November 2017 by Real Estate Magazine (REM)

Issue #341

November 2017

Saskatchewan Realtors reject bid for single association Page 3

Engel & VĂślkers opens flagship Quebec office Page 12

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

eXp Realtyâ&#x20AC;&#x2122;s brokerages in the cloud Page 16

Piers Baker Showing seaside listings

from a kayak in Chester, N.S. Page 10

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REM NOVEMBER 2017 3

Saskatchewan Realtors reject bid for single association By Danny Kucharsky

move to dissolve Saskatchewan’s real estate boards and provincial association with an eye toward forming a single organization has failed to pass after it did not receive the required two-thirds approval from the voting groups. In a vote held Sept. 26, the necessary two-thirds approval was not reached by the Association of Regina Realtors (ARR) or by the Association of Saskatchewan Realtors (ASR). The Saskatoon Region Association of Realtors and Prince Albert and District Association of Realtors gave sufficient support to the measure. Under the resolution, each of the three larger associations needed to give two-thirds approval for the resolution to proceed. The results mean “the entire process will come to a stop. We didn’t meet the required threshold,” says Gord Archibald, CEO of the ARR. Overall, the dissolution attempt received only 39 per cent support from the Regina association and 64 per cent support from

the ASR. But it was approved by 73 per cent of voters from the Saskatoon association and 81 per cent of voters from the Prince Albert association. Voter turnout was about 45 per cent and in Regina and Saskatoon “there was certainly record turnout for general meetings,” says Archibald, who was part of the Rationalization Taskforce that examined the dissolution of the associations and formation of a single association. “Being part of a task force that looked into this, we were hoping that the thresholds would be met so that we could move on to start the process and move to one association, so we’re disappointed in that sense,” he says. “On the other side, I think it created a conversation and awareness with members around this particular issue and the opportunities that it presents will (lead to) conversations in the future. And I wouldn’t be surprised that some point down the road – it’s hard to say when – that it’ll be reviewed once again and decided upon.”

Archibald says Regina members were looking for more information such as detailed business and financial plans on how the new entity would proceed. But the task force deliberately did not provide that information, preferring to leave much of the detail up to the leadership of the new association. While members were provided with an information framework as to how the new organization would look and operate that included basic financial information, “some members, at least, were looking for more than that,” says Archibald. “We didn’t want to restrict or limit the types of decisions it needed to make to put the new organization together,” he says. “I think many people did not support it not because they were opposed to the idea of a single association. They were just waiting for more information.” Discussions about amalgamation in Saskatchewan go back about 15 years. Proponents argued that dissolving the boards and creating one association would elimi-

nate redundancies and offer members better products and services, such as improved educational opportunities and IT support. It would also result in the hiring of a full-time government relations specialist to lobby on the industry’s behalf. The taskforce travelled the province making the case for amalgamation and finished its initial communication with members on June 15. In a recent interview with REM, Kevin Wouters, chair of the Rationalization Taskforce, said “the membership seems mostly in favour of it” but that some opposition existed, which he characterized as being the consequence of misinformation campaigns. “There are some rumours out there about what’s going on and why, and that hasn’t been helpful to us.” Wouters also disputed a theory by some members that the stronger boards would have to carry the weaker ones and said all are in strong financial shape. Another argument against amalgamation was that membership fees might be

higher, which Wouters said was not the case except in some rural areas. Wouters did not respond to a request for comment on the vote. “We were certainly hoping that we could move ahead,” Archibald says. “We think it’s the right thing to do. There’s always an element of disappointment, but I think the encouraging thing out of this has been that it started a conversation and awareness with members that will continue into the future.” There was a belief that a new association “would create more breadth and depth in the new entity than what we have in the current configuration,” he says. “I think that argument and opportunity is still there.” However, Archibald believes it “could be quite some time down the road” before another attempt is made to dissolve the existing associations in favour of a single organization. “It’ll be up to leadership at some point to decide to take another look at it and put it back to members.” REM

Quebec boards call for HBP reforms as users decline T

he Quebec Federation of Real Estate Boards (QFREB) says fewer people are using the Home Buyers’ Plan (HBP) in the province to help purchase a home and is calling for immediate changes to the program. Statistics from Canada Revenue Agency show from 2002 to 2015, the number of HBP withdrawals declined almost continuously from 38,880 to 26,910 withdrawals, says the federation. “It is normal for there to be fewer HBP withdrawals during periods when fewer properties are being sold,” says Paul Cardinal, market analysis manager at the QFREB. “However, this is not what happened. While the number of HBP withdrawals fell by 31 per

cent from 2002 to 2015, the number of Centris sales increased by nine per cent. Thus, the decline in popularity of the HBP was not due to a decrease in residential sales.” The federation says the HBP “enabled nearly half a million Quebec households to become homeowners” and “remains an excellent program due to the tax benefits it provides to first-time buyers.” But it says the purchasing power of first-time buyers is crumbling. “One of the most likely hypotheses for explaining the drop in HBP use is that first-time buyers did not manage to contribute to their RRSP at the same pace as property prices increased,” says Cardinal. “One thing is sure –

salary increases have not kept up with property price increases. This would partly explain the drop in the volume of withdrawals during the period of 2002 to 2015.” The inflation of property prices in recent years has also resulted in a significant loss of purchasing power for first-time buyers, says the QFREB. A dollar withdrawn from an RRSP as part of the HBP in 2002 was worth only 48 cents in 2015. If the average HBP withdrawal amount followed the same pattern as the increase in property prices, it would have more than doubled during the same period, it says. However, the increase in the average withdrawal amount from 2002 to 2015 was only 23 per cent,

as it went from $11,431 to $14,077. “It is clear that this increase is quite small when compared to the 108-per-cent increase in the average property price,” says the federation. QFREB says modernizing the HBP or implementing new measures to further stimulate homeownership are required, particularly since Quebec has the lowest homeownership rate in the country (61.2 per cent compared to more than 70 per cent in the rest of Canada). QFREB says it recommends broadening the scope of the HBP by allowing – under certain conditions – people who have already benefited from the HBP to reapply in the event of a spouse’s

death, a separation, a work-related relocation or the decision to accommodate an elderly family member. QFREB and CREA want the federal government to increase the maximum HBP withdrawal amount to $35,000 per person, which would better reflect current real estate prices. The maximum HBP withdrawal amount of $25,000 has not been revised since 2009. The federation also recommends that the HBP be used in an intergenerational manner by allowing parents to withdraw money that has accumulated in their respective RRSPs and transfer it to their children so they can buy their first home. REM

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6 REM NOVEMBER 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

oyal LePage HautRichelieu, with one office in St-Jean-sur-Richelieu and one in Chambly, Que., has acquired the Châteauguay office of Royal LePage Extra. Audrey Bédard, owner of Royal LePage Haut-Richelieu, is taking over the management of Royal LePage Extra, while former owner Cléo Thibault, who acquired the franchise in 2004, will remain at the brokerage as a real estate broker. The Châteauguay office has 13 real estate brokers. It will move to a new sales location in the next few months. ■ ■ ■

Several sales reps at a Sechelt,

B.C. office formerly associated with Macdonald Realty have joined a new office of Coldwell Banker Marquise Realty, based in White Rock. The brokerage’s sole owner and broker of record is Bianca Myddleton, who joined the Coldwell Banker Canada network 18 months ago. Coldwell Banker Marquise Realty has grown to about 25 agents at the two locations. ■ ■ ■

was previously senior broker/manager at Royal LePage Terrequity, one of the largest multi-branch brokerages in the GTA. At Right At Home, he will be responsible for all aspects of the company’s brokerage operations, overseeing seven branch offices and the management teams, as well as training and career development programs, regulatory compliance and brokerage technology application development. “Ray is a proven trainer, men-

tor and an experienced transactional salesperson. His real estate experience and strong technology background will facilitate the continued growth of the Right At Home Realty brand throughout the GTA,” the company says in a statement. ■ ■ ■

Durham Region sales rep Wade Adams has joined Vincent Montagano as co-owner of Coldwell Banker 2M Realty of Oshawa, Ont. Montagano remains as broker of record. The new ownership team will focus on support services for sales representatives and company growth initiatives, the company says. Adams has been serving clients in the Durham and Greater Toronto Area since 2005 and has

Right At Home Realty has appointed broker Ray Azar as vice president, brokerage operations. Azar has more than 14 years of real estate leadership experience. He

consistently been recognized as a top performer. His range of experience includes training and mentoring. ■ ■ ■

Broker/manager Richard Dettman has merged his Cornerstone Properties brokerage with Century 21 Carrie.com in Winnipeg. “When we originally met, it was simply about being a broker. But, the talks quickly evolved and we are happy to absorb the agents from Cornerstone Properties in our system,” says Century 21 Carrie.com owner Richard Fulham. Dettman was the president of WinnipegRealtors in 2013. “I have been approached several times in the past four years to sell or merge my brokerage, but it never felt quite right until we began talks with Century 21,” he says. “The corporate cultures were similar and I like the global reach of the brand.” ■ ■ ■

From left: Coldwell Banker Marquise Realty owner Bianca Myddleton, with sales reps Shay Moudahi and Barbie Whitworth.

Cover photo: BRITTANY HIRTLE

Richard Dettman

Editor JIM ADAIR jim@remonline.com

Director, Sales & Marketing AMANDA ROCK amanda@remonline.com

General Manager MILA PURCELL distribution@remonline.com

Digital Media Manager WILLIAM MOLLS web@remonline.com

Art Director LIZ MACKIN

Brand Design SANDRA GOODER

Julie Leonhardt LaTorre

Vince Montagano, left and Wade Adams

Publisher HEINO MOLLS heino@remonline.com

Graphic Design SHAWN KELLY

Continued on page 8

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

Phone: 416.425.3504 www.remonline.com REM is published 12 times a year. It is an independently owned and operated company and is not affiliated with any real estate association, board or company. REM is distributed across Canada by leading real estate boards and by direct delivery in selected areas. For subscription information, email distribution@remonline.com. Entire contents copyright 2017 REM. All rights reserved. Reproduction in whole or in part without written permission from the publisher is prohibited. The opinions expressed in REM are not necessarily those of the publisher. REALTOR® and REALTORS® are trademarks controlled in Canada by The Canadian Real Estate Association (CREA) and identify licensed real estate practitioners who are members of CREA. MLS® and Multiple Listing Service® are trademarks owned by CREA and identify the services rendered by members of CREA. REM complies fully with the CREA’s Trademark Policy (section 5.3.2.6.1). ISSN 1201-1223

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Ray Azar

At the opening of Coldwell Banker The Real Estate Centre’s new Kingston Road office, from left: co-owner Dean Artenosi; broker of record and co-owner Tania Artenosi; Toronto City Councillor Gary Crawford; and Andy Puthon, president of Coldwell Banker Canada.

Coldwell Banker The Real Estate Centre recently opened a new office on Kingston Road in Scarborough. The real estate brokerage now has eight offices in Toronto, Vaughan, Newmarket, Innisfil, Orillia and Barrie, with over 120 sales representatives. “The world is more intercon-

This is home. It’s a place called comfort. It’s called home for a reason. It’s the place where your clients feel secure, happy, and at peace. We understand this. Through expertise and insight, our job is to help make the wonderful idea of home a beautiful reality. For every client, for every home.

pillartopost.com Each office independently owned and operated.

