August 2016

Page 1

Issue #326

August 2016

How B.C.’s self-regulation failed Page 3

Gurinder Sandhu resigns as Re/Max Integra EVP Page 3

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REM AUGUST 2016 3

How B.C.’s self-regulation failed Lack of clout and culture, combined with a dose of politics, has stripped B.C.’s real estate industry of the privilege of self regulation By Jean Sorensen

B

.C. Premier Christy Clark has stripped the Real Estate Council of B.C. of the privilege of self-regulation and a report by the council-appointed Independent Advisory Group (IAG) points to a lack of clout and culture as two main reasons the system failed. The controversy started with stories in the Globe and Mail reporting on shadow-flipping, Realtors allowing foreign buyers to use their addresses to avoid taxes and an agency urging homeowners to low-ball their house price to expedite a sale. The stories claimed Realtors were failing to protect client interests and the council was not regulating real estate agents.

The day after the IAG issued a 64-page report on how to improve the council, Premier Christy Clark nixed industry self-regulation, claiming it didn’t work. She said a newly structured Office of the Superintendent of Real Estate Brokers would implement the report’s 28 recommendations. But the IAG report points to a critical shortfall. It found that the council was “significantly limited” in its ability to apply financial penalties under the powers granted by government when it received self-regulation rights in 2005. “These are outside of the council’s control because they are set by government. The Real Estate Council has been asking for sever-

al years to have these penalties and sanctions increased and for government to enable them to have more discretion and flexibility to apply them, but few changes have been made,” the IAG report said. Vancouver Island Realtor Marty Douglas, who once served as council chair, says government inactivity played a role in the situation. “The government has to acknowledge itself for some of the blame,” he says. “The council had been asking for amendment to increase penalties for more than two years.” “The general public and many people in the industry no longer view the penalties and sanctions administered by the Real Estate

Council as credible,” says the IAG report. “This problem is compounded by the fact that the commissions in real estate services have steadily increased along with the price of housing. Large commissions and low penalties for licensee misconduct combine to create the perception that regulatory penalties are simply a transaction cost for otherwise profitable behaviours. This significantly undermines the effectiveness and credibility of the regulator and the regulatory regime.” The IAG report urges government to increase the maximum disciplinary penalties for misconduct to $250,000 for individual licensees and $500,000 for broker-

ages, and increase administrative penalties to a maximum of $50,000. Sanctions would apply per transgression. Current penalties were $10,000 for licensees, $20,000 for brokerages and a $1,000 maximum administrative penalty. Douglas adds, “I think we in the industry recognized that there were some shortfalls” with action needed. But he says the situation did not call for the sledge-hammer action of removing self-regulation and installing a new real estate regulator. Douglas says the actions were a political move. Clark moves into an election in 2017 and has Continued on page 4

Gurinder Sandhu resigns as Re/Max Integra EVP He’s now a managing partner at Re/Max Hallmark Realty Group By Tony Palermo

I

n resigning as executive vicepresident, regional director of Re/Max Integra’s OntarioAtlantic Region to become a managing partner in Re/Max Hallmark Realty Group, Gurinder Sandhu says while he “loved every minute” of his time at Re/Max Integra, it was just time to move on. “I was thinking about how I turn half-a-century next April and two realizations hit me as I reflected on that,” says the 49-year-old Sandhu. The first was thinking about what he wants for the next part of his life. Sandhu says while he loved his position as EVP, he didn’t know if it was a passion he could carry to the future. Working at what he calls the “30,000-foot level”, he missed having a more hands-on role at the brokerage level. The other realization was that some of his greatest inspirations came from observing and working with real estate professionals who

are successful businesspeople. For many of them, real estate is a second career. He thought about his own years as a Realtor and how, growing up, he saw his own Realtor father get up every morning and give it his all to support his family and put food on the table. Sandhu says through his increasingly senior positions and exposure to different industries – as a real estate professional working with his dad at Sandhu Realty, a chartered accountant/auditor with KPMG and Torstar Corporation, director and then vice-president of finance with Royal LePage, before becoming chief financial officer and later EVP with Re/Max Integra – he was fortunate to have met and learned from some of the biggest industry titans. As he reflected on everything and connected the dots, that’s when realized what he wanted to do in the next part of his life. “I’ve amassed quite a bit of business knowledge over the years and

realized that I’m in a unique position to help other Realtors take their business to the next level – that I truly wanted to help other Realtors get to that next level,” says Sandhu. “It really was like an awakening when it hit me.” In describing the change as “moving from the C-Suite to the street”, Sandhu says he has always had a “love affair” with owners Ken McLachlan, Debra Bain and Steve Tabrizi of Re/Max Hallmark. He says he has always been impressed with their culture, leadership styles and the sense of community, collaboration and learning they foster in their business. When they discussed partnering, everyone felt Sandhu would be the perfect fit. “I’ve known Gurinder for years,” says McLachlan. “He’s well respected in the industry, a natural leader and a serviceoriented quality human being who, quite honestly, was made

for Re/Max Hallmark.” McLachlan says while Sandhu’s role is evolving, he will be working primarily with Bain to help grow the Hallmark brand and take the business, and its individual salespeople, to the next level. Re/Max Hallmark is already the largest Re/Max brokerage in Canada, consisting of 15 offices and around 1,000 agents who serve the Greater Toronto Area, the Muskokas and Ottawa. Re/Max Integra president and co-founder Walter Schneider says Sandhu was a great ambassador and cheerleader for Re/Max Integra. “He’s a great guy and will be missed,” says Schneider, adding that it’s natural for people to move on, especially those like Sandhu who are “entrepreneurial and very smart. And, you can’t coach smart,” says Schneider. While Sandhu’s departure leaves a temporary void at Re/Max

Gurinder Sandhu

Integra, Schneider says there is no rush to replace him. “We’re going to take our time to find the right fit,” says Schneider. “As a co-founder, I’m still very active in the company. There aren’t many corners in this building that I’m not familiar with.” In 2010, Sandhu became Re/Max Integra’s chief financial officer and less than two years later, replaced Michael Polzler as EVP, regional director Ontario-Atlantic Region (Polzer moved on to become managing director of Re/Max Europe.) At the time he was promoted to EVP, Sandhu became the first non-family member in the company’s 32-year-history to hold such a senior leadership role. REM


4 REM AUGUST 2016

Continued from page 3

been heavily criticized by David Eby, the NDP housing critic. British Columbia Real Estate Association (BCREA) president Deanna Horn says, “Our livelihoods depend on our reputations and I know that almost every Realtor in the province will be happy to see stronger penalties and enforcement for rulebreakers.” A total of 28 recommendations are provided by the IAG report, focused on four key areas: transparency in contract assignments and providing incentive and commission information to clients; the perception that the council was administrating with a “light hand” and penalties are not severe enough to serve as a deterrent; education requirements that made it too easy for unscrupulous entrants; and too many industry and association organizations that confused the public. The IAG also urged the government to amend the Real Estate Services Act so that licensees found guilty of misconduct could be forced by the council to disgorge any ill-gotten gains. These could be used to compensate victims short-changed in real estate actions. The report also points out that compliance is fractured under the current system. The current Superintendent of Real Estate Brokers, whose office is part of the Financial Institutions Commission, handles unlicensed sales individuals, while the council handled licensed individuals. The provinces’ real estate boards also disciplined their members on codes of conduct. “Over time, however, the overlapping functions of the boards and the Real Estate Council have resulted in contradictions and confusions,” the report says, adding that “both consumers and licensees are confused about who has

Cover photo: WENDY PETERS

responsibility to regulate misconduct and deal with consumer complaints.” The report says that misconduct will go unreported to the regulator and “equally concerning is the closed nature of the boards’ discipline process.” The IAG report says that a proposal to consolidate the B.C. real estate boards provide an opportunity to address the overlap and confusion. “A decision by the boards to exit all quasi-regulatory functions that impact the consumer and leave those functions to the Real Estate Council would be the right thing to do for industry and for consumers,” the report says. Dan Morrison, president of Greater Vancouver Real Estate Board, says his board welcomes the opportunity to work with a dedicated superintendent of real estate brokers who would handle consumer complaints. “It doesn’t bother us we won’t be getting those calls,” he says. However, he doesn’t see the board giving up its rights to discipline members who violate the board’s code of conduct. “We were always over and above what the council did,” he says. Morrison says he is aware that fines are too low in B.C. In March, his board increased fines from $10,000 to $30,000 for infractions by an agent, managing broker and a firm. “The total fines could go as high as $90,000,” he says. The IAG recommendations regarding transparency call for Realtors to disclose incentives and commissions, refrain from dual agency agreements and use standard forms approved by a regulator. They must ensure the client is kept appraised of offers and contract assignments cannot occur without the seller’s approval. All funds derived by the practice go to the seller. Any licensee that has a vested interest in a transaction should clear it with a managing broker. The IAG report recommends that rules also be amended to prohibit a

licensee from acquiring an interest, by contract of purchase and sale or by an assignment of the contract, in a transaction for which the licensee is the designated agent. Tougher scrutiny of new industry entrants is needed, the report says, including checking their backgrounds and whether they had problems in their previous field of employment. Education should be continued and enhanced, says the report. While it is still unknown what role the council will take in the future, the IAG report originally urged it to take over the Superintendent of Real Estate Brokers’ duties. Clark reversed this recommendation and established a new dedicated government office. There also emerges a question of whether the council really was truly self-regulating, a term that not only implies a regulating body but whose members self-regulate. An e-blast from the council to Realtors emphasized this before the final report was issued: “You also have a responsibility to act in the public interest – and that means reporting the misconduct of other licensees whenever you become aware of it. Licensees are uniquely positioned to identify potential misconduct and prevent harm to consumers by sharing their concerns with their managing brokers and ensuring matters are brought to the attention of the council.” The IAG report paints a different picture. “Each member of a self-regulating industry needs to be part of the compliance regime and report misconduct promptly. The IAG found this culture is lacking in the real estate industry and that more needs to be done to reinforce the obligation for licensees to report misconduct.” The council also relied heavily on complaints to identify licensee misconduct, the report found, and urged that “more proactive investigation is needed” looking not just

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B.C. Finance Minister Mike de Jong and Premier Christy Clark announce the end of self-regulation for the province’s real estate industry.

at broker financial statements but transactions and how they were carried out. The IAG report also recommends a whistle-blowing line. With self-regulation removed, the recommendations still place considerable onus on the broker/manager to monitor and report misconduct of licensees and licensees to report managers. The IAG recommends that managing brokers be required to file an annual report that includes information on the number of files involving actual or potential misconduct that were handled and how they were resolved. It also recommends formal information-sharing agreements with the boards that currently do not share information regarding public complaints and discipline actions with the regulator. The report recommends that noncompliance with the requirement to report misconduct to the council constitutes professional misconduct that may be sanctioned. “I don’t blame the government for acting, this is an unfortunate thing that is happening in the industry,” says Mike Nugent, president of the Victoria Real Estate Board “I would have liked

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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 2016 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

to see the council receive the extra powers that they needed. I believe that there are some very competent people at the council. I hope the new office is able to utilize them.” Nugent says there needs to be some clarification of recommendations within the report, such as the elimination of dual agency agreements. In smaller towns where brokers are limited, it may be difficult to implement, he says. As well, the structure of brokerages is changing and there are more licensees under the scope of one managing broker, which will make monitoring difficult, he says. Douglas says the industry is still in the dark regarding how the new office will operate. Even at the council there is little information as the handing over of duties begins. A spokesperson for the council’s office says, “An implementation team is being put together and will include staff of the Superintendent of Real Estate’s Office (at the Financial Institution Commission), the Real Estate Council and the Ministry of Finance.” There was no information available on what role the council would play after the new office is established. REM

