May 2017

Issue #335

May 2017

Is it time to switch firms?

Page 8

The managing broker may be an endangered species Page 10

Negotiating your professional fee

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REM MAY 2017 3

Mortgage brokers lobby to lower stress-test level

By Jonathan Hiltz

R

ecently representatives of Mortgage Professionals Canada met with dozens of members of Parliament and senior government officials to discuss housing affordability, availability and accessibility, and to outline concerns about the government’s changes to mortgage qualification rules that were introduced last fall.

“I am extremely pleased that there is a real sense that members of Parliament are listening to the concerns from our industry,” said Paul Taylor, president of Mortgage Professionals Canada in a news release. Taylor added that their recent meetings with government officials are “educating members of Parliament on the positive role that mortgage brokers play in the Canadian housing market and the negative impacts that recent changes are having on first time homebuyers.”

REM recently spoke with Taylor in a one-on-one interview.

REM: From the press release sent out, affordability and accessi-

bility for first-time and other buyers have some real challenges.

What are those challenges?

Paul Taylor: The government’s intention in requiring borrowers that are purchasing an insured mortgage to qualify for their “stress test” is (over) two per cent more expensive than the street rate.

You can probably qualify for a five-year fixed rate mortgage today somewhere around 2.5 or 2.6 per cent interest rate as long as your credit is good. But the Bank of Canada rate today is 4.64 for a fiveyear fixed mortgage. So those firsttime purchasers who have less than 20 per cent down payment have to buy mortgage insurance and because they have to buy insurance, they have to show that they can manage an interest rate of 4.64 even though the mortgage will be issued at two and a half.

The intent from the government’s perspective is to make sure that if there was an interest rate increase, that Canadians didn’t find themselves underwater and can

meet their financial obligations.

REM: So how do you address this issue?

Taylor: We’ve asked for a reduced number. I think that having the stress test in and of itself is not a bad idea, but the dislocation between 2.5 per cent and 4.64 per cent is quite a lot. When you run these numbers based upon average Canadian households, you end up with about a 20 per cent reduction in purchasing power.

So when we look at an $80,000 household income, which was the average Canadian income in 2015, those folks at a 2.5 per cent interest rate would be able to borrow about $400,000. At a 4.64 interest rate they can borrow about $320,000. The options for homes they can realistically afford now are at the bottom end.

I’ve had a number of conversations with the Ministry of Finance office and the government’s intention with these changes has got nothing to do with market pricing.

The changes are very specifically to try to reduce the overall liability

C

rescued me,” when he brings the dog home.

The spots will be shown on a number of digital media outlets and also made available to independent Coldwell Banker affiliates across the U.S. and Canada for posting on their local websites and social media channels. It can be viewed at www.coldwellbanker.ca/ homesfordogs.

The ad is part of the ongoing Coldwell Banker campaign

Paul Taylor

from all this that the MPs go to the Minister of Finance and try to get the rate down?

Taylor: Essentially, yes. Our hope is that the MPs across the country can work with the Ministry of Finance and gather appropriate data from their own ridings about the impact this is having to the number of sales, the difficulty some of these folks are having getting into their first home, and what the potential impact it actually has on the rental markets as well. This is because if people are forced to rent longer, that is going to reduce the supply of rentals and might actually push costs up as well.

All of these things will make the economic plight of young, middle-class Canadians more difficult. REM

Survey says expertise beats referral

Rescue dog ad ‘highest rated real estate ad of all time’ oldwell Banker Real Estate’s ad titled Somebody to Love, a story about the joy pets bring to our home, has been scored as one of the highest-rated ads of all time, the company says.

Ace Metrix, which measures the impact of advertising, says the ad is one of the top 20 ads in all categories. It scored 779 in likeability, higher than any ad debuted during the 2017 Super Bowl, the company says.

The spot tells the parallel stories of two lost souls. It begins with a shot of a man who has clearly said goodbye to someone he loves, as he longingly looks at a picture frame beside his bed. It then pans to a stray dog who is wandering the streets. The two meet at an adoption event and an original soundtrack plays “you

of the Canadian government.

REM: If the Bank of Canada rate is 4.64 and the street rate is 2.5, what do you suggest it should be?

Taylor: (It should be) 3.25 probably. It adds a bit of buffer and ensures that people have a little extra money in their budget than is required to meet their mortgage payments, but it also doesn’t reduce purchasing power by 20 per cent. It only brings you down maybe eight or nine per cent.

REM: What did you hope to achieve in your discussions with members of Parliament on this issue?

Taylor: We are essentially trying to get MPs across the country to understand the impact that this purchasing price reduction is going to have in their riding.

REM: Are they listening and do they understand?

Taylor: They definitely are and to their credit every MP that we spoke to (realizes) that housing is an important topic for everybody.

REM: Is the perfect outcome

called the Homes for Dogs Project, initiated in partnership with Adopt-a-Pet.com, North America’s largest non-profit pet adoption website. Together, the organizations have helped find homes for more than 20,000 dogs online and through more than 675 adoption events as part of a national adoption weekend.

The project has its next national adoption event slated for Sept. 9-10. REM

A scene from the Coldwell Banker ad.

survey released by Vancouver-based real estate website REW.ca says a high level of neighbourhood or building expertise was cited as the No. 1 reason consumers choose one real estate agent over another – beating out personal recommendations.

This finding was despite more than half (53 per cent) of all buyers (first-time and repeat buyers) saying they found their most recent agent through a recommendation from family or friends.

Local expertise was cited by 39 per cent of first-time homeowners as the top selection factor when finding a new real estate agent – notably higher than a referral from family or friends, at 27.5 per cent and an agent’s reputation for getting the best deal, also 27.5 per cent, says REW.ca.

The local expertise factor jumped even higher, to 51 per cent, among repeat property buyers who said they would consider looking for a new agent the next time they purchase a home – followed by recommendations (38.6 per cent) and reputation (22.8 per cent).

Nearly half (48.1 per cent) of first-time homeowners said that they would either consider using a different real estate agent or would definitely switch the next time they buy a home.

“It certainly seems that a referral from friends or family does not carry the weight that it once did – leaving the door wide open for agents with local expertise to pick up new clients,” says Joannah Connolly, editor of REW.ca. “With data becoming more readily available, we have to ask ourselves whether the way we choose our real estate agents is changing.”

REW.ca polled 2,244 people in B.C. in February. REM

A

4 REM MAY 2017

Multiple Listings

By Jim Adair, REM Editor

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

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

R

ealty Executives International majority owner and CEO David Tedesco recently acquired all of the remaining shares of the company from former president and coowner Rich Rector.

Tedesco is the founder and CEO of True North Companies, an investment firm that owns a number of businesses in the real estate, healthcare, aerospace and entertainment industries. True North Companies first acquired majority ownership of the franchisor in 2014.

“Rich and his family began building a business with innovation and entrepreneurial spirit at its core 50 years ago,” says Tedesco.

“Owning 100 per cent of the company frees us up to pursue our growth strategy even more aggressively, with our focus on expanding our network of high-performing brokers, agents and teams.”

First established in 1965, Realty Executives International currently has more than 8,000 agents and 500 offices globally.

■ ■ ■

The Biro Team has joined StreetCity Realty at the Hamilton, Ont. office. The team leader is Attila Biro, a top producing salesperson and an industry speaker specializing in “creating and cultivating successful real estate teams”.

He says, “The culture and philosophy of StreetCity resonated with me and my team, and I knew after meeting the management team that I wanted to be a part of this dynamic, growing real estate brokerage.”

The other members of the team are Carmen Girolami, Benjamin Clarke and Naida Bastedo.

■ ■ ■

Attila Brio

After 41 years as a household name in Thunder Bay, Ont., Belluz Realty has joined the Re/Max Integra network. Broker/owner Tony Belluz has renamed his company Re/Max Generations Realty, recognizing that three generations of the Belluz family works at the firm.

The company was founded by Ray Belluz, Tony’s father. Tony’s wife Allison and their daughters Kelsey and Breanne also work at the brokerage.

Tony Belluz has been a Realtor since 1988. He won the Top 10 MLS Award 10 years in a row.

■ ■ ■

Engel & Völkers North America has a new franchise shop in Kelowna, B.C. after independent Lexterra Real Estate converted to the brand.

Richard Brinkley, SVP Canada for Engel & Völkers North America, says it’s “a great fit.”

Broker/owner Suzie Doratti says she is excited to have her eight-

Carmen Girolami

At the Right At Home Newmarket office grand opening, from left: Allison Wilton, administrator; Charles Morrison, branch manager; Angie Smith, administrator; and Howard Drukarsh, president and broker of record.

Benjamin Clarke

Naida Bastedo

agent shop “take advantage of the E&V international referral network, premium tools and systems.”

■ ■ ■

Broker/manager Stephen Oliver has acquired Coldwell Banker Momentum Realty, based in St. Catharines, Ont. Oliver becomes sole owner and broker of record effective immediately, succeeding former owner Peggy Rose, who will remain with the company in a sales capacity.

Oliver has been with Coldwell Banker Momentum Realty for eight years, most recently operating a branch office with his team in Ridgeway for 2 1/2 years.

The brokerage was recently announced as the No. 1 Coldwell Banker office in Canada in unit sales in its size category (36 - 50 sales representatives).

■ ■ ■

Right At Home recently opened a new branch in Newmarket, Ont. The branch manager at the office is Charles Morrison.

In two months, the brokerage has gone from zero to 32 sales reps with three administrators, says Right At Home president and broker of record Howard Drukarsh.

“Newmarket is a growing market and we invested in a new 3,000 sq. ft. branch to expand our service area to the north to fulfil a demand for our business model,” says Drukarsh. “Newmarket becomes our seventh branch office and will serve Newmarket, Aurora, East Gwillimbury, Keswick as well as Innisfill and Barrie. We chose this location for its visibility along the main growth area for commercial activity.”

■ ■ ■

David Thompson has joined the Century 21 Heritage House team, based in Woodstock, Ont., as general manager.

Continued on page 6

Richard Brinkley and Suzie Doratti

The Belluz family from Re/Max Generations Realty in Thunder Bay: Breanne, Allison, Tony, Kelsey and Ray.

Stephen Oliver

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6 REM MAY 2017

Continued from page 4

“David has extensive experience at all levels of real estate management and we know our clients and our team will benefit from his knowledge and energy,” says Nick Lalli, the brokerage’s co-owner.

Thompson has spent the past three years as director of education for HomeLife Realty and has been responsible for the education of 8,000 agents in Canada and the United States. Over the course of his career he’s also been involved with Lone Wolf Real Estate Technologies, Coldwell Banker Canada, the Real Estate Institute of Canada and Century 21.

“In some ways, this is a coming home for me,” says Thompson.

“My first job was as a Century 21 agent and I’ve since worked in every segment of the real estate industry. This role allows me to use all the skills I’ve gained over my career to help provide better service for agents and customers.”

■ ■ ■

Sonya Robertson has acquired the ownership of Coldwell Banker’s brokerage in Dorset, Ont. The office formerly known as Coldwell Banker Wiley Real Estate will now operate as Coldwell Banker Wiley Robertson Real Estate.

Former owners Ellen Wiley and Terri Brown will remain with the company in a selling capacity.

Wiley earned the company’s International President’s Elite Award for 2016 and The Wiley Team has repeatedly earned the Ultimate Service Award for exceptional customer service.

Robertson is in her fifth year with the company. A long-time Huntsville resident, she says she “plans to continue the company’s tradition of outstanding service and community involvement, while looking towards future growth,” says Coldwell Banker in a news release.

Cover photo: MARKO SHARK

■ ■ ■

Re/Max Integra recently welcomed Ricky Rathore, broker/ owner of the new Re/Max Empire Realty in Markham, Ont. to its network.

Rathore, 28, has experience as a mortgage agent, lawyer, salesperson and broker/owner. The company says he has completed hundreds of transactions of his own “and facilitated thousands of transactions as a broker.”

David Thompson

Sonya Robertson

Ricky Rathore

Raymond Pace

Sarah Vander Vloet

Mike Vander Vloet

Peter Butler

Liz Tutt

Colombia to become the top international country using Miami’s search portal, www.Miamire.com, in October 2016. Canada also took top spot in January of this

year. Since the association has been tracking the information, Canada has topped Miami web

■ ■ ■

Century 21 Pace Team recently opened a new office in Oakville, Ont. The Pace Home Selling Team, led by broker Raymond Pace, was ranked fourth in the top Century 21 team rankings in Canada for 2016.

Pace started in real estate more than 27 years ago and within two years of getting his license he became one of the top 100 salespeople in Canada, the company says. He has won numerous awards while serving Oakville, Burlington, Milton, Mississauga and Toronto. Over the years he has helped more than 3,000 families buy and sell their homes.

Celebrating the strategic partnership of Toronto’s Milborne Group and Miami-based Pordes Residential are, from left: South Florida developers Manuel Grosskopf, president, Château Group; Edgardo Defortuna, president, Fortune International Group; Hunter Milborne, CEO, Milborne Group; and Mark Pordes, president, Pordes Residential.

veteran, Butler was the 2016 president of the Simcoe & District Real Estate Board. He has been one of the top selling Realtors in the Port Dover & Simcoe area for many years, the company says.

■ ■ ■

■ ■ ■

StreetCity Realty is expanding to St. Thomas and Port Dover, Ont. Sarah Vander Vloet and Mike Vander Vloet are the co-managers of the new StreetCity office in St. Thomas, servicing St. Thomas, Aylmer and Elgin County.

“Mike brings a wealth of real estate experience and Sarah is a recognized real estate coach and mentor,” says Costa Poulopoulos, president of StreetCity. “Together as branch co-managers they will ensure that the local Realtors are well supported and serviced by this dynamic new management team.”

Peter Butler has joined StreetCity as the branch manager in the Port Dover, Simcoe and Norfolk County office. A military

Milborne Group of Toronto and Miami-based Pordes Residential have announced a strategic partnership to serve the South Florida luxury real estate market.

Milborne and Pordes’ focus is to attract Canadian purchasers to The Ritz-Carlton Residences in Sunny Isles Beach in Miami, developed by Fortune International Group and Château Group, as well as Fendi Château Residences in Miami developed by Château Group.

Recent data released by the Miami Association of Realtors says Canadian consumers searched for South Florida real estate more than those from any other country.

Canada overtook long-time leader

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Continued on page 12

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Multiple Listings

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pillartopost.com Each office independently owned and operated.

8 REM APRIL 2017

Is it time to switch firms?

Before you make the jump to another organization, ask yourself what you want to achieve by switching firms. What is your goal? By Toby Welch

T

he reasons agents move from one real estate firm to another are as varied as the people themselves. Sometimes it even happens when you aren’t expecting it.

Glenn Wildenmann, a real estate broker with M Immobilier Real Estate Agency in Montreal had no plans to make a change.

“I was at Sutton for 13 years, was comfortable at my agency, had good friends there and was annually top 10 in my office.

There was nothing wrong, however I couldn’t help but notice M. I was fascinated by their approach, bringing a completely fresh thought to marketing and selling real estate.

They re-imagined every detail and replaced ordinary with amazing and I wanted to be a part of that.”

The realities of switching firms can be daunting. Everything needs to be rebranded, from social media to business cards, signage, customer appreciation gifts, vehicle advertising and websites. It is a lot of work but

it also means an opportunity to start fresh.

Wildenmann took advantage of this aspect of switching firms: “It presented a wonderful opportunity to roll out a new campaign: ‘I’m Moving Too’ and ‘Same Glenn, New Agency’.”

‘incentive package’ for you to move over. Sometimes earning more isn’t beneficial if the office environment is miserable. If it all looks good, take a leap to a new adventure!” But she adds, “Make sure to leave your old real estate firm on good terms.”

Uta Marshall, a sales rep in Prince George, B.C., made the switch from Team Powerhouse Realty to Re/Max Centre City Realty. “I was inspired to move offices solely based on finances and earning capacity. I was happy with my previous office, did well and honestly had no intention of leaving. I was approached by Re/ Max and after doing my research, I felt that I would be in a position to increase my earnings by switching companies.”

If you’ve established that you are ready to switch firms, shop around to ensure you pick a company that is the best fit for you. Terra Suffel, a sales rep in the Greater Toronto Area, moved from Right at Home Realty to Re/Max before settling in at One Percent Realty.

Suffel suggests you question the following when considering a new brokerage:

Marshall offers advice for those pondering a move: “Make a large list of pros and cons. See what the working environment is like in the new office. Look closely and compare the expenses and commission sharing structure at both offices.

Many offices will also give an

2. What’s the culture like? Is there a high turnover rate? Why? (Call around to other agents to get a good picture of the reputation of the brokerage.)

1. What are the fees? What do I get for them?

3. What is the support staff like? A brokerage’s staff is your staff too. Be sure they will represent your business well.

4. Market penetration. Are there just too many agents from the same brokerage in your chosen area? A different brokerage may help you stand out from the crowd.

5. Commission splits. How much of your hard-earned money actually goes into your pocket at the end of the day?

Terra Suffel

•How much office equipment, software, tech support and other tools are provided?

making the change when you are ramping up to your busy season.

If you have a slew of closings on the horizon, consider holding off your move until you are paid.

Keep it uppermost in your mind that no matter which firm you work for, you are ultimately in charge of how successful you are. No broker, no franchise, no firm is the magic bullet. In the majority of cases, you are the one who makes or breaks your real estate career, not where you hang your license.

Suffel shares what she would say to someone contemplating a move: “What do you want?

If you are looking for support and training, I would say a big established brokerage is the way to go. Never stop learning from those around you. Ask questions!

Find out what works and what doesn’t. Your fellow agents are usually happy to help someone starting out. If you’re looking for more independence and lower financial outlay, there are a lot of great new shops on the market.

Real innovators.

• How available will the broker be?

“Personally I was tired of the status quo in the business and was looking for a brokerage that supported my desire to shake things up. Traditional brokerages are just that – traditional – so if you’re looking to do something different, a boutique or innovator brokerage is where it’s at.”

• Is lead distribution offered to agents?

If you can be choosy, pick the ideal time to switch firms. Avoid

Other things to consider include: • What kind of training will you receive?

• What type of mentoring or coaching do they offer?

Glenn Wildenmann

Uta Marshall

Check your contract to see if you can take your current listings with you to a new firm; in most instances, listings belong to the broker, not the sales associate.

In that case, lining up your listings so they expire just as you are about to make the move may be advantageous. Timing is also critical when it comes to deciding when to share the news with colleagues and clients.

One salesperson who asked to remain nameless made an interesting point: “Agents believe the grass will be greener somewhere else but they never consider that they take their greatest obstacle along to the new firm – themselves.”

Before you make the jump to another organization, ask yourself what you want to achieve by switching firms.

What is your goal?

Wildenmann leaves us with some final thoughts: “Ask lots of questions; not only of the agency and the brand, but of yourself.

What’s missing? What’s your purpose for making a switch?

Don’t change for the sake of change. Different is not a reason to change, better is a reason to change.” REM

10 REM MAY 2017

Is the managing broker an endangered species?

B.C.’s Real Estate Council recommendations will launch managing brokers into a smoking cauldron fuelled by low pay and financial liability.

By Marty Douglas

C

ards on the table. I was born in 1945, first licensed in real estate in British Columbia in 1970, qualified in the ’70s as a branch manager, as an agent or nominee as we were then called in the ’80s and I continue to be licensed under the current nomenclature as a managing broker with 70 licensees under my supervision.