8 REM NOVEMBER 2017

OREA, TREB pleased with proposed representation changes O

REA is commending the Ontario government for introducing real estate legislation that tackles conflict of interest situations and consumer confusion that can arise in the current multiple representation system. “These new rules are some of the strictest in North America when it comes to transparency and consumer protection,” says OREA president-elect David Reid. “Ontario Realtors were pleased to work with the government to bring more clarity of a Realtor’s duties to the consumer and address any real or perceived conflict of interest.” The mandatory designated representation (MDR) model proposed by the government, “will set a North American leading standard for greater transparency, enhanced clarity of the duty and obligations of Realtors and tougher consumer protection,” says OREA. It says the province has also committed to allowing consumers to work with a Realtor of their choice as an impartial transaction facilitator under a strict set of rules. The facilitator model would only apply to instances where both clients involved in the transaction

Multiple Listings Continued from page 6

nected than ever before, and luxury real estate specialists need to remain ahead of the curve,” says brokerage co-owner Dean Artenosi. “Today’s opening of the first Coldwell Banker Global Luxury themed office here in Toronto reflects the globalization of modern luxury.” The Coldwell Banker Global Luxury program was launched in April. The roll-out included the unveiling of a new logo, signage and website appealing to the tastes of buyers and sellers of distinctive properties. ■ ■ ■

consented in writing to the arrangement. Consent would come through a simple, plain language document that clearly outlines the duties and obligations of the Realtor to the consumer with much higher fines for those who break the rules. “A big part of a Realtor’s job is to act as a facilitator, bringing a willing buyer and seller to the table to find a win-win solution,” says OREA CEO Tim Hudak. “Where a Realtor is acting as a facilitator, the government’s proposal will ensure a high level of transparency and consumer protection.” The Toronto Real Estate Board (TREB) says it met “multiple times” with Ontario government officials to provide input on ongoing consultations. “TREB supports, in principle, the proposal to move towards a mandatory designated representation model. This approach is consistent with numerous other Canadian jurisdictions, and we believe that it will allow for the efficient operation of the marketplace, while ensuring consumer protection,” says Tim Syrianos, TREB president. “The detail still needs to be sorted out and the legislation still

has to go through the legislative process, including public consultations. However, the government has committed to moving forward with a model similar to what the industry is advocating for,” says TREB CEO John DiMichele. OREA says it is also pleased that the proposed legislation would double fines for breaches of the Real Estate and Business Brokers Act, 2002 (REBBA) Code of Ethics and mandate new disclosures in real estate forms, both of which OREA advocated for as part of the province’s REBBA review process. “Right now, too often fines amount to a mere slap on the wrist,” says Hudak. “Ontario needs much stronger deterrents for unethical behaviour and a regulator that isn’t afraid to throw the book at the small number rule breakers.” Other REBBA-related issues TREB would like to see addressed include: • Need for an ombudsman for the real estate industry. • A strong regulator with the ability to investigate industry issues. • Allowing salespeople to incorporate. REM

Sotheby’s International Realty Affiliates has appointed Julie Leonhardt LaTorre as chief operating officer. In this role, LaTorre is responsible for overseeing the global servicing and operations functions for the Sotheby’s International Realty brand. LaTorre will oversee ongoing affiliate services to drive strategic growth goals and objectives for the brand, the company says. LaTorre has nearly 15 years of experience in the real estate industry. Prior to joining Sotheby’s, she served as senior vice president of affiliate services and head of operations, EMERIA region, for Christie’s International Real Estate. LaTorre has also held positions as a commercial real estate finance attorney at

two leading Wall Street firms.

Hong Kong has world’s priciest real estate, says Century 21 survey

ong Kong has the most expensive real estate in the world, with the average single-family home in the Kowloon area priced at $3,570.23 per square foot, says a recent survey by Century 21 Canada. This is 3.5 times more expensive than Beijing, the second most expensive city at $1,005.31 per square foot for a singlefamily home. The survey of 75 cities in 27 countries detailing the average-priceper-square-foot (APPSF) for a home found that generally, the PPSF is higher for a condo than for a single-family home. A single-family home in West Vancouver is closely equated to San Francisco, averaging $824.47 APPSF and $934.96 APPSF respectively, while a condo in downtown Vancouver comes in at $1,172.80 APPSF compared to $1,454.57 APPSF in San Francisco, the company says. The downtown Toronto condo market is most closely comparable to Tokyo ($833.20 APPSF and $775.72 APPSF respectively). Montreal ($519.51 APPSF) is most closely comparable to New York City ($508.62 APPSF). Century 21 conducted a similar survey in 2007. At that time, Singapore ranked as one of the least-expensive places in which to purchase a typical executive home, with a price tag of $373,857. Ten years later, in 2017, that average price came in at more than six times this value, at $2,261,436. Hong Kong also ranks as the most expensive city in which to purchase a condo with the average price in the downtown area at $2,330.81 APPSF. This is 1.6 times more expensive than Al Khobar (Saudi Arabia), the second most expensive at $1,479.92 APPSF. Shanghai came in as the third most expensive for a single-family house at $955.39 APPSF and San Francisco was third most expensive for a condo at $1,454.57 APPSF. “Canada’s housing market has attracted much attention over the past few years. These numbers show just how we rank on a global scale,” says Century 21 Canada EVP Brian Rushton. “While prices are no doubt expensive, we really rank in the middle of the pack when compared to other global cities.” On the other end of the spectrum, Maricaibo-Zuila in Venezuela is the least expensive city in which to buy property, with a single-family home priced at $10.17 APPSF. REM

■ ■ ■

StreetCity Realty officially launched its branch office in Port Dover, Ont. by hosting a festive open house for the community recently. The branch is managed by local broker Peter Butler. Lending a hand to mark the opening, which featured local wine, craft beer, Lake Erie perch and a novel mashed potato bar, was Norfolk County Mayor Charlie Luke. “Norfolk County is one of the fast-growing counties outside of a highly urban area in all of Ontario. The population has grown seven per cent in the last year so the timing is ripe for your entry into this community and we couldn’t be more thrilled to have you.” REM

Opening the StreetCity Realty brand in Port Dover, Ont., from left: Don Kottick, EVP, Peerage Realty Partners; Costa Poulopoulos, president, StreetCity; Linda Butler; Peter Butler, manager, StreetCity Port Dover; Mary Johnson, VP, StreetCity; and Charles Luke, mayor, Port Dover.

Will You Be One of the Thousands of Real Estate Agents to be Wiped Out & Erased from the Business in the Next, Coming Crash? I recently got a letter from a top agent who earned nearly a million dollars last year, who wrote: â&#x20AC;&#x153;If I had known then what I know now about HOW HARD IT IS AND STAYS AND WILL ALWAYS BE to earn a top income in real estate â&#x20AC;Ś I would never have gotten in this business to start with. I regret it. I have trouble at home and am constantly disappointing everybody. Iâ&#x20AC;&#x2122;m trapped. And Iâ&#x20AC;&#x2122;m worried â&#x20AC;Ś â&#x20AC;? Little does he know, as bad as that is, he may well be one of the thousands of agents soon to be WIPED OUT & ERASED FROM THE BUSINESS in the next, coming crash. Put out of his misery, maybe. But when itâ&#x20AC;&#x2122;s all said and done, he probably wonâ&#x20AC;&#x2122;t be any happier broke. And everything he hates about the way he is earning his income CAN BE REPLACED with an entirely different approach unknown to him and to most. But for starters, heâ&#x20AC;&#x2122;ll need to survive â&#x20AC;Ś and to do that, heâ&#x20AC;&#x2122;ll need to STOP threaten the future of so many Canadian real estate agents. Now this next part will sound egotistical, but itâ&#x20AC;&#x2122;s just simple fact: Only someone with MY experience can actually â&#x20AC;&#x153;doomproofâ&#x20AC;? your real estate career and business. I can (and will) save the guy who wrote that letter to me. Iâ&#x20AC;&#x2122;m going to save him from himself. Stop his divorce-in-themaking. Save him from being eaten alive by his own success. AND save him from the coming Wave Of Destruction threatening to ruin agentsâ&#x20AC;&#x2122; incomes and lives. Maybe you experienced the last crash, and the â&#x20AC;&#x153;twiddling your thumbs timeâ&#x20AC;? that followed, and breathed a sigh of relief at the â&#x20AC;&#x153;loosening upâ&#x20AC;? of the market that

that was only the pause between storms. Very dangerous economic and market forces are converging. The â&#x20AC;&#x153;herdsâ&#x20AC;? of ordinary insurance agents, mortgage brokers, and others have already been decimated and are dying out. In one â&#x20AC;&#x153;brandâ&#x20AC;?, there are about 30% fewer agents than there were 5 years ago. Some of the death causes in those industries are moving to real estate, now and soon. What you donâ&#x20AC;&#x2122;t know about ! Another fact â&#x20AC;&#x201C; that the big real estate associations, top franchise brands, and most â&#x20AC;&#x153;coachesâ&#x20AC;? donâ&#x20AC;&#x2122;t want you to understand: there are fewer home buyers now and the available buyer counts in 90% of the markets are shrinking, shrinking, shrinking. Agents who donâ&#x20AC;&#x2122;t yet realize this are in combat with powerful trends that threaten income destruction unseen since the 1930â&#x20AC;&#x2122;s. Too many agents doing too many of the same things are gathered around watering holes that are drying up. These are Darwinian forces. That kill the weak. And there are FIVE mistakes most agents â&#x20AC;&#x201C; in" "" #$ come agents â&#x20AC;&#x201C; are making (and are encouraged to make) that set them up for the coming slaughter. This coming herd-thinning will make the most recent one look like a brief Florida drizzle compared to one of the all-time, most devastating hurricanes or tsunamis. Let me tell you why you should bother to keep reading, and to ultimately attend one of my free upcoming Craig Proctor Discovery Days, and why virtually every real estate â&#x20AC;&#x153;guruâ&#x20AC;?, trainer, â&#x20AC;&#x153;coachâ&#x20AC;?, etc. hopes you never do. I have been a highly successful AGENT for more than 20 years. No one can even come close to matching my track record â&#x20AC;&#x201C; especially the â&#x20AC;&#x153;coachesâ&#x20AC;?

whoâ&#x20AC;&#x2122;ve (incredibly) never sold real estate!!! OR the ones whoâ&#x20AC;&#x2122;ve raced into â&#x20AC;&#x153;coachingâ&#x20AC;? after a good year or two (many as my students). They all make a lot of noise. But do any of them have a real, legitimate, doable system ! " " = > ;? @ >J ;K; > @ > ! Q U ! Q ! X K Z K ? [? JK Z > @ Z@@Q Z\XZU Z> Z On SYSTEMS that are working now but have also proven themselves in every kind of market over time and can be counted on. I know from that experience that this market is good enough, just about everywhere, to reward an agent â&#x20AC;&#x153;with the right stuffâ&#x20AC;? #$ ]$ income right now, and going forward. Of course, a lot of people would rather have a good excuse than a good plan or have the â&#x20AC;&#x153;loveâ&#x20AC;? of their misery-enveloped, negative, complaining buddies than a big income and their jealousy. If thatâ&#x20AC;&#x2122;s you, turn the page and forget I came around. But Iâ&#x20AC;&#x2122;ll tell you: there is no legitimate excuse for not having all the good prospects and clients coming to you right now, for you to have a $200,000 or $300,000 or $500,000+ income you want â&#x20AC;&#x201C; and still work sane hours, have a real personal or family life, and be able to â&#x20AC;&#x153;enforceâ&#x20AC;? your time off with your cell-phone off without the desperate fear of loss that comes with poor positioning and utterly unpredictable income and a sense of a â&#x20AC;&#x153;bad market.â&#x20AC;? I am not denying â&#x20AC;&#x153;bad market.â&#x20AC;? In fact, Iâ&#x20AC;&#x2122;m telling you that it is ^ U@Z ;?K> ! ;? > worse than youâ&#x20AC;&#x2122;re being told and that a lot of pain is soon to be _ " suspecting â&#x20AC;&#x153;positive whistlersâ&#x20AC;?. But none of that has to affect you. Because it affects the others, the majority around you, if youâ&#x20AC;&#x2122;re really astute, youâ&#x20AC;&#x2122;ll see that as a mandate to STOP doing every-

thing theyâ&#x20AC;&#x2122;re doing â&#x20AC;&#x201C; because it is NOT working for them and is setting them up for slaughter -- and to look elsewhere for a different â&#x20AC;&#x153;secret passageâ&#x20AC;? to success as a new-type agent in a new-type market. I literally re-invented real estate once, and made myself a multi-millionaire agent by doing so. Now Iâ&#x20AC;&#x2122;m doing it again. And my upcoming free Discovery Day (visit www.CanadianSummit.com " " & you in on my â&#x20AC;&#x153;back storyâ&#x20AC;? but more importantly, share with you how Iâ&#x20AC;&#x2122;m reinventing the real estate business -- basically putting my very, very, very proven system on steroids, and show you how you can be a part of it. At Discovery Day, Iâ&#x20AC;&#x2122;ll reveal â&#x20AC;&#x201C; just three â&#x20AC;&#x201C; simple actions you must take, to separate yourself from the confused, whining, suffering crowd of agents AND from the normal ills and evils of being an agent, so that, bluntly, as they starve out, you prosper. You may be tempted to ignore this. Thatâ&#x20AC;&#x2122;s your prerogative. But cynicism can only lead to resignation. Here is the dictionary '" "*+ cynic / 4 6 people are motivated purely by self-interest rather than acting for

6 + E.g. some cynics thought that the offer of help to the community concealed a secret agenda. / 4 7 whether something will happen or whether it is worthwhile: E.g. the cynics were silenced when the '" 8 * "

Billionaire Agent and Millionaire Agent-Maker, Craig Proctor at a recent Discovery Day More info at: www.CanadianSummit.com First, I really DONâ&#x20AC;&#x2122;T need your money. Iâ&#x20AC;&#x2122;m NOT out to get you, and unlike some charlatans I expose, I am NOT peddling the newest, shiniest, social mediaest promises that sound so mag " 6 evaporate into dust in the real world. You have nothing to fear from me. And Iâ&#x20AC;&#x2122;ll give you overwhelming proof that you can trust me as a truth-teller in a land of gypsies, tramps and thieves. Truthfully, I am motivated by a sincere empathy for the honest, hard-working, success-oriented agent (Iâ&#x20AC;&#x2122;ve been where you are) and a desire to help such a person. I am honestly appalled by the ways in which the â&#x20AC;&#x153;â&#x20AC;&#x2122;hotâ&#x20AC;&#x2122; gurucoachesâ&#x20AC;? are misleading and confusing agents, even dooming agents, themselves cynics, and I want to create a â&#x20AC;&#x153;truth and sense zoneâ&#x20AC;?. You can learn all about my system and how it can help you at my free upcoming Discovery Day. Or you can turn the page and do ; " " 4 sibilities. The second does not. Go to www.CanadianSummit.com now to learn how to attend.