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How B.C’s self-regulation


REM AUGUST 2016 5

Impact of the B.C. decision in Ontario By Mark Weisleder

M

uch has been written about the B.C. government’s decision to end the self-regulation of the real estate industry by appointing a new dedicated superintendent of real estate, thus putting the industry under “government oversight” in order to provide better consumer protection. Let’s understand what this means and how it may impact other provinces in Canada. 1. All real estate councils operate as an arm of the government. It is wrong to assume that somehow just because the real estate industry is self-regulated, the government is not overseeing what is going on. Every real estate council takes their responsibility very seriously and this is why in Ontario, for example, for every

complaint the Registrar may receive from a member of the public, a file is opened and the matter is dealt with according to the nature of the complaint. The result could in some cases lead to a fine or the loss of licence, if the matter is serious. The government always has input, as was the case in Ontario when Bill 55 was instituted, in an attempt to prevent the practice of phantom offers. 2. Does Ontario have the same issues as B.C.? The main issue that arose in B.C. appears to have been the “shadow flipping”, where some agents purchased properties themselves that they had already flipped for higher prices to other buyers, without disclosing. This would have been a clear violation of the Ontario Real Estate and Business Brokers Act 2002 Code of Ethics and to my knowledge, has rarely, if ever, occurred. Registrants in Ontario are required to always act in the

best interests of their clients. Many of the recommendations by the panel in B.C., regarding continuing education, more diligent enforcement and being responsive to the public, are already being done by the Real Estate Council of Ontario. A better solution would have been to just import the Ontario model to B.C. but that would not have generated the same headlines for the government in B.C. 3. Will this mean more investigations in Ontario? Part of my own real estate practice is assisting real estate salespeople when a RECO complaint is made against them, to make sure that they fully co-operate with the investigation and provide the appropriate response to the complaint. Consumers seem to think that in Ontario, for example, the Registrar is a collection agency and if they complain, they will see some money from the salesperson or bro-

ker. Or they think that just by threatening to complain, the salesperson will rush to pay them some money not to complain. Consumers need to be reminded that RECO is not a collection agency and solely determines whether a salesperson acted ethically and professionally in the circumstances. Any fines levied by RECO do not go to the consumer, they go to the Registrar. Still, since this issue is now in the newspapers, it can be expected that more consumers may decide to complain against salespeople and brokers in other provinces if they suspect any unethical behaviour is going on. 4. What are the key lessons for agents and brokers when it comes to consumer complaints? In my experience, it always comes down to having a written record of everything you do. Did you properly sign up the prospect to a listing or buyer representation agreement and leave them with a copy? In a

bidding war, did you obtain written instructions, for example, to hold off on presenting offers to a certain date, and later, if a pre-emptive offer appears, did you receive written instructions from your seller to now consider this offer? Did you make sure that the buyer client spoke to their lawyer or completed OREA form 127 any time they ask you to make an offer without conditions? Did you give your client a copy of any accepted offer immediately, preferably by email, where there is a written record? Did you confirm any instructions by email or text, especially any changes during the course of negotiations? When you are careful in keeping a written record of everything you do, you are not only well on your way to successfully defending against any complaint made against you by the public, you will also develop the right practices to create long term successful relationships with your clients. Mark Weisleder is a partner, author and speaker at the law firm Real Estate Lawyers.ca LLP. Contact him at mark@realestatelawyers.ca or toll free at 1-888-876-5529 REM

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6 REM AUGUST 2016

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

I

ndependent City Accord Realty has joined Jamie Johnston’s Re/Max Condos Plus in Toronto as a mini-brokerage. It will now operate under the Re/Max City Accord banner. The principals are broker of record/co-owner Michelle Kam and broker/co-owner Keith

Michelle Kam

Graham. Kam has previously worked for Re/Max as well as Baker Real Estate and then Concord Adex, selling pre-construction condos. Kam and Graham formed City Accord more than 10 years ago and continued to sell City Place and other pre-construction condos

for developers in the downtown Toronto market. The firm currently has 10 agents and is one of the largest brokerages in the pre-construction market, selling hundreds of units each year, the company says. ■ ■ ■

Groupe Sutton - Action has opened new offices in Brossard and Saint-Lambert on Montreal’s South Shore. The company was established in 1995 and is now ranked second in Quebec in market share and number of affiliate brokers, says Julie Gaucher, Groupe Sutton Quebec’s vice president and head of operations. The Brossard office

Keith Graham

The team at Century 21 Bob Sutton Realty, from left: Archie Hlady, Alishia Rorke, owners Ray and Sherry Blackmore and Scott Klassen. Adrian Baas

At the Chase Realty office opening, from left: Peter F. Holgate, broker/owner; Mayor Rick Goldring; Bruce Moran, broker of record/owner; and Deborah Lindley, executive director.

Kiley Bollenberghe

Allan Taylor

is at 6300 Auteuil St., suite 435. The Saint-Lambert office is now open at 475 Victoria St. Groupe Sutton - Québec now has 68 offices in Quebec and the Ottawa area, with 1,800 brokers. ■ ■ ■

Century 21 Bob Sutton Realty has been purchased by Ray and Sherry Blackmore. The company is one of the first Century 21 locations in Canada, providing service to Quesnel, B.C. residents since 1976. Ray Blackmore is a national award winner for the banner. In 2015, he was ranked the No. 13 individual by units sold in all of Canada and was inducted into the Century 21 Masters Hall of Fame for sales success. ■ ■ ■

Chase Realty celebrated 20 years in business recently by opening its fourth office in Burlington, Ont. The grand opening was attended by Mayor Rick Goldring, who performed the ribbon cutting ceremony. The new office at 761 Brant St. “lends itself nicely to a culture of co-operation, in-house and contracted training as well as easily accessible managerial support and guidance,” says the brokerage in a news release. Chase Realty has operated in the Hamilton, Ancaster and Caledonia locations for 19 years. ■ ■ ■

After 40 years of managing real estate offices for Royal LePage and then Re/Max Twin City Realty in Kitchener-Waterloo, Ont., Adrian Baas has retired. “We would like to thank Adrian for his dedicated service and participation in growing the company into the largest brokerage within the Region of Waterloo, from 80 to over 400 agents,” says Melanie Shantz, broker of record and Peter deGroot, broker/owner of Re/Max Twin City Realty in a statement. Baas says, “The greatest enjoyment from being in the business this long has been seeing agents coming from totally different backgrounds to become tremendous successes” both financially and in the way they have given back to the community. “I feel I have helped be a part of it.” ■ ■ ■

Communications specialist and author Jill Sinclair has joined Keller Williams Black Diamond Realty in Vancouver with a mandate to develop the market in the Greater Vancouver Area. Juliana Vallee, owner of Keller Williams Black Diamond Realty, says, “We believe in succeeding through people and having Jill on our team is a huge win for us.” Sinclair says, “We are poised to grow exponentially within the next year in the Vancouver market and our agents’ success is our focus.” B.C. has three Keller Williams offices, with another slated to open in the Vancouver market in the near future, the company says. ■ ■ ■

Keith Burton, Jennifer Burton and Chris Dunlop have appointed Kiley Bollenberghe to the leadership team at Royal LePage Estate Realty in Toronto. “Kiley brings to her new role a continuing track record of awardJill Sinclair

Jamie Johnston

Patrick Hulley

Jim Harvey

Continued on page 22

Mary Harvey


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8 REM AUGUST 2016

Office designed to attract millennials

Re/Max Core in Ottawa spent $1 million to create an office that includes a gym, pool and ping pong tables and a full kitchen and barbecue area. But it’s not all fun and games. By Don Procter Davis says, adding that a yoga instructor will also be available for agents. The brokerage opened in March 2015 and has about 115 agents. At a Re/Max convention in the U.S. it was ranked as the fastest growing Re/Max firm in the world.

P

rior to designing the Re/ Max Core office near downtown Ottawa about 18 months ago, the four owners took a close look at the new breed of agent they expected to hire: millennials. What they surprising.

found

was

Millennials, they deduced, want what their predecessors (baby boomers and generation Xers) didn’t want – a featureladen office with a blend of work and social amenities. That is a 180-degree turn from past trends to smaller, barebones offices. “We leased what had been a big old print shop,” renovated the exterior and gutted the interior, says Jarrod Davis, one of the company’s managing partners. Beyond the customary office space, the 12,000-square-foot building includes a gym with free weights and professional grade exercise equipment and an 1,100-square-foot social space complete with a working kitchen. “We’ve created an atmosphere in our office where fun is important. That’s what drives our energy,” says Davis, who at 41 is the oldest owner. Collaboration on real estate deals is big part of what makes up the new breed of agents,

he says, adding they want a workplace with a social side where they can meet other agents. “They need to be passionate about the people and the job.” Re/Max Core spent about $1 million to retrofit the old print shop and then forked out more money for the recreational space, including a recreation/ gym room called Club Core. The space comes with a fullsize ping-pong table (a popular hangout), a pool table, chairs, tables, change rooms and showers. The gym is connected to an outdoor barbecue space. “Real estate can be such an overwhelming field with long hours that this space is seen as a place where agents can escape and build relationships with their co-workers,” says Davis. But it is not all fun and games. “I see agents from different teams and they are all talking about real estate,” says Davis. “I call it distracted focus.” The owners didn’t stop there in making Re/Max Core a draw for millennials. They also installed a “Zen room” – place for sales reps to wind down – with soft lighting and music. It is a far cry from the cramped quarters of a parked vehicle, which is where many a sales rep used to “catch a few Zs” as a break from a hectic schedule,

Most of the brokerage’s agents are millennials – who, according to Davis, are entering the field “in droves.” Many of them want to “pair up” or work in teams, rather than work solo, to increase productivity without necessarily working the long hours that the generation before them did. “They want to be fulfilled at work. And they also want to make more money.” But do teams need or want a multi-faceted office when technological advancements suggest small no-frills offices are sufficient? “When we look at the baby boomers and generation Xers, that was the direction we were going but now that millennials are making up a huge part of the market and they are developing teams, I think we’re seeing more agents wanting to work in an office,” says Davis. Not just any office will do, he says. “Offices that are

forward-thinking will develop specific plans for teams and design their offices for teams,” he says, adding that the trend to agents collaborating on deals is happening across Canada and the U.S. The managing partner, who hasn’t directly sold real estate for about seven years, says when the firm first came up with the idea of integrating recreational spaces into the office, outsiders didn’t take them seriously. “We were mocked and laughed at a bit by people who thought it would be wasted space.” Davis says the opposite has happened. The social room, for example, (which includes two business lounges) has proven to be the most popular room in the building. Sales reps hover around the kitchen where they can cook and eat and socialize around a large table. The room, like the gym, was completed months after they opened the office. The office space at Re/ Max Core includes six pods with computers and phones – essentially “soundproof booths” where the salespeople can concentrate on work. They are a design departure from the open concept workspace, which according to studies is a less productive office environment

than expected, Davis says. A coaching and training room is also featured and owners of the innovative brokerage plan to add staff that can assist agents learning new technology. A video green room is also in the works. An instructor will assist agents in the production of high-quality videos for marketing homes and other properties. Davis says of the 115 agents working out of the office, 35 to 50 are there at any given time. It is proof that the social and recreational spaces are attractive. The average agent makes 14 deals annually. Davis says the idea for building the unusual brokerage came after he spent time around a number of “new generation companies” (Google and Zappos, for example). He listened to their founders talk about what they did, what worked and what didn’t. Davis says he’s not aware of many other firms tailoring their offices in similar fashion “but I think there will be a lot of brokerages headed in this direction. It’s just a simple switch in how we do business.” Re/Max Core is owned by Davis, Marc Evans, Eli Skaff and Tarek El Attar. REM