So I’ve been around. As the old joke goes, if I’d known I was going to live this long, I would have taken better care of myself.

In early 2016, at the request of the Real Estate Council of B.C., the former Superintendent of Real Estate convened the Independent Advisory Group (IAG) to address matters of concern within the real estate industry. Since June of that year – when the IAG chiselled its recommendations into stone only to have God take a brief look, grab the tablets and shoot the messengers – the real estate industry has been waiting for the high heeled pumps to drop.

The government shortly after accepted all recommendations and is now running with them under the guidance of a new Superintendent of Real Estate and the Real Estate Council (REC).

While the current focus is Recommendation No. 1 – embedding a Code of Ethics in our legislation and No. 2 – eliminating dual agency, managing brokers should be eyeing those few bullet points a little way down the list. Bullets that will, if implemented, launch them into a higher pay grade, sadly without a commensurate increase.

Except in risk. They include: 7 – reviewing and approving Disclosures of Interest in Trade by licensees before a sale is entered into.

9 – retaining all offers received on any transaction and at some future date creating a multiple offer registry accessible to buyers.

10 – deciphering how the application by the REC of “more stringent suitability assessment criteria”

may affect the numbers of prospective licensees.

11 – reporting to the REC all misconduct and receiving misconduct reports from licensees.

16 – facing increased misconduct penalties up to $250,000 per contravention and increased administrative penalties up to $50,000 per contravention.

22 – working under “a maximum ratio of licensees per supervising managing broker”.

24 – even more record keeping requirements.

I feel older just reading the list.

Speaking of age, I’ve been discussing my eventual retirement with my boss and I think 75 is a nice number to work with, ending a career at 50 years. He – my real estate boss – has no idea where his

to like about this career path?

Who cares? Well, the real estate education industry for one. The University of B.C. and the British Columbia Real Estate Association have significant investments in pre-licensing and ongoing education for salespersons and managing brokers. While the industry entry door for sales is broadly paved and banked for high speed, the career path for their supervisors is cobwebbed over, cluttered with warning signs and hampered by doomsayers hovering over a smoking cauldron fuelled by low pay and financial liability.

Who should care? The public – in the person of the new Superintendent and his Real Estate Council.

Why? Demographics. In the

next managing broker is coming from. Although qualified by license, his skill is sales and quite frankly, he couldn’t live his lifestyle on a managing broker’s compensation, as generous as that may be.

But I’m lucky. My management career – award winning in several categories – has mostly been fully salaried. In my opinion, competing with salespeople for listings and sales inevitably creates conflict and impedes recruiting. Many business models offer salaries to managing brokers that force them to sell.

Small offices can’t afford a non-selling manager.

And that’s the other problem – thin margins in the brokerage model. Slim profitability, licensees who can and do leave without notice, escalating costs and the increased financial liability looming from the regulator. What’s not

overall population of B.C., the age group 51 -70 accounts for about 27 per cent of the total. (Males vs. females break down within half a percentage point.) Based on data received from the REC as recently as March 24, 2017, 75 per cent of the managing brokers of B.C. are over 50! And 75 per cent of managing brokers are male. (No wonder women live longer; they get out of the high stress jobs!)

So, we have a comparatively high, older population of managing brokers, aging in place and like the Dead Sea, with relatively little fresh water being added. Not my problem, sales associates say. Or is it?

How many inmates – sorry – salespeople are being supervised by the older cohort? This is where it gets interesting. Sixty-eight per cent of licensees are supervised by managing brokers aged 51 – 70. To

put it another way, when 10 Realtors tour a listing, seven of them can probably outrun their managing broker.

And for a final stat: 10 per cent of all licensees in the province, 2,696 to be precise, have a managing broker over 70. The industry should be recognized for its contribution to employing the elderly, proving there is life after a stint as a Walmart greeter. As proof, 249 licensees are supervised by octogenarians.

So when the other shoe drops and managing brokers assess their circumstances, particularly in light of the number of years remaining where they can purchase reasonable travel insurance and enjoy a second martini, I think there may be an exit of substantial proportion.

The industry is between a rock and a hard place. The government – regardless of political stripe, there will be no relief from the left or right on this issue – is resolute and the superintendent has his marching orders. The Real Estate Council, now all “civilian” but for two members, will be determined to confirm the government’s wisdom in their selection. The press, which took a very narrow sample and painted 24,000 licensees with the same brush, will no doubt be receptive to future headline opportunities.

Managing brokers who are approaching the retirement horizon are in a good position.

Assuming they have made some preparation for their golden years (and like me, they raise a glass to Ottawa and the younger generation in the last week of every month when CPP and OAS enrich their coffers) when the ultimatum for new regulation comes, they can say, “Excuse me but I don’t think so,” and hit the links – or the pickle ball court.

The regulator does have a challenge. Charged with limiting the number of licensees per managing broker and a declining and aging population of suspects, what direction is likely? There are currently around 1,339 managing brokers supervising 24,516 licensees or

roughly 18 licensees per managing broker. But I manage 70 and my competitor manages a similar number. And we know there are a significant number of mega-offices in larger centres with 100 licensees or more. There are about 340 managing brokers who supervise more than one office and there are larger offices with multiple managing brokers. To be fair, there are 1,593 individuals currently licensed as associate brokers, engaged in selling one assumes, who could assume the mantle.) How is that circle to be squared? What is the magic number?

In 1992-93, during my tenure as chair of the Real Estate Council of B.C., a little fuss had been in the public eye involving a real estate licensee, the former premier, a foreign buyer and a bag of cash. The then superintendent fixed us with a piercing eye and asked, “Where was the nominee (managing broker)?”

The knee jerk was a proposal to limit the number of licensees per managing broker to 55. At a subsequent meeting of Vancouver brokerage owners where I introduced the concept, torches, pitchforks and molten tar were wheeled into the room, signalling the crowd’s mood. The idea quickly became an orphan.

That was then.

There’s a new sheriff in town.

And you, my managing broker associate, are on his list.

And by the way, if you think any of this is likely to happen prior to the provincial election in May, reminding 24,000 typically Liberal government supporters of the bus they were recently thrown under, then you my friend, are amazing!

Marty Douglas, the former REM columnist not known as Prince, is a past chair of the Real Estate Council of B.C. and currently sits as a director on the Vancouver Island Real Estate Board. He is the managing broker for Re/Max Ocean Pacific Realty with 70 licensees serving the Comox Valley on REM Vancouver Island.

12 REM MAY 2017

It’s the spring real estate blooper market

By Peggy Blair

W

ell, colleagues, we’re in the busy spring season, which means we’re all rushing around like crazy. The upside of busy-time, of course, is more bloopers for me.

I laughed when I saw this new listing that features “bathroom efficient toilets”. Better that they be efficient in the bathroom than somewhere else, I guess.

I do find that sometimes sales reps struggle a bit to describe efficiency. For example in this listing, the agent focussed on the “prime location – featuring quick highway”. I have mental images of a highway darting in and out of trees.

This house should really have been listed under retail as well as well as residential: “Back store can be sticky, push hard to open.”

Usually hanging a “We’re Open” sign on the front door works pretty well too.

Or how about this listing featuring a “new hot water tan”?

Hmm. I like the idea of an early

Multiple Listings Continued from page 6

searches just once before (November 2013).

“These two properties offer Canadians terrific opportunities to buy real estate and/or live in Florida,” says Hunter Milborne, CEO and founder of Milborne Group. “I’ve researched many Florida projects and was so impressed with The Ritz-Carlton Residences, Sunny Isles Beach…that I purchased a second home there.”

“Florida’s real estate market is definitely familiar to Canadians and the opportunity for Canadians to purchase has never been better,” says Mark Pordes, CEO of Pordes Residential. “Our arrangement with

tan, but I’m a bit worried about the possibility of burns.

I came across this listing today for a basement with a “bathroom rouging”. Now there’s a house that’s really getting itself made up for the buying season.

Usually I see listings that mention there’s hardwood under the carpets, but not this one: “Hardwood flooring on main carpets in the bedrooms and lower level.” I’m not quite sure that a carpet subfloor is much of a selling feature but at least there won’t be any squeaks.

When it comes to selling features, here’s one listing description I absolutely adore: “Fully landscaped property with entertaining deck.” I would love to have an entertaining deck, wouldn’t you? It would sure take the pressure off during all those family barbecues over the summer.

If you don’t have a big family, or perhaps you’re feeling lonely, this listing promises to provide a little company: “Unfinished area has lots of storage selves.” I’d almost be afraid to open the closets, though, on those days when you just want to be alone.

Sometimes it’s not a blooper

so much as the choice of words that slays me. Like this one: “There is an expired in-ground pool on the property.” I am reminded of that famous Monty Python skit about the dead parrot. You know the one: “She’s not dead, she’s resting.” I can see the agent conversation with the buyer now. “Does this pool work?”

“Well, the listing says it’s expired.

But really it’s just pining for the fjords.”

No pining in this laid back listing: “Hand Carved Stoned home on an oversized treed lot.”

Right up there with the stoned patio I came across in more than a few listings. But at least that’s relaxing.

On the opposite side of the spectrum, for those who want more activity, I ran across this listing with an “outdoor ice rink, wadding pool and playground.”

But if you don’t have any kind of pool to relax in, not to worry!

This new listing says you can “Enjoy your morning coffee under the charming front porch.”

Although I can’t imagine how you’d get very comfortable, either crouched down or lying on your back – you might need a bendable

straw and even then, it could get a little messy. Lucky you if you have a wadding pool with enough cotton batting to clean yourself off with.

Personally, I’d forget the charming porch altogether, knowing there’s a house for sale with “custom cabinetry in the stud room.” That sounds like a man cave for everyone! God knows, I want one. (Maybe that’s why the bathroom is getting rouged.)

Perhaps my favourite blooper this month, however, was this one: “Please park on the side of the building.” Now that’s a feat worthy of Spiderman. I’ll bet he’d enjoy a coffee under the porch.

Diana Budway, sales representative with Re/Max Realty Enterprises in Mississauga, Ont., passed along two listing bloopers that caught her eye.

The first was for an upscale modern condominium and urged agents to “bring your fuzziest clients.” Watch out for stairs.

Diana’s second blooper is one I run across in Ottawa all the time: listings that refer to Prince of Whales Drive instead of Prince of Wales. (I’m starting to think it

Milborne is very promising since they can bring their strong Canadian connections to Florida.”

A presence in the Canadian real estate market for over 41 years, Milborne Group has sold more than 700 developments and continues to hold a nearly 20 per cent market share of all new condos sold in the Greater Toronto Area, the company says.

more than 30 years. She has served as president of both the Chilliwack and District Real Estate Board and the B.C. Real Estate Association, as a director of CREA and as a member of the Real Estate Council of B.C. Real Estate Errors and Omissions Insurance Corporation was established in 1988 to provide mandatory errors and omissions insurance to real estate licensees in B.C.

attracted 2,000 real estate professionals from 25 countries, with distinct conferences held for brokers, senior managers and relocation professionals, sales associates, luxury specialists, sales managers, and marketing and technology professionals.

Sessions focused on a wide range of topics impacting the real estate market, including the global economy, changing consumer demographics, evolving technologies and marketing strategies, and home and lifestyle trends.

LeadingRE includes more than 550 independent real estate companies, with over 130,000 sales associates spanning six continents.

Network members generate over 1.2 million transactions annually, the company says.

■ ■ ■

The Board of Directors of the B.C. Real Estate Errors and Omissions Insurance Corporation has elected Liz Tutt as chair of the board.

Tutt is a real estate representative licensed with Re/Max Nyda Realty in Chilliwack and has been active in the real estate industry for

■ ■ ■

CIR Realty of Calgary was presented with The Global Alliance Award for Most Outgoing International Referral Closings at the recent Leading Real Estate Companies of the World (LeadingRE) annual Conference Week in Miami Beach. The event

might just be easier to get Prince Charles to change his title than point out that currently there is no prince of cetaceous creatures, but he’d probably think I was full of beluga.)

A home with its very own mail room, as opposed to stud room, sounds interesting: “Laundry on the mail level.”

And finally, there’s this unintentional gem that has me thinking of Anthony Hopkins in his role as Hannibal Lecter: “Fairly new Muskoka cabinets make this eat-in kitchen a pleasure to cook and raise a family in.”

I think I’ll pass on dropping by for dinner; no fava beans for me.

I’ll be outside being entertained by my deck.

Peggy Blair is a sales representative with Royal LePage Team Realty in Ottawa. A former lawyer, she is the award-winning author of the Inspector Ramirez series published

by Penguin Canada and Simon and Schuster Canada as well as internationally. Her most recent book, Umbrella Man, is now in bookstores. If you come across any real estate bloopers that tickle your funny bone, be sure to send them to her at peggyblair@royallepage.ca. REM ■ ■ ■

The Real Estate Council of Ontario (RECO) recently warned members of the public not to engage in real estate transactions with John Van Dyk, of Chatham, Ont. Neither he nor his company, J. Van Dyk Realty Inc., are registered to trade in real estate.

RECO says Van Dyk was convicted under REBBA 2002 for improper handling of a trust deposit in a real estate transaction. He was fined and placed on probation and on Dec.16, 2015, his registration was terminated and he has not been registered to trade in real estate since then.

Following an investigation RECO laid three charges for allegedly trading in real estate without registration. REM

14 REM MAY 2017

A team built on trust

“Being open, honest and truthful, giving a lot of information, consistency and guidance, that’s our schtick,” says team leader Julie Kinnear. By Susan Doran

T

he members of Keller Williams Neighbourhood Realty’s Julie Kinnear Team in Toronto are happy to sympathize with clients who describe – in great detail – their recent knee surgery or their dog’s challenges around house training. And Kinnear and her team are more than willing to be open about their own personal lives as well.

It’s the key to building trust and rapport and that’s what the team is all about, says leader Kinnear. It appears to be working.

She says the team has a repeat and referral rate approaching 70 per cent.

“I’ve never been shy. Everyone knows everything about me,” she says. “Our whole business is based on client relationships and referrals....about being a trusted advisor and friend. I have a belief system that if I take care of clients, they will take care of me.

Being open, honest and truthful, giving a lot of information, consistency and guidance, that’s our schtick.”

In line with this philosophy, the Julie Kinnear Team chose as their business symbol the Inukshuk – that increasingly pervasive human figure made of piled stones that is central to Inuit culture and represents communication and guidance.

“I am fascinated by it,” says Kinnear, who has a passion for personal improvement. It’s her intention that the Inukshuk symbol sends the message to clients that “we can show you the way.”

At least, that’s for clients who are looking for a kinder, gentler way. “Wham, bam, thank you ma’am is not our style,” says Kinnear.

Think of it like this – if the Julie Kinnear Team was a dating site, it would be one for people

wanting a long-term, committed relationship with someone with similar values.

“I will cut clients’ grass, weed their garden, paint their houses – anything to help,” says Kinnear.

“We’re looking for a high-trust relationship.”

Like the Inukshuk, real estate teams are very much on-trend these days. Kinnear has been in real estate since 1993 but did not start building a team until early in the new millennium, after becoming a cancer survivor and re-thinking her priorities.

Building a team was a way for her to get the help she needed and put some balance in her life.

“Real estate can be a lonely and discouraging business.

Having a team means you can have a life too,” she says.

It took a while to find the right mix of people with similar core values. Kinnear started out by hiring a strong admin, which she knew was essential.

For quite some time now (including a move from another brokerage to Keller Williams several years ago), the other team members have been sales reps Jennifer Palacios, Holly Chandler and Tyler Delaney and licensed admin/sales assistant Claire Hartviksen.

“We are a big deal, a topproducing team, a success for many years,” says Kinnear. “We can create more together than on our own. There is a real benefit from years of working together.”

Kinnear has had numerous relatives in the industry including her mother and grandfather, so from early on she figured she was probably destined for real estate. But along the way, after studying economics at Carleton University for a couple of years, she ran a College Pro painting franchise and later became a general manager.

It was a crash course in business for which she remains grateful, having started her work with College Pro “so young and dumb” in her recollection.

“It was fantastic business experience, a good foundation,” she says. “It taught me how to run a business and set goals.”

Keenly relationship and systems oriented, Kinnear knows how important consistency is to her clients and to keeping the team dynamic running smoothly.

“Every week we have a team meeting,” she says. “It has changed our whole business.”

It may not sound like much, but without making time each week for scheduled meetings, “things would not get done and it would all fall away,” Kinnear says.

The team also volunteers together at least four times yearly, including at food banks and Habitat for Humanity.

“It is part of having good habits,” says Kinnear. A physical fitness buff, she has participated in the Ride to Conquer Cancer for almost a decade.

Each team member has a meaningful role and the members all benefit from the sharing of their extensive experience and knowledge, she says.

Another good habit is regular communication with the client base by various methods, including a long-standing bi-monthly newsletter.

Being on a team makes life easier when a team member is away, she adds, as the others can step in and take care of business.

“It makes clients feel more connected,” says Kinnear.

“We’ll have stuff about our lives and also celebrate clients’

The Julie Kinnear team, from left: Jennifer Palacios, Julie Kinnear, Holly Chandler, Claire Hartviksen and Tyler Delaney. (Photo: Marko Shark)

accomplishments, talk about their babies, their new dogs...”

There are also events for past clients, such as Blue Jays games and regular contests.

All “add value to clients’ lives” and have the benefit of making the Julie Kinnear Team “more referable,” she says.

Some other team “systems” that Kinnear deems keys to success are: • Having a powerful social media and website presence (“We are not just nice guys – we use cutting-edge technology and present listings in the most professional light,” she says); • Having access to an extensive “sub team” of stagers, web designers, inspectors, lawyers and other independently contracted professionals; • Maximizing real estate education and training;

• Having a killer database with as much updated information about clients as possible; and • Maintaining a good balance between personal life and business.

As for Kinnear’s tips for new agents and teams, she cautions against expecting instant success.

“Pick a system. Stick with it and do it consistently. And know that it will take a few years to grow and flourish.”

Also work on constantly improving yourself “through learning and practising positive talk.”

Create strong relationships and remember that the more physically fit you are, the better able you’ll be to handle stress.

“Real estate is like the wild west, full of independent spirits,” says Kinnear, laughing. “Take care of yourself.” REM

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16 REM MAY 2017

Devising your own exit strategy “Here we are with decades of experience and a tremendously loyal clientele. It seemed wrong on all counts to just walk away from all of that,” says Alba DiPlacido, who with Adele Longo decided to devise their own exit strategy. By Kelly Putter

W

hole adult lives are spent building sales careers and the real estate industry is no exception.

That right combination of knowing how to forge relationships, form loyalties, problem solve, structure alliances, shape your reputation, hustle, toil against adversity, drum up new business, stick-to-it and work damned hard requires an almost indescribable finesse. The successful ones have it.

But time marches on and then, in what seems like the blink of an eye, it’s time to retire. Do you just walk away into the sunset? What happens to that book of business you’ve worked so hard to build?

Does it just fall away like a house of cards? And what happens to your sense of purpose and identity, not to mention other important hallmarks such as social interaction and intellectual stimulation?

Alba DiPlacido and her longtime sales partner Adele Longo grappled with these questions.

They were each in their 60s with long successful careers under their belts when they decided the time was right to do something about this phase of life that ultimately

affects all Realtors who stay in the business long enough.