Learn How to Survive the Coming Crash at My Upcoming Free Craig Proctor Discovery Day More Infformatition on o orr Re Regi gist ster er aat: t:

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10 REM NOVEMBER 2017

Showing seaside listings from a kayak

Piers Baker shows ocean-front properties on Nova Scotia’s South Shore to hundreds of people each summer from the vantage point of a double, 22-foot-long plastic kayak. By Dennis McCloskey

ayaks were created thousands of years ago by the Inuit of the northern Arctic regions, who used driftwood and seal-skin to create the low-tothe-water canoe-like boat for hunting and fishing. The stealth capabilities of the kayak, which means “hunter’s boat”, allowed the hunter to sneak up behind animals on the shoreline and successfully catch their prey. Piers Baker owns a fleet of kayaks and there’s nothing sneaky about what he does with them. A sales rep with Duckworth Real Estate, on Nova Scotia’s South Shore, Baker shows oceanfront properties to hundreds of people each summer from the vantage point of a double, 22-foot-long plastic kayak worth $2,500. His $2,000 single kayaks are 17-feet-long. As owner and manager of The Kayak Shack near his home in the village of Chester, in Lunenburg County, Baker’s popular and unique mode of transportation is a boon to his real estate career. “An international component of people has been visiting Chester for over 100 years,” says the transplanted Ontarian. “Families from Florida to Baltimore came to this idyllic area in the summers for the cool ocean breezes and today their children, grandchildren and friends continue to come to this utopian seaside region.” When he’s not showing inland offerings of 18th- or 19th-century homes, Victorian houses or contemporary buildings from Chester to Halifax, the 50-year-old entrepreneur guides summertime daily tours of kayak renters of four to eight people, and sometimes as many as 16 kayakers will join the flotilla. “My kayak business is a good way

to target buyers,” he says. “I get to spend two hours with these people, getting to know them. If they spot one of my listings along the shore and inquire about it, I can tell them all about it in a relaxed way. It’s a soft-sell approach.” Baker is new to the real estate business, having joined Duckworth’s four-person, 18-year-old boutique brokerage in January 2016. But he feels he has found his nirvana. “I absolutely love it here,” he says. “I’m an avid wind surfer and I love the beauty of the Mahone Bay Islands, the sheltered coves and the people. This place puts Muskoka to shame!” For 24 years, Baker was a celebrity disc jockey, managing Canada’s largest DJ company, Third From the Sun, based in Toronto. He worked celebrity parties for scores of luminaries, including Brad Pitt, Elton John and Stevie Wonder, and was the DJ for hundreds of parties for TV networks, major banks, large corporations and well-known Canadian families. But he says “the Toronto rat race” was taking its toll in terms of stress on him and his clothing-designer wife, Katherine. “Toronto is competitive in an unnatural way,” he says. “The parties I worked had to be bigger and better than the year before. There was a cost to working so hard. Even my neighbourhood felt tense,” says the man who grew up in tony Rosedale and attended the exclusive Upper Canada College and Lakefield College. His great-great grandfather was Max Aitken, who became Lord Beaverbrook. Born in Maple, Ont. in 1879, Aitken was a Canadian-British business tycoon, politician, newspaper publisher and writer

Piers Baker (Photo: Brittany Hirtle)

who was an influential figure in British society and who served in Prime Minister Winston Churchill’s cabinet in 1940. In 2012, Baker, by now a seasoned corporate marketing and business development professional, decided to “step back and decompress.” He and his wife and two children, Max, now 9, and Isabella, 12, moved to Nova Scotia, famous for its rugged coastline, sandy beaches, pounding surf and lighthouses.

He enjoys the more relaxed atmosphere of working for Duckworth, which has an office in a restored 18th-century English barn in the historic seaside village of Kingsburg, 25 km from Lunenburg.

“I always thought real estate would be a good fit for me,” he says from his home in Chester. He also owns a home in Halifax and owns and manages commercial properties in Chester and one in Port Hope, Ont.

“It takes patience to sell oceanfront properties, oceanview homes and undeveloped land in this part of Nova Scotia,” he says. “One has to be willing to work with the property owner for a longer period of time than you would in Toronto. It means building a relationship with a client over time.” He admits it’s something he is comfortable doing and he encourages clients to “soak in the beauty of the area and capture its essence.”

Nova Scotia was an obvious choice for Baker in which to live and work since he and his family had been spending summers in Chester since 1967. He was attending Dalhousie University in Halifax when he started his DJ company.

Baker says most of his buyers are from Halifax and are looking for a solid investment “in the peninsula.” Most of the properties are secondary or seasonal properties and he concedes there aren’t as many U.S. buyers fleeing the political turmoil of

our neighbouring country as he would have thought. He adds that many clients don’t buy during the high summer season, but wait for fall or winter when they think the seller is more motivated and maybe not willing to carry a house or cottage through the winter. When asked what qualities are required to sell oceanfront properties, Baker says knowledge of the area is paramount. “One needs to know about septic systems, municipal bylaws and how to work with the people at the Department of Natural Resources if you want to build a wharf, or if you want to build a guest house, for example.” He adds that as an area resident, he can tell a potential homebuilder which direction the storms will come in. Baker would agree that his many years working as a DJ has helped him in his current career. He’s still working with a live audience – it’s just smaller and more relaxed. REM

12 REM NOVEMBER 2017

Engel & Völkers opens flagship Quebec office Patrice Groleau says at the current growth pace, he expects Engel & Völkers to be at par with Sotheby’s in the province in about 18 months. By Danny Kucharsky

growing luxury home market in Quebec has helped the Engel & Völkers franchise owners in Quebec achieve their business goals well ahead of schedule.

Doktorczyk and Groleau also plan to open shops in Laval and the South Shore next year. Additional offices in Gatineau and the Eastern Townships are also on the horizon.

“Our market plan was (based) on five years. We did everything we wanted in two years,” says Patrice Groleau, who co-owns the franchise rights with wife Debby Doktorczyk. “It’s just literally booming. Every single thing looks positive for Montreal. I don’t see any downsides at the moment.”

Groleau says at the current growth pace, he expects Engel & Völkers to be at par with Sotheby’s in the province in about 18 months. “We’re really thrilled. People love the brand,” he says. “It’s a real international network and it’s working. We have a lot of good things to sell to potential investors and they’re coming.”

Groleau says Quebec has seen a 90-per-cent increase in foreign buyers in the last two years. In addition, sales of condominiums and homes over $1 million in Montreal increased 60 per cent year over year in July and August, all of which puts Engel & Völkers in good stead. In late August, Engel & Völkers opened a 6,500-sq.ft. head office on Sherbrooke Street in downtown Montreal. The two-storey flagship office in Montreal’s Golden Square Mile area also serves as Engel & Völkers’ seventh brokerage in the province.

He says Engel & Völkers needed a large head office to assemble its brokers in one place. Along with meeting rooms and board rooms there are 24 individual offices. The head office, which Engel & Völkers had been seeking for two years, is in what was once the tallest residential tower in Eastern Canada. Board members in the tower turned down several other previous offers from potential tenants for the office space, Groleau says. &

Along with housing Engel Völkers brokers, who

now total 50, the new head office will be home to the 50 agents of McGill Immobilier (McGill Real Estate). Groleau and Doktorczyk own McGill Immobilier, which specializes in the marketing of new condos and has sold 8,500 condos worth $3 billion in 10 years. “A lot of our (condo) towers are located downtown – it’s a logical location to be with our developers and designing teams.” The new office also houses Engel & Völkers’ aviation and yachting divisions. In Quebec “it’s more for people who want to book private flights or rent a sailboat for a vacation. There are a few brokers doing that in the province.” According to a recent report by Sotheby’s International Realty Canada, Montreal is becoming a luxury real estate hot spot. Sotheby’s forecasts Montreal will emerge as a strong leader on Canada’s luxury real estate landscape this fall. “We have Chinese investors pouring into Montreal,” Groleau says, although “we’ve always been the third choice for Chinese buyers, behind Vancouver and Toronto.” Chinese buyers who choose Montreal tend to bring their families to live in the city, which is not always the case in Vancouver, he says. “You don’t see empty towers in Montreal that don’t light up at night. Go to Vancouver, you’ll see buildings where 80 per cent of the building has no lights at 8 o’clock at night because the condo is empty. They want to live here.”

A look inside the new Engel & Völkers offices.

Prices for luxury housing remains much lower in Quebec’s major cities than most other Canadian cities. The median

The grand opening of Montreal’s Engel & Völkers flagship office. From left: Robin Brinkley; Richard Brinkley, Engel & Völkers’ SVP Canada; owners Debby Doktorczyk and Patrice Groleau; and Julie Thompson, Engel & Völkers’ VP, brokerage services.

price for the top five per cent sales is about $950,000 in Montreal and $570,000 in Quebec City. “We’re not really targeting a certain price; it’s more certain areas and a certain clientele,” says Groleau, noting that he believes the future of brokerage lies in specialization, not generalization. He foresees that Engel & Völkers will have no more than 120 brokers in the province, given the niche market in which it operates. Aside from operating Engel & Völkers and McGill Immobilier, Groleau recently became a TV star in the province as a “double agent.” He co-hosted the Canal Vie network reality show Agents Doubles. It features Groleau and another broker pitted against couples with widely disparate housing wants – the wife wants to buy a condo downtown while the husband wants to live on a farm, for example. The hosts try to convince them to opt for one of the options. “I was out of my comfort zone and I’m learning a lot,” Groleau

says. The show was the most popular on Canal Vie during the summer and there is a good chance it will return for a second season. Engel & Völkers has more than 8,000 brokers in 39 countries and set up shop in Quebec in 2015. Groleau says he is “really surprised” at the response to and perception of the brand in the province. “It’s rare that you do a market plan and it’s even better than what you had expected.” Part of the reason, he maintains, is that Engel & Völkers is the only international brokerage that is privately owned. “Every decision is always made for the long term. It’s a unique culture.” As well, he maintains his brokers regularly receive quality leads from the international network. “I’ve been interviewing brokers for years now, and ask any broker for any brand, ‘How many leads do you receive from your agency?’ If they tell you, ‘In the past five years I’ve received one,’ it’s already good.” REM

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Directors could be on the hook for investor losses By Martin Rumack

nder Canadian corporate law, a corporation’s day-to-day activities and decisions are achieved through a board of directors, comprised of individuals who are appointed as directors. If the corporation gets sued or otherwise becomes liable to third parties, the individual directors are generally held safe from personal culpability, since the law acknowledges that they are collectively acting in a designated role as “the operating mind” or embodiment of the corporate entity. Under this principle, it is the corporation itself that remains at fault for wrongdoings to third parties, not the individual directors themselves.

However, a recent decision by the Supreme Court of Canada modifies that concept in a noteworthy way. In Wilson v. Alharayeri, 2017 SCC 39, the court found that in the face of certain claims by a corporation’s minority shareholder, two individual directors were held personally liable to compensate him for the $650,000 in share-value diminution that resulted from a decision they made in their roles on the board of directors. The fact involved Alharayeri, who was the former president, CEO and director of a corporation. Although he had resigned from those positions for unrelated reasons, he remained a significant minority shareholder of a certain class of convertible preferred shares. Alharayeri’s replacement as president and CEO was Wilson,

who also sat on the two-person audit subcommittee of the corporation’s board of directors, along with a person named Black. In their roles on the board, Wilson and Black purported to effect certain changes to the existing corporate share structure, using procedures that were arguably irregular. From a financial standpoint, these changes had the effect of benefiting Wilson and Black as shareholders, while simultaneously diluting the value of the class of shares held by Alharayeri in a significant way. Understandably unhappy with the changes, Alharayeri exercised his rights as a minority shareholder and launched a court claim for an oppression remedy. He specifically named Wilson and Black, who despite their roles as directors were found by both a lower court and

an appeal court to be personally liable for the improper dealing with the shares that resulted in Alharayeri’s losses. The Supreme Court of Canada affirmed those prior rulings. In doing so, it expounded on the question of when corporate directors can attract personal liability for their actions, including those done ostensibly within the ambit of their directorship duties. The court began by confirming that a director was not completely immune from personal liability, nor was such liability confined to situations where he or she acts in bad faith or to advance personal interests. Rather, the assessment of whether an oppression remedy should be granted to the objecting party calls for a two-pronged approach. Specifically, the court must evaluate whether:

1. The oppressive conduct is properly attributable to the director because of his or her implication in the oppression; and 2. The imposition of personal liability on the director is “‘fit”’ in all the circumstances. Looking more closely at the second question, as to the fitness of the remedy, the reviewing court must consider certain additional principles, including the overall fairness of the remedy imposed, its effect on other security holders and whether it goes farther than necessary to rectify the injustice to the shareholder(s). The court must also consider the nature of the director’s breach, as well as the reasonable expectations of the objecting shareholder (or other party bringing the claim for a courtContinued on page 16

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THE POWER OF BLUE © 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. Not intended to solicit brokers under contract.