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10 REM AUGUST 2016

More abuse of our justice system by tenants By Matt Maurer

I

’ve written a number of posts lately about Ontario tenants who abuse the system and the calls from the judiciary to have tenancy laws reformed. A decision released recently is another all-toofamiliar example of how residential tenants can game the system to their advantage. The tenant entered into a oneyear lease agreement with the landlord on July 15, 2015. He took possession of the unit on July 20, 2015. He paid his first and last month’s rent but did not make any of the other rental payments (which were to be $1,400 per month). This tenant in this case was “proactive” (if you will) and brought his own application to the

Landlord and Tenant Board asserting that the landlord damaged his possessions and harassed him. The purpose of this application was to set-off against the rental arrears that were owed. The tenant failed to attend the Case Management Hearing for the application that he had initiated and his application was dismissed as abandoned on Nov. 17, 2015. The landlord’s application in respect of the rental arrears was put over to Dec. 18, 2015 and then again to Jan. 15, 2016 and once more to Feb. 23, 2016. The tenant did not attend the hearing on Feb. 23 and the board ordered the tenant to pay the arrears by March 3, failing which the landlord would be permitted to file the Termination Order with the Sheriff to have the tenant evicted. The tenant did not pay the arrears and was served with the

Termination Order on March 4. Instead of vacating the unit, the tenant filed a Notice of Appeal

When the motion came up for a hearing on May 11 the tenant showed up without counsel. The

The court found that the tenant’s pending appeal had no merit and quashed the appeal and lifted the stay of the eviction order. on March 10, which automatically served to stay the pending eviction. On March 22 the landlord’s lawyer advised the tenant that the landlord would be bringing a motion to have the appeal quashed and asked the tenant to provide dates in March and April for the motion. The tenant indicated that his counsel was not available until the first week of May.

tenant claimed to have not received the motion materials and sought an adjournment, which was granted by the court and the matter was put over to May 24. When the motion was heard on May 24, the landlord put forth evidence that this was the third case where this particular tenant had been involved in a landlord and tenant appeal following an eviction notice, allow-

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Real Estate Council of Ontario

2016 INSURANCE RENEWAL

How do I make a payment? Payments can be made online via MyWeb. Last year, nearly nine out of 10 registrants used MyWeb to make their payments quickly and securely. If you don’t already have a MyWeb account, it’s free and easy to sign up; simply visit https://myweb.reco.on.ca. Payments can be made using Visa or MasterCard.

What if I don’t pay on time? If you don’t make your insurance payment by the August 12 deadline, you will become part of the suspension process. The total insurance payment after the due date of August 12 is $475. Failing to make an insurance payment results in the suspension of your registration and the right to trade in real estate effective September 1, 2016.

@RECOhelps www.reco.on.ca

ing him to live rent free before the appeal was quashed. The court found that the tenant’s pending appeal had no merit and quashed the appeal and lifted the stay of the eviction order. Although the landlord sought partial indemnity costs of $7,500, the court only awarded the landlord $5,000 in costs. All in all, the tenant was able to live rent free for 10 months, at a cost of at least $14,000 to the landlord. Matt Maurer is an accomplished trial and appellate lawyer with nearly a decade of experience advocating on behalf of his clients. He is a regular contributor to print and online media publications on issues pertaining to real estate disputes and issues affecting the practice of law and access to justice. He is with Minden Gross LLP in Toronto. www.mindengross.com/our-people/details/mattmaurer REM

What if I’m leaving the business? If you’re planning on retiring or leaving the industry in the near future, consider terminating your registration prior to renewing your insurance policy, as insurance payments are non-refundable. You can either ask your broker of record to terminate your registration on MyWeb or send in a completed “Notice of Employee Change: TERMINATION” form before August 2, 2016.

For frequently asked questions about this insurance renewal, please visit www.reco.on.ca/2016renewal

Contact RECO’s insurance department at: https://myweb.reco.on.ca 416-207-4841 1-866-757-7772 416-207-9020 416-207-4820 insurance@reco.on.ca


“I joined Engel & Völkers because they are taking a modern and innovative approach to real estate. With their international presence, impressive European reach and impeccable branding, I have taken my already established business to a higher level.” Martin Rouleau, Engel & Völkers Montréal

Only the best in the business join our brand. Martin Rouleau launched his career in the world of real estate over 15 years ago. Driven by his love of properties and people,

the satisfaction of successful negotiations, and the impact of effective real estate marketing, Martin distinguished himself as a leader in the high-end residential segment in the Greater Montréal region. Never satisfied with the status quo, he was in search of new ways to expand and perfect his services when he discovered Engel & Völkers while on vacation in Europe. After a visit to

an Engel & Völkers shop in Berlin he discovered the next step to take his business. Now as a top advisor with Engel & Völkers Montréal, Martin offers his clients services enhanced by true international exposure, innovative marketing and a commitment to quality based on the brand’s core values of competence, exclusivity and passion.

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

©2016 Engel & Völkers. All rights reserved. This advertisement is not an offering of a franchise, and where required by law, an offering can only be made 14 days after delivery of the applicable franchise disclosure document.


12 REM AUGUST 2016

Win the listing before the presentation By Ian Grace

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hese days there is so much technology around that it is easy to get caught up in it and think it is the secret to real estate success. Sometimes it’s the absolute basics that can be so powerful – but they are often neglected or overlooked entirely. How would you like to win the listing before you even get to the presentation? What a great situation that would be and it’s so simple. A prelisting kit (I am a great fan of these) and four to eight photo testimonials with contact phone number (and that’s really important) can do the job for you. Absolute dynamite. In my training seminars for real estate agents worldwide, it amazes

me time after time when I ask: “Do you and your office have any satisfied customers?” (Hopefully this answer is always a yes.) But when I ask, “Do you have testimonials from them?” you would expect everyone to say yes. Sadly, for many, the answer is no. Then, for those who have testimonials, when I ask if they have the sellers’ photographs to go with the testimonial, almost always the answer is no. This is really scary because these real estate salespeople are making life difficult for themselves when in fact, it can be so easy. There’s lots of talk around regarding video testimonials – in fact I have two amazing ones on my own website homepage – but I think it took around eight months to finally get them together. Video testimonials are great but they don’t always happen when you want them. But four to eight well-designed photo

testimonials can do the job. In a local area when the sellers go through the pre-listing kit and see photo testimonials, they will often know one or more of the people whose testimonials they see. When that happens, they are reassured and often the job is already done. This is where the contact phone number is also vital. You know that if they do phone, the job is definitely done. And for those who don’t bother to phone, the combination of photo and a number says the testimonials are real. The beauty of this is that it can be turned into a campaign, further extending the idea of winning listings before presentations or appraisals. Let’s have a look at flyers. We have these stuffed into our letterboxes all the time with real estate agents saying who they are, how good they are, perhaps

what they have sold and perhaps offering free market appraisals. Everyone is doing the same thing. Most of it ends up in the recycling bin. A well designed flyer with a photo testimonial – with, for example, Fred and Sue Smith talking about how good the agent was who sold their home and recommending them, with their phone number – is 10 times more powerful. Working with a local real estate agent, I ran a campaign that sold an investment property of ours in six days, for $6,000 more than the price in the ad. These can then be rotated with different testimonials each time and this begins to create a reassuring pattern for potential sellers. Every so often the individual testimonial flyer can be replaced with a flyer with multiple testimonials. It can be a great revolving window card campaign – so people

looking for property, wanting to buy or sell, are reassured when they see someone they know who has had a great job done for them. Way more powerful and relevant than a bunch of agents’ photographs in the window. Let’s be honest, who really cares? For the new salespeople who say, “I haven’t sold anything yet, so I don’t have any of these testimonials,” there is an easy solution. Each time a testimonial is obtained from a happy seller, two are done – one talking about the agent specifically and one talking about the office. The new salespeople can use the office testimonials. So by all means, check all the latest technology and see what you need, but remember, the basics like these photo testimonials can be powerful, powerful stuff. Australian Ian Grace is renowned as the world’s leading authority on real estate advertising and customer service. His customer service ideas book is No. 1 worldwide and his Top 10 Tips for Advertising have been published around the world. www.iangrace.com; Email REM amazing@iangrace.com.au

Toronto Real Estate Board 2016/2017 Board of Directors

Larry Cerqua President

Tim Syrianos President-Elect

Mark McLean Past President

Ron Abraham North Brokerage Director

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

Michael Collins West Non-Brokerage Director

Howard Drukarsh Director-at-Large

Paul Etherington Director-at-Large

Don Kottick Director-at-Large

John D.K. Lusink Director-at-Large

Michelle Makos East Non-Brokerage Director

Nito Morcos-Brown Director-at-Large

Peter Burdon North Non-Brokerage Director

Lisa Patel Central Non-Brokerage Director



14 REM AUGUST 2016

TREB files to stay tribunal’s order TREB CEO John DiMichele says he wants to “set the record straight” and make sure that “people have the whole story.” By Tony Palermo

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he Toronto Real Estate Board (TREB) has filed an application with the Federal Court of Appeal to stay the Competition Tribunal’s June 3 order, which requires TREB to, in part, stop its “anti-competitive practices” and not exclude sold and other disputed data from its virtual office website (VOW) feed. Filed on July 8, if TREB’s application is granted, the move would effectively put the conditions of the order on hold until the appeal is heard and a decision rendered. Speaking to REM for the first time since the Competition Tribunal’s ruling, TREB CEO John DiMichele says he wants to “set the record straight” and make sure that “people have the whole story.” He insists that, at no time, has his board acted in an anticompetitive manner. “It has to be made clear that TREB has never opposed the distribution of sold data,” says DiMichele. “What we have said is the consumer, that is the buyer and seller, has a right to choose, in accordance with the law (how their personal data is released.)” The point that is being lost,

says DiMichele, is that it is the consumer’s choice to make, not anyone else’s and that privacy laws not only support this position, but require it. “Privacy laws say that when there are new uses of information, or uses not previously identified, you have to get the consumer’s consent,” says Von Palmer, TREB’s chief communications and government affairs officer and chief privacy officer. “Regardless of what the Competition Tribunal said in its decision, TREB’s position has always been that we’ll respond according to the consumer’s wishes. We have that obligation under law.” Palmer says studies show that the majority of Canadians would not give their consent to broad dissemination of their house’s final sale price. A recent TREB news release points to a 2012 Angus Reid poll which, it says, finds that 75 per cent of Ontarians want the final sale price of their home to remain confidential, and that the same percentage of consumers believe that their personal information should be kept confidential by Realtors. In responding to the argument

that VOWs are just another way of doing business and shouldn’t be restricted, DiMichele disagrees. “All you need is a valid email address and you would have unlimited access to all of this data,” says DiMichele, in explaining how a VOW would look under the Competition Tribunal’s order. “There are members of the public out there who think they can be data companies. When you work with a Realtor, access to the data is controlled. Both the Ontario Superior Court and Court of Appeal have ruled before that the Realtor acts as a buffer and controls the release of information so that it is used only for its intended purpose.” DiMichele says according to the order, the entire archive of disputed data would be exposed, which also raises serious concerns. “In the ’80s, there were no consents,” he says. “People did not contemplate the Internet.” However, Lawrence Dale says TREB’s privacy argument is just smoke and mirrors. “Any reasonable person would understand there is no privacy issue here,” says Dale, a lawyer who has been battling

TREB for years and was instrumental in opening the door to alternative real estate brokerage models. “Privacy (laws) work to protect information from either being given out or not.” Dale argues the disputed data is already available and given out on a daily basis by Realtors, as it has been for years. How then, he asks, can there possibly be a privacy concern? “Look, this is about TREB controlling the way that the information is given out to restrict certain methods that the tribunal has said are illegal,” says Dale, a position also supported and successfully argued by the Competition Bureau during the tribunal hearing. Another argument TREB disputes is that the disputed data should be made available on a VOW because the data is already available as a matter of public record. “People say ‘well, it’s a matter of public record’ but I say the record is publically available,” says DiMichele, who says there is a clear difference. “If you want the information, you have to go down to the registry office, pay your $8, and then you get your records one at a time.”