“Here we are with decades of experience and a tremendously loyal clientele. It seemed wrong on all counts to just walk away from all of that,” says DiPlacido, 64, who with 69-year-old Longo, decided to devise their own exit strategy.

With no pension plan, the pair understandably wanted compensation before handing off the business they worked so hard to build. But their succession plan is about much more than just money. Equally important was their desire to leave behind a legacy that showcased their shared professional values.

“We wanted to introduce our clients to someone who treated them with the same high level of personalized service,” says DiPlacido, who works with Royal LePage Your Community Realty in Richmond Hill, Ont. “We prided ourselves on our integrity and hard work. Yes, it’s easy to find a real estate agent, but are you finding one that you have confidence and trust in? The other piece that’s truly important is that it’s hard to walk away from a business that does really well. If

you walk away you get zero.”

Their quest to find suitable replacements began at the start of 2016. They considered eight potential successors and ended up interviewing three, whose business values most aligned with theirs.

Each was asked to prepare and present a reasonable model for a succession plan, showing how the merger should take place. Each presentation was outstanding.

Ironically, DiPlacido and Longo had discussed not selecting agents with Italian backgrounds simply for a change of pace, as both of them have Italian backgrounds.

But in the end, that did not happen as the husband-and-wife team of Frank and Laura Cormaggi, who work out of the same brokerage as DiPlacido and Longo, were selected – thanks in large part to their shared values and personal approach to working with clients.

The transition is expected to take two to three years. The team’s succession formula includes a percentage on the listing side that goes to the Cormaggis, who are responsible for marketing costs and interaction with the sellers.

The buyers for the most part

Frank Cormaggi, Adele Longo, Alba DiPlacido and Laura Cormaggi.

are managed by Frank Cormaggi, who is the buyer specialist. The formula is capped in the first year at a certain dollar value as are the marketing expenses. In the second year, the formula shifts more in the Cormaggis’ favour until DiPlacido and Longo completely leave the business, at which point the formula shifts completely in their favour.

As long as DiPlacido and Longo keep their real estate licenses active, they are entitled to referral fees or what DiPlacido calls a type of pension plan.

True partners who share everything 50-50 and have done so without aid of a written contract, DiPlacido and Longo started what

Casalova offers online buying option for pre-construction condos “We’re the first brokerage and real estate marketplace in Canada to empower buyers to purchase a home online,” says Ray Taaeb, CEO and co-founder of Casalova.

T

oronto brokerage Casalova has teamed up with Dream Maker Developments to offer a digital purchase option for pre-construction condos. Unit sales for the pre-built development opened online on Apr. 3.

“Traditionally when potential buyers look into purchasing a unit before it is built, they have to visit a sales centre, wait hours in line only to find that units have sold out or that the floor plan they wanted is no longer available,” says the company in a news release. “Casalova is removing

this tedious step by making the purchase process completely digital.”

“We’re the first brokerage and real estate marketplace in Canada to empower buyers to purchase a home online,” says Ray Taaeb, CEO and co-founder of Casalova. “Buying a condo, or even looking for a rental unit, is incredibly stressful and time-consuming. We want to remove the legwork and make it as easy as possible to make the purchase.

This feature will give homebuyers the opportunity to research and compare all units without

any pressure before making an informed decision.”

Taaeb says that condos are the perfect place to test-market a “buy-now” option. He says buying a resale may require on-site visits but pre-construction plans and demonstrative technologies make online touring equally as effective as attending in person.

Potential buyers will be able to review the details of each unit online, including the square footage, floor plans and condo features. To purchase a condo, buyers can complete and submit all paperwork online and put down a

deposit using their credit card.

Similarly to in-person purchases, buyers will still have a 10-day cooling off period after the transaction is finalized.

“This digital approach appeals to a huge market of potential buyers and also saves resources that would otherwise be invested in model suites and sales centres,” says Isaac Olowolafe, CEO of Dream Maker Developments. “Developers are always looking for new ways to reach more homebuyers and this offering modernizes how people purchase a pre-construction condo.”

REM

would become a successful and enduring partnership in 1996 after having already established solo careers in real estate. DiPlacido managed a highly successful Royal LePage corporate office for nine years in the Markham/Unionville area, while Longo worked 16 years as a real estate salesperson in Richmond Hill.

The two have become good friends, engaging with each other’s families and friends, being there for each other during times of sorrow and celebration. The partnership works, says DiPlacido, because each recognizes the other’s strengths. Longo is detail oriented and well organized whereas DiPlacido is more the big-picture person -- warm, chatty and intuitive.

“In a good partnership you encourage the other person to work harder,” she says. “We inspire each other to achieve, to go above and beyond. Like yin and yang, we’re cohesive and easy together.”

Since the January announcement of the merger, DiPlacido and Longo have each received a good number of inquiries from other senior real estate professionals interested in the details of their transition. Based on their research when they began this process, information on succession planning for salespeople appears to be in short supply.

“I searched out seminars, looking for expertise,” says DiPlacido.

“We wanted to find a model for what we were doing. There was nothing in the industry I could find. So when the announcement went out, it got a fair bit of interest.”

REM

Congratulations to our 2016 Canadian Award Winners.

European-based premium real estate brand Engel & Völkers honored its top-performing individuals and shops that exemplify the core values of the brand through its 2016 North America Awards Program. Award recipients were announced during the annual Exchange event, hosted at the Fontainebleau Miami Beach Resort.

David Hung, Jamie MacDougall, Engel & Völkers Vancouver Lewis Ratcliff, Axel Ziba, Engel & Völkers Victoria Kim Nichols, Engel & Völkers York

Engel & Völkers Brand Advancement Award (Shop-Level): Engel & Völkers Montréal Engel & Völkers Exclusivity Award: Engel & Völkers Victoria Top Producing Shop (Canada) – Closed Sides Engel & Völkers Vancouver Top Producing Shop (Canada) – Closed GCI Engel & Völkers Vancouver Top Producing Advisors (Canada) – Closed Sides 1. André Parisien, Engel & Völkers Tremblant 2. Martin Rouleau, Engel & Völkers Montréal 3. Michel Naud, Engel & Völkers Tremblant 4. John King, Engel & Völkers Ottawa Central 5. Debby Doktorczyk, Engel & Völkers Montréal 6. Melissa Bradbury, Engel & Völkers Muskoka 7. Jeff Fitzpatrick, Engel & Völkers Vancouver 8. Mark D. Evernden, Engel & Völkers Calgary 9. Jean Parisien, Engel & Völkers Tremblant 10. Katie Burkard, Engel & Völkers Vancouver Top Producing Advisors (Canada) – Closed GCI 1. Martin Rouleau, Engel & Völkers Montréal 2. André Parisien, Engel & Völkers Tremblant T-3. John King, Engel & Völkers Ottawa Central T-3. Gregg Baker, Engel & Völkers Vancouver 4. Khalen Meredith, Engel & Völkers York 5. Jeff Fitzpatrick, Engel & Völkers Vancouver 6. Jamie MacDougall, Engel & Völkers Vancouver 7. Michel Naud, Engel & Völkers Tremblant 8. Mark D. Evernden, Engel & Völkers Calgary 9. Melissa Bradbury, Engel & Völkers Muskoka 10. Kim Nichols, Engel & Völkers York Top Producing Teams (North America) – Closed GCI #2 Binab Group, Engel & Völkers Victoria Oak Bay #3 LeBlanc Piercy Group, Engel & Völkers Victoria #7 The Starnes Group, Engel & Völkers Calgary

Top Producing Teams (North America) – Closed Sides #1 Binab Group, Engel & Völkers Victoria Oak Bay #2 LeBlanc Piercy Group, Engel & Völkers Victoria #5 The Starnes Group, Engel & Völkers Calgary #T-9 Rogers Rutledge, Engel & Völkers Victoria

Elite Club Chairman’s Circle Jason Binab, Sarah Binab, Engel & Völkers Victoria Oak Bay Martin Rouleau, Engel & Völkers Montréal President’s Circle Rachelle Starnes, Engel & Völkers Calgary John King, Engel & Völkers Ottawa Central André Parisien, Engel & Völkers Tremblant Gregg Baker, Engel & Völkers Vancouver Rodney Henderson, James LeBlanc, Scott Piercy, Engel & Völkers Victoria Khalen Meredith, Engel & Völkers York Diamond Mark D. Evernden, Engel & Völkers Calgary Max Hahne, Engel & Völkers Collingwood Sophia Hu, Herman Yuan, Engel & Völkers Markham Debby Doktorczyk, William Gong, Felix Jasmin, Marie-Claude Palassio, Engel & Völkers Montréal Melissa Bradbury, Engel & Völkers Muskoka Brian Danyliw, Engel & Völkers Nanaimo Sean Hummell, Michel Naud, Jean Parisien, Engel & Völkers Tremblant Katie Burkard, Andrew Carros, Greg Carros, Jeff Fitzpatrick,

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Engel & Völkers Canada 2 Bloor Street West, Suite 700 · Toronto · ON M4W 3RI · Phone +1 416-323-1100 evcanada.com · info@evcanada.com

©2017 Engel & Völkers. All rights reserved. This advertisement is not an offering of a franchise, and where required by law, an offering can only be made 14 days after delivery of the applicable franchise disclosure document.

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20 REM MAY 2017

THE GUEST COLUMN

By Mike Cusano

I

f you’ve been in the real estate sector for a few years, you’ve no doubt seen the challenges that new salespeople face when they enter the profession. It’s a complex business and there’s a lot to learn. Even experienced registrants need to keep upto-date with what’s happening in the rapidly changing marketplace.

That’s why education is one of the Real Estate Council of Ontario’s most important responsibilities. It’s our first line of defence to ensure that every broker and salesperson has the skills and knowledge to provide consumers with the guidance they need.

I’d like to tell you about some

Changes for Ontario’s real estate education developments that everyone in our industry should be excited about.

Following a rigorous selection process, RECO has selected the education provider that will build and deliver our New Registration Education Program. Humber College Institute of Technology & Advanced Learning (Humber College) and NIIT Canada have partnered to take on this essential project.

Humber College, one of Canada’s leading post-secondary institutions, will deliver the New Program, while NIIT Canada, a global leader in education development, will cultivate a dynamic range of course material and assessments. Together, they submitted the proposal that best met our criteria.

The New Program will provide many advantages, but I’m particularly excited about new and innovative learning tech-

nologies that will be available to students.

For example, we’ll be introducing real-time virtual classrooms that allow students to interact live with their classmates and their instructor, no matter where they are. Students will also have the option of learning in a traditional classroom setting, or through self-paced e-learning modules.

In addition, the structure of the New Program will be designed to follow the flow of a real estate transaction. During the New Program, simulation sessions will assess how well students understand the content. The end result will be new salespeople who are better prepared to “hit the ground running.”

We’ll keep you informed as we work towards launch in mid-2019.

There will be a smooth transition to the New Program so that existing students won’t be impacted. If

you want to learn more, I invite you to review our detailed fact sheet.

In our fast-changing sector, continuing education for experienced professionals is just as important. It’s now been nearly four years since we launched the new Mandatory Continuing Education (MCE) program, and in that time we have worked diligently to add new courses every year and to make improvements based on registrant feedback.

I am pleased to share that the MCE program continues to receive high approval ratings from registrants. In 2016, 96 per cent of registrants surveyed indicated the content in the course they took was relevant to their real estate practice, while 95 per cent found the content interesting and easy to follow.

This does not mean that it can’t be made even better. In the second half of this year we will be

conducting a comprehensive review of the MCE program.

Taking this fresh look at MCE is an important step in assessing how well we’re meeting the goals we set for continuing education and looking at ways to enhance the program.

These changes in education reflect an evolving marketplace, one where consumers are not only informed, but faced with greater challenges throughout the buying and selling process. As real estate professionals, your wealth of knowledge guides Ontarians through the biggest transactions of their lives. The education you receive at the onset of your careers, and then later throughout, is integral to the success you help bring your clients.

When buyers and sellers have a positive experience with their representative, it enhances the reputation for all of us. I hope you’ll join me in welcoming improvements that will ensure a bright future for our profession.

Mike Cusano is chair of RECO’s Board of Directors, and a broker at Re/Max Escarpment Realty in Hamilton, Ont. REM

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22 REM MAY 2017

What you must know to sell rural real estate

By Yvonne Dick

W

hether you are a new sales rep looking for those first clients or a seasoned seller who wants to make a change, specializing in rural real estate is one way to establish yourself in the industry if you have an affinity for farm life or enjoy matching parcels of land with prospective farmers. For those who have long dreamed of having their own acreage but find themselves short on time to maintain it, selling rural property can be an introduction into what rural life is all about. To specialize in an area of real estate is taking that leap of faith – believing that you can do it and will not be missing out if your focus is on rural homes rather than those in town.

Depending on where you are, doing deals with acreages and farmland can be more lucrative than selling urban houses.

Consider small-town British Columbia, for instance. An hour or more outside of the major centres and suburbs, an older house or new apartment/condo sells for around $250,000. Rural land in the same area sells for $700,000 for a 1901 house and 18 acres of land. In some areas that price goes up to $6.9 million for a 1971 house and 177 acres of lakefront land. To get such high property values inside the city of Penticton you need a luxury house and larger-than-usual lot, and the average high-end price

for residential housing is around $1 million (three listings).

But consider what you will need to know in order to sell rural land. Farmland is used for many different purposes. You can have grazing livestock in pastures, animals around the barn, crops in the field and vineyards in the hills. Knowing which sort of farmland is in demand and most desirable in the area will help you set the right price for a sale.

Ask around and do your research about local crops grown, what sort of livestock does well in your climate and whether farm operations are mainly acreages and hobby farms or commercial crops, ranches or recreational. In Alberta, for example, there are many crops that can be grown and farm use varies greatly depending on the area. As you suspected, it can depend on the soil quality. This doesn’t mean some rural properties have no value. It simply means that knowing where the value lies can help you to sell to the right buyers.

As with urban real estate, you must know what uses are allowed on the land, as well as have a working knowledge of wells, septic systems and local environmental concerns.

Legalities include capital gains exemptions. There is lots of information regarding what land and what sellers may be exempt from capital gains. This can result in

LOOK FAMILIAR?

significant money savings, so be sure to have a copy of the relevant laws available for customers to browse.

You may also want to have information about succession planning, where your seller may want to sell their farmland to family in a way that avoids other nonfamily sales taxes. Provincial regulations vary. For example, in Manitoba the government provides a guidebook for land buyers that includes information about forms of ownership, rights, responsibilities, titles, transfers and more. If your customer wishes to buy farmland and take advantage of federal programs, they will need to ensure they have the right

forms submitted to make the process run smoothly. Alberta has a similar guide. Consider having this information as a value-added service to your rural clients.

Marketing and displaying your listing may be a challenge as well.

Bare land does not lend itself to interesting photographs. If, on the other hand, the property you are selling has a lovely landscape, consider hiring a drone operator or renting a drone if you are comfortable flying one and take a few flyover photos from above to showcase the best features. The house or other buildings on the land should also be photographed equally diligently to provide the best listing.

Acreage and hobby farming land

could be accompanied by a map showing where buildings are to give a sense of scale, as could an empty piece of land. Parcel it by acre on a map and perhaps add a “to scale” building to give an idea of what will work for the property.

While you are conducting deals for a different sort of market than urban properties, selling rural land can be rewarding for many reasons. First is the satisfaction you get from helping people to realize their dream, or as they grow older, leave the farm for something more manageable. Land sales can be a bit more straightforward than other properties. If you enjoy the outdoors, you will be able to get REM out into the countryside.

O ur com plimentary online digital binder helps yourr client track, manage and organize everything g in their home, including contractor a nd warrranty information, maintenance r reminders s, recall notices, and much more!

FREE with every Am meriSpec® home inspection!

www.amerispec.ca Con ntact your local AmeriSpec® office for availability.

THE POWER OF BLUE OWNER PROFI LE NAME:

Stephen Oliver

OCCUPATION:

Broker/Owner, Coldw ell Banker Momentu m Realty ITY: The Nia gara region, with of fices in St. Cathari Fonthill, Ridgeway nes, and Niagara-on-th eL ak e YEAR I ENTERE D REAL ESTATE : 2008 OUR COMMUN

YEAR I BECAM

E A COLDWEL

L BANKER® FR

ANCHISE OWNE

R: 2017 To continually seek to deliver the highes value and services to t real estate profession al s an d th ei r BIGGEST ACCO clients.

MPLISHMENT: Being a husband an d a father. Nothing more rewarding. is GOALS AS A FR

ANCHISE OWNE

INVOLVEMENT

R:

IN ORGANIZED

REAL ESTATE: The networking and opportunities our loca learning l association provides ha ve helped me stay connected with real estate leaders and gi ve back to our indust WHY I CHOSE ry.

THE COLDWEL L BANKER SYST EM: I chose to become an owner based on the extensiv e resources, global re ach and franchisor offered by the Coldw support ell Banker brand.

Building with a collaborative approach.

As the new owner of Coldwell Banker Momentum Realty, I look forward to engaging our sales representatives, administrators and management as we develop new synergies within our operation. Our brokerage was recently recognized as the #1 Coldwell Banker office in Canada in unit sales in our category, and has a strong tradition of professionalism and outstanding service. The ownership transition has gone extraordinarily well, thanks to the support of the teams at Coldwell Banker Momentum Realty and Coldwell Banker Canada. A collaborative approach will help us leverage our position as an award-winning company with four offices serving the Niagara region and achieve continued growth.

Stephen Oliver, Owner / Broker of Record Coldwell Banker Momentum Realty, Brokerage St. Catharines, Ontario © 2017 Coldwell Banker LLC. All rights reserved. Each office is independently owned and operated. Coldwell Banker and the Coldwell Banker logo are registered service marks owned by Coldwell Banker LLC. Each sales representative and broker is responsible for complying with any consumer disclosure laws or regulations, as well as applicable Real Estate Association rules and codes of conduct. The trademarks REALTOR®, REALTORS®, and the REALTOR® logo are controlled by The Canadian Real Estate Association (CREA) and identify real estate professionals who are members of CREA.

To discuss franchising opportunities in Canada: Andy Puthon President Mark Lindsey Regional VP Franchise Sales John Alexander Director, Franchise Sales coldwellbanker.ca/franchising 800-268-9599

24 REM MAY 2017

THE GUEST COLUMN

By Rachel Hammer

O

ntario recently took a step in making agent incorporation available to Realtors in that province.

Rather than wait for agent incorporation to become a reality, however, I made the decision to become an affiliated brokerage under Royal LePage Team Realty this year. When asked why, I gave different reasons depending on whether those asking were clients or fellow Realtors.

Incorporation is about more than just managing my business tax effectively. For me, everything in real estate comes down to people. My teammates and I have a unique opportunity to give

Why agent incorporation is right for me back to those in the community that matter to us, which is one of the reasons we love what we do.

Professionals in our industry rely on representation, respect and building relationships to be able to confidently appreciate the value of real estate. Much of our negotiating power comes from our ability to give our clients the best possible representation; this is a hard thing to promise when one works for one of the largest brokerages in Ottawa and faces multiple representation scenarios as frequently as my team does.

Impartiality is essential when dealing with clients and a Realtor’s ability to place their client’s needs first is impeded when the brokerage’s fiduciary responsibilities are divided between buyers and sellers, or buyers and buyers.