16 REM NOVEMBER 2017

eXp Realty’s brokerage in the cloud The agent-owned, cloud-based system has started making inroads in Canada. By Sohini Bhattacharya

n late 2008, when the housing market crashed in the U.S., Glenn Sanford, founder, chairman and CEO of eXp World Holdings, decided it was time for a paradigmatic shift in the real estate industry. With years of success since 2002 in the online real estate space, Sanford says he recognized the “perfect storm” to be his opportunity to rewrite the brokerage business model. In founding eXp Realty in 2009 he asked his team to not come into the office the next day, and moved to a borderless cloud office where agents, brokers and staff could learn, network and transact business daily in a collaborative, cost-effective and productive way. Under the banner of its publicly traded holding company, eXp World Holdings, Inc. (OTCQB: EXPI), eXp Realty is a 3D virtual space that provides agents with 24/7 tech support and access to training, marketing and lead generation tools and networking. The company believes it makes affiliating to brick and mortar brokerages unnecessary. Because of eXp Realty’s low overheads and an aggressive revenue-sharing and equity ownership model that “pays agents a percentage of gross commission income earned by fellow real estate professionals who they

attract into the company”, according to their website, its growth trajectory rocketed to 2,000 agents by fall 2016. In 2014 the company was introduced in Canada by Calgary’s Urban Realty Group. This year it expanded to Ontario. Toronto-based broker of record John Lusink, who has more than 27 years of real estate experience with major brokerages, has been appointed regional vice president of eXp Realty’s Canada Brokerage Operations. “In the traditional model of brokerages, there are 200 to 300 agents at least under each of the big brand names. The quality tends to suffer and Realtors get lost,” says Lusink. “They’re charged heavy franchise fees. But this is not the case at eXp Realty. There is a real sense of community when you attend agent-facilitated meetings in their virtual auditorium space.” Lusink joined eXp Realty in May 2017. Although he started with no agents, currently 15 Ontario agents have signed up, and six are in the process of onboarding. These include sales reps from Toronto, London and Ottawa. Calgary boasts 30 eXp Realty agents and Edmonton has three. Signing in to this virtual world, called eXpWorld, feels

much like walking into a university campus, only online. In a video game environment, agents can customize their avatars from the colour of the hair to their shoes. The 3D immersive experience, however, functions as a real estate ecosystem that includes brokers, corporate staff, high-performing agents who lead coaching and training sessions, interactions with top-selling teams across provincial and state lines, and all the documentation needed to maintain compliance and regulation. The cloud brokerage comes complete with an “open air” welcome area where agents walk in and ask for help. They can choose between multiple training and meeting rooms to sit in, tech support and computer labs, a productivity centre, a transaction room, a human resource centre, peerpeer groups, mentoring sessions and even a soccer field. With the press of a spacebar, agents can look around the space to get introduced to others present in the room, or even do a celebratory cartwheel for an earned commission or accolade. The software is equipped with a place where seasoned avatars offer their assistance. A microphone-enabled chat box allows participants to message each other and an interactive campus

Directors could be... Continued from page 14

imposed remedy). Finally, the court also added that the remedy cannot be granted as a means of augmenting a lack of available statutory relief; nor can it be aimed at vindicating family or personal relationships or at serving a purely tactical purpose. Applying those principles to the facts at hand: As the only members of the board of directors subcommittee, Wilson and Black had significant influence over the board’s decision to modify the shares, which not only benefitted them personally,

but also adversely affected the value of Alharayeri’s shares. It was therefore fit to impose personal liability on them in these circumstances, to the tune of $650,000 in losses that Alharayeri had demonstrably endured. The court confirmed that this was a fair way of rectifying the oppressive conduct, while going no further than was necessary to satisfy Alharayeri’s reasonable expectations. This decision by the Supreme Court of Canada marks an important development in the law relating to directors’ per-

sonal liability in connection with the oppression remedy and refines our understanding of this key component of Canadian corporate law. Toronto lawyer Martin Rumack’s practice areas include real estate law, corporate and commercial law, wills, estates, powers of attorney, family law and civil litigation. He is co-author of Legal Responsibilities of Real Estate Agents, 4th Edition, available at the TREB bookstore and at LexisNexis. www.martinrumack.com REM

Jason Gesing

John Lusink

map facilitates navigation within the ecosystem. Lusink says that with the spread of AI systems across all industry sectors, menial jobs will be the first to be compromised. Critical skills that will sharpen the human edge in real estate are that of leadership, training, negotiating, relationship-building and strategy, he says. eXp Realty’s focussed online community is one where “agents don’t have to worry about the noise element of working in brokerages, or filling out administrative paper work. They can access a comprehensive schedule of meetings or training modules listed on the eXp World website, and based on their need, find and go to rooms that will be the most-effective use of their time,” he says. The company claims to support agents at all levels of business from entry level to veterans in the field and independent brokers to teams. It provides them with branding, marketing and advertising tools necessary for lead generation. Agents have full access to Google Suite for Business and can choose between lead generation platforms Kunversion or CINC internet marketing. They can integrate and customize their WordPress websites and MLS systems, enable video-hosting and run AdWords campaigns. The operational costs for agents to sign up include a $113 start-up fee, $99/month tech fee, $479/year eXp University tuition and $29 broker review fee (GST applies to all costs). Every year the company hosts an annual convention at a physical location, where agents are recognized

and celebrated for their achievements and get the chance to meet the faces behind the online avatars. Jason Gesing, the Bostonbased CEO of eXp Realty, says the ideal profile of an eXp Realty agent is that of an entrepreneur who isn’t reliant on the brand of the brokerage for their success. “Our agents are willing to experiment with leading technology and have the mindset of a being a shareholder in a company. They have the requisite leadership, talent and expertise needed to drive their own success,” says Gesing. “Prior to joining eXp Realty in 2010, I owned an independent brokerage and did a lot of transactional work on the commercial side of real estate,” he says. “What that meant was that each day, I was driving to downtown Boston from my home, which on weekdays takes over an hour one way. My kids were very young at the time and there were many days when I wouldn’t see them because they were asleep by the time I got home. At the same time, fewer people were coming into the office every day.” Looking back, Gesing found the decision to sign up with eXp Realty a no-brainer in lieu of the rising operational costs and expenses associated with a brokerage. “With eXp Realty, my clients didn’t have to pay more than they needed to, to cover my overhead expenses,” he says. The company expects to surpass 5,000 agents this fall. In August it announced Q2 revenue earnings of $39.6 million, which was up 198 per cent from $13.3 million in Q2 2016. REM

For us, real estate isn’t work ... it’s our passion. That’s why we don’t operate in offices, but in our signature shop locations. Whether in Toronto, Ottawa, Barcelona or Brussels, you’ll recognize an Engel & Völkers shop when you see one. White façades and large windows are designed to showcase beautiful real estate exposés and draw visitors in as they dream and explore the idea of a new home. On streets around the world, our shops are an expression of our passion for real estate and a shared commitment to support our real estate advisors to provide premium service to their clients at every price point. We invite you to drop in, browse and see what a future at Engel & Völkers might hold for you.

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.

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.

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20 REM NOVEMBER 2017

The unreal stories of real estate agents By Debbie Hanlon

dd as it sounds, and as hard as it may be to believe, there are real estate agents among us who specialize in selling properties that nobody wants to buy. What makes these places so hard to even get people to step inside them is what happened inside them – usually tragedy or crimes that make it really tough to think of the place as home sweet home. For instance, Jeffrey Dahmer’s former home in Ohio should be a breeze to move. It’s a lovely home, well maintained, in a good neighbourhood with large rooms and modern amenities. It’s 2,170 square feet with a nice yard for those with an interest in gardening, although on second thought,

it might not be a great idea to go digging in that yard. Yet, all in all, the asking price of $329,000 seems quite fair. Some might even consider it a bargain. Now there is one small point that full disclosure makes sure everyone knows – Dahmer murdered his first victim inside that house. Kind of takes the shine off the welcome mat, doesn’t it? Sometimes I think of the great stories those Realtors could tell about the days they’ve had and the deals they’ve done. Usually it’s when I’m struggling to keep a deal of my own together to remind me that things could be worse. “At least I’m not trying to sell Jeffrey Dahmer’s house” is sometimes the only thought that keeps me going. Not that I haven’t heard and lived my share of horror stories, which are just a part of doing the job of a real estate agent. Like every salesperson, I’ve been through stuff that people who aren’t in this game wouldn’t believe, let alone understand. And we all get together at staff

parties and industry events and tell war stories about our lives in the real estate trenches. You know what else we do? We laugh at those stories. It’s like therapy really. If we didn’t laugh, we’d climb up on the roof of the highest house we have listed and jump off. The number of hoops we must jump through while carrying clients, the details we have to make sure get done, the personalities we must massage, the egos we must stroke, the clients we must talk off ledges and the obscure laws we have to know and adhere to would drive a normal person around the bend before lunch. Luckily, we’re not normal; we’re Realtors. After the dust settles, the smoke clears and the docs are signed, what we had to go through to reach that point becomes a new story we’ll tell and laugh while we do. In my own experience, a story comes to mind of a showing that ended up showing a lot more than expected. That’s the danger of

having the keys to other people’s homes. Today it’s easy to get in touch with clients but not long ago if you didn’t reach them for a showing before you left the office, you didn’t reach them at all. So, when you got to the door of the house with your buyers, you had no idea of what was waiting behind that door. For me it was two naked men. My elderly clients probably still haven’t gotten over the shock. That’s nothing really compared to other stories I’ve heard. One of my salespeople went on a showing once and, upon opening the master bedroom door to show the nice-sized room with ensuite, she discovered the homeowner dead in his bed. Needless to say, the deal died shortly after. It’s these stories, which are funny, shocking, maddening and more that I want to collect. And that, my friends, is where you come in. Send me your best real estate story, be it good or bad, and I’ll include it in my book with full credit given to you. It’s a way for

all of us to share common experiences and gain insight for others who may be going through something similar. It will be therapy for all the shocks and fools we suffer every day. Send in your story and we’ll roll them out. If nothing else it will remind us that no matter how bad our days or deals are going, there are others out there who have survived worse. And who knows, maybe it will help us get what we want more than anything else – closure. Debbie Hanlon is a real estate broker who has helped train hundreds of sales reps and brokered and managed a national real estate franchise. She also founded an independent real estate firm. Currently she coaches sales reps all over the world. She is the CEO of All Knight Inc, a global educational mobile company, as well as a published children’s author and the creator of the national I’m No Bully Show. www.facebook.com/missdebbieandfriends REM

What is Success in Real Estate?

by Sandy Casella, Mississauga, ON Recently, after the Craig Proctor Toronto SuperConference in August where I was a guest on a couple of â&#x20AC;&#x153;Superstarâ&#x20AC;? panels, I received an email from an agent who attended that said, â&#x20AC;&#x153;Someone came up to me on Sunday and said he went online and checked your production, sort of as proof of the system working for you, and while not bad, certainly not the kind of production he was expecting for someone who runs a team and claims huge success with Craigâ&#x20AC;&#x2122;s system.â&#x20AC;? I will admit when I first read the email, I laughed, I then got a little upset and then I got to thinking, what is success? I think this personâ&#x20AC;&#x2122;s question is a fair one and should make all of us look at what our definition of success is. Anyone who knows me, knows I put an incredible amount of pressure on myself to succeed and that I am never truly happy with my production. So what is success? Is it strictly the amount of money one makes or is it more than that? All of us need to decide what success means to us and then go achieve that success. None of us should be striving for success as defined by anyone else but ourselves -- not our parents, or our spouse, not our siblings and certainly not our competition. What does success mean to me? I will say that I have a long way to go to achieve what I would consider success, and that is in no way downplaying what I have already achieved. Would others consider where I am right now to be a â&#x20AC;&#x2DC;huge successâ&#x20AC;&#x2122;. Maybe not. Do I make millions right now?

Absolutely not. However, I have never said that I do. I have been honest on any of the panels that I have been on in saying that before joining the Craig Proctor System I had been in the real estate business for 23 years and had bounced back and forth between about $60K and $150K and had never been able to get above that amount. In my second year in the system my GCI was $335K and then last year $420K. Going from $100,000 to $400,000+ in 3 years, I consider a huge success, but what I consider an even bigger success is what follows. n In the 3 years since joining Craig Proctorâ&#x20AC;&#x2122;s system, I have been able to donate over $30,000 to various causes.