That’s a far cry from having it all readily available on the Internet, he says. In an emailed statement, Competition Bureau senior communication advisor Taylor Bildstein says, “The Commissioner of Competition remains focused on addressing TREB’s appeal and achieving a timely remedy to fully address the concerns raised in his application.” As part of the tribunal’s June 3 order, TREB was to pay the Commissioner of Competition, within 30 days of the order, just more than $1.8 million to cover costs related to expert witnesses, disbursements and other legal fees. It remains unclear if TREB fulfilled this obligation. When asked if TREB complied with this part of the order, DiMichele replied “that’s in the lawyers’ hands,” and referred the question to Jeff Rosekat, one of the lawyers representing TREB in their appeal. As of press time, Rosekat had not responded to REM’s request for comment. The Competition Bureau also refused to comment, indicating that “as the matter is before the courts, it would be inappropriate to comment further.” REM

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remax.ca/editorial/community


remax.ca/editorial/community


18 REM AUGUST 2016

Selling real estate in a small town

Orvil Cairns recently celebrated his 40th year as a real estate professional in Portage la Prairie. “I sold one house here six times. I don’t know if anyone (else) can tell that story.” By Neil Sharma his answer is twofold. “Product knowledge,” he says. “I sold one house here six times. I don’t know if anyone (else) can tell that story. Product knowledge and knowing the location, or (knowing) if there are any issues with the house, basement, wiring or plumbing. I was raised on a farm so I have a lot of knowledge about wiring and plumbing and anything structural with a building. When a client asks, you have to be able to give them an honest answer. “The thing with a small community is it’s so much more personal,” he continues. “(If) you sell a house here in Portage, you’re going to run into that person 20 or 30 times a year, so if you did them wrong, you’re going to see them again.”

S

Orvil Cairns

ometimes it’s better to be a big fish in a small pond. Just ask Orvil Cairns. On the cusp of celebrating his 40th anniversary as a sales agent in Portage la Prairie, Man., the town celebrated the 74-year-old’s venerated career in June with a comedy roast-style evening of friendly jabs and cherished memories. Cairns is one of the most recognizable people in Portage La Prairie because of his jocular personality. Always one to strike up a friendly conversation, becoming a real estate broker was only natural. In fact, the two are intertwined. “I credit my success to being out there,” says the Royal LePage Portage Realty broker. “I have

a great social life and I know a lot of people. I’m in touch with them; if you’re out there, people see you and people want to talk about real estate all the time. Your buddies love to tell their buddies. You have to know a lot of people.” Austin, MacGregor, Oakville, Sidney, St. Eustache and St. Laurent are also within the Portage La Prairie Real Estate Board’s boundaries, comprising no more than 30,000 residents. Portage La Prairie itself has about 13,000 residents and has 20-some salespeople. Impressively, Cairns juggles around 100 client dossiers at a time. Asked how he has managed to garner such a high volume of work relative to the population,

Cairns has lived in Portage La Prairie since 1963, first working for Coca-Cola and then selling cars, which he credits with imparting the fundamentals of sales. However, in addition to putting in 50- to 70-hour weeks in the realty business, Cairns says he has achieved success through what he calls the cornerstone of his business ethos: honesty. “Tell them.” he says, “You know if there are issues with the house or the neighbourhood, so make sure they’re aware of it. Especially if they’re not from this town.” And if a house needs repairs, not only will Cairns advise clients to reflect the costs in their offers; he’ll help them find economical repairmen. While one would logically presume small towns have a dearth of customers, “I don’t know if there’s a shortage because there are always people looking,” says Cairns. “We have a lot of government employees

in the community and farmers moving into the town. We get 50-something RCMP members here. Pilot instructors are always here. I get 15 to 20 deals a year out of that.

Portage Realty, has known Cairns for roughly 13 years but says his reputation precedes him because, “Orvil is regarded as one of the patriarchs,” of Portage La Prairie, he says.

“And families growing up. There are people I sold houses to 20 years ago and now their kids are looking for homes,” he says. “It keeps us pretty busy.”

“He dealt with young buyers when he was a young guy, he’s dealt with their children and grandchildren, in some cases, over the years,” says Neufeld. “He’s viewed as knowledgeable, informed and he has connections. Lots of people come to him for advice because he’s a straight shooter, but in a very good natured way.”

Smaller towns do come with some challenges, though. For starters, amenities are fewer and scarcer in variety. The same is true for housing type, but Cairns says that also makes closing deals expeditious. “You get to a major city and you get so many areas that it makes it confusing for buyers to choose what area to live in,” says Cairns. “Portage has four or five schools. Does your kid want French immersion? What’s your budget? You have four different price ranges. It’s so much easier for a buyer to come here and make a choice. You buy a house in Portage in three or four days, but in a big city it would take you a long time.” Cairns is unnerved by stormy clouds ahead, lamenting younger people’s difficulty entering the housing market – a trend he doesn’t believe will change. “Affordability is an issue,” he says, adding the entry age for homeownership is increasing. “Younger families starting out will have to rent for a few years or have family help.” Warren Neufeld, managing partner and co-owner of Royal LePage

Neufeld also describes Cairns as a brand unto himself because, in spite of owning a number of franchises over the years, the one constant has been the Orvil Cairns brand. However, perhaps most impressive is Cairns’ longevity. “The constant has been him,” says Neufeld. “Nine out of 10 people will know him or know of him and they’ll have heard a story about him. He’s one of those unofficial community leaders. “It’s the analogy of the duck swimming on the pond. He makes it look easy but he’s 74-years-old. Not only has he had a 40-year career, but the later years have been some of the most productive of his life.” REM


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20 REM AUGUST 2016

Martinique’s slave huts This was a typical home for many slaves in the Caribbean before and immediately after abolition. Story and photos by Diane Slawych

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heir home was a one-room hut made of wattle and daub with a thatch roof. At night, they slept on a dirt floor or, if they were lucky, a coarse bag made of jute stuffed with leaves from the sugar cane plant. This was a typical home for many slaves in the Caribbean before and immediately after abolition. In addition to the physically demanding work of planting and harvesting crops including tobacco, cotton and sugar cane, slaves were expected to feed, clothe and house themselves. They made do with what they had, which wasn’t much, and many died from a combination of overwork, malnourishment and inadequate housing (Caribbean mornings and evenings can be cool, particularly in the winter months and West Africans who were brought over as forced labour had relatively little tolerance for cold). Though the original flimsy huts have all but disappeared, one man on the French Caribbean island of Martinique has gone to great effort to build several authentic versions of these early structures, in a village setting called La Savane des Esclaves (the Slaves’ Savannah) in Les Trois Ilets. Gilbert Larose, who describes his ancestry as a mix of African, French and Indian, spent five years developing the two-hectare site on a grassy slope, which includes a medicinal garden, tropical fruit trees, some farm animals, heritage art, a small museum and an opportunity to see how traditional food staples, such as cocoa sticks and manioc are prepared. The project was a labour of love, designed, says Larose, to keep the memory of the island’s history and traditions alive. It is now one of the island’s top attractions. The recreated slave huts are one of the highlights and are of the type that would’ve been found in the southern part of the island beginning in the early 19th century and after abolition, which happened in Martinique

(and all the French territories) on May 22, 1848. At one hut, Larose has exposed one of the exterior walls to show the construction technique that employed a woven lattice of wooden strips called wattle. It was held together with a combination of wet soil, sand, cow dung and straw and covered in a white wash that kept the hut cool, even when the sun was at its brightest. Other than a few wooden bowls, a water jug and an iron pot for boiling their meals, most slaves had no furniture. One hut at the Slaves’ Savannah contains a clothes iron, a 100-year-old wooden table and a bed fashioned from a burlap bag stuffed with leaves. A fire pit for cooking is located outside the dwelling and a broom made from palm fronds

rests near the door. The huts were tiny, generally about 12 square feet, but in time, second rooms were added to accommodate children. The huts functioned mainly as a place to sleep, as waking hours were mostly spent out of doors. On a guided tour of the property, Larose explained that an elderly slave on the plantation was given the “right of savannah,” allowing him to live on his own on a small parcel of land next to his house. That plot of land would have had a garden, much like the one Larose has created here where vegetables, plants and herbs grow. He points out the okra, corn, beans, peas, cassava, peppers, sweet potatoes and pineapple in the garden, and the trees – such as breadfruit, guava and cashew nut that provide

One of the slave huts at the Slaves’ Savannah in Martinique.

The construction technique employed a woven lattice of wooden strips called wattle.

additional sustenance. And there’s the pandanus plant, the leaves of which are used to make Martinique’s traditional Bakoua hat. Sporting the locally made conical hat, Larose explained he felt it was his duty to create this attraction. “It’s a history not everyone knows about and the only way you can evolve is by knowing your hisREM tory.”