Incorporating our own affiliated brokerage has changed the definition of multiple representation for our clients. We are now no longer

in multiple representation situations with our local Realtors, but rather only those in our affiliated brokerage, which gives us a better opportunity to represent our clients in the negotiation of their purchase and sale.

But the process of incorporation was a long one and filled with many unexpected challenges. The first step was acquiring approval from my brokerage.

Then, in collaboration with the brokerage, we had to open new bank accounts with a financial institution including a trust account, a commission trust account and an expense account under the name of our new affiliated brokerage, Hammer & Associates.

With the help of an accounting firm we went through the steps necessary to create a new business administration, with new accounting software and business number. Then there

were all the little administrative changes that had to be made: a new name meant new business cards and presentation materials.

We designed and ordered new merchandise. We updated our communication templates. It seemed like every time we turned around we found ourselves asking, “Did we send out the new logo?” All those redesigns came with additional costs and, at times, additional headaches.

But the risk was well worth the reward. The moment when I unveiled Hammer & Associates Brokerage was a truly proud one for me as a Realtor, because I knew it embodied my commitment to my clients and the years I have dedicated to this industry – and that was a feeling that I wish for my fellow Realtors. So I have a few pieces of advice for those wishing to incorporate: • Have a good support team.

My incorporation would have

been impossible without the help of my office administrator, my accountant and my lawyer, keeping track of paperwork and monitoring the whole process.

• Ask for help! Don’t be too proud to seek advice from knowledgeable people in the business.

• Embrace the opportunity.

One of the most rewarding parts of my job is enjoying an ongoing dialogue with my client base and the announcement of our name change was a perfect chance to reach out with our marketing.

No matter your reasons for incorporating, it is a gratifying experience to see your own hard work flourish into a business with your own name on it. In fact, it’s a lot like finding your perfect home, which is something we can all relate to.

Rachel Hammer recently incorporated Hammer & Associates Affiliated Brokerage with Royal LePage Team Realty. She has been building her career in real estate for over a decade. She is an appointed board director for the Ottawa Real Estate Board and a volunteer for the Professional Standards and Realtors Care Committees. REM

Bee Co ommercial is the only 100% Canadian-owned, online commercial listing service created specifically for the real estate industry. With a host of leadingedge se earch tools, personalized fields and real-time alerts, Bee Commercial is a truly unique IC&I solution.

Bee all that you can bee: beecommercial.com

Powered by

24 REM MAY 2017

THE GUEST COLUMN

By Rachel Hammer

O

ntario recently took a step in making agent incorporation available to Realtors in that province.

Rather than wait for agent incorporation to become a reality, however, I made the decision to become an affiliated brokerage under Royal LePage Team Realty this year. When asked why, I gave different reasons depending on whether those asking were clients or fellow Realtors.

Incorporation is about more than just managing my business tax effectively. For me, everything in real estate comes down to people. My teammates and I have a unique opportunity to give

Why agent incorporation is right for me back to those in the community that matter to us, which is one of the reasons we love what we do.

Professionals in our industry rely on representation, respect and building relationships to be able to confidently appreciate the value of real estate. Much of our negotiating power comes from our ability to give our clients the best possible representation; this is a hard thing to promise when one works for one of the largest brokerages in Ottawa and faces multiple representation scenarios as frequently as my team does.

Impartiality is essential when dealing with clients and a Realtor’s ability to place their client’s needs first is impeded when the brokerage’s fiduciary responsibilities are divided between buyers and sellers, or buyers and buyers.

Incorporating our own affiliated brokerage has changed the definition of multiple representation for our clients. We are now no longer

in multiple representation situations with our local Realtors, but rather only those in our affiliated brokerage, which gives us a better opportunity to represent our clients in the negotiation of their purchase and sale.

But the process of incorporation was a long one and filled with many unexpected challenges. The first step was acquiring approval from my brokerage.

Then, in collaboration with the brokerage, we had to open new bank accounts with a financial institution including a trust account, a commission trust account and an expense account under the name of our new affiliated brokerage, Hammer & Associates.

With the help of an accounting firm we went through the steps necessary to create a new business administration, with new accounting software and business number. Then there

were all the little administrative changes that had to be made: a new name meant new business cards and presentation materials.

We designed and ordered new merchandise. We updated our communication templates. It seemed like every time we turned around we found ourselves asking, “Did we send out the new logo?” All those redesigns came with additional costs and, at times, additional headaches.

But the risk was well worth the reward. The moment when I unveiled Hammer & Associates Brokerage was a truly proud one for me as a Realtor, because I knew it embodied my commitment to my clients and the years I have dedicated to this industry – and that was a feeling that I wish for my fellow Realtors. So I have a few pieces of advice for those wishing to incorporate: • Have a good support team.

My incorporation would have

been impossible without the help of my office administrator, my accountant and my lawyer, keeping track of paperwork and monitoring the whole process.

• Ask for help! Don’t be too proud to seek advice from knowledgeable people in the business.

• Embrace the opportunity.

One of the most rewarding parts of my job is enjoying an ongoing dialogue with my client base and the announcement of our name change was a perfect chance to reach out with our marketing.

No matter your reasons for incorporating, it is a gratifying experience to see your own hard work flourish into a business with your own name on it. In fact, it’s a lot like finding your perfect home, which is something we can all relate to.

Rachel Hammer recently incorporated Hammer & Associates Affiliated Brokerage with Royal LePage Team Realty. She has been building her career in real estate for over a decade. She is an appointed board director for the Ottawa Real Estate Board and a volunteer for the Professional Standards and Realtors Care Committees. REM

Bee Co ommercial is the only 100% Canadian-owned, online commercial listing service created specifically for the real estate industry. With a host of leadingedge se earch tools, personalized fields and real-time alerts, Bee Commercial is a truly unique IC&I solution.

Bee all that you can bee: beecommercial.com

Powered by

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A profitable and â&#x20AC;&#x153;realâ&#x20AC;? business MUST be based on a solid system. In real estate, that means a system to generate leads, a system to convert those leads, and a system to convert qualified prospects into paying clients (both buyers and sellers). Every successful business in the world, from McDonalds to Google, is

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As revealed in the profiles on this page, creating a highly profitable real estate business is certainly possible, regardless of whether youâ&#x20AC;&#x2122;re a brand new

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Learn How to Make Millions in Real Estate by Watching Free, No Obligation Excerpts of Live Craig Proctor Seminars

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Visit: www.

agent or have been in real estate for years, whether youâ&#x20AC;&#x2122;re a man or a woman, a solo agent or team, whether you live in the U.S. or Canada, and regardless of which franchise youâ&#x20AC;&#x2122;re with. Each of the agents profiled credits the same real estate system as being responsible for their success: The Ultimate Real Estate Success System pioneered by Craig Proctor.

Not only is Proctorâ&#x20AC;&#x2122;s system responsible for more Millionaire Agents than any other real estate system, but Craig Proctor was a highly successful AGENT himself for more than 20 years. No one in Canada has sold more homes than Proctor has, and by sharing the system he used to achieve his own success, heâ&#x20AC;&#x2122;s been able to help over 30,000 agents worldwide to transform their real estate jobs into highly lucrative real estate businesses that donâ&#x20AC;&#x2122;t come at the expense of high lifestyle costs.

This is the same system Proctor used himself in his own highly successful real estate career right here in Canada. As you may know, he was twice named the #1 RE/MAX agent in the world and was in the top 10 for RE/MAX International for 15 years. In fact, for 6 years straight, no one listed or sold more homes in the Greater Toronto Area than Proctor did.

(Source: TREB Statistics) If you do not have a clear, detailed business system (key word, system) that you are using to move methodically to your goalsâ&#x20AC;Śa plan you could show a banker or investor or new partner or key associateâ&#x20AC;Śa plan you have reasoned, complete confidence in, then why wouldnâ&#x20AC;&#x2122;t you examine Proctorâ&#x20AC;&#x2122;s Ultimate Real Estate Success System â&#x20AC;&#x201C; free?

For a limited time, you can watch FREE Training Videos by Millionaire Agent-Maker, Craig Proctor. Be a fly on the wall as Craig shares the real estate strategies that not only made him one of the most successful agents of all time, but have also been responsible for creating more Millionaire Agents than any other coach or trainer in the industry. co These videos are actual excerpts Th from seminars conducted by fr Craig Proctor himself that agents pay to attend, and you can watch them for free with no obligation at: TheProctorProgram.com

RESTORING HOPE. REBUILDING

LIVES.

SHELTER FOUNDATION Royal LePage is proudly helping Canadians build healthier relationships and create safer communities.

Over

24 MILLION

$

Royal LePage

Our brokers, agents and staff have raised more than $24 million for the Royal LePage Shelter Foundation, helping their communities grow stronger. Royal LePage covers the foundation’s administrative costs, with 100% of the proceeds going to support local women’s shelters and domestic violence prevention programs.

Join us at the 9th annual National Garage Sale for Shelter on Saturday, May 13, 2017, held at Royal LePage offices from coast-to-coast.

Help end domestic violence in Canada. royallepage.ca/shelter

#garagesale4shelter

This is not intended as a solicitation of any sales representatives or brokers that are currently under contract. All offices are independently owned and operated, except those marked as “Royal LePage Real Estate Services Ltd.”, “Royal LePage West Real Estate Services” and “Royal LePage Sussex”. Any copying, reproduction, distribution or other use of these materials is prohibited. ©2017 Brookfield Real Estate Services Manager Limited. All rights reserved.

RESTORING HOPE. REBUILDING

LIVES.

SHELTER FOUNDATION Royal LePage is proudly helping Canadians build healthier relationships and create safer communities.

Over

24 MILLION

$

Royal LePage

Our brokers, agents and staff have raised more than $24 million for the Royal LePage Shelter Foundation, helping their communities grow stronger. Royal LePage covers the foundation’s administrative costs, with 100% of the proceeds going to support local women’s shelters and domestic violence prevention programs.

Join us at the 9th annual National Garage Sale for Shelter on Saturday, May 13, 2017, held at Royal LePage offices from coast-to-coast.

Help end domestic violence in Canada. royallepage.ca/shelter

#garagesale4shelter

This is not intended as a solicitation of any sales representatives or brokers that are currently under contract. All offices are independently owned and operated, except those marked as “Royal LePage Real Estate Services Ltd.”, “Royal LePage West Real Estate Services” and “Royal LePage Sussex”. Any copying, reproduction, distribution or other use of these materials is prohibited. ©2017 Brookfield Real Estate Services Manager Limited. All rights reserved.

28 REM MAY 2017

Bidding war buyer’s remorse

By Mark Weisleder

A

major issue arising in bidding wars is when a buyer regrets their purchase decision almost immediately afterwards. Or worse, when their lender appraisal says that they paid too much and will not lend the buyer enough to close the deal. Here are five lessons to learn about the consequences of a buyer’s remorse in these situations.

1. Can the buyer simply refuse to pay the deposit, if it has not yet been paid?

In many bidding wars, this is not possible, as sellers are demanding certified cheques or bank drafts to accompany any offer. However, even if a buyer can either stop payment on an

uncertified cheque or refuse to pay the deposit, they are still liable for damages. They can be sued by a seller for the difference in price if the seller subsequently sells for less money. In addition, even if the seller subsequently sells for more money, the buyer can be sued for the amount of the deposit that they failed to deliver.

2. Should a buyer agent approach the listing agent for a mutual release immediately?

Be very careful about this. If a buyer agent communicates that the buyer cannot close, then the seller could take the legal position and declare that the buyer has committed an anticipatory breach of contract. This would permit the seller to treat the contract as terminated by breach, and proceed to sue the seller for the items listed above. It is best for these negotiations to be carried out by lawyers, to make sure that the parties’ legal position is protected at all times, if a

settlement is being negotiated.

3. Is there a legal solution to this?

If there is sufficient time before closing, a buyer is permitted to assign their contract to a new buyer, who could take over their position and close with the seller. This is because unlike a contract with a builder, there is nothing preventing a buyer from assigning a re-sale agreement before closing. A buyer must understand that if they are asking their own agent to “sell” the property for them, they will have to pay real estate commission as well. Therefore, a buyer would have to assign their agreement for a price that is equal to the price they paid plus commission, just to break even.

4. Does a seller have to agree to this assignment?

In most cases the answer is no, unless the original offer contained a seller take-back mortgage. However, in practice, many lenders will not recognize

the new buyer unless there is an amendment done to the original agreement to change the buyer name to the new buyer. This will require the consent of the seller.

In my opinion, this is unfortunate as lawyers routinely change how a buyer can take title by providing a direction to this effect on closing. Sellers should consent to this anyway, as long as the original buyer remains liable if the new buyer cannot close the agreement for any reason.

5. Can the buyer list the assignment onto the MLS system?

Theoretically, a buyer could list the property on an MLS system because they have a right in the contract that they can sell.

However, most real estate board rules require that to list a property on their system, you must be able to show the property and without the seller’s agreement, this will not be possible.

I had a situation where the

buyer could not close after winning a bidding war. I negotiated with the seller’s lawyer to permit the buyer to put the property back onto the MLS system and the seller would permit showings. It was also agreed that the buyer could not make any profit on this re-sale and that they could only recover their extra commission cost. The benefit to the seller was that their deal closed and the parties were able to save themselves from very expensive legal proceedings.

Anyone can close a simple real estate deal. When it comes to choosing or recommending a real estate lawyer, make sure you have one that can solve problems that can arise as well.

Mark Weisleder is a partner, author and speaker at the law firm Real Estate Lawyers.ca LLP. Contact him at Mark@RealEstateLawyers.ca or call toll free at 1-888- 876-5529 REM

REM MAY 2017 29

Real estate bidding wars are now the new norm in the overheated Toronto and Vancouver property markets. Sales can end up hundreds of thousands of dollars above asking prices.

It’s a bonanza for sellers, with head-spinning multiple offers giving them a tidy sum of extra cash. For buyers, the process of finding a home is frenzied and emotional. If you are the REALTOR® caught in the middle, you may need an unbiased independent opinion to ensure that all involved have the information and research they need to make the best decision possible.

Market volatility is a concern for the Appraisal Institute of Canada (AIC) which is why the organization is encouraging REALTORS ® to engage professional appraisers to get unbiased, independent opinions of property values to help them advise their clients.

“The more information you have in your hand, the better off you’re going to be,” says Keith Lancastle, chief executive officer of AIC, a self-regulating organization that has more than 5,000 members across Canada with Accredited Appraiser Canadian Institute (AACI) and Canadian Residential Appraiser (CRA) designations. “It’s prudent to help your clients make one of the most important investments in their lifetime with both eyes open.”

AIC members perform

approximately 1 million residential appraisals in Canada of properties worth a total of more than $500 billion, and this amount is increasing every year. The majority of residential appraisals are completed for lenders for the purpose of mortgage financing. The lender wants to ensure the value of the collateral and that the Loan–to-Value ratio meets their guidelines. Mr. Lancastle says. “If your client buys a piece of property that is higher than the appraised value, it is important to remember that the lender will not underwrite the loan on that emotion.”

Dan Brewer, AACI, P.App president of AIC and a senior appraiser at Appraisers Canada Inc. in booming York Region north of Toronto, says that under guidelines set out by the Office of the Superintendent of Financial Institutions, on-site appraisals are required to ensure that buyers do not borrow an amount larger than a property’s value.

“You can’t finance your dreams,” Mr. Brewer comments, noting that much of the escalation in homes price in Toronto and Vancouver comes from a lack of inventory, time pressures and the fact that buyers and sellers are often “making decisions without knowing all the facts.”

Bidding wars skew market values, and those who pay “out of whack” prices should be prepared to “pull a lot of money out of their jeans” and to consider whether they can recover that amount if they sell, he notes.

“Cost is not synonymous with value.”

AIC-designated appraisers

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undertake comprehensive curriculum, experience and examination requirements and are experts in estimating the value of a property; real estate agents are experts in selling and purchasing property and home inspectors determine a property’s structural integrity, Mr. Brewer explains.

An appraisal report helps property owners better understand a market’s sales and listing history, the exposure time to sell a property, supply and demand for similar properties, structural charac-

teristics, assessment data, title restrictions, zoning and land-use controls.

“You’re interpreting the marketplace,” says Mr. Brewer, noting that qualified appraisers “are an integral part of the process,” helping homeowners do everything from understanding their equity positions to evaluating the value of particular upgrades they opt for. “We quantify those things, we monitor them, we measure them, we give guidance and direction.”

Mr. Lancastle says that in a larger sense, appraisals ensure that there are true values in the marketplace. “We are protecting everyone involved in the real estate transaction including the REALTOR®, the financial system and Canadian consumers.”

He adds that AIC members also do appraisals for purposes such as estate planning, property tax assessments, mortgage refinancing and to help homeowners plan for and follow up after renovations.

The Appraisal Institute of Canada (AIC) is a leading real property valuation association with over 5,200 members across Canada.

Established in 1938, the AIC works collaboratively with its 10 provincial affiliated associations to grant the distinguished Accredited Appraiser Canadian Institute (AACI) and Canadian Residential Appraiser (CRA) designations. AIC Designated Members are highly qualified, respected professionals who undertake comprehensive curriculum, experience and examination requirements. Our members provide unbiased appraisal, appraisal review, consulting, reserve fund studies and machinery and equipment valuation.

30 REM MAY 2017

Re/Max Ocean Pacific Realty in Comox.

All six members received the awards for their dedication to the Realtors Care philosophy and principles, demonstrated by their volunteerism and community service.

VIREB will donate $500 to each recipient’s chosen charity.

Laura-Leah Shaw honoured with Realtors Care Award

Rob Grey named VIREB’s Realtor of the Year

The Canadian Realtors Care Foundation has named Laura-Leah Shaw of Vancouver the recipient of its national award.

Shaw, of Re/Max Crest Realty Westside, was selected because of the multitude of charities and activist organizations she actively supports. From supporting homeless shelters and spearheading animal rights’ groups, to dropping off items at city food banks and being the longest-serving volunteer of the Realtors Care Blanket Drive, Shaw fully devotes herself to helping others, says the foundation.

For more than 15 years, Shaw has been collecting healthy food options for the Lookout Society, an emergency aid organization helping Vancouver’s most vulnerable. Last year she delivered more than 2,500 boxes of food – as well as furniture, clothes and appliances – to the Lookout Society and similar organizations in the city’s poorest neighbourhoods.

She was also the first Realtor to join the HomeStart Foundation more than 11 years ago.

She is president of the AntiVivisection Society of British Columbia, advocating for an end to animal testing, and has been volunteering with the Vancouver Humane Society for 12 years.

“Laura-Leah is a relentless force for good in her community,” says Ralph Fyfe, chair of the Canadian Realtors Care Foundation. “Her noble commitment to helping others and working towards creating a cruelty-free world is truly inspiring.”

In recognition of the award, the foundation will donate $5,000 to Animal Justice Canada – a registered non-profit animal law organization close to Shaw’s heart.

The 2017 award was sponsored

by REM.

The Vancouver Island Real Estate Board (VIREB) has named Rob Grey VIREB’s 2016 Realtor of the Year. Grey received the award at a special gala held in Nanaimo.

The award is presented “to an individual whose dedication to excellence has had a profound influence on the professional image of VIREB Realtors and who has made significant contributions to the real estate industry,” says the board in a news release.