Most of my very best friends are people in the Craig Proctor system. These are people that share in my successes, help me along the way and more importantly constantly inspire me to do better every day. n I have amazing mentors in this system who I believe truly care about where I am headed and are committed to helping me and others. n I have travelled more in the past 3 three years than my entire 54 years on this planet, including an amazing trip to Italy earlier this year with 2 of my children where I was able to share in the joy of my son getting engaged. n I was able to inspire my daughter when she needed it by sending her to a private school

because I could finally afford it. Further to that, she will finish college without debt because I can afford to pay for it so she doesnâ&#x20AC;&#x2122;t have to incur student debt. She is living in an investment property I bought so she doesnâ&#x20AC;&#x2122;t have to live in residence all the while taking a program she loves. n I have completely renovated an entire house, inside and out. n I get up every day challenged to do better, challenged to help change other peopleâ&#x20AC;&#x2122;s lives. Doing what I do because I truly want to help others achieve wealth through real estate. I want to help families create memories in their homes not just sell a house so I can pay my bills. n I no longer feel sick to my stomach every January wondering how I am going to get through another year, wondering if I will make enough money to pay my bills. Am I satisfied with where I

am? No. Am I proud of the person I have become? Absolutely. My hope for everyone who joins the Craig Proctor System is that you will define your own success and be proud when you achieve it. Whether that is building a big team or little team. Whether that is being the best husband and wife team, or parent/child team or being a great solo agent and having what you consider to be a great business and life. Lastly, I will admit that a few short years ago, having someone question my â&#x20AC;&#x2DC;successâ&#x20AC;&#x2122; would have devastated me. It would have made me extremely self conscious and depressed. But today, I am truly proud of the journey I am on, and no matter what happens from here on in, no one can take away the person I have become today. This is what the Craig Proctor system has given me, and yes, I consider it to be a g successâ&#x20AC;? . â&#x20AC;&#x153;huge

Read More About Successful Agents Like Sandy at LessEffortMoreMoney.com Real success in any business means not only healthy earnings, but also time off to enjoy life. The factt iis, hhowever, thatt mostt Ca Cana nadi di

entire lifestyle in pursuit of success and, ironically, instead of gaining more freedom, they become slaves to their real estate business. If you donâ&#x20AC;&#x2122;t have a real business system, you donâ&#x20AC;&#x2122;t really have a bu busi sine ness ss at at al alll. W Wha hatt yo youu ha have ve inst in stea eadd is a â&#x20AC;&#x153;jo jobâ&#x20AC;? b , an andd fo forr ma many ny, itâ&#x20AC;&#x2122;s a really bad job: one that consumes your time, keeps you away from friends and family, and doesnâ&#x20AC;&#x2122;t pay enough. Even though you work so hard, itâ&#x20AC;&#x2122;s just so random. Some days you win. Some days you lose. The fact is that agents leave ourr in ou indu dust stry ry iinn dr drov oves es, no nott be beca caus usee theyâ&#x20AC;&#x2122;re not great at working with clients, but rather because they donâ&#x20AC;&#x2122;t have enough clients to work with. They donâ&#x20AC;&#x2122;t have enough leads, properly follow up and thus convert their leads,, theyy donâ&#x20AC;&#x2122;t know exactlyy why h th they wiin or lose a lliistiting. Even though they work very hard, too much is left to chance. Trying to â&#x20AC;&#x153;do it allâ&#x20AC;? without a clear understanding of what works and what doesnâ&#x20AC;&#x2122;t ultimately sows the seeds of failure for many.

MUST be based on solid systems. In real estate, that means a system to ggen ener erat atee le lead adss, a ssys yste tem m to ccon onvertrt ttho ve hose se llea eads ds, an andd a sy syst stem em to to ing clients. Every successful business in the world, from McDonalds to Amazon to FedEx, is based on proven and duplicatable â&#x20AC;&#x153;systemsâ&#x20AC;?, and the agents who achieve success in our our iind ndus ustrtryy ha have ve ddon onee so oonn th thee

business systems. Mississauga, Ontario agent Sandy Casella above, and of multiple other agents you can read about at LessEffortMoreMoney.com, creating

ness ne ss is is ce certrtai ainl nlyy po poss ssib ible le, re rega gard rdle less ss of whether youâ&#x20AC;&#x2122;re a brand new 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.

the same reall esttatte systtem as being th i responsible for their success: The Ultimate Real Estate Success System pioneered by Canadian Real Estate Coach Craig Proctor. Not only is Craig Proctorâ&#x20AC;&#x2122;s real estate system responsible for more

Millionaire Agents than any other coach or trainer, but Proctor was a highly successful AGENT himself forr mo fo more re ttha hann 20 yyea ears rs rrig ight ht hher eree in C Can anad adaa. As As yo youu ma mayy kn know ow, 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 th an Pro Proct ctor or ddid id. (S (Sou ourc rce: e: TRE TREB B Stat St atis istitics cs)). N Noo on onee in C Can anad adaa ha hass sold more homes than Proctor has, and by sharing the system he

banker or investor or new partner or key associateâ&#x20AC;Śa plan you have rea whyy wo wh woul uldn dnâ&#x20AC;&#x2122;tt you you exa exami mine ne P Pro roct ctor orâ&#x20AC;&#x2122;ss Ultitima Ul mate te R Rea eall Es Esta tate te Suc Succe cess ss System â&#x20AC;&#x201C; for free? For a limited time, you can have a â&#x20AC;&#x153;sneak peekâ&#x20AC;? at what your real estate business could look like by attending Proctorâ&#x20AC;&#x2122;s upcoming Free Discovery Day (see Less Le ssEf Effo fort rtMo More reMo Mone ney. y.co com m foor deta de tailils) s). Ye Yess, C Cra raig ig Pro Proct ctor or w wililll openly share with you how he became Canadaâ&#x20AC;&#x2122;s top agent. Learn

â&#x20AC;&#x153;If you donâ&#x20AC;&#x2122;t have a real business system, you donâ&#x20AC;&#x2122;t really have a business at all. What you have instead is a â&#x20AC;&#x153;jobâ&#x20AC;?, and for many, itâ&#x20AC;&#x2122;s a really bad jobâ&#x20AC;? 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 att th the expe pens nsee off hhiighh lilife festyle costs. 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

from a real doer, not a talker. Craig will share â&#x20AC;&#x153;real Canadian real estate strategiesâ&#x20AC;? with you that actually work. No theory, ideas or motivational hype. At this 3 hour meeting Craig Proc Pr octo torr wi willll sspi pillll tthe he bea beans ns and and ssha hare re with you exactly what to do and what it takes to be a Super-Successful Real Estate agent in Canada. For more information, visit: LessEffortMoreMoney.com n n n

MILLIONAIRE AGENT-MAKER DISCOVERY DAY: Responsible for the Biggest Success Stories in the Industry

Full City Schedule at: LessEffortMoreMoney.com

22 REM NOVEMBER 2017

Peak Realty’s low-cost model spreads the brand But don’t call it a franchise, say father-and-son owners Paul and Lee Ruby. By Susan Doran

“W

hat’s the catch?” is often the first question asked by broker/owners who’ve been approached by the Peak Real Estate Network in its intensifying efforts to expand its brand. “There isn’t one,” says Paul Ruby. He’s the founder/owner of the network’s flagship company, Peak Realty, an independent brokerage based out of Waterloo, Ont. It’s a neck of the woods popular with tech and software companies, university students and a thriving Mennonite community. Ruby started Peak Realty in 1989. It now has nearly 180 sales reps spread across its various offices and is one of the leading brokerages in the Kitchener-Waterloo area, and in Southwestern Ontario in general. In the past few years the operation’s reach has expanded, accelerating its momentum to

include a unique system of “licensee” brokerages (it currently has 15 of these) in the surrounding areas and beyond, which has brought the total number of agents under the Peak Real Estate Network umbrella to around 270. The brokerage has been spreading the brand by granting licenses since quite early on. But it only began to go full-steam-ahead in recent years after Paul’s son, Lee Ruby, a former radio producer/ writer/host, stepped into the business to guide it emphatically into growth mode. To this end, Lee, a licensed real estate sales rep, heads up Peak Resources, which oversees licensing and expansion efforts. John Dietrich is the Peak Realty broker of record and Jason Bunker is broker/manager in the Kitchener office and is active in training and mentoring under the Peak umbrella.

Owner Paul Ruby is still actively involved in the business. But as he explains, “I’m officially a senior. I enjoy golf. In the last few years, I’ve been slowing down, waiting for the next generation to come in and grow things...Now we’re actively working to grow the brand, hoping to go across Canada. “Our growth strategy is to make everyone aware of who we are and what we do.” And here’s the thing – it has become clear that when first approached, many potential Peak Real Estate Network licensees assume that the pay scheme is too good to be true. As Paul and Lee Ruby explain it, that’s because owners pay only an annual fee. Period. No additional costs (other than the usual unavoidable startup costs such as insurance and getting incorporated). No buy in. No royalties. No brokerage split. No

OREA calls for new continuing education program Provincial organization says the current program is failing Realtors and consumers he Ontario Real Estate Association (OREA) wants to see an overhaul of the Real Estate Council of Ontario’s (RECO) mandatory continuing education (CE) program. “Continuing education is an important part of maintaining high professional standards in the real estate industry,” says Ettore Cardarelli, president of OREA. “The current system is failing Realtors and consumers. It’s time for a new vision.” RECO took over continuing education in 2013 and moved the program completely online. Since then, the quality of the courses has deteriorated, says OREA. “Content is infrequently updated and puts too much emphasis on convenience over important industry information. There is also no pass or fail requirement for the CE program, meaning a registrant could answer every question incorrectly and still make it through the course.” The OREA REBBA Review Taskforce is asking for feedback on several proposals, including: • Enhancing the program by putting CE in the classroom • Making the CE program pass/fail • Requiring CE exams that are taken in person at an approved testing centre • Allowing colleges, universities and third-party providers universities to offer RECO-approved courses OREA is releasing four white papers designed to encourage member discussion and feedback, which will inform the final recommendations that OREA presents to the government. Members can go to www.REBBAreform.ca and submit feedback. REM

Paul and Lee Ruby (Photo: Ben Lariviere)

additional cost per agent. And there’s another detail that may pique people’s interest. “Our annual cost per license, regardless of how many salespeople you have, is less than a single salesperson would pay to (most brands) per year, and that’s before their split and additional fees kick in,” says Lee Ruby. “There is no other deal out there like ours. Our focus is to offer more for less.” He and his father don’t call their company a franchise. “We refer to ourselves as a network,” says Lee. “We don’t think franchises are a bad thing. We understand the value of a franchise. We just think we have found a better way…There can be high or hidden costs with a franchise, strict rules and guidelines, and high initial costs that can put people a huge step behind out of the gate. “We firmly believe in keeping our costs down, benefits high, flexibility and keeping much more money in our people’s pockets. This promotes longevity and benefits everyone.” He continues: “It’s all about brand. Our flagship company and brokerage Peak Realty gives us a strong brokerage as a foundation….The value is already here and this allows us to create a model that is hard for others to replicate, value without high cost…We have the franchise-like benefits, without being a franchise.” These benefits include “a full safety net” with technical/web, administrative and training opportunities and supports at no extra cost, he says. “We are with you every step of the way. We are happy to help you adapt to your area and let you have the wheel. We see ourselves as the

passenger who helps navigate. Becoming a member office allows you to operate your office on your own terms….We encourage our people to tell us how they feel things should be run and we provide advice and suggestions to allow them to operate as effectively as possible.” Technological advances such as the internet and the resultant savings factor significantly into the firm’s ability to streamline operations for greater efficiency and to pass these savings along to member offices. Many supports can be offered online, fewer layers of management and less legwork are needed, and agents now have the option of working from home when they wish, for example. As for what the Peak Real Estate Network is looking for in its licensees, both father and son stress the importance of ethics. “Dad says, why get married if you are just going to get divorced?” says Lee, laughing. “So, we are looking for people we will get along with – people with good morals, who are kind and easy to deal with. We are trying to prevent headaches. We encourage people to ask as many questions as possible.” In typical Ruby family fashion, potential licensees are approached ever so politely and patiently. “The last thing we want to do is rush someone,” says Lee. “We are stress free, no pressure and simply looking for a fit. Some people I have been in touch with for two years. We keep the lines of communication open. “We want to go global, but getting across Canada is the first hurdle. We know it won’t happen overnight.” REM

24 REM NOVEMBER 2017

he Toronto Real Estate Board (TREB) says implementing a vacant home tax in Toronto would be “premature” and “poses legal and ethical questions about the government’s ability to undermine private property rights.” The board says, “Not enough empirical data has been collected to support the merits and enforcement tools of such a tax.” As part of the provincial Fair Housing Plan in April, the province is allowing the city to introduce a vacant homes tax to increase the supply of rental housing. “At this time, it is not clear that the issues targeted by a vacancy tax are fully understood, nor is it clear how effective such a policy would be, or if it would have unintended outcomes that run counter to the stated City goal of increasing rental supply,” says