Building owners have work to do By Chad Griffiths ost businesses, owners and property managers are aware of laws, building codes and bylaws designed to better accommodate those with disabilities. However, from my own experience, there’s still a lot of progress that needs to be made. I recently had a reconstructive foot surgery that confined me to a wheelchair for the first couple of weeks and crutches for a further six weeks. In no way whatsoever will I suggest that this temporary situation was anywhere close to what those with more severe or permanent disabilities have to endure, but it gave me a small sample of what they have to experience day in and day out. Relating it to commercial real estate, getting into and out of many buildings was very difficult, starting in the parking lot. Most buildings have accessible parking stalls although many were faded or not clearly marked. Also, a number of those stalls were occupied by vehi-

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cles without placards, suggesting the system is poorly monitored or unenforced. Once out of a vehicle, if there wasn’t a ramp to get up the curb, access with a wheelchair was remarkably difficult. In fact, most people would simply be unable to get up a curb without help. Next, many front doors do not have automatic openers. This proved difficult with crutches and extremely challenging in a wheelchair. We should note that none of these exterior issues take into account how treacherous it can be in winter. Unshovelled or unpaved sidewalks and roads add a whole new level of danger. Once inside the building itself, a number of other challenges are presented. If there wasn’t an elevator to reach floors beyond the main, then those floors were simply inaccessible in a wheelchair. It is doable on crutches if there are proper handrails. Many times there aren’t. Another big hurdle is wash-

rooms. The doors are typically just wide enough to enter and it seldom seems there is enough room to navigate once inside. Getting from a wheelchair to a toilet can also be a daunting task, particularly if there isn’t a safety bar. By no means is this a comprehensive list but it was anecdotal to me. I stress that my situation was only temporary and there are many, many people who are afflicted with much more serious or permanent disabilities. So whether it’s a person that has to deal with a minor or temporary setback or something more permanent, I am boldly suggesting that businesses are simply not doing enough to accommodate persons with disabilities. This is a broad statement and to be fair there are some wonderful examples of businesses that do an extraordinary job of making life a bit easier for those with disabilities. And to those businesses, I applaud your efforts and encourage you to share the benefits of your decisions

with other businesses. I am profoundly humbled by the challenges those with disabilities face each and every day. Watch how people step on to and off a sidewalk curb without a moment’s hesitation and contrast it to how a person in a wheelchair must navigate the exact same curb with fear and trepidation. If you’re a business owner, consider doing an audit of how accommodating your place of business is. Or, if you’re just trying to make the world a better place, see what small thing you can do today to help make someone else’s day a little brighter. Chad Griffiths is a partner at NAI Commercial Real Estate in Edmonton. He is a board member with NAIOP Edmonton and RICS Prairies Region and is proud to hold both the CCIM and MRICS designations. (780) 436-7410; www.edmontoncommercial.com. REM


REM AUGUST 2016 21

Fake it ’til you make it By Ari Lahdekorpi It’s easier to act your way into a new way of thinking than to think your way into a new way of acting. – Millard Fuller, founder of Habitat for Humanity. here is an old saying in motivational circles, “Fake it ’til you make it.” When you encounter a high stress situation or environment where you will be judged on first impressions, the slogan is well intended. The implied wisdom is that you move forward in an encounter, even when you may feel overwhelmed or unsure of yourself. Two things are confirmed facts when it comes to personal encounters. 1) Communication is both verbal and non-verbal and, 2) We

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are all assessed by others within the first few seconds of an encounter. This is particularly true in first meetings. Our non-verbal communication governs how others feel about us and then how receptive they are to our verbal messaging. Recent research from Harvard University seems to confirm that the old adage, “Fake it ’til you make it” is actually sound advice. Our minds and bodies interact and influence each other in both directions. The mind triggers our physical responses and the body chemistry can in turn trigger our emotional and thought process. The body creates chemicals both in response to physical positions and movement, as well as receiving cues from the thought and emotional process. The hormones testosterone and cortisol have a lot to do with our sense of confidence or our feelings of stress. When testosterone is released into the body, it gives the mind more confidence and assertiveness, while cortisol acts as a stress reducing hormone that

makes us withdraw into a selfpreservation mode. These hormones respond to our body language and in turn influence our thinking and emotions. Harvard researcher Amy Cuddy says the body will naturally produce testosterone when you use what researchers call “power poses”. These are the open stances that you see Olympic athletes take when they have won a race or when someone is feeling the most confident during a personal encounter. The amazing thing is that if you assume one of these stances for two minutes, that is enough time to produce testosterone that in turn gives you naturally induced confidence. This was conclusively proven via a series of tests where the saliva of the participants was measured before and after “power poses” were used. Testosterone plays a role in certain behaviours. It helps to spark competitiveness and boost selfesteem. Taking part in competitive activities can also cause testosterone levels to rise or fall. Low

testosterone, on the other hand, may result in a loss of confidence and lack of motivation. Low testosterone levels can also lower a person’s ability to concentrate and even cause feelings of sadness, sleep disturbances and lack of energy. The body has a system for controlling testosterone, sending messages through hormones and chemicals that are released into the bloodstream. In technical terms, the hypothalamus area of the brain tells the pituitary gland how much testosterone is needed, and the pituitary relays that information to the body. The hypothalamus, however, can be fooled by physical motion. This is why the “power pose” increases hormone levels. It’s important to note, however, that testosterone is only one factor that influences personality responses. If we withdraw into a closed stance or a “submissive pose”, our stress levels are reduced and we signal submission and surrender to those around us in a non-verbal

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way. The hormone cortisol takes over when our body assumes the closed physical stance. While cortisol’s primary targets are metabolic, it also affects ion transport, the immune response and even memory. It operates on our stress levels as a kind of stress reducer, as part of our “fight or flight” mechanism. Before you enter a listing presentation or a social encounter that requires an air of confidence, remember to take a couple of minutes in private and assume a “power pose” to build your testosterone levels. This puts your nonverbal signals and your thoughts into their peak performance. Whatever fears you may be encountering in your mind can be dealt with by fooling your brain into a confident frame of mind. So, according to research into non-verbal communication, the new saying should be, “Fake it ’til you create it” because in truth, that is what happens. The most powerful leaders don’t merely think a certain way, they carry themselves a certain way. You can do the same. Ari Lahdekorpi is an associate broker with Re/Max Performance REM Realty in Vancouver.

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Personal safety app developed for sales reps Kitchener firm wins international sales awards Coldwell Banker Commercial Peter Benninger Realty (CBCPBR) of Kitchener, Ont. recently received the 2015 Commercial Elite award, which is given to the top 15 Coldwell Banker Commercial affiliated companies worldwide, out of more than 200 brokerages. This marks the sixth year the office has earned the award. In addition to the awards presented to Coldwell Banker Peter Benninger Realty as a company, several individual Circle of Distinction awards were given to the brokerage’s sales professionals. Peter Benninger was named No.1 Sales Professional in Ontario and received the Circle of Distinction Platinum award, representing the top two per cent of sales reps internationally out of approximately 3,000 professionals.

Bill Halpenny and Eric Reiner received Circle of Distinction Silver. Lester Tobin received Circle of Distinction Bronze. The honours are presented to the top ranking producers among all CBCaffiliated sales professionals based on transaction revenue for 2015.

Carl Oake receives Lifetime Achievement Award Carl Oake, owner of Century 21 United Realty in Peterborough, Ont. was recently recognized for his outstanding community involvement over the last 30 years. He received the Lifetime Achievement Award for Volunteerism at the Peterborough Civic Awards. Last year marked the 30th anniversary for the Carl Oake Swimathon at the YMCA. Over the years it has raised more than $1 million for charity. REM

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our mother probably told you never to talk to strangers, that you should always walk with a buddy and not to let people you don’t know into the house. Yet real estate agents ignore those warnings every day. How do you protect yourself? CheckMate Professional is an app that was designed to address these potentially hazardous situations, and more, with the push of a button. The personal safety app sends an emergency alarm with GPS co-ordinates to professionally trained personnel at the company’s emergency monitoring centre. The system, which works with iPhones and Androids, has a depress-and-release button that is ideal when walking to a car in a dark and secluded area, the company says. The user depresses and holds the emergency button, and if something happens, the button is released and the emergency monitoring centre is alerted. Current GPS co-ordinates are updated every minute until the alarm is cancelled. The system also offers safety checks. Preset and timed alarms that go unanswered result in an emergency signal being sent to the emergency monitoring centre. A Man Down alarm activates if the smartphone assumes a horizontal position, for example, if the per-

Multiple Listings Continued from page 6

Coldwell Banker Commercial Peter Benninger Realty won several awards at a recent international conference in San Diego. Peterborough Examiner managing editor Kennedy Gordon, left and Peterborough Mayor Daryl Bennett present Carl Oake with his award. (Photo: Clifford Skarstedt/ Peterborough Examiner/Postmedia Network)

winning success in sales, one that has garnered the respect of her peers in the industry,” says the company in a news release. “We look forward to seeing Kiley in her role as sales manager of our Kingston Road branch.” ■ ■ ■

Thérèse Kesserwani started her real estate career 15 years ago in a close-knit Century 21 office in Montreal. She says she always felt she had what it took to open her own office. In May, she

son carrying it falls to the floor. would know until many hours or The emergency response centre possibly days later. “We looked for connects to trained operators. a solution using our alarm system,” Guards respond to any GPS co- Black says. ordinates within their area of Now “we have developed four response. Outside mobile safety apps, the response area, one of which contacts provided (ProTELEC by the agent are C h e c k m a t e notified, the comProfessional), was pany says. developed specifically with Realtors and The system also other like professionlets associations als,” Black says. send out notifications to real estate The company has agents who have been in the safety and the app. These security business since notifications are 1968, says Jeff Black, ideal for state of vice president busiemergency-type ness development. situations, such as CheckMate was where an agent has The CheckMate app released in the first been assaulted and sends out an alarm with quarter of 2016 and other real estate GPS co-ordinates. response has been agents may be at good. “We have had a risk. number of Realtors sign up and in “Our apps will work wherever April 2016 we were pleased to you have cellular service and we launch with the Winnipeg real will respond to alarms from any- estate board,” Rial says. where in the world,” says Rial The cost is $5.99 per Realtor Black, vice president product per month and there are volume development, ProTELEC Ltd. discounts for associations and large The idea of CheckMate came offices. in 2002 from a customer’s request For more information, call 1to ensure the safety of a janitor who 877-346-0783, email info@checkworked alone. The customer was mateprofessional.com or visit protconcerned that something could eleccheckmate.com. – Connie happen to the janitor and no one Adair REM

brought her dream to life and opened Century 21 Royale Prestige in the Vaudreuil-Dorion district. The office is a welcoming, luxurious patrimonial house on the water, the company says. “We’re able to offer the most upto-date technology, making us more productive and efficient than other brands. This makes a big difference to agents joining the team,” says Kesserwani. ■ ■ ■

RealtySource, an independent brokerage in Kingston, Ont. has joined the Aventure Realty

Network. Broker/owner Patrick Hulley leads a team of more than 20 sales professionals and delivers a full suite of residential, commercial and investment services to the Kingston, Brockville and Gananoque markets. Outstanding Realty of Osoyoos, B.C. has also become a member of the Aventure organization. Broker/owners Jim and Mary Harvey bring more than 30 years of successful real estate practice to the network. Together with Allan Taylor, managing broker, they service the South Okanagan marketplace. REM


REM AUGUST 2016 23

Tribunal decision: Much ado about nothing?

By Mark Weisleder he long-awaited decision of the Competition Tribunal concerning the dispute between the Competition Bureau and the Toronto Real Estate Board was released early in June. Here’s what you need to know.

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What was the main result? Lawyers keep getting richer. TREB was ordered to pay legal costs of close to $2 million to the government lawyers, since the Competition Bureau won this round. TREB has already said that it is appealing the decision. This case will likely not be finally decided until it goes to the Supreme Court of Canada. This means even more money to be made by the lawyers.

What does the decision mean? What it means is that if the decision holds up, buyers in the Toronto board area will essentially be able to do a CMA or comparative market analysis by themselves, using information provided by what is referred to as virtual office websites run by real estate brokerages, provided that the buyer registers with a password. This will include properties that have been sold, with conditions having been waived, but will not include sales where conditions have not yet been waived.

Have the Competition Bureau decisions made a difference in the real estate industry? Let’s back up. Five years ago, the Competition Bureau was of the opinion that if a seller could only get their property listed on an MLS

system without paying a large listing commission, the property would sell by itself, thus reducing the amount that sellers would pay to list a home. This led to posting companies who permit a seller to post a property on to an MLS system for a fee, and then the seller for the most part conducts all showings and negotiations themselves. After five years and perhaps the strongest market ever seen in the GTA, less than five per cent of homes are sold this way. This is even less than before the Internet changed the way buyers and seller search for properties. Result – as Shakespeare would say – the decision was “full of sound and fury, signifying nothing.”