Licensed for over 25 years, Grey “displays strong personal and professional principles in his dayto-day business activities. He offers reputable business conduct and provides excellent service, always striving to enhance relationships with current and future clients,” says the board.

One of his most significant accomplishments is the Real Estate Energy Efficiency Program (REEP). The brainchild behind this innovative educational program, Grey has devoted countless volunteer hours to planning and promoting REEP on Vancouver Island, the board says. He also works with Vancouver Island University (VIU).

“Rob is a consummate professional, continuously seeking opportunities to enhance his knowledge of the industry and assist others on their journey,” says VIREB EO Bill Benoit. “He is a very deserving recipient of such a prestigious award.

Six members of the board received 2016 Realtors Care Awards. They were Deanna Collins of Royal LePage Advance Realty in Campbell River, Per Dahlstrom of One Percent Realty in Duncan, Chris Fenton of Royal LePage Port Alberni Realty in Port Alberni, Larry McNabb of Re/Max of Nanaimo, Rudi Widdershoven of Re/Max First Realty in Parksville and Ryan Williams of

Tanya Grainger receives community award Tanya Grainger, a sales rep with Sutton Group - Muskoka Realty in Huntsville, Ont. was recently presented with the Bob Palmer award. Each year, residents of the Dwight region honour an individual who demonstrates exceptional community spirit and dedication.

Jamie Lockwood, broker/owner at Sutton Group - Muskoka Realty, says, “Tanya earned the Ontario Junior Citizen award at an early age and hasn’t looked back. She has helped fundraise for children with special needs, taught Sunday school and served on several local

boards. She is currently a Pathfinder leader, the manager of the Dwight Farmers Market and still holds the position of the chair for HOLD, a non-profit group that organizes fundraisers and special events to better the towns of Hillside, Oxtongue Lake and Dwight.”

Trevor Docherty, broker of record/owner, adds that what makes the award special is that it is voted on by the community members.

Regina’s Gord Archibald receives AEN Award of Excellence Gord Archibald, CEO of The Association of Regina Realtors, (ARR) was awarded CREA’s 2017 Association Executives Network (AEN) Award of Excellence at the association’s Annual General Meeting in Ottawa recently.

In June, Archibald will celebrate his 24th year as the ARR’s CEO.

Avison Young a six-time award winner Avison Young has been named one of Canada’s Best Managed Companies for the sixth consecutive year. The Toronto-based company also attained Gold Standard status for excellence in business performance for the third straight year, while competing against some of the nation’s top firms in all business sectors.

Sponsored by Deloitte, CIBC, Canadian Business, Smith School of Business and MacKay CEO Forums, the 2017 Best Managed program recognizes the best-inclass of Canadian-owned and managed companies with revenues greater than $15 million demonstrating strategy, capability and commitment to achieve sustainable growth.

During the past eight years, Avison Young has grown from 11 to 79 offices and from 300 to more than 2,400 real estate professionals in Canada, the U.S., Mexico and Europe. REM VIREB’s award winners, front row, from left: Ryan Williams, Larry McNabb and Deanna Collins.

Back row: Chris Fenton, Rob Grey, Rudi Widdershoven and Per Dahlstrom.

(Photo: Artez Photography)

Rob Grey

The Ontario Realtors Care Foundation recently presented the Ontario Realtors Care Foundation Spirit Award to the Sarnia Lambton Real Estate Board (SLREB) “for its contribution to the success of the foundation and organized real estate in Ontario.” From left: Steve Park, SLREB president; Krista Del Gatto, EO, Ontario Realtors Care Foundation; and Dave Burk, EO, SLREB.

Ralph Fyfe, chair of the Canadian Realtors Care Foundation, and Amanda Rock, centre, REM’s director of advertising and marketing, present the award to LauraLeah Shaw.

CREA CEO Gary Simonsen, left, presents Gord Archibald with the award.

http://www.homeownership.ca

SHOW THEM THEY CAN The journey to Homeownership is filled with excitement, challenges and choices. Homeownership.ca has expert resources, tools and fresh content for each step of that journey, for you to use, download and share.

House Hunting Checklist An indispensable tool for the homebuying journey!

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32 REM MAY 2017

How to be a branded rock star

By Robin Wilding

Y

our branding is critical because it will be your first – and possibly last – impression with someone. That makes branding a critical part of your marketing strategy. And it needs to be powerful.

Branding can seem like a daunting process but this one-time effort may be easier than you think. The (relatively) simple elements involve defining your “special sauce”, creating a logo, slogan and elevator pitch and applying it to your marketing. To help break these steps down even further let’s look at each one in turn.

1. Picking your special sauce: Your special sauce is what makes you you and what makes you

unique. This can include things like (but not limited to): • Your local knowledge (for example with specific neighbourhoods) • What you do differently • Your specific marketing plan • Your ideal client type • Your ideal market • Your life stage • Market specialty • Hobbies/causes/lifestyle (for example a technology geek, a holistic agent, design oriented, local hockey coach, outdoorsy) Let’s say you are an agent who is largely outdoors focused in your personal life and who works professionally with a lot of outdoorsy types (like parks workers). You would ideally want your branding to reflect that.

2. Creating a logo and slogan: Now that you have your unique identity and value proposition as an agent, that needs to be turned into a logo, slogan and short elevator pitch.

The logo can be elaborate or

simple, depending on your own personal style and budget (or graphic-design skills). But you will want it to reflect the concept that you’ve come up with. You can test out your graphic design skills, but if you find out that you’re a real estate professional and not a designer, you have options. You can have a logo designed by a freelancer (fiverr.com is a great low-cost option, or 99designs.ca/pricing, where you can get a logo for $400+) or hire a professional design company (which can cost from hundreds to thousands of dollars).

To continue with the “outdoorsy agent” example, perhaps you would want something with a log cabin-style house, a house with a tree or leaf or something that signifies homes and the outdoors.

Next you’ll need to create your slogan. Ideally you want to keep it short. This is not only because you’ll have limited space for your marketing and design materials but also to keep it easy to remember. It should absolutely be no more than

once sentence, but ideally less than six words. For example, “Real Estate: The Natural Way”, or “Real Estate, Naturally”.

Lastly you’ll want to create a quick, single-paragraph (or less) elevator pitch. This should convey your brand, but unlike the slogan elaborate on the initial concept.

For example, the elevator pitch for “Real Estate, Naturally” could be something like this: “Real Estate, Naturally…where nature meets home. The natural real estate process that I ensure for my clients is infused with the serenity and happiness – but also fierceness – of nature.”

3. Work it: The final step is to take your new branding and apply it to all of your existing and upcoming online and offline marketing materials. This includes: • Facebook and other social media profiles • Email signature • Website • Signage • Swag

• Mailouts • Business cards • Brochures • Listing presentations (print or electronic) • Ads While all of the above sounds daunting and expensive, if you’re limited in your time and budget you can do it piece by piece. Keep in mind that once you have a concept and design, having individual materials created to your branding is an easy process. It can often be done yourself by using software and your logo and colour scheme.

Robin Wilding is the creative mind behind Real Estate Websites Canada (http://real-estate-websites.ca), a boutique real estate online marketing company hyper-focused on lead generation. She also runs the Facebook Group, “Canadian Realtor Tech & Marketing”, an ad-free group that has some great tips for sales reps and a forum to discuss things that have (and haven’t) worked for them. https://www.facebook.com/groups/5 60248634136535/ REM

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34 REM MAY 2017

Singapore shophouses: The original live/work units

Twenty-first century developers are not the first to envision purpose-built live/work units.

Story and photo by Diane Slawych

T

wenty-first century developers are not the first to envision purpose-built live/work units.

In the 1800s, Singapore had its own version, called the shophouse, typically a two or three storey building owned by one family who would operate a business on the ground floor and live on the upper levels.

Today, Singapore is a modern city-state with gleaming skyscrapers, yet plenty of examples of its traditional architecture remain.

Shophouses, many of them colourfully painted, can still be found in various ethnic enclaves such as Little India, Chinatown and Kampong Glam (Arab Quarter).

Some have been renovated and converted to other uses such as the nine formerly rundown shophouses in Kampong Glam that have been turned into a 64 room award-winning boutique hotel called The Sultan. Elsewhere, at Boat Quay along the Singapore River, a row of restored shophouses are now home to upscale restaurants, bars and shops.

For a trip back in time, there’s nothing like a visit to the museum in the Chinatown Heritage Centre

roudly Canadian

(itself made up of three beautifully restored shophouses), which has recreated the original interiors of its shophouse tenants from the 1950s. They’re furnished with a collection of household and personal items, some of which were donated by the former residents themselves.

Traditional Chinatown shophouses were built between 1840 and 1960. They have narrow frontages 13 to 20 feet wide and 39 to 59 feet deep, and are characterized by a gabled roof and shuttered windows. Some also have elaborate exterior ornamentation.

Shophouses were commonly built in blocks of four to 16 units and a common feature was known as the five-foot way – a covered walkway that offered protection from heavy rain or hot sun. It was a place where children played and adults socialized, and where hawkers and traders plied their wares.

The Heritage Centre tells the story of Chinese immigrants who began arriving in Singapore in large numbers in the late 1800s in search of jobs and a better future.

The personal stories and struggles of former tenants of 50 Pagoda St. — including the tailor and his

apprentices, the Samsui women, and the coolies — are illustrated in vivid detail.

Often the shop would double as sleeping quarters for workers at night. On the floors above, where people lived, conditions were cramped, dark and noisy, something that is authentically recreated here. Living quarters were subdivided into seven or eight small cubicles – measuring about eight by eight feet - and rented to tenants who shared kitchens and bathrooms. With such limited living space, it’s not surprising that arguments frequently erupted.

Each cubicle could house up to six people, resulting in some 40 people on one floor. Cubicles located away from the windows were called dark rooms and were the cheapest to rent. Some cubicles were also used for conducting business.

A common sight in old Singapore were the celibate maids — women who took a vow of celibacy so they “could commit to serving their master.” The recreated majies cubicle shows how they would have lived.

The 1950s shophouse was a maze of activities, full of noise and

Shophouses (as they are today) in Singapore’s Little India in the early morning before the bustle of the day.

colour. One important architectural feature was the airwell, which let sunlight into the dark interior. As all three levels are connected via the airwell, occupants would often use this area for socializing.

But there were major problems — overcrowding, poverty, poor hygiene and sanitation. For two decades beginning in the 1960s, entire blocks of shophouses were demolished and tall buildings and multi storey complexes took their place to accommodate

the growing population.

By the mid 1980s almost all of the residents, hawkers and businesses had been relocated to improved premises. In 1989, Chinatown was gazetted as a conservation area and is now enjoying a revival.

Singapore has radically changed over the years, but fortunately, the Chinatown Heritage Centre and other areas still offer an intriguing glimpse into its past.

REM

REM MAY 2017 35

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$

Comparable

Purchased Date: 01-03-2017

Subject Property Property Address: 1

02-08-2015

Municipality:

Roll Number:

1 021 9 91

Postal Code:

L

Province:

ON

Real Time Market Value (AVM): AVM Valuation Date (dd/mm/yyyy):

$ ,000 01-0 -201

Confidence Rating: AVM Range:

$ 2,000 - $ 72,000

Comparable Information

Roll Number

!

!

!

Sale Price

Not Applicable

$ ,000

$ 65,000

$ 9,000

Sale Date

Not Applicable

01- -201"

01- -201"

01-0 -201

Address

35

36

2

Municipality

Province

ON

ON

ON

ON

Postal Code

L

Property Style

Year Built

2004

2007

2002

2008

Bedrooms

3

3

4

3

Full Bathrooms

2

2

2

2

Half Bathrooms

1

1

1

1

Frontage

23.62 ft

23.62 ft

24.52 ft

23.79 ft

# %&

118.00 ft

118.00 ft

118.00 ft

118.00 ft

Site Area

2,789.75 F

2,326.58 F

2,772.62 F

2,747.70 F

Total Floor Area

1,856.00 sq ft

1,844.00 sq ft

1,964.00 sq ft

1,856.00 sq ft

valuation date.

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36 REM MAY 2017

T

he British Columbia Real Estate Association (BCREA) has elected Nanaimo Realtor Jim Stewart as its 2017-2018 president.

Stewart is with 460 Realty in Nanaimo and has been licensed for more than 24 years. He was president of the Vancouver Island Real Estate Board (VIREB) in 2011 and has served for many years as a volunteer at both VIREB and BCREA. Joining Stewart as officers of the association are president-elect James Palanio of Chamberlain Property Group in Penticton, past president Deanna Horn of Re/Max Treeland Realty in Langley and CEO Robert Laing.

New Realtor directors Ray Harris of Port Coquitlam, Kyle Hislop of Chilliwack, Cory Raven of Vancouver and Michael Trites of Surrey, as well as new public

Jim Stewart

director Mark Sakai have joined the board. Returning Realtor directors include Brenda Jackman of Victoria and Gisela Janzen of 100 Mile House. Public director Diane Dou is also returning.

BCREA is the professional association for more than 22,000 Realtors in B.C. ■ ■ ■

Jesus Machado will lead the Greater Moncton Realtors du Grand Moncton (GMRGM) after he was elected president at the board’s AGM recently in Dieppe, N.B. GMRGM includes more than 270 licensed real estate professionals and 50 affiliate service subscribers.

“We are committed to upholding our mission and will continue to bring innovative solutions to our membership to allow them to

Jill Oudil

provide professional service to their customers,” says Machado.

He says the new Board of Directors “will continue to be committed to participating in the necessary education of government officials at all levels on how important it is for Canadians to have a sound regulatory environment that supports property ownership.”

The organization has announced its support for three local causes in 2017 – the Atlantic Wellness Community Centre, Teen Challenge Atlantic and the Humanity Project.

GMRGM has also announced its plan to roll out a new consumer website, which will include all of the Greater Moncton MLS system listings, in April.

Other members of the new Board of Directors are first vice president Stuart Lyons, second vice president Marco Dibonaventura, secretary treasurer Miranda Burnett, directors Joanne Caissie, Tracey Mullin and Devon Ramsay, past president Trent Wilkins and EO Kerry Rakuson.

■ ■ ■

Ontario Realtors are one step closer to being able to form personal real estate corporations (PRECs) under Bill 104, the Tax Fairness for

Realtors Act, 2017. The bill passed second reading on March 23, which means it is moving onto the final stage of debate before a final vote determines if it becomes law.

The Ontario Real Estate Association (OREA) launched a campaign encouraging MPPs to support the Tax Fairness for Realtors Act via its website R e a l t o r Ta x F a i r n e s s . c a .

A technicality in the Real Estate Business Brokers Act, 2002 currently prevents Realtors from forming PRECs. Other regulated professions in Ontario, including accountants, lawyers, health professionals, social workers, mortgage brokers, insurance agents, architects and engineers, can all form personal corporations. British Columbia, Quebec, Manitoba, Saskatchewan, Alberta and Nova Scotia have moved to allow real estate salespeople to incorporate.

■ ■ ■

The Real Estate Board of Greater Vancouver (REBGV) has introduced Jill Oudil as its 2017/2018 president. Oudil replaces outgoing president Dan Morrison. The board has more than 13,500 salespeople and brokers across Metro Vancouver.

Oudil has been a Realtor

since 1992. She works at Coldwell Banker Westburn Realty in Burnaby and has served on REBGV’s Board of Directors for five years.

The 2017-2018 REBGV Board of Directors also includes: Phil Moore, president-elect, Re/Max Central; Keith Liedtke, vice president, Re/Max Westcoast; Dan Morrison, past president, Royal LePage Sussex; and directors Taylor Biggar, Re/Max Westcoast; Barb Burrows, Macdonald Commercial Real Estate Services; Doug Dang, Amex Broadway West Realty; Lynn Dequanne, Re/Max Central; Logan Eskesen, Keller Williams Elite; Colette Gerber, Sutton Group - West Coast Realty; Wendy Hunter, Sutton Group West Coast Realty; Leslie McDonnell, Re/Max Select Properties; Lisa Morris, Re/Max Masters Realty; Jennifer Quart, Re/Max Westcoast; Ashley Smith, Royal LePage Sussex - Klein Group; and Deborah Spicer, Sutton Group - West Coast Realty.

Advisors to the Board of Directors are Catherine Boivie and Brian Friedrich.

■ ■ ■

Continued on page 38

Daniel Dagenais

The 2017 VIREB Board of Directors – back row from left: Sandy Rantz, Kaye Broens, Lovina Miller, Marty Douglas, Kevin Reid, Mark Clark and Erika Haley. Front row, from left: Margo Hoffman, Janice Stromar, Don McClintock and Bill Benoit, EO. (Photo: Artez Photography)

Jesus Machado

Tanis Read

Bill Madder Nicole Malinowski and Gord Archibald

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38 REM MAY 2017

Boards and Associations Continued from page 36

The Quebec Federation of Real Estate Boards (QFREB) says it welcomes the tax provisions announced by provincial Minister of Finance Carlos Leitão in regard to housing in the recent budget, but “would have preferred seeing more tangible measures to promote home ownership.” The federation is calling for the abolition of real estate transfer taxes, commonly called the “welcome tax”, for firsttime homebuyers in Quebec.

“Concrete measures are needed in real estate given the fact that Quebec consumers are facing major mortgage tightening measures introduced by the federal government in recent years. Home ownership is more and more difficult for young families looking forward to building a family nest of their own,” says Patrick Juanéda, president of the QFREB. The federation says it welcomes the introduction of the new tax credit for residential wastewater treatment systems, which will give homeowners up to $5,500 per taxpayer who must undertake repairs to their septic system.

“Although the amount awarded is small compared to the huge cost that homeowners must assume for the work, the QFREB recognizes the government’s desire to lighten their financial burden,” it says.

The QFREB also welcomes the government’s decision to maintain the RénoVert tax credit for renovations, as well as the announcement that 3,000 new social housing units are to be built.

“The QFREB would have liked to see the Québec government adopt measures to reduce the tax burden for first-time homebuyers,

as did his Ontario counterpart last fall,” says the federation. “A transfer tax exemption for Quebec firsttime homebuyers, mostly young families, would also have helped to bridge the historical gap in Quebec’s homeownership rate compared to other Canadian provinces (61 per cent compared to over 70 per cent for the rest of Canada).

Furthermore, the transfer tax brackets have not been adjusted since 1992, while the price of residential properties has nearly tripled during the same period.

“The QFREB proposes that the taxation brackets used for calculating transfer taxes be modernized to reflect the current structure of the real estate market.”

■ ■ ■

The Association of Saskatchewan Realtors (ASR) grades the new provincial budget a net positive, saying it shows courage in taking difficult measures to tackle the deficit and imagination in shifting toward a tax system that favours growth.

The association says a balanced budget and lower income taxes are “vital principles” that will pay off despite short term upset.

“Growth must remain our goal in Saskatchewan,” says Bill Madder, CEO of ASR. “Ending the deficit and leaving people with more of their earnings will keep the window open to growth.

“They are the right moves for our future.”

He says his association had four goals for the provincial budget and three of them have been achieved: • Focusing on growth, not subsidy • Using broad-based taxes to

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share the load widely • Targeting any tax hikes to consumption while offsetting them with cuts in income tax.

“We hoped for a sunset clause on the tax hike. Still, continuing to cut income taxes is highly positive and will give us a better result for the economy. We strongly encourage the government to stay on track with the shift away from taxing people’s income,” he says.