TREB in a statement. “The administrative challenges of running this program, including the approach for identifying vacant homes (e.g. a mandatory system, a self-declaration by owners and/or a complaints-based model) are overwhelming. In addition, a vacancy tax could possibly result in a net loss to the City’s budget when program start-up costs of $5 million and $700,000 net annual revenue are factored into the equation (if we look at the Vancouver statistics).” Vancouver adopted its Empty Home Tax in 2016. ■ ■ ■

Lee Newton has been selected as the WinnipegRealtors Citizens Hall of Fame 2017 inductee. Newton, who died in 2014, started Winnipeg Harvest in 1985 on her 33rd birthday. The non-

profit food bank now feeds thousands of people each month through an army of volunteers. “In many respects I see Lee Newton as a social entrepreneur, an inspirational one at that, where she identified a real community issue – hunger,” says Cliff King, chair of WinnipegRealtors. “After seeing a documentary in the early 1980s about a food bank in New York, her eureka moment came and she did something about it. She approached the solution in a very pragmatic way since there was so much waste in all the surplus food that was being thrown out throughout the city. “Far from just providing her food for thought, Newton germinated the seed of this idea and put her vision into action. Today Winnipeg Harvest distributes 12 million pounds of food to more than 340 agencies per month and feeds nearly 64,000 people across Manitoba, almost half of which are children,” says King. ■ ■ ■

The Association of Saskatchewan Realtors (ASR) says it will complete its contract as the Saskatchewan real estate education provider in late 2018, after the University of British Columbia’s Sauder School of Business, Real

Estate Division (UBC Sauder) was named the new real estate pre-registration education and mandatory continuing professional development (CPD) provider with the Saskatchewan Real Estate Commission. The ASR has been the primary provider of real estate education in the province for over 30 years, offering both CPD and pre-registration education. The ASR says it “sees the change as an opportunity to focus on member needs, to enhance professionalism and will now begin working on a new strategic plan for the future of ASR education.” ■ ■ ■

Realtors from Chatham-Kent Association of Realtors helped celebrate the first anniversary of Positivity Day recently. They donated more than 500 books to the community through their Little Free Library. “This was an initiative that began as a way to take part in a larger community-wide event,” says association president Kristi Willder. “Chatham-Kent is a great place to live and we know there are many people in our community who feel this way,” said Darrin Canniff, co-chair of the citizen group that organized Positivity Day. “So, we decided it is time to band together to give a united voice to the significant population of positive people who live in Chatham-Kent.” ■ ■ ■

Chatham-Kent Realtors Brandice Smith, Tricia Weese and Tim Cummings, along with Captain Positive and some helpers, donate books to the Little Free Library.

Amy Erixon speaks at the Commercial Emerge Conference in London.

From left: Rob Campbell, Allyson Palaschuk from Made by Momma, Aneve MacKay-Lyons, Christine McIver of the Kids Cancer Care Foundation of Alberta and Abe Brown from Inn from the Cold.

From left: CREB Charitable Foundation president Rob Campbell, manager Aneve MacKay-Lyons, governors Sharon Bercuson and Murray Scotton and immediate past president Adrienne Moul.

The CREB Charitable Foundation of the Calgary Real Estate Board (CREB) donated $300,000 to three local charities at its 30th anniversary celebration. Inn from the Cold received $125,000, the Kids Cancer Care Foundation of Alberta was granted $100,000 and Made by Momma received $75,000. Aneve MacKay-Lyons, CREB Charitable Foundation manager and 30th-anniversary celebration emcee, says this year’s celebration was about honouring its member Realtors. “Over the last 30 years, our superhero members have been at the heart of our community investment initiatives,” she says. “Through their efforts, they’re not only benefitting community organizations, but are making life more manageable for many local

individuals and their families.” ■ ■ ■

On Wednesday, Nov. 8, Realtors Association of HamiltonBurlington (RAHB) and Canada Mortgage and Housing Corp. (CMHC) will join for the first time to present Real Estate Outlook 2018. The event at Hamilton’s Liuna Station “will inform real estate business strategies in 2018 by identifying investment opportunities, consumer housing preferences and how economic, geographic and demographic variables influence housing market trends in the greater Hamilton-Burlington area,” says the board. The event will also feature a panel of industry experts and a presentation on the state of the Hamilton-Burlington housing market by CMHC senior market analyst Anthony Passarelli. For information: rahb.ca/events. ■ ■ ■

In collaboration with OREA, the London and St. Thomas Association of Realtors (LSTAR) held its Commercial Emerge Conference recently, featuring senior industry leaders and influencers who discussed commercial real estate and retail market trends, issues and opportunities impacting southwestern Ontario and beyond. “There was an incredible wealth of knowledge and expertise on display, with one of the most powerful lineups of leading experts involved within commercial real estate,” says John Geha, LSTAR CEO. The conference explored the trends impacting the commercial, industrial and retail sectors, as well as land development trends from several perspectives – North America, Canada, Ontario and regional. The relationship between Canada and the United States was also examined, focused on how foreign tax and the North American Free Trade Agreement affect the major sectors of the market. The conference featured a presentation from Amy Erixon, principal and managing director of investments for Avison Young. Erixon spoke about real estate technologies and their implications on the marketplace and how these emerging areas can be leveraged in the commercial real estate REM space.

26 REM NOVEMBER 2017

Meet the ghosts of Myrtles Plantation This Creole-style home built in 1796 is often cited as one of America’s most haunted houses. Unexplained apparitions are common year-round. By Diane Slawych

hosts don’t wait for Halloween to make an appearance at the Myrtles Plantation in St. Francisville, Louisiana. This Creole-style home built in 1796 is often cited as one of America’s most haunted houses and unexplained apparitions are common year-round. The Myrtles, which is on the U.S. National Register of Historic Places, is a beautiful 22-room mansion with a long wrap-around verandah, decorative wrought iron work and interior features that include a French Baccarat crystal chandelier and Carrara marble mantels in two parlour rooms. But along with the grandeur is an unsettling past. It’s said that no fewer than a dozen people have been murdered in and around the plantation, which was built on a sacred and ancient Tunica Indian burial ground. One of the best-known ghosts is Chloe, a household servant who, feeling she was falling out of favour with her master, Judge Clark Woodruff, baked a poison-filled

cake that killed three members of his family. She was later murdered for the deed and her spirit is believed to still haunt the grounds. Witnesses say she wears a turban on her head while her body appears as a transparent blue mist. According to guides, Chloe is just one of about 12 ghosts on the plantation. Another one is believed to be that of William Drew Winter, a lawyer who lived in the house from 1865 until 1871. Shot by a stranger, he staggered up the stairs for help and died on the 17th step. Over the years, both visitors and employees have reported hearing footsteps on those very same stairs. A tour of the house is filled with spooky sights. For example, a large framed mirror contains hand prints that seem ingrained in the glass. Although the mirror has been replaced several times, the hand prints always return. “These are spirits trapped in the home,” says one guide. Then there’s the case of the mysterious family cat. Photos of the pet were taken regularly, but

The beautiful Myrtles Plantation in Louisiana is one of the most haunted homes in the U.S. (Photo: Amanda Deville)

often when the image was developed, an empty circle appeared where the cat should’ve been. Visitors get to see these photos, as well as hear recordings of various unexplained sounds. Local ghosts apparently also play havoc with media who come to document the alleged haunt-

ings. Various film crews, for example, have said they experienced technical difficulties with their equipment while in the home. With so many ghostly sightings, not to mention beds that shake and broken clocks that tick, it’s not surprising the Myrtles Plantation has been featured in

many books, magazines, newspapers and television shows over the years. The reports of paranormal activities have also made it a popular tourist attraction. The Myrtles is a B&B, so in addition to taking a guided tour of the property, you can stay overnight – if you dare! REM

Broker will pay for clients’ bad plumbing By Yvonne Dick

roker Claude Boiron of Royal LePage Terrequity Realty in Toronto is offering to help clients with their bad plumbing. Boiron is known for coming up with a variety of promotions, including a video of his eight-yearold daughter Belle showing a house. He’s also the author of two real estate books. His most recent offer launched in mid-September, focussing on the Kitec Plumbing recall. If you sell your condo using The Boiron Group and commit to buying another home with them, Boiron’s company will cover the cost to replace faulty Kitec plumbing. Homeowners must assign their right to submit a claim to, and receive compensation from, the Kitec Settlement.

Full details are available on his “Kitec Crusader” website at www.kiteccrusader.ca. There is also a link to the Kitec company’s settlement agreement and forms, for owners who wish to apply for the funds themselves. Introduced to the market in 1995, Kitec offered an economical and attractive alternative to copper piping. It is made of flexible, plasticwrapped aluminium. The fittings are made of zinc and copper. Over time the materials in the plumbing have been reported to degrade. Leaks and burst pipes are reported, especially with water over 77 C. These defects became so farreaching that Kitec created a $125million US settlement fund for repairs or reimbursement. The deadline to claim any funds is Jan. 9, 2020 or if the fund runs out sooner.

“I heard about Kitec from clients and Realtors a few times in recent years,” says Boiron. “Then in early 2017 it really started snowballing. I heard about it as often as a dozen times a month. People who bought condos would complain that they had Kitec plumbing, and now the condo board said it had to be replaced as a preventative measure.” He says, “When you buy a condo as opposed to a house, one reason is that a condo is supposed to be relatively maintenance free. You might have to deal with roofing every 15 to 25 years. But otherwise, you would expect your monthly condo fee to cover anything else. Suddenly condo owners were being asked to come up with thousands of dollars in a short amount of time.” For condo owners to pay an

extra $5,000 to $10,000 to their condo board within 30 to 60 days was a real hardship. Because the pipes affected were coming into units in apartments and condos, most condo boards were not legally responsible for the repairs. However, many boards wanted their homeowners to install replacements throughout entire buildings as a preventative move before a pipe leaked, rather than handling damage control after. “One woman called me and she was saying that she might have to sell her condo because she didn’t know how she could afford to pay that much at once. It was unbelievable, the stories of people so frustrated and afraid,” says Boiron. You can identify Kitec plumbing by its bright colours – orange or red for hot water lines, blue for cold

Claude Boiron

water. It has also been manufactured in yellow, grey, white and black. When looking for Kitec plumbing you may find it near hot water tanks and under sinks. Kitec is also a component of in-floor heating. Buildings affected include condos, apartments, detached houses and REM commercial properties.

REM NOVEMBER 2017 27

Using a mistake to get out of a deal

By Natalka Falcomer

hether it’s in the commercial or residential world, negotiating is always a messy process that leaves copious amounts of room for mistakes. Like forgetting to waive a condition or forgetting to add or delete a term in an agreement. The real issue is not just the fact that mistakes happen, but whether someone can take advantage of this oversight. Can you use a mistake to get out of a bad deal? It’s rare, but the law can be applied fairly and sneaky litigation tactics won’t always work. A recent Ontario decision confirmed that the actions of the parties

Forgetting to waive a condition doesn’t necessarily mean that a deal is dead or that an agreement is void. negotiating a deal may overrule what’s written in a contract. A tenant and landlord entered into an Offer to Lease. There is a condition in favour of the tenant to waive for inspection and a condition in favour of the landlord to waive for financial approval. The deadlines for these conditions have come and gone without anyone fulfilling or waiving these conditions. Yet, the tenant and landlord continue to negotiate the lease terms. In other words, while the legal document – the Offer to

Lease – states that the contract is over, no one acts like the contract is over. During negotiations, the tenant and landlord agree verbally and in vague email correspondence that they’ll not strictly apply their legal rights and agree to carry on the negotiation process. No formal amendments are signed, the tenant starts incurring expenses to renovate the unit and the landlord offers no indication that the tenant doesn’t meet the financial standards outlined as the condition of the Offer to Lease. That’s until the landlord has a change of heart and, without warning, claims that the Offer to Lease is void because neither party waived their conditions within the prescribed deadlines. The evidence in this case is clear: the landlord is attempting to manipulate the law unfairly and use the contract as a litigation tactic. As such, the tenant sues, claiming that the landlord’s actions speak louder than the conditions of the contract and the landlord cannot benefit from such sneaky behaviour. Thankfully, the courts agreed. The lesson learned: Forgetting to waive a condition doesn’t necessarily mean that a deal is dead or that an agreement is void. Rather, if the parties verbally agree and act like the deal is going forward, the deal is still alive. A cautionary note: while this case means that your client won’t be penalized for your oversights that can happen during a negotiation, this doesn’t excuse sloppy work and it certainly doesn’t mean that you won’t end up in trouble before the regulator. 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, hosted and coproduced 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. w w w. g r o u n d w o r k s f i r m . c o m REM

28 REM NOVEMBER 2017

popular silent and live auctions, during the trade fair evening and at pre-conference networking events. The popular two-day motorcycle Ride for Shelter organized by the Royal LePage Riders Club brought in over $11,000 in pledges.