Is this decision going to make any difference, once we obtain a final decision from the Supreme Court of Canada? In my opinion, the answer is clearly no. For years I have been noting that in the U.S., in over half of the states, buyers have had access to sold prices and the result is that still over 80 per cent of all transactions in the U.S. are done with a Realtor. There is so much data on the Internet that in many ways, it is too much. And things change almost daily in markets such as the GTA. There will never be a substitute for the knowledge of a local real estate salesperson and their negotiating skills. The more data a potential buyer has will of course be helpful, but it will not change the business going forward. Continue to offer clients valueadded service and the referrals will keep on coming. If you have any question related to the Competition Bureau decision and its impacts on the real estate business, do not hesitate to contact me. Mark Weisleder is a partner, author and speaker at the law firm Real Estate Lawyers.ca LLP. mark@realestatelawyers.ca; toll-free at 1-888-876-5529 REM

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wenty-two past presidents of the London and St. Thomas Association of Realtors assembled at the Highland Country Club recently for the association’s annual Past Presidents Dinner. Those in attendance included Ron Annis (1981-83), Greg Anthony (2000), Vince Bogdanski (1997), Dennis Broome (1996), Glen Gordon (2003), Michael Hines (2002), Peter Hoffman (1994), Jim Holody (2014), Jack Lane (2011), Nancy McCann (1998), Angus McLennan (1973), Harry Mohaupt (1987), Grant Monteith (1993), Rick Odegaard (2001), Doug Pedlar (2013), Joe Pinheiro (1986 and 1992), Tony Sonderup (1989), Richard

Thyssen (2010), Carl Vandergoot (2015), Gerry Weir (1999), Barb Whitney (2012) and LSTAR’s most senior statesman, Ron Richardson, whose first term took place 68 years ago in 1948. Richardson went on to serve two more terms, in 1949 and later in 1959. Asked how real estate has changed in the last six decades, Richardson said, “When I first started out in the business, 50 per cent of my sales were done on a handshake alone.” In an interview conducted by LSTAR for a members’ publication, Richardson says, “In real estate, I could work on my own. In many ways a Realtor can set his own salary … the more he works,

Ron Richardson with his daughter Maureen Wood.

the more he takes home. It was a fast way to earn a higher income and, more importantly, it gave me a chance to meet a lot of wonderful people. The downside was I had less time to speak with my wife and growing family. Thank goodness I had an understanding, tolerant wife!” Richardson, 98, says, “Most good Realtors are extroverts. They have to roll with the punches. It’s important they like people and want to see them find a home that they can be very happy in.” His advice to Realtors who are new to the business? “When I had appointments, I would try and get there a bit early so they would invite me in and I could learn a lot from their décor and furnishings.” Also, “A four-door car is necessary. It must be clean and easy to get in and out of.” Finally, “You are being paid like a professional, so look and act like one!” “The collective wisdom and the depth of history this group represents is staggering,” says Stacey Evoy, LSTAR’s 2016 president. “When we come together like this,

all these generations, I can’t help but be reminded what deep roots our association has in our community. It’s truly inspiring.” ■ ■ ■

Larry Cerqua is the new president of the Toronto Real Estate Board (TREB). A broker with Royal LePage Signature Realty, Cerqua has been a TREB member for 35 years and has served on a number of board committees. He has been a designated instructor since 1988 and has served as an expert witness in court for real estate transactions. Cerqua says Realtor safety is a priority for him. “I hope to communicate and spread awareness about this across the real estate community.” He says he hopes members will “find and make use of the tips and information shared to increase your personal safety as well as the safety of all those you work with and the wider Realtor network.” ■ ■ ■

The Appraisal Institute of Canada (AIC) has elected Dan

The 2016-2017 National Board of Directors, from left: Walter Lui, Steve Kincade, Johnmark Roberts, Diane Glover, Candace Le Roux, Lindsay Carlson, Winson Chan, Ken Loeppky and Don Kottick, president. (missing: Bruce Bassett)

Brewer of Richmond Hill, Ont. as national president for 2016-2017. Brewer has more than 38 years of property valuation experience in the private sector and is currently a senior appraiser and consultant for Appraisers Canada Inc., with offices in Richmond Hill and Barrie. He joined the Appraisal Institute of Canada in 1983 and earned his CRA designation in 1987, then his AACI, P.App in 2006. He is a licensed real estate broker and a licensed mortgage broker and he holds the Real Estate Institute of Canada’s CRP designation for Certified Reserve Fund Planners. Joining Brewer on the AIC Executive Committee are: Rick Colbourne, president elect, Nova Scotia; Thomas Fox, vice president, Saskatchewan; Peter McLean, vice president, Ont.; Daniel Doucet, past president, New Brunswick; and Keith Lancastle, CEO. The 2016/2017 board members include: Craig Barnsley, B.C.; Dan Jones, B.C., John Manning, Alberta; Ernie Paustian, Alberta; Darrell Thorvaldson, Manitoba; Paula Malcolm-Schaller, Ontario; Peter McLean, Ontario; Daniel Pinard, Quebec; Mike Kirkland, Newfoundland; and Scott Wilson, Prince Edward Island. The AIC’s highest honour, the Fellow, was awarded to two AIC Designated Members who have emulated AIC’s values and integrity in every facet of their career. This year’s recipients are Daniel Doucet of New Brunswick and Peter Lawrek of Saskatchewan. An Honourary AACI was also awarded to Craig Kelman, owner of Kelman & Associates, who has published AIC’s quarterly publication, Canadian Property Valuation, for more than 30 years; and Davida Mackay, the executive director of the Nova Scotia Real Estate Association, in recognition of close to 30 years of dedicated service to members and her involvement with various provincial and national committees. ■ ■ ■

The Appraisal Institute of Canada’s 2016-2017 board. Don Lea, left and Mike Carson.

Larry Cerqua

The Real Estate Institute of Canada (REIC) has appointed Don Kottick as president of the REIC National Board of Directors. Kottick is currently EVP, corporate development for Peerage Realty Partners in Toronto. With Continued on page 25


REM AUGUST 2016 25

Are you playing not to lose? By Dan LeFave

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n what kinds of situations are you most productive? What factors strengthen or undermine your motivation? Most of us answer these questions in very different ways, and that’s at the heart of effective management over your own productivity or someone else’s. It’s not a “one-size-fits-all” principle. The practices and habits that lead you to excel may not help your business partners or your colleagues. What works for your mentors doesn’t always work for you. Rituals, practices and habits matter. In business, motivation gets you started but habit keeps you going. The problem isn’t that we lack motivation; it’s the consistency with which we can maintain our focus without getting distracted and going off track onto something less important. Fortunately, there is a way of

Boards and Associations Continued from page 24

over 20 years of industry experience at the executive and senior management level, he has been a member of REIC since 2014. He is also currently serving as director at large for the Toronto Real Estate Board and as a director of the Canadian Chapter of FIABCI (International Real Estate Federation). In his inaugural remarks during the REIC 2016 Annual General Meeting in Ottawa, Kottick said, “My initial goal is to advance REIC through the promotion of excellence in the industry and, particularly, to help employers and associations advance the professionalism of their staff and members.” Joining Kottick on the Board of Directors are: vice president Bruce Bassett, RBC Global Asset Management, Halifax; secretary/treasurer Winson Chan,

grouping people into two types of personality attributes that predicts productivity: active-focused versus defensive-focused. Although these types are not well known among entrepreneurs, they can be easily distinguished by their ability to “play to win” or the way they “play not to lose.” Active-focus affects how we approach life’s demands and challenges. Active-focused people see their goals as a way of progressing and creating a path to achieve the rewards that will accrue when they reach them. They are growth oriented and they play to win. You’ll recognize active-focused people by their high level of comfort in risktaking. They like to work fast, dream big and think creatively. Unfortunately, all their risktaking, fast working and positive thinking makes them more prone to error, less likely to think things through to the end, and usually unprepared with a plan B if things go sideways. However, that’s a price they are willing to pay, because for the active-focused individual, the worst thing is a failure to progress, an unearned reward and a chance not taken. The active-focused are predominantly motivated by inspiraTridel Corporation, Toronto; past president Candace Le Roux, Bentall Kennedy (Canada), Vancouver; and directors Lindsay Carlson, Now Real Estate Group, Sherwood Park, Alta.; Diane Glover, Globe General Agencies, Winnipeg; Steve Kincade, Kincade Property Management, Saint John, N.B.; Ken Loeppky, Innovation Place, Regina; Walter Lui, Century 21 Leading Edge Realty, Toronto; and Johnmark Roberts, B&B Associates Realty, Toronto. ■ ■ ■

Mike Carson has been named executive officer of the Brantford Regional Real Estate Association (BRREA). “Mike’s leadership, management skills, industry experience and acumen will serve our members well,” says Don Lea, the board’s 2016 president. Carson brings 23 years of real

tional role models, the defensivefocused by cautionary stories. In contrast, defensive-focused people view their goals as responsibilities and concentrate on keeping safe. They worry about what might go wrong if they aren’t careful enough or don’t work hard enough. They are watchful and consistently play to not lose. They hang on to what they have and prefer to maintain the status quo. They are commonly more riskaverse and more likely to leave money on the table, but in contrast, their work is more carefully considered, thorough and accurate. Their method to success is to work slowly and meticulously. As a practice, they aren’t usually the most creative thinkers, but they may possess great analytical and problem-solving skills. While the active-minded generate plenty of ideas, both good and bad, it generally takes a defensive-minded individual to distinguish the difference between the two. Although at various times everyone is concerned with both active and defensive thinking, most of us have a dominant motivational focus. It strongly affects what we value, what we pay attention to and how we feel when we estate experience to the position, including an extensive background with CREA and the Ontario Real Estate Association. BRREA was established in 1942 and incorporated in 1954. ■ ■ ■

The Appraisal Institute of Canada (AIC) and its American counterpart, the Appraisal Institute (AI) will host hundreds of AIC and AI members as well as valuation partners in Ottawa next year. The 2017 International Valuation Conference will be one of the largest networking and professional development opportunities within the valuation industry. The three-and-a-half-day event, June 8 - 11, 2017 will feature speakers, educational sessions, exhibits of valuation products and services, an awards reception, a gala dinner and networking with international peers, say the associations. REM

succeed or fail. It determines our strengths and weaknesses personally and professionally. And it’s why the preferences and decisions of our otherwise focused colleagues can sometimes seem very odd. Most people will be able to identify their dominant focus immediately. If you can’t, you can try our online survey to determine whether you are activefocused or defensive-focused: https://www.surveymonkey.com/r/ YG8PHWH Simply identifying your own personality type should help you embrace your greatest strengths as well as identify and compensate for your weaknesses. Studies show that defensive-focused individuals are likely to take up conventional work, requiring knowledge of rules and regulations, careful execution and a practice for thoroughness – they are predominately jobs in which attention to detail is what truly pays off. The active-focused are likely to pursue “think-outside-the-box” jobs, in which they are rewarded

for creative and innovative thinking, and where being practical isn’t emphasized. Whichever area of focus fits you the best, it’s important to note that your overall productivity is affected by your tendency to be active-focused and play to win or to be defensive-focused and play not to lose. When you play to not to lose, you limit your productivity and leave money on the table. But when you figure out how to play to win, you take advantage of opportunities and win more often. Dan LeFave is the “Prepare for anything” coach, author, speaker, habit-changer and the creator of the online program Waking Up Productive - 12 Strategic Ways to Multiply Your Productivity While Working Fewer Hours. He has been profiled on radio shows, in magazines, articles and podcasts, from Manhattan to Vancouver. He says, “The thoughts you habitually think have the tendency to actualize themselves in physical conditions.” www.danlefave.com REM


