in banking or marketing and is looking for a career change that is rewarding and stimulating.”

That was many years ago. In many respects, real estate and all sales for that matter have not changed one iota. It is service, service, service! Just like it always was. But there are new twists and most are driven by technology. In this area, youth has it over veterans. But the maddening thing is that youth generally lacks the savvy to fully apply these new tools the way a veteran could.

The answer to it all is respect both ways. Work together but leave out the smugness of a veteran and leave out the smirking of a youth. This would be a perfect

combination.

I often hear of Realtors teaming up and combining their strengths. I recall hearing about two successful Realtors teaming up who were opposites and openly made sport of their differences.

One enjoyed getting up early and jogging and getting things done with high energy. The other was more laid back and enjoyed the late nights chatting quietly with clients through the evening. It was brilliant!

There are teams in real estate that work exceptionally well together and serve their clients extremely well. As an observer in this business, however, I rarely see a team with a wily veteran combined with a passionate young person. We see many successful family teams like a father/daughter combination, but a team with a 20something youngster fresh out of school, BA in hand, combined with a 60-something veteran brimming with experience, is something I don’t see.

But I couldn’t think of a better combination.

Heino Mills is publisher of REM. Email heino@remonline.com. REM

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