Good Works S

utton Group - Quantum Realty in Oakville, Ont. recently partnered in the Oakville Galleries’ Cocina, a Dinner in Gairloch Gardens event. Guests dined at long tables set among the 15,000 blossoms of Gairloch Gardens and enjoyed a lavish, six-course meal prepared by chefs Grant van Gameren and Chris Brown. The meal featured locally grown and raised food paired with wines from Niagara’s Vineland Estates. For the fourth year in a row, broker of record Tina Gardin contributed $2,500 to become a presenting partner. Proceeds fund accessible, quality educational and artistic programming. ■ ■ ■

Living Realty held a Thanksgiving food drive throughout the Greater Toronto Area, aimed at giving back to the community it has been serving since 1980. A donation station was set up at each of the company’s branch

offices, with two in Markham and offices in North York, downtown Toronto and Mississauga. The brokerage set a goal of 2,000 lbs. of food. In addition to collecting food at their branches, Living Realty has promised to match all food donations with $1 for each pound of food collected. Broker of Record Kelvin Wong says, “We are a family company and take pride in the effect we have on the community around us. As part of that, we want to give back and help those less fortunate than ourselves – and what better time to do that than Thanksgiving?” ■ ■ ■

The Royal LePage Shelter Foundation announced that $50,000 was raised at the Royal LePage National Headstart Conference held in September at Harrison Hot Springs resort in British Columbia. Funds were raised in a variety of ways, including the charity’s

The feast in Oakville’s Gairloch Gardens supports artistic programming.

Members of the Royal LePage Riders Club on their two-day fundraising motorcycle ride ending at the 2017 Royal LePage National Headstart Conference in Harrsion Hot Springs, B, C. (Photo courtesy of rider and Royal LePage president Phil Soper)

■ ■ ■

For the 10th consecutive year, Sutton - Premier Realty and TD Canada Trust hosted a baseball tournament in Surrey, B.C. that brings together real estate industry professionals to enjoy a day of sport and socializing with a charitable component. “Every year, this event keeps getting bigger and better,” says broker Larry Anderson. “We had another great turnout with 12 teams made up of Realtors and brokers from offices throughout the Fraser Valley Real Estate Board.” The winners in the “A” division were the Re/Max Sabre, while the “B” division champions were HomeLife Benchmark Cloverdale. ■ ■ ■

Recently a group representing Royal LePage Country Realty in Athabasca, Alta. participated in Walk a Mile in Her Shoes, an international march raising funds to stop sexual and gender-based violence. The brokerage donated $5,000 towards the event, making it the top corporate supporter. The gift

will be directed to a local program called Thrive, which provides non-judgemental, respectful, inclusive and confidential support to individuals affected by relationship abuse, the company says. ■ ■ ■

The DeLuca family’s haunted house in Whitby, Ont. is back for its fifth year with a full-sized animatronic moving corpse, an electric chair with a prisoner, a monster chamber featuring a live “monster”, an animatronic reaper and more surprises. This annual event began with sales rep Chris DeLuca of Sutton Group - Heritage Realty and his family participating in the Toronto Zombie Walk. “We had such fun dressing up and preparing awesome makeup, then walking through downtown Toronto with thousands of zombies that we wanted to continue the fun on Halloween night,” he says. They staged their first haunted house in 2013 and people loved it. When the Toronto Zombie Walk was cancelled, their house became zombie central. With the event drawing more people each year, they hope to set another record: collecting 600 pounds of food. The house at 29 Robert Attersley Dr. E. in Whitby is open on Halloween night from 7 to 10 pm. Admission is free, but the DeLucas request donations

of non-perishable food items for Feed the Need in Durham. ■ ■ ■

Right At Home Realty staff and agents recently participated in the annual Burlington Appleby Line Street Festival, raising money for ALS Canada. RAH agents including Gino Montani and his brother Jesse Montani, winners of 2015 The Amazing Race Canada, participated in the fun community event. One of the best booths was the RAH Dunk-A-Realtor tank, which made a big splash at the event. ■ ■ ■

Recently Royal LePage Gardiner Realty invited the men of Fredericton, N.B. to participate in their fourth annual Walk a Mile in Her Shoes event. The event premise is simple: men walk a mile in women’s high heeled shoes to raise awareness and funds in support of ending gender-based violence. This year more than 90 men answered the call and collectively raised $24,070 in support of the Royal LePage Shelter Foundation. Since its inaugural walk in Fredericton in 2012, this event has now raised more than $78,000, all of which is directed to Fredericton’s Women in Transition House, a secure home for women and their children who are fleeing abuse. REM

Royal LePage Country Realty professionals present a $5,000 sponsorship in support of their local Walk a Mile in Her Shoes event. Back row, from left: Harmony Lamoureux, Dwight Chernish, Tamara Yurchak, Brian Rabin, RaDell BennettChrusch, Shahira Bury and Ashley Weymouth. Front row: Broker/owner Trevor Yurchak.

Sutton - Premier Realty’s Neru Johal and Rob Christensen sell tickets to a “lottery hat” at the tournament, which raised funds for local charities.

Right At Home participated in the annual Burlington Appleby Line Street Festival. From left: Richard D. Weima, Burlington branch manager); Jesse Montani; Gino Montani, sales rep; and Howard Drukarsh, president and broker of record.

Walkers and organizers at Royal LePage Gardiner Realty’s Walk a Mile in Her Shoes event in Fredericton. From left: sales representative Glenis Mahaney, broker/owner Lincoln Thompson and Dr. Mark McMillan.

Sales rep Chris DeLuca and his family are staging their fifth annual haunted house to collect food and donations for a local food bank.

REM NOVEMBER 2017 29

Finding content and attracting readers

By Mark Brodsky o stay top-of-mind, you must constantly be in touch with your client base. Email marketing and social media are great ways to reach many people quickly; the challenge is creating or finding great, relevant content to share. Few people create all their own content and finding and sharing this content can be timeconsuming. Here are a few ideas for content and four tips to help you save time. There is no shortage of content available to share; you just have to know where to find it. Start with the national and local newspapers, décor sites like Houzz.com or HGTV, your local city’s tourism site for events and your local real estate board. Once you have an idea of the topics your clients are interested in, spend a few minutes searching for keywords and you’ll likely come up with a dozen or more sites from which you can pull content. Remember to give credit to the author and link back to the site, and never reproduce the entire article. Once you’ve found a few sites you like, there are four ways you can have the articles delivered right to your inbox: 1. Google News alerts are your new best friend. Chances are you’ve done a Google search in your lifetime. The default search is for websites, but you can also choose to receive news emailed to your inbox that is relevant to specific keywords that you select. Set up as many alerts as you like and specify the fre-

quency; do you want a daily digest or do you want to receive them as they are posted? I suggest setting up an alert for your own name as well. If someone out there shares your name and is doing something unsavoury, you want to make sure to differentiate yourself. 2. Sign up for email newsletters from organizations that write interesting articles. Any content creator on the web is going to be sending out an email newsletter to help spread the word about what they’re talking about. Their goal is to have their readers share that content. Click on the link that interests you and you cut and paste it onto your Facebook business page, Twitter feed or LinkedIn profile. Facebook should pull in a photo and caption for you. Add a few words about why you think someone would be interested in reading it and post! 3. Follow content creators on social media. Content creators want their posts to be shared. Spend a few minutes to follow magazines, newspapers or blogs you like on social media and all you have to do is go to the site to find some content. 4. Use a news aggregator like Feedly or Flipboard. Sign up for a free account (if you’re on Facebook, Google or several other channels, it’s one click). What these sites do is give you a list of headlines from all the websites you plug into it. Spend a few minutes entering in your favourite sites or keywords and you’ll have more content than you need just by visiting this one site. If you have any questions about finding and using content online, please get in touch. Mark Brodsky has been working with Realtors since 2008, producing monthly newsletters and social media management. Email mark@mbdigitalcommunications.co m. Website: www.mbdigitalcommunications.com REM

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30 REM NOVEMBER 2017

Real estate fees Part 8: More on dual agency By Ross Wilson

n this final column in the series on the controversial subject of real estate fees, allow me to continue addressing dual agency, but from a slightly different slant. People have expressed concern that a sales rep cannot honestly represent the interests of two or more rival parties simultaneously. There may be some truth to this, for the risk of conflict of interest is certainly a possibility. But it all boils down to how the situation is handled. In any case, youâ&#x20AC;&#x2122;re not a secret agent acting for one side or the other. The objective of both parties to the proposed contract is the same â&#x20AC;&#x201C; an agreement. If a dual agent can successfully

Mediation has worked effectively and successfully in many other industries, such as family law, for a very long time. Maybe itâ&#x20AC;&#x2122;s time we officially embraced the concept in our industry. negotiate mutually agreeable terms with full and appropriate disclosure, why should they not be rewarded for their efforts by receiving both commissions â&#x20AC;&#x201C; one for representing each of the two sides? After all, for all intents and purposes, there are two deals involved, a sale and a purchase. When youâ&#x20AC;&#x2122;re doing double duty, whatâ&#x20AC;&#x2122;s wrong with a double commission? Youâ&#x20AC;&#x2122;re worth every penny. Both parties want to reach an agreement, maybe one more than the other. And the one who wants it the most will do the most bending. But if you feel you must reduce, at least wait until youâ&#x20AC;&#x2122;re dealing with real money, when youâ&#x20AC;&#x2122;re working with an offer â&#x20AC;&#x201C; not when you first accept a listing. As

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Iâ&#x20AC;&#x2122;ve said, when you take the listing, itâ&#x20AC;&#x2122;s intangible. Itâ&#x20AC;&#x2122;s merely a percentage of nothing. If you await a sale, youâ&#x20AC;&#x2122;ll have a better idea of the extent of your time, effort and expense required to achieve the sale. Then, when the finish line is within sight, you can make an informed decision regarding your value. As youâ&#x20AC;&#x2122;re probably aware, a double-ending agent can discuss every aspect of the APS with both

tion process can sometimes more effectively arrange a meeting of the minds than two aggressive, adversarial agents trying to outnegotiate the other. While trying to get the best terms for their respective clients, combative agents can sometimes blow the sale simply because their own egos get involved. Everybody wants to be a hero. Mediation has worked effectively and successfully in many other industries, such as

If the public continues to demand lower and lower fees, then it must accept more of the burden of responsibility for risk and marketing expense. parties â&#x20AC;&#x201C; except for price and motivation. Confidentiality is critical in this regard, but to a limited degree, you must remain dutiful to each of your clients. However, in such a multiple agency scenario, your role effectively changes from one of advocate for one party to mediator between two. All parties know and expect youâ&#x20AC;&#x2122;ll essentially be mediating because you obtain their informed, written consent. If either party refuses consent, then one of the parties (usually the buyer) would have to seek the services of another brokerage. Thereâ&#x20AC;&#x2122;s no â&#x20AC;&#x153;Chinese wallâ&#x20AC;? in a real estate brokerage. Sometimes, itâ&#x20AC;&#x2122;s collectively advantageous for the seller and buyer to acquire the agency services of the same expert agent. A mediator handling the negotia-

family law, for a very long time. And it can and does work well, albeit informally, in our business. Maybe itâ&#x20AC;&#x2122;s time we officially embraced the concept in our industry. In the realty world of ever-rising expenses and falling revenue, where will our industry end up? If we survive at all in any recognizable form, I suggest weâ&#x20AC;&#x2122;ll likely evolve into one that may offer a menu from which a seller or buyer can acquire specific services for prescribed fees, possibly paid in advance, maybe set by our associations. Standard procedures could change to reflect a new protocol reality. Maybe homeowners would complete and submit the requisite forms to the brokerage and perform all other services typically provided by a full-service brokerage, with fees varying accordingly.