The ASR says Realtors are relieved the government chose to avoid a new tax on land transfers, “because taxes on assets destroy wealth, and property remains the largest single asset for most Saskatchewan families”.

■ ■ ■

A new Board of Directors for 2017/18 was sworn in at the 58th Annual General Meeting of the Okanagan Mainline Real Estate Board (OMREB) recently in Kelowna, B.C. Tanis Read of Kelowna will head a board of 12 directors from an area spanning Peachland to Revelstoke. Read succeeds Anthony Bastiaanssen, who will continue as past president.

An OMREB member for nine years, Read has been a director on the board since 2012. She has also served on the Board of Directors for Lake Country Seniors Housing Society.

The vice president is Marv Beer, a broker who hails from Salmon Arm. The rest of the board includes Erin Leek of Salmon Arm; Kim Heizmann, Bill Hubbard and Joe Pearson from the Vernon area; and Sheryl Lobsinger, Kent Jorgenson, Michael Loewen, Brent Pay and Cliff Shillington from the Kelowna area.

OMREB represents more than 1,000 Realtors and 92 real estate offices.

Daniel Dagenais, president of the GMREB Board of Directors.

“There is no clear commitment from the government regarding the HBP, particularly in terms of an increase in eligible amounts or in terms of using the HBP during significant life changes, as promised in the Liberal party’s platform for the October 2015 election. In 1992, the maximum eligible amount of $20,000 represented more than 13 per cent of the average property price in Canada, whereas today, the eligible amount of $25,000, increased in 2009, represents barely five per cent of the average property price,” he says.

The GMREB also points to the lack of measures to encourage firsttime buyers who are affected by recent mortgage tightening measures. According to the Quebec Federation of Real Estate Boards, approximately 30,000 Centris transactions can be attributed to first-time buyers every year in Quebec, says the board.

The GMREB says it welcomes the creation of the inclusive National Housing Strategy and a national database on real estate transactions. Investments to improve the collection and analysis of real estate data and the development of new research methods on real estate will help to differentiate provincial markets and realities for better decisionmaking, it says.

■ ■ ■

Nearly130 Realtors and dignitaries gathered in Nanaimo, B.C. recently to witness the Vancouver Island Real Estate Board (VIREB)

install its 2017 board at the organization’s annual general meeting.

Margo Hoffman, 2016 VIREB president, passed the gavel to Nanaimo Realtor Janice Stromar, who will serve as president in 2017. Hoffman takes on the role of past president this year, with Don McClintock from Re/Max of Duncan serving as president-elect.

Returning to the board this year are Sandy Rantz, Kaye Broens, Marty Douglas and Mark Clark.

New to the VIREB board for 2017 are Lovina Miller from DFH Real Estate in the Cowichan Valley, Kevin Reid from Royal LePage Comox Valley in Courtenay and Erika Haley from Re/Max Check Realty in Campbell River.

During the AGM, departing board members Cholene Begin and Neil Woodrow, along with past president Jason Finlayson, were recognized for their service to VIREB and its members.

■ ■ ■

Nicole Malinowski is the latest recipient of the $1,000 Association of Regina Realtors (ARR) Scholarship. She is finishing her second year in the Bachelor of Science program at the University of Regina, majoring in Actuarial Science.

The ARR has awarded two scholarships every year since 1977.

The University of Regina selects recipients based on criteria including graduating from a Regina area high school, academic standing and demonstrated ability in such areas as leadership, athletics and fine arts. REM

■ ■ ■

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The Greater Montreal Real Estate Board (GMREB) is unhappy that the recent federal budget had few housing initiatives.

The board says it would have liked to see more concrete commitments regarding tax measures relating to housing, in particular to improve the Home Buyers’ Plan (HBP).

“We wanted some aspects of the HBP to be modernized,” says

CREA’s new Board of Directors was confirmed at the Annual General Meeting in March. Top row, from left: Darcy McLeod, regional director, B.C./Yukon; Roy Milley, regional director, Atlantic; Tim Ayres, director-atlarge; Jim Carragher, regional director, Atlantic; Len Wassill, regional director, Saskatchewan; Bill Briggs, regional director, Alberta and Northwest Territories; Michael Barrett, regional director, Manitoba; Daniel Dagenais, regional director, Quebec; Don Kottick, director-at-large; Ron Abraham, director-at-large. Front row: Jason Stephen, vice president; Dianne Usher, director-at-large; Cliff Iverson, immediate past president; Andrew Peck, president; Barb Sukkau, president elect; Gary Simonsen, CEO; Costa Poulopoulos, regional director, Ontario.

REM MAY 2017 39

Introducing a better way to sell homes: Certified Resale Home launches in Ontario The following is paid, promotional content.

Owning a home is the largest financial commitment most Canadians will make, so it’s understandable that both the buyer and the seller will approach a transaction with caution. In an effort to alleviate some of the stress involved, FCT created Certified Resale Home (CRH).

CRH is a simple, cost-effective way to differentiate your listing in the market and reduce anxiety for the seller and the buyer. It includes a pre-listing

home inspection combined with a $20,000 18-month warranty on key components of the home (cooling and heating systems, roof and foundation).

The inspection provides an impartial, honest and expert assessment of the home backed by a warranty on items that are considered ‘blind spots’ for a home inspector.

After spending a number of years testing the waters and gathering key customer feedback, FCT is proud to launch Certified Resale Home throughout Ontario. This service leverages FCT’s core competencies of process optimiza-

tion, risk management and customer experience.

FCT has partnered with AmeriSpec Inspection Services, a leading Canadian home inspection company known for their high quality home inspectors, a commitment to providing a superior inspection experience and digital reporting that is easy to understand and put into action.

In today’s hot market, when buyers are going in with no conditions, you might be wondering why this product is even relevant. Here’s how it helps all parties:

Pricing is $689 plus HST* and includes a full home inspection and coverage for the four standard items.

Realtors® who have used CRH say it’s a game changer that sets them apart from the others. Here are some testimonials from Realtors® that are using CRH: Shannon Richard, Sales Representative RE/MAX Niagara Realty Ltd.

® • Provides a superior fullservice listing experience • Enhances client satisfaction and generates referrals • Offers a proactive approach to handling issues for the client • Closes listings faster

• Gets the best possible offers faster • Provides detailed information on the home before listing to avoid surprises that can kill the deal • Differentiates the property to make it stand out • Removes the probability of a condition of sale

• Reduces anxiety and promotes a cleaner offer • Reduces the “Buyer Beware” mentality • Builds trust by offering information through two leading brands – FCT and AmeriSpec Inspection Services • Negates the need for a home inspection condition

About FCT Founded in 1991, the FCT group of companies is

based in Oakville, Ontario, and has over 800 employees across the country. The group provides industry-leading title insurance, default solutions and other real estate-related products and services to approximately 1,250 lenders, 43,000 legal professionals and 5,000 recovery professionals, as well as real estate agents, mortgage brokers and builders, nationwide. The Great Place to Work® Institute has named FCT one of Canada’s Top 50 Best Workplaces for two consecutive years (2015, 2016) and certified FCT as a Great Place to Work. FCT’s parent company, First American Financial Corporation, was named by Fortune® magazine as one of the 100 best companies to work for in America in 2016. For more information on FCT, please visit the company website at www.fct.ca. † The FCT group of companies includes FCT Insurance Company Ltd., which provides title and valuation insurance with the exception of commercial policies, which are provided jointly by FCT Insurance Company Ltd. and First American Title Insurance Company. Services by First Canadian Title Company Limited.

“We work in a business where full disclosure is an obligation … buyers in particular feel more secure knowing that at least major components of the home have not only been inspected but are covered under a warranty”.

Len Skok, Keller Williams Experience Realty, Barrie/Orillia.

“I believe that buyers are more sophisticated than ever today and view the house only after they have

done all their research online.

Buyers can now review the full inspection report prior to putting in an offer and be comforted by a $20,000 18-month warranty.”

Jay Cupolo, Broker RE/MAX Niagara Realty Ltd. “Certified Resale Home is a game changer … and a welcome one!”

To learn more about Certified Resale Home and about the benefits for Realtors®, sellers and buyers, visit thecertifiedresalehome.ca or contact us 1.855.640.1832. *Assumes standard inspection and warranty coverage. Optional swimming pool equipment coverage is an additional $30; optional septic tank system coverage is an additional $20.

The warranty commences the day of the inspection, applies during the listing and transfers automatically to the buyer on closing.

About AmeriSpec Inspection Services AmeriSpec of Canada is a division of ServiceMaster Canada which also supports household brands including Merry Maids, Furniture Medic, ServiceMaster Restore and ServiceMaster Clean. From its inception in 1987 AmeriSpec quickly became North America’s leading home inspection service. Today, the AmeriSpec name is the industry standard for quality, service and value. With more than 75 franchise licenses from coast to coast, AmeriSpec of Canada conducts more home inspections—and serves more satisfied customers—than anyone else in the country. For more information, visit www.amerispec.ca or call 1-866-284-6010.

40 REM MAY 2017

Negotiating your professional fee

By Ross Wilson

I

n this second column in a series on the controversial topic of real estate fees, let’s begin with a few questions.

A prospective seller asks you to lower your usual professional fee. How do you handle this increasingly common tactic? Do you charge the same rate as you normally offer to pay a co-operating brokerage, say half of the total rate? If your seller agrees to also buy through you, do you charge a lower listing rate? What’s your fee for a “double-ender”? Do you promise to negotiate your fee at offer time? To reflect a lower rate, do you chop services, or offer various individually priced services from a menu? Do you even have a clear policy? Maybe you habitually surrender whenever the subject

rears its ugly head? Or do you stick to your principles and refuse to budge?

If negotiating your fee is normal practice and/or you’re registered with a discount brokerage, that’s quite understandable because your practice is presumably structured accordingly. You anticipate providing incentives and hopefully enjoy sufficient volume and profitability to justify them. But full service agents, often with higher expenses and lower volume, must generate relatively higher commissions to reflect their business model. And until a dramatic industry shift occurs, for a business to stay solvent, it must remain this way.

Did you reduce any fees last year? How many times? A reduction, for example, of $2,000 for each of 10 transactions totals $20,000. If you’re an average producer, after expenses, that may represent a large portion of your net annual income. Did such generosity generate any referrals? If you had refused to

reduce, would you have lost that client? Did they demand full service anyway?

Whenever I was asked to lower my usual fee, I’d normally respond by asking why they needed a reduction – and calmly awaited their reply. If unable or unwilling to respond, I’d ask if they were under financial duress and desperately needed my charity. If they denied being needy (usually the case), I respectfully refused and moved on. But if they persisted, I’d ask why they contacted me. If they said because they trust me, I’d ask what that trust was worth.

Often, this would nip the problem in the bud.

Rather than automatically capitulate to a prospective seller’s demand, which is obviously the easiest thing to do, defend yourself by justifying your fee. Start by differentiating between your actual fee and that of the buyer agent.

You may have to explain that you don’t receive the entire commission, that your company takes its share and also pays the co-operat-

ing brokerage. Offering an attractive buyer brokerage commission is just as important as establishing a realistic asking price. The list price is designed to attract buyers and the posted commission rate to entice their agents. Though such unethical practice is not officially condoned, when selecting properties to show a buyer client, it’s easy to inadvertently skip a listing offering a non-competitive cooperating brokerage fee.

Once your would-be seller sees the logic, you’ll no longer have to justify the full rate – only half. If, however, they still balk at your share, ask why they’d even consider paying you – who will have contractually undertaken to be legally and ethically bound to protect their interests (and spend your money and your time promoting their property) – a fee less than that being offered to the buyer’s agent whose intent is the exact opposite?

Ask how the seller would feel if forced to face aggressive buyer agents without your strong repre-

sentation. What’s that assurance worth to them? Further, why would they want to hire a weak agent who would easily yield to their demand for a lower fee, and then expect that same agent to behave any differently under argumentative assault from a buyer’s representative? If you so readily surrender during the listing presentation, what will happen to the ultimate sale price when the rubber really hits the road and you’re negotiating with an aggressive, skilled buyer agent? Cave for one – cave for all.

In the next column, I’ll discuss the topic of risk verses reward.

Ross Wilson, broker with iPro Realty, has extensive experience as a brokerage owner, manager, trainer and mentor. His book, The Happy Agent – Finding Harmony with a Thriving Realty Career and an Enriched Personal Life is available where print and e-books are sold, including the TREB, BREB, RAHB and OMDREB stores. Visit RealtyVoice.com. REM

Unique commission strategy can net more for sellers

By Jim Fannon

C

ould a discounted selling broker, co-op or buyer agent’s commission (let’s refer to it as “co-op commission”) hurt the enthusiasm of the buyer’s agent and impact the seller’s bottom line in a negative fashion?

You bet it could.

The truth is, a discounted co-op commission can be detrimental to the seller’s bottom line and the reverse can also be true. Using a unique or above-market co-op commission could be the marketing tool that helps sell the listing and puts more money in both the seller’s and agent’s pocket, after all is said and done.

How many listing agents would

recommend a discount co-op commission as a sales and marketing strategy to the seller of a new listing or a “freshen-up” or a re-list of a property that is not getting enough attention?

I’m guessing not all that many.

For many years now, decades actually, sellers have been falsely led to believe that a lower total commission equates to a higher seller’s net. This myth can be easily disproved.

Coaching sellers on how co-op commissions can affect sales prices should be the duty and a main focus of every salesperson during a listing presentation. A unique co-op commission can be mutually beneficial for the seller, listing agent and the co-op, despite it being a potentially difficult but necessary conversation to initiate.

It would be a good idea to remind the seller right off the bat of

something they already know, but may have forgotten. Helping them to realize one simple fact could impact the saleability and bottom line or net of their home, business or vacant land. Look them straight in the eye and tell them something that most other agents will not. Are you ready for it? Here it is: “Commissions are negotiable!”

How many times have you been asked, “How much is your commission?” even before you’ve met the prospect or inspected their property? If your answer to that question is anything other than, “Commissions are negotiable”, then you’re missing a very important consideration of your listing and marketing strategy.

Have you prepared your seller for the possibility of receiving an offer of full price? How many of your sellers actually expect to get the full contracted list price or even something close to it? If you asked

your seller on the way out the door, with their signed listing in hand, if they would compensate another agent (which most likely will not be you) an above-market rate of commission to bring them something close to full price, I bet 85 per cent plus would say yes!

It is important to bring attention to how a unique commission structure helps to make the subject property stand out to the agents picking the properties to show, in contrast to other listings on the MLS, which almost certainly do not employ this listing marketing strategy. The seller should also understand how the listing agent, using a unique co-op commission, can create leverage advantageous to the seller, listing agent and even the co-op during price negotiations.

In summary: • Discount co-op commissions can hurt the saleability of the list-

ing, the enthusiasm of the co-op broker and the seller’s net.

• Most agents would not recommend a discounted co-op as a marketing strategy.

• A unique co-op commission could gain the “loyalty” of the buyer’s agent.

• Commissions are negotiable.

• A unique co-op commission creates the possibility of a higher net for the seller.

• Creative co-op commissions stand out to showing agents from all other listings.

Jim Fannon, a 25-year veteran of the Niagara Association of Realtors, has always been willing to share how to take listings that offer higher commissions to the buyer’s agent, as a strategy to make listings more saleable and result in a better net for the seller.

Contact: realestate@teamniagara.ca or 905-934-1110. REM

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42 REM MAY 2017

Nanaimo-area development will add 2,000 residents

By Jean Sorensen

A

fter more than a decade attempting to get to market, the 1,838-acre Foothills development at Lantzville, B.C. at the mid-point on Vancouver Island now has building lots ready to go. â&#x20AC;&#x153;We hope to start next month (May),â&#x20AC;? says Ben Hurlbutt, director of sales and marketing for developer Storm Mountain Development Corporation, which is seeing Phase 1 consists of 71 building lots available for purchase.

The whole development, a master plan community, will take almost a decade to build all the proposed 730 homes. One of the concessions to the District of Lantzville is that 900 acres of the development area be allocated to a park.

The development got off to a rocky start when the original developer, after investing $13 million into infrastructure, hit the construction doldrums of 2008.

The project stalled and tumbled into bankruptcy and receivership.

Storm Mountain, which was formed in 2012 as a post-recession company wanting to take advantage of opportunities in the marketplace, picked Foothills up as one of six planned communities in B.C. it was proposing. The Storm Mountainâ&#x20AC;&#x2122;s website says its partner is a â&#x20AC;&#x153;global private investment management firmâ&#x20AC;?.

Although the company is headquartered in Alberta, Storm Mountainâ&#x20AC;&#x2122;s CEO is Bowen Island,

B.C. resident Allard Ockeloen.

Using a subsidiary known as Lone Tree Properties, Storm Mountain acquired the Foothills property in 2014.

Lantzville is a small community, located 16.6 km north of Island hub Nanaimo, known as the â&#x20AC;&#x153;Harbour Cityâ&#x20AC;?, with a population of over 90,000. The Foothills development is within the southern border of Lantzville, or approximately a five minute drive from the downtown area. The Lantzville total land area of 6,886 acres has a current population of 3,800.

Hurlbutt said that by the time the Foothills development is fully built out, it is expected to add more than 2,000 more residents to the area.

The elevated bluff on which the development is sited provides scenic views for homeowners.

The first phase of the development will include 103 homes.

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The proximity to the ocean plus the 900 acres designated as a permanent park adds to the appeal of the development. â&#x20AC;&#x153;I think with the park and the other recreational aspects of the area, you are getting a unique opportunity to buy into a development where you can build an amazing home,â&#x20AC;? Hurlbutt says, adding that the area will appeal to hikers, rock climbers and mountain bikers. He compared it to Vancouverites enjoying Stanley Park. The elevated bluff on which the development is sited provides scenic ocean views for homeowners.

One of the problems faced by the previous developers was their difficulty in finding a water supply to service the development. When

Storm Mountain took over it was able to find a well water supply that satisfied the District of Lantzville, which provided consent to build 103 homes. It kicked off the first phase of development, although Storm Mountain will have to find other water sources for further development. Hurlbutt said that under the agreement with the district, the new system will come under its jurisdiction.

Storm Mountain is capitalizing on the infrastructure already in place. The $13 million spent by the previous developer has left access roads into the site, where today lots are marked off for buyers. â&#x20AC;&#x153;There are rough roads,â&#x20AC;? says Hurlbutt of the gravel and logging roads traversing the development.

Once sales have concluded and the 10 per cent deposits from buyers have been obtained, the developer will continue with work such as supplying water, sewer and electrical services and paving the roadways. An estimated $25 million will be spent over the next year.

When the infrastructure has been placed, new home construction in the first phase can begin. The lots range from .25 acres to one acre on average and most are priced in the $300,000 range in the first phase.

Hurlbutt said the 10 per cent deposit will be held in trust and should the developer not complete

according to the terms of the contract, the funds will be returned.

There could be five or more phases as the build-out progresses.

One of the phases is for a mixed use development that will include commercial outlets and also recreational facilities. He says the new development will create half a billion dollars through investment, construction and job creation.

Storm Mountain will work with real estate professionals and offer commissions. Buyers can register online but there is also a place for real estate salespeople to register with the buyers. Out-ofprovince salespeople can use Google Earth to show clients the development and area, he says.

He adds that although the project was in receivership by the previous developer, there are no lingering liens or other legal encumbrances attached to any of the properties or titles put forward for sale. He said the developer is meeting all the requirements set out by the district for development permits.

