Leading The Way ... Home !

Old, but good, news...

2011-05-09T13:16:00.001-04:00

Friday's Globe and Mail had a string of interesting, even useful, real estate articles.
"Well, of course they did", you say, "Friday is the day they publish their real estate section."
Except these better articles were all in the Report on Business section. It was so full of juicy items it took me a few days to get around to writing this up.
With the wee summaries and links below, I quickly maxed out the character limit for Facebook and Twitter ... so you get a blog post. To wit (not to Tweet)...

"Rule changes make mortgages a moving target". Opens with a statement that all the new rule tweaks make "it harder for many Canadians to get a mortgage". Followed by a bunch of reasons why the new changes and restrictions are a bad idea. Towards the end of the article we get stuff more along our thinking: that the new rules help ensure that "the goal and dream of owning a home is balanced with the ability to repay..." A broker suggests the changes affect decisions for 10-15% of buyers. If he is right, I suggest that the new changes probably influenced 90% of those people to make better decisions. In other words, there are very very few people out there who have really good reasons for a 95% mortgage amortized over 35-40 years.

"How to play the low interest-rate game". Pretty solid advice on how to take advantage of the current low interest rates without losing your mind and taking inappropriate risk. My favourite quote (though I admit there are exceptions) "If you can afford to put down only 5 per cent, you can't afford the house".

"The $600,000 question". What do you get for $600k in various parts of the country. If you are just one happy puppy on some acreage in the boonies you can get a lot of house. If you want to step outside and stroll to every imagineable cultural, recreational, and commercial attraction, think smaller.

"The long, slow flip". Cindy Wennerstrom's business is "flipping" homes but she takes an interesting middle ground between the fast buy-reno-flip and the long term investment property approaches. She argues that her approach has risk and tax advantages.

If any of those sound interesting beyond my precis, follow the links and enjoy. Comments also most welcome. Please. Somebody. Comment. On something :-)

How Many Houses Do You Sell in a Year?

2011-05-07T23:29:00.000-04:00

[Part of a series on how NOT to select a rep.]

When we are being interviewed by a potential client and this question is asked, our first response is "none". That is because we don't "sell" houses. Our clients sell/buy. We help.

But the question is often asked on the premise that the more you sell, the better you are and the more you can do. Sales are results, so more sales equals better results, right?

We think not. Certainly, an agent must have a number of successful transactions per year to be considered "successful" ... and to pay bills and eat. But beyond some point, more sales may mean poorer, or at least different, performance and service levels.

There are only so many days in a year and hours in a day. We limit the number of active clients we will take on at any one time (to 10, though a constant 10 would have us lowering the number in a hurry!). If we assist in the sale of a home a week during the high seasons, we are happy and not really looking for any more business (maybe less).

Why? Because we want to have a life while providing top service. And because we decided we want to be fully involved throughout the process with our clients.

That is not saying we are the best (that's a story for a different place and time). It's just our opinion that a number higher than that requires either reduced service or a different business model.

The reduced service is pretty obvious and unpleasant. The point to be emphasized again: More is not continuously better.

The different service model can work well, but you need to understand what it means. Typically it means a small -- or not so small -- "firm" of professionals and service staff who, to a greater or lesser extent, specialize. The "names" of the firm typically do the signing up -- listings or buyers. For a listing, much day to day contact will be with a staff person. If it's a buyer, or a seller who is also buying, a "buyer agent" may be assigned to that effort.

It's fundamentally the same model as a consulting, accounting, or advertising firm. In those businesses, you only see the senior partners between signing and cheque-collecting when there is a big, BIG problem! It works great with a well-managed firm with good training and a steady supply of young keen fresh meat!

I'm rambling. The point is that that is how an agent "sells" 200 houses a year. They don't. [First, to be repetitive, an agent doesn't sell anything ... except maybe themselves]. A mini-brokerage, firm, team, whatever manages the sale of those homes.

To choose between someone involved in 20 sales or 200 or 300 sales, you need to decide on what kind of model you want and who you want to be working with. The specific number of sales itself is not relevant.

Previously in this series of posts:

The introduction to this series is here.
The chat about the not-validity of evaluating an agent by the ratio of sale price to listing price (You know the drill: "SOLD OVER ASKING!!") is here.
How about the guy with the lowest "average-days-on-market"? Debunked here

Best Answer Ever (Grow Op Edition)

2011-05-01T20:09:00.000-04:00

The other day we presented a (successful) offer on a fine home owned by a lovely senior couple. A fairly standard clause in these strange times has the owner warranting that they have never used the property as a marijuana growing operation.

The listing agent properly noted the clause and asked them to confirm that they could so warrant.

Said the grandfatherly owner: "Well, I've pulled on a few, but I never grew it."