There would probably be fewer real estate salespeople and brokerages in this brave new world. In any given market, thereâ&#x20AC;&#x2122;s just so much revenue to be generated. To limit the number of salespeople in any particular region, maybe a cap on applicant registrations could be imposed. With fewer participants, the remaining professionals might generally earn a comfortable living. Thereâ&#x20AC;&#x2122;d be no more superstars. Maybe a university degree requirement will facilitate a significant transformation. In any case, thereâ&#x20AC;&#x2122;s no doubt in my mind that our industry is evolving. I mean, think about how we did business not that long ago, before the introduction of computers, the internet, smart phones, flexible commission rates, franchises, independent contractors and government meddling. It was a different era and the future will be too. And consumers will collectively get what they pay for. If the public continues to demand lower and lower fees, then it must accept more of the burden of responsibility for risk and marketing expense. In the meantime, you decide what your own services are worth and charge accordingly. Itâ&#x20AC;&#x2122;s your money. â&#x20AC;&#x153;You must accept that you might fail; then, if you do your best and still donâ&#x20AC;&#x2122;t win, at least you can be satisfied that youâ&#x20AC;&#x2122;ve tried. If you donâ&#x20AC;&#x2122;t accept failure as a possibility, you donâ&#x20AC;&#x2122;t set high goals, you donâ&#x20AC;&#x2122;t branch out, you donâ&#x20AC;&#x2122;t try â&#x20AC;&#x201C; you donâ&#x20AC;&#x2122;t take the risk.â&#x20AC;? â&#x20AC;&#x201C; Rosalynn Carter Ross Wilson, broker with iPro Realty, has extensive experience as a brokerage owner, manager, trainer and mentor. His book, The Happy Agent â&#x20AC;&#x201C; 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

REM NOVEMBER 2017 31

Office tenants focusing on digital connectivity as key to business success The following is paid, promotional content. What do office tenants and companies seeking new office space expect today? High-speed internet and connectivity are high on the list, but not all office spaces are created equal when it comes to businessgrade internet connectivity. Tenants expect their building to be compatible with their company’s technological needs, which is why commercial real estate owners and developers need to provide workspaces that meet the ever-evolving digital needs of companies. This is especially true in Toronto, which has experienced a 33% increase in its tech workforce from 2011 to 2016, according to a CBRE report. It’s not just new tech businesses that are going digital, financial services, life sciences and education are increasingly dependent on technology and the connectivity that powers it. The biggest challenge for office owners and developers is how to communicate their connectivity capabilities so they can attract and keep tenants. The commercial real estate industry has adopted Wired Certification as the global standard to identify office buildings that offer the best-in-class connectivity infrastructure to keep their companies online. Toronto’s most forwardthinking landlords and developers are committing to Wired Certification, the preeminent international platform developed

by WiredScore that rates the connectivity and technological capacity of office buildings. The first Wired Certified office buildings in Toronto will be announced at WiredScore’s Toronto launch event Oct. 26. Until now there has been little information available to Toronto’s commercial tenants about the quality of internet connectivity in office spaces. Landlords can now use Wired Certification to provide tenants with that critical data when evaluating office space. The WiredScore team also helps commercial owners understand and improve the digital capacity of their buildings and works with developers to design superior connectivity for new developments or renovated properties. More than four million tenants in over 1,000 buildings globally trust Wired Certification as the benchmark for connectivity standards. Toronto is the first Canadian city where Wired Certification has launched, WiredScore plans to expand into additional Canadian markets in 2018. “Poor planning, perceived financial burden, and a lack of understanding about how and why tenants leverage connectivity, often limits commercial real estate professionals from optimally catering to companies that demand technological infrastructure to match the sophistication of their essential day-to-day operations,” says Arie Barendrecht, CEO and founder of WiredScore. “Addressing these challenges starts with standardizing how our

industry approaches the building process: with a set of universal guidelines providing the simple infrastructural foresight needed to keep up with the rapid pace of technological advancement in the workplace, both now and in the future. This is why Toronto will benefit from Wired Certification,” he adds. Companies seeking new office space should ask the following questions: 1. What are my telecom needs? Leverage a trusted IT advisor to help you determine your company’s critical connectivity requirements. If your business’s lifeblood revolves around internet usage, you should be able to clearly communicate your speed, reliability and security requirements to your landlord or broker so they can best assess if a building has the tech infrastructure you need. 2. Which telecom providers and carriers are in the building? Ask your broker or landlord what companies service their building. Look for buildings with a wide range of providers because this creates competition between them – which means better pricing and more services for you. 3. What services do these providers and carriers offer? Although large providers might have connectivity to the building, because of the building’s infrastructure, the providers might not be able to offer their full range of services. If your company lives and breathes internet, your best bet is to look for buildings with fiber-based tech ser-

Arie Barendrecht, CEO and Founder of WiredScore

vices. Because fiber is the latest technology available, it is a good indicator of how much the building can support your business connectivity needs. 4. Is my potential office space equipped for optimal service? Even though fiber services might technically be “available” in the building, the office space you are leasing might not be equipped. Your building might say it offers fiber, but in some cases, the fiber cables may not be near your office. Look for buildings with a dedicated telecom closet in your space that has the fiber “pulled” into it already. 5. Is the landlord willing to bring new providers into the building? If you’re business requires internet services like fiber that your building doesn’t offer, some

landlords may be willing to work with your preferred internet provider to build fiber to the building. Ask your broker or landlord if the building is open to bringing in new providers to meet your needs. Don’t be afraid to ask for a specific provider as a negotiating point when securing your lease to make sure you have the internet services your business needs to function. 6. Is the building Wired Certified? One way to streamline the process is to ask your landlord or broker if the building you’re considering is Wired Certified. If the building isn’t Wired Certified, ask your landlord to get certified. Wired Certified buildings are best-in-class in connectivity so you can rest assured the building can support your internet-driven business.

WiredScore is the organization behind Wired Certification, the internationally recognized digital connectivity rating system for commercial real estate that helps landlords design and promote their buildings’ great digital connectivity to tenants. WiredScore launched Wired Certification in partnership with Mayor Bloomberg and the City of New York in 2013. Since then, more than 350M Sq. Ft. of office space has been certified across North America and Europe, including buildings owned by premier landlords such as Blackstone, Brookfield, and Hines. In an increasingly tech-driven economy, connectivity is fast becoming the most critical requirement for tenants when selecting office space. The widely recognized Wired Certification seal is a trusted symbol that identifies buildings that have been independently certified to provide the best-in-class connectivity infrastructure that businesses require to thrive. Over 4 million tenants in more than 1,000 buildings globally trust Wired Certification as the benchmark for best-in-class office connectivity. For more information on Wired Certification or to find Wired Certified buildings, visit: http://wiredscore.com/

32 REM NOVEMBER 2017

Lost lofts and idle offices By Peggy Blair

ello Realtors! You kept me busy with bloopers all summer. Lofts have been getting a lot of your attention these days as selling features, and these listings cracked me up. “Enjoy breathtaking sunsets from this custom 2,700 sq. ft. bungalow with bonus 1,200 sq. ft. loft with own boat slip.” (Not sure how you would ever get the boat to the dock but then again, I don’t sail, so what do I know?) This one made me snort: “2nd floor loft idle for home office.” (I posted it on Twitter and one of my Twitter pals responded, “That’s perfect for me and the reason I should stop working from home.”) Then there was this one: “Fridge in Furnace Rm Loft is irregular size.” I’m not sure which concerns me more; that the loft has a furnace or that the fridge is in the furnace room, but maybe that’s because of the boat slip. I came across this unintentional gem that made me grin: “Consists of 3rd floor Lost with 2 bedrooms and full bath.” Well, I sure hope they find it. It will probably turn up on the island somewhere. Most of the errors that cracked me up involved missing punctuation. Like this recent listing that

Welcome, Matt Santagapita to RE/MAX CENTRE CITY REALTY Inc.! Please join us in welcoming Matt to RE/MAX, the home of the top producers and those that aspire to be! Matt comes to us with over a decade of real estate expertise, and will be gaining his Broker’s license later this year! Along with industry-leading support, Matt chose RE/MAX based on his Broker’s, Carl Vandergoot’s reputation in the industry. Carl is well known for being a leader, an innovative businessman, and a real estate expert known to inspire his associates. Matt’s mission is to lead his team in the communities they serve. He envisions providing his customers with the best experience, from beginning to end, and believes this can be achieved by providing ethical, honest, and quality service. Matt expresses gratitude

to his team, Michelle, Josh, Dale, Jordan, Carlon and Angela for giving him the opportunity to lead them. He also thanks Mary-Anne Gillespie for coaching him and pushing him outside of his comfort zone. We have no doubt Matt will achieve all of his goals with RE/MAX and we can’t wait to help him grow! To learn more about Matt, from his community involvement in London, Ontario to up-to-date industry news, check out his Vlog at SantaKnowsBest.ca Congratulations Matt on your decision to join RE/MAX! Matt Santagapita, RE/MAX Centre City Realty Inc. 675 Adelaide St N, London ON

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featured a “hedged fruit trees shed.” I guess if you want to store your fruit trees somewhere private, this one is for you. Or this one: “Front double car garage heated crown molding.” Now that’s a fancy garage, but I would think heated crown moulding, even inside the house, would be seen as a little extravagant by most buyers. I love this idea of a kitchen “beautifully renovated with granite count.” I don’t know why that makes me think of Transylvania, but if the guy can cook, hey, I’m all for it. Speaking of cooking, @agentottawa Laura M contacted me on Twitter to say her favourite listing typo was “wall scones.” Yumm. The agent who wrote this listing insists: “Please note: current lease ends on August 31, 2018, 2018, 2018.” Okay, okay, okay: we get it. Some agents were anxious to let buyers know there were hardwood floors in the property. Like in this listing: “Hardwood floors lead to the 2nd floor with hardwood floor.” Or this one: “Bedrooms are all HARDWOOD.” Holy mackerel; that’s a lot of hardwood. I’d expect to see a little drywall at least on the ceiling. I love this agent’s salesperson remarks: “All information displaced is believed to be accurate.” Now, that’s a disclaimer. One of my favourites in the category of “I don’t think that

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word means what you think it means” was this listing which advertised that the “sellers just recently installed a terra cotta metal roof.” Here’s another one in the same category that made me laugh out loud: “basement bachelor pad perfect for parents.” Righto. And this one: “just seconds away from the Yatch Club.” I still think one of my favourites has to be this listing: “New roofer and Windows.” I’d love to have a roofer. I don’t care if he’s inexperienced. I’ll put him in the basement bachelor pad with my parents. It’ll be perfect. Speaking of basements, this recent listing made me smile: “Fully finished basement w/ specious 2 bedroom.” (So, it’s plausible, but wrong. Maybe it’s really only one bedroom.) Sometimes people stretch to find a description. Like the FSBO seller who referred to “overflowing natural light”. Ah, liquid sunshine. This recent listing made me wince: “walk-in closet has plenty of hanging space.” And then there was this one that included “widow coverings.” (Not the same house, thank God. Phew.) I came across a listing with a “12 x 12 Porcelain Tile and Eating area,” which left me wondering just what exactly you might consume there. Or how about an “octagonal living room with a toasty wood-burning fireplace,” for those of you who like toasty wood with your porcelain tile. But perhaps the most ambitious listing this summer and the one that made me laugh the most was this one: “Some of the updates include Outside.” 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 peggyblair@royallepage.ca. REM

34 REM NOVEMBER 2017

THE PUBLISHERâ&#x20AC;&#x2122;S PAGE

By Heino Molls

MARKETPLACE

fter all these years I have concluded there arenâ&#x20AC;&#x2122;t a lot of things related to the real estate profession that are set in stone. There never have been. Things change in this business and they can change rapidly. Only a few things have not changed in over 30 years. Here is one. To be a good real estate agent is not exactly rocket science but it sure would help if you were a rocket scientist. For example, a homeowner might buy a super expensive furnace filter with thick ripples to prevent even a tiny smidgen of potential bacteria from entering the household

The minority makes the money because he saw it on a TV commercial. A good agent might gently advise the homeowner that a filter as thick as that can make the furnace work so hard that it may not function properly and break down. A standard filter, which is also cheaper, may be just as effective and keep the furnace running smoothly. Not rocket science but an awareness most people donâ&#x20AC;&#x2122;t carry. Being a good agent is not something that is acquired after many years of scholastic study and it is not something that demands great physical strength. For example, it probably would be helpful to be a psychologist in real estate but even a person with that kind of formal education may not be able to extend the kind of empathy needed to console a person leaving their home after 40 years of raising a family and leaving the only community they have ever known. Not psychology but an ability

most people would never have. A good agent does not have to be a chartered accountant but they can, for example, present what is real to a person who is in Fantasyland about the value of their home. They can do so without damaging the ego of the person wanting to list their $500,000 home for a million dollars. Not just accounting skills but rather those of presentation, logic and plain-speaking explanation. Again, an ability most people donâ&#x20AC;&#x2122;t have. During any given day a good real estate agent will be expected to review property and provide an accurate assessment of its value. A good agent will spend time on promotion by analyzing the potential, studying the possibilities, choosing the best venues and executing a marketing plan that will be effective and smart. This is an ability most people think they have but few really do.

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If you are good at this business, you must also be good when it comes to administration, the rules and especially the politics. It is no secret that a smaller number of agents do the most business. That means the majority of real estate agents in Canada are not making as much money as this special minority. We can argue over the numbers and percentages until the cows come home. Some say 20 per cent of real estate agents are doing 80 per cent of the business, some say it is more like 40 per cent are doing 60 per cent and some even suggest 10 per cent are doing 90 per cent. For me, it is not an anomaly. It reflects the fact that the skill set of a good real estate agent is not something everyone can develop. It is why so many do not last. Many try to become as successful as those they see driving luxury cars, wearing luxury

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suits and living luxurious life styles. Everyone wants that, everybody wants to be that. But not everybody can. One of the many wise people in our real estate business community told me that the great attraction of this business is that one can still enter it with a relatively small investment and they can realize a large return. But when you enter this business you must bring wisdom. You must be smart. You must choose the right franchise to align yourself with, you must approach your profession with reasoned thought and you must apply skill, empathy and above all, awareness to your craft. It is only then that you might be part of the minority who makes the most money. It is a great aspiration and it is a great dream to have. Heino Molls is publisher of REM. Email heino@remonline.com REM

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