The documents setting out the development agreements and other information for Foothills can be viewed at the districtâ&#x20AC;&#x2122;s website, www.lantzville.ca. Information on Foothills can be viewed at the developmentâ&#x20AC;&#x2122;s website at foothillslifestyle.com. REM

REM MAY 2017 43

By Joe Samson aintaining a real estate blog that attracts a lot of visitors is not something that happens by chance. It takes hard work, regular updating and attention to detail. If you want visitors to read what you have to say, you must entice them with killer content and information from which they can get something.

However, the visual aspect of your blog must not be forgotten.

It’s essential to attract readers with images that catch their eyes and gives them more reason to read your content. With visual additions such as these, your blog will look more inviting to readers now and in the future.

So why are images so important when it comes to your online content? Here are a few reasons: Increased social media presence: When individuals scroll through social media posts, they tend to only pay attention to those that are adorned with images.

Unique pictures are more likely to stand out from other posts and be shared or liked by friends and family. Content with images gets 90 per cent more clicks than plain content.

Better first impression: Pictures can make it easier for visitors to emotionally connect with your content by making it look more inviting and positive. A graphic image helps to grab someone’s attention and it increases the click-through rate to the article.

Help with understanding: If you are writing complex information, pictures can help readers better understand what you’re trying to say. Multiple images within the article can help the reader take a break from reading while it keeps them more engaged on the page, so they will get through the entire post.

More attractive layout: When readers come to your site, they won’t be inundated by blocks of text that are difficult for them to get through. Instead, pictures offer

M

Using images in your blog a better layout that adds more excitement to any post.

Although images are important, not every image offers the same engagement. It’s important to use images that work based on the content that you’re writing. A couple of examples of visuals that are excellent for how-to posts include: 1. Funny images – Memes are fun ways to add personality to your posts. Pinterest is a great place to visit to gather some ideas for your next image.

2. Infographics – Although time-consuming, infographics offer a unique way to share information and data without having to write blocks of text. Infographics of real estate statistics provide an easy way to quickly understand market conditions and to get a sense of direction of where the market is heading.

The highest search engine optimization rankings are given to long posts, videos and images. For this reason, adding images related to your content is crucial for your posts performing better in search engines.

Fortunately, it’s incredibly easy to add a picture even if your post isn’t going to be long. You can add titles, descriptions and tags to images to enhance your social media optimization as well. It’s also beneficial to add descriptions to the image’s file names to maximize exposure.

There is more content out there today than ever before, so it’s important to make your posts stand out from others. Images can help with this, as can killer content and headlines that grab the reader’s attention. Although it will take some time to determine the right images to use and how to best use them, it will be time well spent.

Joe Samson is a top real estate salesperson in Calgary. For the last decade or so, he has focused on online marketing and sharing real estate ideas with other Realtors, homebuyers and sellers. Connect with Joe at any one of his social media channels. REM

MAKING THE BEST BROKERAGES BETTER

SM

SPANNING SIX CONTINENTS WORLDWIDE

QUALITY CONNECTIONS INDEPENDENCE ™ A selective global community of the highest quality local independent real estate companies, we exist to make our members better – with an international referral network, marketing and technology resources, professional development programs, events, and connections to opportunities and people worldwide. If you are the leader of an independent company, we invite you to learn more. Contact Sheila Barr: sbarr@LeadingRE.com or +1.312.361.8632.

LeadingRE.com

REM MAY 2017 43

By Joe Samson aintaining a real estate blog that attracts a lot of visitors is not something that happens by chance. It takes hard work, regular updating and attention to detail. If you want visitors to read what you have to say, you must entice them with killer content and information from which they can get something.

However, the visual aspect of your blog must not be forgotten.

It’s essential to attract readers with images that catch their eyes and gives them more reason to read your content. With visual additions such as these, your blog will look more inviting to readers now and in the future.

So why are images so important when it comes to your online content? Here are a few reasons: Increased social media presence: When individuals scroll through social media posts, they tend to only pay attention to those that are adorned with images.

Unique pictures are more likely to stand out from other posts and be shared or liked by friends and family. Content with images gets 90 per cent more clicks than plain content.

Better first impression: Pictures can make it easier for visitors to emotionally connect with your content by making it look more inviting and positive. A graphic image helps to grab someone’s attention and it increases the click-through rate to the article.

Help with understanding: If you are writing complex information, pictures can help readers better understand what you’re trying to say. Multiple images within the article can help the reader take a break from reading while it keeps them more engaged on the page, so they will get through the entire post.

More attractive layout: When readers come to your site, they won’t be inundated by blocks of text that are difficult for them to get through. Instead, pictures offer

M

Using images in your blog a better layout that adds more excitement to any post.

Although images are important, not every image offers the same engagement. It’s important to use images that work based on the content that you’re writing. A couple of examples of visuals that are excellent for how-to posts include: 1. Funny images – Memes are fun ways to add personality to your posts. Pinterest is a great place to visit to gather some ideas for your next image.

2. Infographics – Although time-consuming, infographics offer a unique way to share information and data without having to write blocks of text. Infographics of real estate statistics provide an easy way to quickly understand market conditions and to get a sense of direction of where the market is heading.

The highest search engine optimization rankings are given to long posts, videos and images. For this reason, adding images related to your content is crucial for your posts performing better in search engines. Fortunately, it’s incredibly easy to add a picture even if your post isn’t going to be long. You can add titles, descriptions and tags to images to enhance your social media optimization as well. It’s also beneficial to add descriptions to the image’s file names to maximize exposure.

There is more content out there today than ever before, so it’s important to make your posts stand out from others. Images can help with this, as can killer content and headlines that grab the reader’s attention. Although it will take some time to determine the right images to use and how to best use them, it will be time well spent.

Joe Samson is a top real estate salesperson in Calgary. For the last decade or so, he has focused on online marketing and sharing real estate ideas with other Realtors, homebuyers and sellers. www.joesamson.com REM

MAKING THE BEST BROKERAGES BETTER

SM

SPANNING SIX CONTINENTS WORLDWIDE

QUALITY CONNECTIONS INDEPENDENCE ™ A selective global community of the highest quality local independent real estate companies, we exist to make our members better – with an international referral network, marketing and technology resources, professional development programs, events, and connections to opportunities and people worldwide. If you are the leader of an independent company, we invite you to learn more. Contact Sheila Barr: sbarr@LeadingRE.com or +1.312.361.8632.

LeadingRE.com

44 REM MAY 2017

Industrial, Commercial & Investment

By Natalka Falcomer

I

magine this scenario: you and your client diligently review your listing agreement. You add in an expiration date of six months and no over-hold. A few days later your realize that the six month expiration date was a mistake; you both agreed via email that the expiration date would be seven months after the date of execution.

You ignore this discrepancy, as you believe your client will act in

good faith and honour the seven month expiration date. Now here’s where it gets problematic: the property doesn’t sell after six months. Upset with the result, your client decides to sell the property on his own. The property sells in the seventh month. Are you entitled to your commission?

It’ll be very difficult for you to argue that the listing agreement is valid and enforceable and, therefore, that you’re owed the commission. This is because the principle of certainty underpins the laws requiring agents to accurately draft and record all agreements related to a transaction – from buyer representation agreements to agreements of purchase of sale. If something is unclear, left blank or conflicts with what you agreed to and what you recorded, the contract may not be valid and your commission is at risk. This is particularly true of expiry dates. As Mr.

How dates can cost you your commission Justice Morden put it in Rhodes and Rhodes Realty Ltd. et al. v. R. Pagani Investments Ltd. et al. (1981), 35 O.R. (2d) 77 (Ont. C.A.): “if an agreement does not contain a provision which, in one way or another, at the time of the agreement, identifies the expiry date with certainty, then the requirements of the provision have not been met.”

Courts have interpreted the statutory provision requiring a listing agreement to contain an expiry date as seeking “to introduce a high degree of certainty into listing agreements, and to place the onus of ensuring such certainty exists on the broker.” As such, it is imperative to be accurate in your dates, names and pricing. But, that’s not all.

In Re/Max Realton Realty Inc. v Seider [1993], the agent provided a listing agreement that included an expiry date. The agent then also provided a Professional Marketing Plan and Warranty that contained a provision allowing the seller to terminate the contract by providing seven days notice. The seller

ended up selling the property privately, despite the listing agreement still being in force.

The seller argued that he was able to sell the property and didn’t owe the agent any commission because the listing agreement was not valid. He argued that the termination provision in the Professional Marketing Plan and Warranty conflicted with the expiry date in the listing agreement. Such conflict raised uncertainty and, therefore, rendered the listing agreement unenforceable.

Thankfully, the judge found that the listing agreement complied with the legislation and was not rendered uncertain by the termination provision in the warranty. This is because the warranty did not alter that expiry date. Rather, the warranty was an entirely separate document. The judgment said: “The fact that the parties to the contract could agree to cancel it if the vendor became dissatisfied with the services of the plaintiff does not detract from the certainty of the expiry date of October 31st,

The sales rep’s tool kit for finding investment properties art 2 of the 2016 Property Investor Survey by TRES Labs examined the challenges that real estate salespeople and investors encounter when researching residential real estate and the tools and methods they use to find investment properties.

The survey found that a typical real estate investor will purchase more than one property in their lifetime “and for this reason, working with investors can be more profitable for some agents compared to people looking for their primary residence. Less advertising is required, investors may be more experienced in the process and they tend to be more impartial to esthetics if there is cashflow. For these reasons, most agents will say they are interested in working with investors: the exercise is about making a business case, not

P

satisfying a lifestyle.”

In the survey, investors were asked about their No. 1 challenge.

The most popular answer was simply finding a viable investment property that fit their needs (ROI) and wants (type, area). “Investors want properties that have potential equity enhancers, special financing or other incentives and, at the same time, their business plan requires a certain balance of risk and profit or the venture is not worthwhile,” says TRES Labs. “As a result, agents say that working with investors requires an inordinate amount of research.

Qualifying lucrative investment properties in sufficient volume to satisfy the demands of investors is a stultifying and often unrewarded process that discourages excellence. And, while the ability to

find investment properties is a high priority for many, few are enthusiastic.”

When asked how investors find properties, respondents ranked peer networking and private sales as the best methods to find leads.

When asked specifically about the MLS system, only 52 per cent said it was a satisfactory source of investment properties although it is somewhat helpful for the public.

About 15 per cent said online ads, such as Craigslist or Kijiji, and door-knocking were the most important methods for finding properties that fulfilled their needs and wants. Respondents said that commercial listings, like multifamily and retail mix properties, are submitted to the MLS less often compared to residential properties, which creates a second

tier of exclusive listings that may not be easily accessible to buyers, the survey says.

“Respondents were asked which tools they rely on to determine if a property is suitable. The majority said their knowledge and experience as a real estate professional or investor was their primary investment decision-making tool. A significant number stated that a pocket calculator or spreadsheet was their primary tool. A small group said that they have developed their own tools for making decisions.

The major theme for tools and methods was ‘real estate valuation methodologies using empirical data and financial analysis’, which in plain language could be described as a comparative market analysis and cash flow analysis.”

The study concluded that the

1989 in both listing agreements.”

Despite this positive outcome, this case contains important judicial comments that may be used to invalidate your listing agreement. Ensure that you’ve not only accurately filled in the expiry date of the agreement, but that you also don’t create any accidental side agreements – such as agreements to amend listing agreements via email exchanges and marketing materials. If you confuse the terms of the listing agreement, you may be risking your rights to collect.

Natalka Falcomer is a lawyer, real estate sales agent and Certified Leasing Officer who has a passion to make the law accessible and affordable. She founded, hosts and coproduces a popular legal call-in show on Rogers TV, Toronto Speaks Legal Advice. She founded Groundworks, the only firm specializing in commercial real estate law that offers flat fee rates, online delivery of legal work and a guaranteed turnaround time. www.groundworksfirm.com REM tools used most often focused on the financial statements of the property with less emphasis on other factors that contribute to total ROI. Almost 80 per cent of respondents said that effective analysis is very important to the process of selecting an investment property; however, they felt that investors are not satisfied with their market knowledge, calculators and spreadsheets.

“This gap is a concern for agents who market themselves as investment experts because it introduces dubiety into the relationship with the buyer,” says TRES Labs. “Is the effort required to overcome skepticism counterproductive to the fiduciary relationship? If yes, it leaves a question unanswered which is, How to inspire an investor’s confidence in the process of finding and qualifying quality real estate investment properties? Real estate agents working with equity-hunters seem to be particularly challenged to please their clients and prove their worth as ‘hunter-partners’.” REM

REM MAY 2017 45

How to stop a sales pitch

By Dan St. Yves

I

‘ve been out of the real estate business for some time now, but one success strategy that has remained a constant is the ongoing need to prospect.

Every agent’s approach differs I’m sure. Some might use long stretches at the kiosk display their company has at the local shopping mall. Some might geographically farm, utilizing postal walk mailings and ads in specific community newsletters. The odd agent (literally) may stand in busy areas and try to tackle prospects.

Others might even still be door-knocking and cold-calling.

Like other industries, a phone call or in-person visit might be the only way you can encourage those prospects to use your services. But those methods also tend to frustrate consumers.

Imagine: Your workday is finally over. You arrive back at your home and toss your jacket onto the hook by the door. Just when you’ve settled into your favourite comfy chair, cracked open your favourite chilled beverage and found an unexpected rebroadcast of Cher’s 37th Farewell Tour, either the phone or the doorbell rings.

Sometimes both at the same time.

Has your ship come in? Have you been chosen to represent Canada at the Maple Syrup Battered Seafood Consumption Competition? Has Lotto Canada found an accounting error in your favour that has brought them to your door with riches beyond imagining?

Oh no. It’s a salesperson: either the dastardly dinnertime telemarketer, or the 14-year-old male in his dad’s ’80s grad suit at the door trying to convince you to invest in the astonishing value of a 56-piece

vacuum attachment assortment, for just $19.95.

This is your home, your castle!

Should you be forced to endure these relentless and often inconvenient intrusions? I say no, and hereby offer the following solutions for different sales situations: 1) A land-line phone service provider is calling to suggest you switch over to their company. Do you: a) Apologize and confess that you are getting your phone cut off later that day by your current provider. However, if THEIR company would like to keep you on… b) Ask them to hold on for just a second, Drew Carey is finally getting ready for the first Showcase Showdown. c) Insist you don’t even own a phone.

2) A customer service rep from a large national bank is asking you to participate in a brief telephone survey. Do you: a) Agree to do the survey, but answer every question with “I have some very nice bananas…” b) Start yelling at the top of your lungs that you haven’t trusted banks since that mean Jesse James kid started causing all those problems at the teller wickets. c) After beginning the phone call in perfect English, switch to a language you make up as you go and refuse to let the telemarketer hang up.

3) You have just picked up the phone and a competing real estate agent is calling homeowners in your neighbourhood to see if they are thinking of selling. Do you: a) Invite her over and try to get her interested in your 43-year-old basement-dwelling son. b) Giggle after everything she has to say and suggest you’ve just heard the best “knock-knock” joke. c) Tell her that today would be a perfect day to stop by because your landlord has gone into town to fetch supplies.

Humour columnist and author Dan St. Yves was licensed with Royal LePage Kelowna for 11 years. Check out his website at www.nonsenseandstuff.com, or contact him at danst.yves@hotmail.com. REM

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46 REM MAY 2017

The dawning of the real estate consultant

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QUEBEC. 2PERCENTREALTY.CA Announcement Welcome RE/MAX GENERATIONS REALTY!!

Please welcome Tony Belluz of RE/MAX Generations Realty, who opened his new office in Thunder Bay last month.

After building upon the successful 45-year-old household name “Belluz Realty”, Tony has made the switch to RE/MAX based on his growing interest in our institutional advertising and agent support.

Tony is now positioned for growth and excited for his team and their business to reach new heights in the Thunder Bay area!

Mario Tegola, who owns RE/MAX First Choice Realty Ltd., has built tremendous brand awareness in the Thunder Bay area over the last 25 years. Along with Mario & his team, please join us in congratulating and welcoming Tony, Ray, Allison and Kelsey as our newest broker/owners!

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If you are interested in ownership opportunities with RE/MAX, the largest most productive real estate brand, contact Jennifer Dominey at 1-647-519-7735 to arrange your confidential meeting, or visit remaxintegra.com.

By Kathleen Black

T

here has always been a clear distinction between salespeople and consultants and never did they mix. But recently there has been a subtle shift in the real estate world that has seen top producers become even more productive real estate consultants.

In this age of information, people are open vessels seeking wisdom rather than just information.

You can train individuals to be well versed in the necessary procedures, phrases and catch words, but once they are asked for information and guidance that goes beyond their learned skill set, they are often at a loss as to how to fill the void. The client is seeking a sense of guidance and trust that may become lost if we are simply seeking to fulfill a quota.

Though the ultimate goal is, of course, to sell a property, the direction must benefit the client and fill their needs. We have a fiduciary responsibility to our clients, which means that we need to develop of level of trust and a level of understanding. Do your clients make a purchase because they were pushed into it or do they make a purchase because it is something that fits their needs and brings a sense of value to their life?

Though we are ultimately sales driven, if we want to invest in raising the level of our profession, we have the choice to deliver a superior service. Our function is to listen to the clients’ needs, wants and dreams and then educate them about the marketplace, providing them with counselling and options to make the best quality decision for them and their family. When we always put the needs of the client first, we ultimately generate more business, more raving fans and a better relationship. These are the core beliefs of the consultant.

A common misconception is that consultants don’t lead or push their clients, that the sales mindset

is required to get action from people. If we look at it from the sense that the consultant educates their target market, then the consultant takes an aggressive stance in meeting the needs of the client. The difference is that a consultant pushes them towards their goal and not our goal. To sell a home is a singular achievement that once complete leaves no lasting impression.

Establishing an ongoing relationship and successfully aiding the client in achieving their ultimate goal with the confidence that they have done the right thing in the right way is one that will self perpetuate.

There may be those who believe that we should be halfway between the sales position and the

ing to solve it. By identifying the needs of the client, we are positioned to effectively fill them. If our purpose becomes bigger than profit, profits will increase. If we allow the client to become self directed and accountable unto themselves, we are validating their goals and establishing a level of confidence that will continue and foster. The greater that level of confidence, the more likely it becomes that the success of the relationship will be spread to others and our reputation personally lauded.

So the question becomes, do you want more sales or do you want to nurture more relationships and create a lasting impression with everyone you work with?

When we always put the needs of the client first, we ultimately generate more business, more raving fans and a better relationship. consulting position. This can become a dangerous situation. The ambiguity causes them to be constantly second guessing their decisions and overall effectiveness. You cannot be providing the highest level of service if you are uncertain of your role and inconsistent in your approach. While assuming the sales role may satisfy our own needs in regards to employment, quotas and salary in the short term, taking the consulting approach will establish a deeper level of trust, allowing us to eclipse all of those needs in ways we cannot imagine over the long haul. To swing back and forth between the two will undermine that trust. Consistency can only serve to underline reliability and to establish a guiding principle and provide the experience your client craves.

If we see the issue as a sales pitch versus a conversation, then the issue naturally becomes one of focusing on the problem and help-

The salesperson will always be a part of our business and will continue to struggle for deals every day.