26 REM AUGUST 2016

7 qualities of a great real estate agent By Mitchell Cameron

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s a real estate agent, it is important to think about some strategic steps you can take to set yourself apart from the rest. Emulating and practicing the leading qualities of prominent agents in the industry can take your business to the next level. Keep the following qualities in mind: 1) Great communication: This is important in any field, but especially in the real estate industry. Usually the option to buy or sell is time-sensitive, so being a great communicator can help reassure your clients. Constantly updating clients will keep them

in the loop and help them understand their current situation. Knowing exactly where they stand will increase their confidence in you as an agent. 2) Be proactive: Keep in touch with current clients and prospective clients. It is equally important to chase new leads and ask for referrals. By being proactive about your lead generation, you can ensure that you will always have prospects. In some cases business will come to you, but it is often better to take action and find business yourself. 3) Great listeners: This concept is again linked to communication. Clients will often be wary of agents who talk too much and do not listen to their needs. By letting your client speak and by actively listening to them, it involves them in the process of buying or selling. They feel more confident in your ability to serve them and you as an agent gain valuable insight. Royal LePage

president and CEO Phil Soper says that communication through active listening is one of the most important leadership tools. Listening effectively can open doors for new business or inform you about some client needs.

with your client better. Adapting to different styles will make it easier to communicate ideas. 5) Don’t be afraid to provide references: Providing references of previous clients can establish you as a credible agent. This does not mean giving references of

All clients are different and it’s important to be able to adapt your style to fit their needs. 4) Adapt to clients’ needs: All clients are different and it is important to be able to adapt your style to fit their needs. Some like to communicate on the phone while others prefer emails or a face to face meeting. Changing your style to fit your client will allow you to relate

your greatest deals. Instead, it is better to provide the most recent successes and clients. This will give your client peace of mind that you have a track record for success. References will also establish you as an expert within your industry. The more extensive your track record, the more

it will establish you as a seasoned, experienced professional. 6) Know why the customer is selling: A good agent will think about why a customer is selling. This could be for a number of reasons, such as selling to buy or selling an investment property. It is also beneficial to evaluate whether the house has any sort of sentimental value to the seller. Determining why they are selling can help you better relate to them and adapt your style to suit these reasons. 7) Know your client’s timeframe: Determining the clients’ expected timeframe can help with client/agent relations. If as an agent you can establish this, then you can establish the urgency of your client and act accordingly. Mitchell Cameron is a marketing associate at Mirza Intl. He can be reached at Mitchell@mirzaintl.com REM

Overcoming fear in sales THE EVOLUTION OF REALTY By Dan St. Yves

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othing does more to paralyze a potentially great salesperson than fear. Well, maybe getting pinned under an asteroid, but that’s pretty rare compared to the many fears that can stand in the way of success in a sales career. There are many common fears – fear of rejection, fear of closing, fear of sharks and fear of getting pinned under an asteroid in shallow, shark-filled waters. I won’t focus here on any of those, as there are literally thousands of motivational speakers and TED Talks to help people get past the most common of fears. How about instead we introduce a few new ones to paralyze you? And for the record, I’m not

making any of these up! Odontophobia - fear of teeth. Imagine you’re just about done negotiating a sale and the listing agent suddenly starts grinning like a maniac. Despite humming to yourself and closing your eyes, you can tell his big shiny teeth are practically glowing in the dark. Why you’re both in the dark is beside the point, but you may have to walk away before you succumb to this fear. Try wrapping this offer up over the phone, or by fax. Trichophobia - fear of hair. Sure, you’ve started to get a little testy over that hereditary male pattern balding kicking in earnestly on your noggin, but so far, you’ve been able to control your jealousy over the other agent’s retro Bay City Roller hairdo. However, when the lush and shiny follicles seem to be waving at you from behind his left ear, you may have to excuse yourself. See if your partner can negotiate the offer in your absence. Graphophobia - fear of writing. How you were even able to

scribble together an offer is commendable, but here you are – an offer is written and you’re ready to present. As long as the offer is accepted as is, you won’t have to further adapt to overcome your Tropophobia concerns (fear of making changes). Triskaidekaphobia - fear of the number 13. You shouldn’t have too many worries over this fear, unless the list or offer price is $131,313.13. Technophobia - fear of technology. As long as you have access to a rotary dial phone, a Gestetner copier and a Model A Ford, this fear should not paralyze you one iota. Say, is “iota” a technological term? Decidophobia - fear of making decisions. Should you prospect this week? Take some time to make sure all the conditions are on time for removal to firm up that recent sale? Do you need to wear a red tie or a blue tie with that plaid jacket? Why can’t an asteroid come along to pin you down and remove all these dang, urgent decisions? Meteorophobia - fear of mete-

ors. While technically not an asteroid, this may be the closest fear I could find to getting pinned under. Unlikely to debilitate you regarding your day-to-day fear inventory for your sales career. Acrophobia - fear of heights, air, high places. Easily placated fear, this one. Don’t take listing appointments with Tarzan, breathe frequently and sell your trapeze on Kijiji. Eremophobia - fear of being alone. Again, this fear is easily overcome. Simply do not schedule open houses during July and August long weekends, or during the Stanley Cup playoffs. Finally, maniaphobia - fear of insanity. This fear is arguably the easiest to overcome. Simply stop reading this column and follow the proper advice given by most others in this publication. Humour columnist and author Dan St. Yves was licensed with Royal LePage Kelowna for 11 years. Check out his website at www.nonsenseandstuff.com, or contact him at danst.yves@hotmail.com. REM


REM AUGUST 2016 27

CSA’s home inspection standard By Paul Gulletson s a Realtor, you understand better than most how stressful the home buying experience can be. Home buyers are faced with sometimes overwhelming decisions about location, size and design – and then there’s the question of price. As you help your clients navigate this journey, one of the steps they will face along the way is the question of a home inspection. A proper home inspection can help

A

them to better understand the condition of a home and whether there are any significant deficiencies that could result in unexpected, costly repairs. It helps ensure they go into a home-buying decision with their eyes open. Until now, though, there hasn’t been a consistent set of minimum requirements for Canadian home inspectors to follow or for home buyers to compare services. One home inspector might take 45 minutes to inspect a home while another might take four hours. A home inspection in one province could be very different from one in another province. These discrepancies can lead to wide variations in the amount of risk taken on by home buyers and home inspectors alike.

Real Estate Books Legal Responsibilities of Real Estate Agents, Fourth Edition Rosemary Bocska and Martin K.I. Rumack LexisNexis This popular textbook by research lawyer Rosemary Bocska and Toronto lawyer and frequent REM contributor Martin Rumack is now in its fourth edition. “A particularly strong factor in deciding to publish this new edition was driven by the continuous change in terms of the standards of practice required not only of agents and brokers, but also of lawyers, mortgage brokers, lenders, financial advisors, appraisers and other involved parties,” says Rumack. “The on-

But in March, things changed. CSA Group announced a new standard on home inspection called CSA A770. The standard was developed by a balanced committee that included home inspectors, Realtors, consumer groups, government and other stakeholders, and it is designed to protect both consumers and home inspectors. The standard is voluntary, but it provides a consistent set of rules that help define expectations for home buyers and help inspectors provide a reliable level of service to clients on an even playing field. As the first accredited consensus standard for home inspection in Canada, CSA A770 includes baseline requirements for the systems and components in and around a home that need to be your commission. • Watch out for little old ladies and other trouble-makers. • Don’t be a jerk; it will eventually cost you. For more information: https://goo.gl/PsjuVU

The 10 Habits of Successful Investors By Malcolm Silver going changes to the numerous real estate laws and regulations, Free download and refinements in the law driven by court decisions, impact everyone who may be involved in providing any type of professional services to the public.” The book is written from an Ontario perspective and includes changes to Real Estate Council of Ontario regulations. It’s not all dry legalese. A section about commissions offers several pieces of advice, each one backed up by specific legal rulings, on how to avoid commission disputes. They include: • Get the agreement in writing, pronto. • Make yourself an indispensable part of the deal. • Count on the fact that unscrupulous sellers may try to avoid paying

“At first glance, investing in real estate seems to be a very simple endeavour, but it’s really not. When you drill down, there’s a lot to consider,” says veteran Toronto real estate investor Malcolm Silver. “I wanted to write a book so that people who are considering investing, but don’t know where to start, would have a guide. This book is based on habits that took me years to hone and which make my own real estate investments successful.” Silver has made this short 40page book available as a free download from his website, msilver.com. Topics discussed include clarifying what you are trying to accomplish with your investment, finding a mentor to help, building a team of professionals to manage the property, how to find a good deal, investing using other people’s money and more. REM

inspected, and the conditions and deficiencies that need to be identified. It also outlines general inspection methods and minimum requirements for inspection reports. What is most important is it gives inspectors a unifying benchmark and home buyers a means to compare service providers. The draft standard received more than 5,000 comments during its 60-day public review period. The strong public response clearly demonstrates the potential impact of this standard. The feedback from the public review process was carefully reviewed and considered by the committee before the standard was finalized. Several home inspector associations in Canada already have training and licensing programs in place. It is our hope that existing training and accreditation programs will be updated to reflect the requirements of this new standard. Your clients should be able to compare and choose an inspector who

is offering a home inspection in compliance with the standard. It’s a win-win: home inspectors will be able to better define what a home inspection does and does not include while buyers will have confidence that an inspector is following an accredited, nationally recognized standard. CSA group is offering the standard for free public view. Visit https://goo.gl/JS42Z2 and create a login for the CSA Communities to read the standard. Paul Gulletson has been a project manager for Built Environment standards at CSA Group since 2011. He manages a portfolio of technical committees comprised of experts from industry and government that develop standards for construction and civil infrastructure. Working with a diverse group of stakeholders and technical experts from across Canada and the U.S., he facilitates CSA’s accredited consensus process to develop standards, including CAN/CSA A770 Home Inspection. REM

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28 REM AUGUST 2016

Good Works E

ight members of Century 21 Bamber Realty in Calgary participated in Calgary’s Woman2Warrior event in support of Easter Seals, raising $11,827. This year’s event saw almost 200 participants who raised over $100,000, with the C21 “Agents of Bamber” team coming in first place for fundraising for the second year in a row.

Woman2Warrior Calgary is a non-timed run covering about 4.5 km of trails and terrain. Proceeds from the event help kids with disabilities and medical conditions by supporting Easter Seals Alberta and Children’s Hospital Aid Society.

Re/Max Blue Chip Realty in Estevan raised $1,100 for the Saskatchewan Summer Games. From left: Linda Mack, Donna Nyeste, Brian Smith (from the Saskatchewan Summer games), Rhonda Blanchette and Lorna Pylychaty.

Owners Joanne Evans and Martin Minda plus 40 members of Century 21 Millennium in Brampton, Ont. recently participated in the Hike or Bike for Hospice event. Their goal was to raise $5,000 and the team exceeded that with a total donation of $7,600.

