Condominiums first step to homeownership in most major centres, says RE/MAX

Mississauga, ON (November 1, 2010) - Given serious escalation in detached housing values, condominium apartments and towns have now emerged as the first step to homeownership, says RE/MAX Ontario-Atlantic Canada.
Affordability has fuelled buying activity across the board, according to the 2010 RE/MAX Condominium Report, highlighting trends and developments in eight Ontario markets and one in Nova Scotia. Condominiums now represent one in every three homes sold in the Greater Toronto Area; close to one in every four homes sold in Ottawa and Hamilton-Burlington; and almost one in every five homes sold in London, Kitchener-Waterloo, and Collingwood. The trend has translated into a solid upswing in unit sales activity, with 78 per cent of markets posting an increase in year-to-date sales (January - September 2010 vs. 2009)-with percentage gains outperforming overall residential sales in most markets examined.
"As one of few affordable housing options available to first-time buyers, the concept is poised for dramatic growth in years to come," says Michael Polzler, Executive Vice President, RE/MAX Ontario-Atlantic Canada. "The lifestyle has also gained a foothold with younger, hipper audiences, as the definition of homeownership evolves with the changing demographic. Dreams of the small home with a white picket fence are being replaced by the funky loft apartment in close proximity to shops, restaurants, and entertainment."

Economic recovery fuels significant upswing in sales in Canada's recreational property markets, says RE/MAX

79 per cent of markets report upward trending in recreational sales in 2010
 
Mississauga, ON (May 20, 2010) - Serious year-over-year gains have characterized sales in most major Canadian recreational property markets this year, according to a report released today by RE/MAX.


The 2010 RE/MAX Recreational Property Report, highlighting sales, prices, trends and developments in close to 50 markets from coast-to-coast, found that 79 per cent of recreational areas reported an upswing in the number of properties sold during the first three months of the year. Starting prices for recreational product were also on the move, with 43 per cent posting a nominal increase. Inventory levels, with the exception of the coveted entry-level price point, were healthy and balanced market conditions prevailed in most areas.


"While sales have been strong out of the gate, the number of waterfront cottages, condominiums, and back lot properties sold in the first quarter still fall short of pre-recession levels," says Michael Polzler, Executive Vice President, RE/MAX Ontario-Atlantic Canada. "However, with peak season fast approaching, stimuli such as softer values, greater selection, and relatively low interest rates may prove difficult for recreational property buyers to resist."

RE/MAX Upper End Market Trends Report 2010

“Don’t Use a Part Time Agent” – a Gutsy Approach

From the Desk of Darryl Mitchell, Managing Broker, RE/MAX Professionals Inc.

“Interesting approach at a time when the Competition Bureau is on the heels of organized Real Estate” Darryl Mitchell, RE/MAX Professionals Inc. Managing Broker of the RE/MAX Canada “Don’t Use A Part Time Agent” Campaign.
Let’s look at Reality. Today many agents in real estate in Ontario are part time. At a time when the Competition Bureau is berating the industry across Canada, more part time agents than ever are experiencing lower incomes than ever. Is this competition gone awry, or simply a modern trend?
Is this good for the industry? Good for society? Or is this simply a design to failure in an overly competitive industry? I suppose it depends on your perspective as to what success and competition is.
Let’s use some other life decisions as comparables;
- If you were in need of a heart transplant, would you hire a part time surgeon?
- Your car needs adjustment to its steering system. Would you hire a part time auto mechanic?
- What if you want to invest your retirement savings? Would you hire your neighbour who dabbles in stocks?
Probably not! In fact these scenarios are very unlikely. Experts in any of these fields would chastise anyone who ever thought of these approaches to major life changing decisions. The media would shout “Fool!” at anyone who pursued these tactics and lost their life, their steering or their life savings.
So what is so different with the purchase or sale of a home? Use a part time Realtor to buy or sell the largest transaction most of us make in our lives? A bit fool hardy I would say!
So is this statement, made in the public forum a fool hardy approach in the view of the recent competition challenge facing organized real estate? Considering the position of our industry, this may be the only stake holder with the capacity and knowledge to position the argument effectively for the good of all stake holders.
First, we must look at the front line competition defender, The Canadian Real Estate Association. This organization is the defender of the organized real estate industry and governed by the voting members on an equal vote basis, CREA has no mandate to make a statement such as this. A large contingent of voting membership is made up of part time Realtors! So their criticising this growing trend is unlikely.
The Competition Bureau will not criticize a competitor of questionable ability. They are attempting to increase what they, in their wisdom, is a dire lack of diverse competition. So no luck here.
Our provincial association, the Ontario Real Estate Board, and our local real estate boards who manage our Multiple Listing Services (MLS), similar to CREA will not question the ability or commitment of any of their membership, either.
Even the Real Estate Council of Ontario, who polices the ethics and professionalism will not criticise this less active group of agents.
Perish the thought of the other real estate brands standing up against the “part time” trend that is now not a trend but a norm in many other real estate business models. Being too vocal is just not politically correct at this time. Perhaps what the Competition Bureau needs to realize is that a bad business model is still a bad business model and businesses based on the “part time - low margin” approach are not financially viable. They do not provide a living income to the Realtor and their family.
So, it is up to Michael Polzler of RE/MAX Ontario Atlantic to state what is obvious to the most active in our business, time to change our industry to a more professional, full time agent basis. Let those who dabble in the business obtain a probationary license or other licensing approach. Not only will you see competition increase, but the competition will be more professional, more detailed in its approach. The consumer will be much better served with professionals representing their best interests effectively. They can still make their choice of business models. But my bet is they will still use a full time Realtor, with the time, talent, experience and professionalism to make a difference.
Or is this solution just too simple for the educated mind to see!
By the way, I am not against competition. Extremely high competition is what has made the Canadian Real Estate Industry so successful and vibrant in the face of the worst recession in two generations. We have many models currently active in our industry, many successful, others, not so much. Competition is what made our country, our industry and our people world leaders. Our MLS system and the Realtors involved helped save the equity in my home and probably yours as well. That is the way I see it, anyway.
Darryl Mitchell

See the entire article by Gary Marr from the Financial Post on the “Re/Max starts campaign against part-time agents”.