However, the consultant is now becoming more prevalent. They will carve a more fruitful and personally rewarding niche within that business and find a rewarding existence day to day, helping their clients grow and prosper.

Who are you going to be?

Kathleen Black has taken her experience as a top-producing Realtor and built it into a dynamic, resultsdriven consulting company, Kathleen Black Coaching & Consulting, where she serves as CEO, speaker, trainer and elite coach. The systems she used in her daily real estate business to get her to the top are now the backbone of a real estate consulting company specializing in helping real estate professionals across North America build top teams. www.kathleenspeaks.com, email info@kathleenspeaks.com. REM

48 REM MAY 2017

New opportunities for leasing condo units River Cabin

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Bulkley River

Lake Cabin

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This Estate is a 293 Acre property in BC Canada. It is gated and completely fenced except for the 1/2 mile of Bulkley River frontage. The Bulkley is a world famous fishery. The Lodge with it’s attached Artist Cabin is over 10,000 sq ft. There are also 2 more large log cabins on the Estate plus 2 additional outbuildings providing storage for 14 vehicles plus workshop. The property is “move-in ready” fully furnished and includes many extras.

www.riverhousecanada.com/bcestate

CARREER OPPORTUNITY Are you an enthusiastic leader with strong problem solving and admin skills, who loves coaching and helping people, enjoys public speaking and can’t wait to deliver your next training session?

Do you work hard but appreciate that fun is an important part of team development? Do you have years of real estate experience and knowledge to share?

YOU COULD BE THE PERSON TO JOIN OUR AMAZING TEAM. We are very proud of our achievements as the #1 Real Estate Office in Kelowna, the #1 RE/MAX® office in BC and the # 2 RE/MAX® office in Western Canada.

Due to incredible growth, we are looking to expand our Management Team.

Fit means everything to us.

Send a copy of your resume to Jerry Redman, Owner / Managing Director jredman@kelowna.remax.ca Based on MLS® active listings taken & sold units as reported by OMREB in 2016 for Central Okanagan.

If we just described you and you’re looking for a change or a way to put your years of experience to a different use, then get in touch with us and let’s see if you’re the right fit for our dynamic environment.

T Training File Reviews F A Agent Coaching, Guidance, Support

By Al Maitland

R

ed hot real estate markets in the Greater Toronto Area, Vancouver and other Canadian centres are creating new opportunities not only for homeowners, but also for owners of condominium investment properties.

And, by extension, we’re also seeing a strong source of new business for the real estate agents and property management companies who are active in the leasing space.

As markets have continued to heat up, we’ve seen a significant shift in the numbers of real estate agents and property management companies who are serving as leasing agents, finding tenants for the owners of these investment property condos.

The trend is quite stark compared to four or five years ago, where condo owners either lived in their units themselves or did their own legwork in finding tenants for their investment properties.

These days, there’s a lot more money in the offing, both in terms of rental income for the condo owner and commission for the leasing agent. The cost of buying for the condo owner is way up. So is the rental price they can charge tenants. So the impetus to find a good quality tenant and get them moved in and paying rent is extremely high. This makes an agent especially valuable, because time is of the essence.

According to Kijiji’s data, the average monthly rent for a twobedroom condo in Toronto has risen from $1,550 to $1,660 in the past two years. In Vancouver, the same sized unit jumped from $1,630 to $1,800. Even in smaller centres like Fredericton, rents have risen from $760 to $840 per month.

For the real estate salesperson or property manager serving as a leasing agent, the general compensation ballpark for finding a tenant is roughly equivalent to one month’s rent. Brokering condo leases can be lucrative, especially for real estate agents who are new to the profession and are still getting established.

Newer real estate agents need time to build their profile in a market. Getting to the point of signing those first home sales, even in the hot markets, takes a fair amount of time and effort up front. So by putting together new leasing ten-

ants with investment property condo owners, you can bring in some decent commissions while working toward the bigger payoffs from selling houses.

Marketing to prospective condo renters relies on the same core fundamentals as finding the right home buyer in this online day and age: your listing needs to get in front of the eyes of that person doing the search. Knowing not only what they’re looking for but how and when they are looking is critical to finding the lead that ultimately becomes the sale.

At Kijiji, we work with leasing agents to target placement of rental ads based on the search habits of prospective tenants – when they’re searching listings, on what devices and using what filtering criteria, such as bedrooms, location, amenities and price.

For leasing agents, data-driven insights combined with fundamental knowledge of your market area is the one-two punch.

While some markets in western Canada are cooling a bit due to economic and new regulatory factors, overall Canadian markets remain strong and we expect to see continuation across the board, including these leasing deal opportunities for agents and property managers.

Al Maitland is head of display, REM jobs & real estate at kijiji.ca

Royal LePage develops CRM for salespeople

R

oyal LePage recently launched Smart Studio, a client relationship management (CRM) system for its members.

“The goal was to develop a platform that would allow our agents to invest minimal time to apply best practices for their business,” says Kelly McCain, director, business services at Royal LePage.

“Our approach was to deliver the systemization and conversion power of a CRM at no additional cost to our agents. We coupled our CRM with tried-and-true action plans that are proven in the field

through our corporately owned brokerage, which often serves as an incubator for these types of initiatives.”

The company made changes to its marketing platform so when a new listing is loaded into a local real estate board, an email is automatically generated to the agent with a link to a pre-produced set of listings data integrated print and web marketing pieces. The materials include feature sheets, postcards, slide shows and single property websites, along with social media posts. These pieces can be downloaded, hosted and posted in

a few clicks.

“In hot markets, you’ve got a great tool that delivers knock-out listings marketing almost effortlessly and a system that nurtures future business with minimal input. In slower markets, you’re sustaining those nurturing activities that will yield you the best conversion opportunities today and ongoing,” says McCain.

“Having a CRM helps you focus your work and it keeps you connected to the best practices that are critical to developing a sustainable business over time.”

REM

REM MAY 2017 49

Good Works T

rish Condo of Royal LePage RCR Realty in Bolton, Ont. recently hosted 80 guests for an evening of rock and roll inspired bingo in support of the Royal LePage Shelter Foundation.

“The concept is similar to the old game show Name That Tune,” says Condo. “The DJ plays short clips and the bingo cards are made up of the names of the songs.

People were up dancing, singing along to the music and having a great time!”

Guest speaker David Quinton, representing local women’s shelter Family Transition Place, drove home the importance of fundraising for emergency women’s shelters. Between ticket sales, draw prizes and a generous matching gift from the local Scotiabank branch, more than $5,000 was raised.

groups/1884569651761780/ ■ ■ ■

Longtime Century 21 broker Carl Oake and his daughter Vanessa held their annual swimathon recently in Peterborough, Ont. to raise money for local charities including Easter Seals. This year’s event raised $46 000.

The Carl Oake swimathon started 31 years ago and has raised more than $1 million. The money goes to benefit Easter Seals and Rotary projects such as the School Breakfast program, Habitat for Humanity and the Rotary Greenway Trail. The event also gives awards to participants for their fundraising efforts and for showing up dressed in costumes.

■ ■ ■

Sporting capes and masks, superheroes from Sutton Showplace Realty in Chilliwack, B.C. recently participated in the Big Brothers Big Sisters Bowl for Kids Sake. They conquered every “Krazy Bowl” challenge that was thrown at them from bowling backwards to lobbing the ball between a teammate’s legs. With two teams from the office participating, they raised $1,000, which will help to fund mentoring programs for children and youth.

“This is a fundraiser we often participate in because we get to have fun for a great cause,” says Jillian Fraser, office administrator at the brokerage.

Representing the office were sales reps and staff members Crystal DeJager, Brad McGimp, Chris Kloot, Jake Siemens, Tibor Bogdan, Cameron Gemmell, Kim Parley, Laura Lindstrom, Fraser, Kathy Werner and Amber Siemens. Each made a personal contribution to the $1,000 total donation.

■ ■ ■

Jerry Aulenbach of Royal LePage Noralta Real Estate in Edmonton undertook his second

annual Beards on Ice cross-country skating event this winter, raising more than $7,000 for the Royal LePage Shelter Foundation. Over the course of three months, Aulenbach visited 12 cities in six provinces to host skating events and celebratory dinners for participants.

Beards on Ice has raised more than $18,000 to date.

■ ■ ■

Sutton - Premier Realty in Surrey, B.C. recently donated $350 in Superstore gift cards to Harold Bishop Elementary School to help students in need. The counsellors and teachers at the school determine which students are most in need and then distribute the gift cards to their parents.

Broker Larry Anderson and sales reps Jeremy Delos Santos and Razaik Cheema teamed up with teachers and RCMP officers for a friendly competition with students. It was fast-paced with a new game every three minutes, switching in five students each time to give more than 60 students a chance to play.

The event is designed to boost student fitness. It is held every few

months and each time the sport is different. Manny Sraw, office administrator at Sutton - Premier, says her office has an invitation to return for a badminton tournament in April.

■ ■ ■

Dena Sicard, Jane Thuet and Sue Driver of Royal LePage Frank Real Estate in Whitby, Ont. continued their fundraising journey in support of the Royal LePage Shelter Foundation, raising $3,300 towards their participation in the Iceland Challenge for Shelter. The funds were raised at a euchre tournament held March 25.

To participate in the Iceland Challenge for Shelter, taking place in July 2017, each trekker must raise at least $5,000 for the Royal LePage Shelter Foundation.

Sicard, Thuet and Driver have instead set an impressive team goal of $30,000. Funds raised by the trio will be directed to the Denise House, Y’s Wish Shelter of YWCA Durham and national violence prevention programs funded in part by the Royal LePage Shelter Foundation.

Broker/owner Rick Siwek covered most of the expenses. REM

■ ■ ■

Toronto sales rep David Smeriglio is encouraging everyone to support The Hike for Hospice on Sunday May 7, which features music, prizes, a barbecue and the choice of a 2 km or 5 km route through scenic Cabbagetown.

Proceeds will help to fund hospices throughout the GTA including Emily’s House, the first hospice in Toronto designed specifically for children. A frequent guest at Emily’s House is Tallula, Smeriglio’s daughter.

Smeriglio knows firsthand how vital hospice is for many people.

Tallula is a fighter who is partially blind and particularly appreciates the hospice’s music therapy program.

“Emily’s House is a century home updated with modern components; it is incredibly warm and inviting. It feels comfortable instead of institutional,” says Smeriglio. “As a parent, it reduces anxiety to know my child is safe and happy. They do an amazing job.”

To learn more about the event, visit the Team Tallula Facebook page: https://www.facebook.com/

The Sutton – Showplace Realty Superheros Last year David Smeriglio’s Team Tallula raised $3,000 in the Toronto Hike for Hospice.

Royal LePage RCR Realty sales representative Trish Condo and Scotiabank branch manager Frank Macellaio.

Beards on Ice skaters in Vancouver join organizer Jerry Aulenbach of Royal LePage Noralta Real Estate (front centre).

Carl Oake is interviewed at his annual swimathon by CHEX-TV reporter Lindsay Biscaia.

From left: SuttonPremier Realty broker Larry Anderson, Razaik Cheema, school principal Stephen Redding, Jeremy Delos Santos and the school coach.

Royal LePage Frank Real Estate agents at their euchre fundraiser.

From left: Dena Sicard, Jane Thuet, Sandra McCormack (executive director, The Denise House) and Sue Driver.

50 REM MAY 2017

Selling the eco-friendly home T

he idea behind a green or eco-friendly home is simple – it is one that uses fewer resources in its heating, cooling, power consumption, water and garbage systems than other homes in its area or year of construction. Selling an eco-friendly or “green” house should be easier than selling a traditional one. The devil is in the details, however.

The concept of eco-friendly housing is new and startlingly vague, which leaves both the interpretation and preconceptions up to the eye of the beholder.

Welcome to the world of composting toilets, pellet burning woodstoves and solar hot water heaters. These are some of the items that have contributed toward giving earth-friendly homes a bad name. Earlier versions of solar hot water heaters, composting toilets and pellet burning wood stoves came with extra inconveniences and sometimes an extra mess.

A composting toilet is exactly

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what it sounds like – the waste goes down into the bottom part, where it turns into fertilizer. Not the most endearing mental picture when trying to sell your customers on a house with a large master bath. On the other hand, there are also combustible compost toilets – those that burn the compost underneath them in a way that means you do not have to deal with it yourself.

That could be appealing to a certain type of home buyer who may enjoy the notion of incinerating the “evidence”.

Low flow toilets get a bad rap too. If poorly constructed and installed they clog easily. If set too low, users must flush twice for each use.

Solar hot water heaters used to rely on a number of parts and systems in order to provide “just warm” offerings to the bath or shower – pumps, heat exchangers, transfer fluids and a long list.

A wood pellet stove sounds messy, archaic and inefficient if you do not have an understanding of how they work. Yet they make a good heating source for smaller spaces that you may use less frequently. Once started, they burn for a very long time (up to 16 hours on a single loading of the hopper) using wood that has been debarked, ground, dried and then compressed. Pellets made of other materials are also available. In some situations, they are an excellent alternative, while in others they are seen as a waste of money and resources. For instance, you can heat a small house with one or you can keep a garage and basement area above freezing during the hours you use it.

A good green home is an asset to any community and ends up being a money and time saver for its buyer. When calibrated correctly, the energy efficient parts of the home work together to create a more adjustable temperature as well as saving on heat, power, water and sewage charges.

The modern standard for green appliances and building materials is more stringent than in years past.

Some existing building owners and caretakers are switching to greener options. Jaime Tiampo of Itiziar Management in Victoria says that the payback to making green changes can be a long term process in warmer climates such as Vancouver and Victoria. But in his industry (rental housing) proactive steps are being made.

“We’ve replaced all shower heads with ultra low-flow units and added flow restriction/aerator units on kitchen faucets. For commercial units, we’re replacing our ageing HVAC air handling units with split zone units,” he says. “For one facility that’s north-south orientated, we’re going to an integrated heat pump system that moves heat around the building more than just in and out, since the south end heats considerably and the north end remains cool.”

The company has also “gone to hot water on demand systems instead of hot water tanks. That way you’re not holding onto hot water when you don’t need it,” Tiampo says.

He says buyers of commercial properties expect more green friendly operations and can benefit from an array of new options.

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“Both the suite amenities and the building systems are important,” he says. “Your suites create your revenue while the building is the expense. Green services such as urban vegetable gardens, bike parking facilities and EV charge stations all help to create revenue.

Using smart thermostats, water cisterns for the lawn and things like that can help mitigate building expenses.”

As a real estate professional, if

you understand common misconceptions about green homes, you will be in a much better position to sell your customers. While it is currently a bit of a niche market, with global awareness of energy efficiency and environmental impact on the rise, you will begin to see more eco-friendly homes every year.

Although at first a challenge, they can become a property you are proud to list in your stable of offerREM ings to potential buyers.

Disciplinary database for mortgage brokers now online

A

new online database (https://www.mbrcc.ca/app/ DisciplinaryDatabase) helps consumers find out if mortgage brokers have broken the rules that govern their profession.

Consumers can enter a mortgage broker’s name or company into the search-friendly database and see disciplinary actions (licence suspensions, administrative penalties, cease and desist orders) that have been taken against a broker by their provincial mortgage regulator and other Canadian regulators.

The database, developed by the Mortgage Broker Regulators’ Council of Canada (MBRCC), integrates disciplinary records from most provincial regulators into a single, convenient place, the council says.

In addition, mortgage brokerages and regulators across Canada now have easier access to disciplinary information, it says.

Developing the database supports the MBRCC’s mandate to improve and promote harmonization of mortgage broker regulatory practices across Canada.

More than 23,000 mortgage brokers are currently licensed across Canada.

The council says disciplinary actions will be posted on the database for varying amounts of time, matching how long each regulator posts records in their own province. It says consumers should still visit their provincial regulator’s website to get licence status information for mortgage brokers authorized to operate in that province. REM

REM MAY 2017 51

THE PUBLISHER’S PAGE

By Heino Molls

O

MARKETPLACE

ver the years, I have seen the image of real estate organizations grow from lightweight to formidable. The lobbying efforts of CREA and the provincial real estate associations have had a meaningful effect on the government and made credible image enhancements to the general public. It’s been a long road and the journey is nowhere near complete, but give credit where credit is due. There has been some progress and I commend these organizations for slugging it out so far.

Local real estate boards have also had some success in enhancing their image. After years of “civic nights”, appreciation dinners and formal acknowledgements for elected representatives, a lot of politicians now actively seek support from real estate associations.

So I am thinking it might be time for local real estate boards and

A seat at the table associations to go to the next level of involvement in municipal planning.

Notwithstanding the good work that has already been done, such as the initiatives taken by the Toronto Real Estate Board in sponsoring a commercial and residential event for planning (REMonline, Oct. 14, 2016). I mean get a permanent seat at the table at municipal planning meetings from building to transportation to community services.

Who better knows how neighbourhoods work? Who better to tell you what community services are used more than others? Who better to put forward the kind of housing that should be built?

Come on, who knows a community better than a Realtor?

A Realtor can tell you right off the cuff that an area in the northern part of Port Coquitlam would do well with this kind of residential planning because the folks who are drawn to this area are such and such economically and socially.

You can look at all the demographics you want but a Realtor will tell you more about an area and its future than most planning experts with charts and drawings.

A Realtor can tell you about

aging populations and the need for hoofers (homes on one floor) as well as walk ups or condos that need to be balanced for families as well as young singles downtown.

They can tell you where transit hubs should be built to embrace future growth. A Realtor can see the need for schools as neighbourhoods and communities turn over and are revived by young families.

A Realtor in Sackville who has worked the same block and the same neighbourhood for many years can tell you first hand the problems associated with building roads that are too small to accommodate the growing number of people and cars that will be moving into the community. A Realtor in Kirkland Lake can tell you that without certain municipal services, the population of the town will continue to decline and here is why this town should remain a hub for services to the surrounding regions. Today there are public planning meetings everywhere. A Realtor should be formally designated to attend each of those meetings at the head table and the podium.

I recall the day that CREA moved from its offices on Duncan Mill Road in Toronto to Ottawa.

Their spokespeople said if they were going to improve the image of Realtors, they should be right in the capital to deal with politicians directly. They were right. I am not saying they have finished the job or even that they have it near completion, but they have done a great deal to make politicians consider the laws of the land that relate to the transaction of property in Canada. CREA has done a great deal to improve the image of Realtors in Canada.

Now the job of raising the

image of Realtors falls to you. In every community, in every neighbourhood and on every street of the country, this is a torch you should carry forward. Do good work, act with benevolence and above all be a professional in every aspect. Your federal, provincial and municipal real estate association has done a lot of the heavy lifting already. All you have to do is share the weight.

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

Industrial, Commercial & Investment

C

ushman & Wakefield has acquired Ashlar Urban Realty, a commercial real estate firm in downtown Toronto.

“This is a great opportunity to bring two outstanding teams together – deepening our platform to benefit our clients with a rich pool of talent and services,” says Chuck Scott, CEO - Canada for Cushman & Wakefield. “Ashlar Urban is well known and well respected throughout the city and we are very proud to have the entire team onboard.”

Ashlar Urban Realty was founded in 1999 and specialized in investment sales, office, retail and land development.

Thirty-one professionals joined Cushman & Wakefield, including partners Craig Smith, executive vice president; Jeff Thomas, executive vice president; Mike Scace, senior vice president; and Fraser McKay, REM vice president.

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