■ ■ ■

The Royal LePage GTA Charity Golf Tournament raised Gus Monteleone (far left) presents the winning foursome with their trophy at the 23rd Annual GTA Charity Golf Tournament. From left: Michael Stothers, Alun Evans, Caroline Baile and Mario Hermenegildo.

The Woman2Warrior team from Century 21 Bamber Realty in Calgary.

Attendees at the Royal LePage Premier Real Estate charity golf tournament, from left: Kym Barrett, Brittney Pylypiuk, broker/owner Shirley Williams, Alayna Burnstad and Lisa Lupino.

Attendees of the Fifth Annual Royal LePage Network Realty Corp. Charity Golf Tournament pose for a group photo.

The team at Re/Max Blue Chip Realty in Yorkton

Gary Chambers of Century 21 Trident paints some playground equipment as part of the camp clean-up day.

Bosley Real Estate participated in Family Pride this year in Toronto and was the only real estate agency represented, the company says. Agents from all the Bosley offices came to show their support, where they gave away freezies and a weekend getaway to wine country.

Golfers at the Royal LePage Binder Real Estate Golf Tournament, from left: manager Fred Shaw, sales reps Fran Grebenc and Beth Rezoski, and Royal LePage CEO Phil Soper.

Surrounded by organizers and supporters, Stephen Grant, president of Royal LePage Advance, presents funds raised at the Royal LePage Advance Salmon Derby to Carrie Sjostrom of the Campbell River and North Island Transition Society. (Photo: Eiko Jones Photography)

Organizing Committee Members of Saskatoon’s Annual Golf Tournament for Shelter, from left: Royal LePage Vidorra broker/owner Norm Fisher, Royal LePage Hallmark sales rep Lisa Poier, Royal LePage Vidorra sales rep Lyndon Neher and Royal LePage Saskatoon Real Estate office administrator Colette NollGates. Missing is Royal LePage Vidorra sales rep Jillian Moore.


REM AUGUST 2016 29

$20,000 and marked its 23rd year recently at the Caledon Country Club. Proceeds benefit the Royal LePage Shelter Foundation. The popular tournament has raised $95,000 for the foundation since implementing a charitable component six years ago. Organizers Al Orlando, Gus Monteleone, Joanne Verissimo, Walter Mudyk, Miguel Madeira, Jennifer English and Rick Murray say they look forward to surpassing the $100,000 mark at next year’s tournament, scheduled for June 5, 2017. ■ ■ ■

The team at Re/Max Blue Chip Realty in Yorkton, Sask. recently held a Family Fun Day. There were rides in the tethered Re/Max hot air balloon. The local radio station was on hand with a Viper give away promotion and there were face painting, balloon creations, a hot dog sale and a bouncy castle. The event raised $10,300, with all proceeds going to the Children’s Miracle Network. The Re/Max Blue Chip Realty team in Estevan recently held a barbecue to help raise funds for the Saskatchewan Summer Games, which will be held in that community. ■ ■ ■

Royal LePage Premier Real Estate in St. Albert, Alta. hosted its Fourth Annual Charity Golf Tournament in support of the Royal LePage Shelter Foundation recently, raising $22,400 for the Stop Abuse in Families Society, which provides services to clients and families experiencing abuse. Broker/owner Shirley Williams says, “With the support of our sponsors, golfers and dinner guests, we had a day filled with fun and laughter while raising money for an important cause.” Through fundraising events and agent donations, the brokerage has raised $107,000 for the Royal LePage Shelter Foundation. ■ ■ ■

A team from Century 21 Trident Realty in Dartmouth, N.S.

visited Camp Tidnish (Easter Seals Nova Scotia’s fully accessible summer camp) for a camp clean-up day. The team worked with Easter Seals Nova Scotia staff to prepare the camp for the upcoming season. One of the biggest jobs involved a major cleanup of the camp’s accessible pool in preparation for painting. Other projects included a thorough prelaunch cleaning of the camp’s pontoon boat and installation of vinyl coverings on the hand railings in the main lodge. ■ ■ ■

Royal LePage Advance brought the spotlight to Campbell River, B.C. at the First Annual Salmon Derby recently. More than $20,000 in cash and prizes were awarded, including a $5,000 cash prize to first-place winner Cody Johnstone. More than 700 fishers attended the inaugural event and 70 fish were weighed in at Robert Ostler Park, which was bustling all day with kids’ activities, food trucks and a silent auction. A total of $44,800 was raised and split between two local charities, the Campbell River Salmon Foundation and local women’s shelter Ann Elmore Transition House, via the Royal LePage Shelter Foundation. ■ ■ ■

Royal LePage Network Realty Corp. in Red Deer, Alta. raised $60,000 at its recent charity golf tournament at Alberta Springs Golf resort. It is the brokerage’s fifth year hosting the event. All of the proceeds will benefit the Central Alberta Women’s Emergency Shelter, which offers safe refuge, personal counseling and community support for families experiencing violence. “We have now raised just under $300,000 in five years,” says brokerage owner Norm Jensen. “This accomplishment is thanks to our many sponsors, golfers and volunteers and shows the generosity of the people in Central Alberta, even in a challenging economy.” ■ ■ ■

Century 21 Reynard Real Estate in Kenora, Ont. hosted its seventh annual Boobie Nights for the Lake of the Wood’s District Hospital Foundation. This year’s event raised more than $378,500, which will go towards a CT scanner. Broker/owner Bill Scribilo told Kenora Online that the hospital foundation is “close to our hearts and a charity we felt was really worthy…Everyone in the community benefits from any monies raised for the foundation. Every dollar goes directly back into our local hospital, so that when we need them they’re there for us.” ■ ■ ■

Saskatoon’s Second Annual Royal LePage Golf Tournament for Shelter took place recently, bringing together professionals from all four local Royal LePage brokerages - Royal LePage Hallmark, Royal LePage Saskatoon Real Estate, Royal LePage Varsity and Royal LePage Vidorra. Thanks to generous sponsors and participants, $21,000 was raised for the Royal LePage Shelter Foundation, 100 per cent of which will benefit the YWCA Crisis Shelter and Saskatoon Interval House. ■ ■ ■

At its 12th annual golf tournament, Royal LePage Binder Real Estate professionals and guests raised $30,000 in support of the Royal LePage Shelter Foundation. All proceeds will benefit local women’s shelter, Hiatus House, which offers intervention for families experiencing domestic violence. “Our fundraising total is double what we’ve raised per year in our last 11 years of hosting this tournament,” says Frank Binder, Royal LePage Binder Real Estate broker of record. Committee members responsible for the success of the day include: Frank Binder, Mike Coffin, Wendy Coffin, Helen Almas, Carol Irwin, Gerry Sykes, Mike Uljarevic, Travis Sartori, Jenna Chase-McMahon, Fran Grebenc, Fred Shaw, Fred Binder, Katlyn Lemay and Mike REM Plante.

Trade Shows and Conferences To add a listing to this calendar, email jim@remonline.com Atlantic Connection July 26 - 29 Delta Prince Edward & P.E.I. Convention Centre, Charlottetown www.atlanticconnection.ca/ Durham Region Association of Realtors Realtor Connect Thursday, Oct. 13 Deer Creek Golf & Banquet Facility Alex Down – communications@ Durham RealEstate.org Activate 2016 Hosted by Re/Max of Western Canada Oct. 18 - 20 Fairmont Chateau Whistler Whistler, B.C. 2016 Coldwell Banker Gen Blue Experience Oct. 18 - 20 Miami Beach, Fla. http://genblue.coldwellbanker.com/ WinnipegRealtors Association Conference and Trade Show Thursday, Oct. 20 Victoria Inn Hotel and Convention Centre, Winnipeg lhajkowski@winnipegrealtors.ca www.wrexpo.ca

Realtors Association of Grey Bruce Owen Sound AGM & Tradeshow Wednesday, Oct. 26 Bayshore Community Centre Owen Sound ea@ragbos.com Barrie & District Association of Realtors — R.E.I.G.N. Tradeshow and Emerge Conference Thursday, Oct. 27 Georgian College, K Building Barrie bonnie@barrie.realtors.com Century 21 Canada Conference Supplier Expo Oct. 28 - 29 Westin Bayshore, Vancouver Carla Ty – supplier.expo@century21.ca National Association of Realtors Realtors Conference & Expo Nov. 13 - 16 San Diego, Calif. www.realtor.org/convention.nsf/

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

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30 REM AUGUST 2016

THE PUBLISHER’S PAGE

By Heino Molls

T

MARKETPLACE

here’s some upheaval going on in the entertainment business these days. Agents and managers representing actors and musicians are blurring the lines between acting as agents for their clients and owning the shows in which they appear. As owners of the shows, they control what they pay and even who appears in those shows. To many people, including me, that compromises what they are supposed to be doing; acting in the best interests of their clients. If they keep their clients’ pay low to help the show make money or tell their clients that they have to take a cut to help the show, then they

Owning what you sell are taking advantage of their talent instead of representing their best interests. Most people, including me, think that while it might be legal, it is wrong. Years ago the Canadian government rolled out the Railway Act of Canada, which stated that a railway could not own what they transported. That prevented any conflict of interest. For example, if they owned a furniture company they could give cheap transportation and priority to their furniture rather than a competitor’s furniture. Today, telecom companies own many of the products they sell, such as sports teams and other entertainment shows. That is clearly not right. Rogers, for example, owns the Blue Jays. They give them priority on channel positions and promotion over many other sports because they own the team, Bell owns television shows and blatantly promotes them and places them in prime time slots

over independent shows produced by competitors because they own the shows. This may not be a violation of the law but it is a clear violation of fair practice and it should be against the law. Cable companies and telecom companies in Canada have many shameful positions on what is right for their subscribers. They are wrong. Some organizations do have integrity selling that deserves greater acknowledgement. Car companies, for example. You cannot buy a car directly from major auto makers. It is illegal to do so in America and although it is not illegal in Canada, General Motors and Ford and Chrysler simply don’t do it because they respect the franchise system of sales dealers they have across the country. So it is not the law in our country, it is just the right thing to do. I congratulate them for this. Which brings us to the debate of a real estate agent selling property that they own or a real estate

salesperson buying property for themselves. It is currently perfectly legal for a licensed sales rep to represent themselves to buy a house and sell it if they want, with full disclosure. I suggest that the industry give this situation a long hard look. It seems to me that a person who is active in the real estate business has every right to look at and buy a house, the same as anyone else in this country. What might be given full and thoughtful consideration is whether that person should be represented by another professional real estate rep. We live in a day and age of suspicion. From cable company operations to government regulations we worry every day about the honesty of those around us and those in charge of our lives. Questions of integrity are present on every corner. It does seem that showing professionalism may be the greatest challenge that the real estate business has today. It is

not illegal for a sales rep to do their own transaction; it is just how it appears. The gesture of real estate agents hiring other agents to handle the transaction would go a long way to assuring the public that people in the real estate business today believe in the importance of conducting affairs with the highest integrity and professional standards. It is my understanding that if a real estate agent buys and then down the road, sells their principal residence, they do not pay taxes on any money they made. However, if they make money as commission of that sale, they must pay taxes on that income. So why not hire a licensed sales rep to handle the transaction and keep it completely transparent to the public? It seems if there was a protocol like that it would help this industry a good deal. And right now, this business could use a gesture of integrity. Heino Molls is publisher of REM. Email heino@remonline.com.

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