Days NOT on Market

2011-04-17T15:18:00.000-04:00

I'm reviving a series on how NOT to select a rep. The intro was posted previously. You can find it here. There was also a chat about the not-validity of evaluating an agent by the ratio of sale price to listing price (You know the drill: "SOLD OVER ASKING!!") ... That piece is here.

Another common suggested criteria is "Average days-on-market". A low number is deemed an indicator that the agent prices and markets well, allowing properties to sell high and quickly.

We agree that a properly priced home will generally attract the right buyers and receive the best offers. And, as a result, it will typically mean a prompt sale. But list price is ultimately the seller's decision and there can be reasons to "test" higher prices. We can (and will) decline the listing if we have major problems with the plan, but sometimes the logic is there.

For example, a common reason for "testing" a higher-than-likely price is an estate sale. An executor may feel pressure to demonstrate to the heirs that every attempt was made to attract the highest price.

All that said, the ultimate "days-on-market" stat is often deceptively low for much the same basic reason that sale:listing price ratios are meaningless.
In most cases, a property that has been on the market for several weeks and is due for a price reduction (or some other attempt to generate market interest) will be cancelled and re-listed. The statistic is only for a sold listing. So, a cancelled or expired listing doesn't count.

Agents will actually persuade sellers to re-list purely to manage the statistic. that doesn't necessarily mean they are trying to deceive. They just know they will be asked about the stat at some point.

When you first hear such statistics, they sound pretty attractive as an "objective" way to compare agents. Unfortunately they are without meaning. Some clients don't like that answer, especially when their banker, lawyer, etc have suggested they ask about these statistics in their selection process. We famously (famous to us) lost a listing on exactly these grounds, when we chose to explain rather than boast. But we aren't bitter!

The graphic is an example of a property that sold quickly and well. They tried a high-ish price for less than a week. Presumably the market was giving clear signals they were too high. Within a week, before the listing became "stale", the price was reduced and the home sold almost immediately. The "real" statistics are fine under the circumstances: sold in 8 days for 93% of list. The "official" statistics: sold in 2 days for over 100% of list. Betcha I could find a current similar example, probably on your street!

It can be hard to explain the problem without looking like we are trying to hide our own performance. We aren't hiding anything ... our stats will compare favourably with any good agent, but the performance we "tout" is honesty, professionalism and full support and dedication to our clients' goals and needs. Wow, that was quite a sales pitch, wasn't it?

New app for us iPhonies (and Webbies, too)

2011-04-06T14:01:00.001-04:00

Anybody done mortgage rate comparisons at RateSupermarket.ca? What did you think?

We haven't been serious viewers/users of the site but it reads as a fairly neutral place to get an idea of current comparable real mortgage rates. I quite like how straight forward they are about their independence and how they make money (see the "About Us" tab on their site).

How do they make money? Advertising and referrals. The advertising is clearly identified as such. And the referrals come only if you ask.

I looked at them a little more closely today because they announced an iPhone app connected to their service. It seems pretty straight forward. You could be looking at a home and start to feel that "what if I bought this" tingle. Out comes the app and tells you who wants what rate today for whatever type and term you ask about. It also has a mortgage calculator to check the actual payments. Could be handy. You don't have to actually talk to anybody or give out your information to anybody to get a solid idea of what would be involved mortgage-wise.

All that said, if you know you are house-hunting you should get pre-approved. Find a good mortgage broker (we know several) and go through the process. You will know what you can afford, you can lock in a rate, and you will be stronger at the negotiation table. It's all good.

If you're interested in real-estate related apps, you might want to have a peek at a series of earlier posts on the subject: Part 1, Part 2 and Part 3

Death, Cars and not a thing to do with real estate

2011-04-05T14:54:00.000-04:00

An article on US traffic deaths came buzzing by me (at moderate speed) from two different directions yesterday and today that had my head spinning so fast I could barely scratch it.

Here's the basic item, via the Globe and Mail:

In summary, traffic fatalities in the US are falling. Increased speeds, volume and distractions (phones, etc) are being more than compensated by improved technology, enforcement and education. Seat belts, airbags, anti-lock brakes, crumple zones, and engines that fall out in a crash instead of landing in your lap seem to be helping. Then there's radar, breathalyzers, and the surrounding information and awareness campaigns. Kids are still generally as stupid as we were on a lot of things. But a whole lot more of them are smart enough not to drive hammered.

All interesting and straight-forward. But here are the bits that snuck in and got my "Wow" attention.

. There were still about 33,000 people killed in the US in 2010 in traffic accidents. The multiplier to account for injuries is probably significant. That's a lot of death.

. The Globe notes that there are now over five times as many vehicles on the road as in 1949. Those vehicles are travelling 13 times as many miles, and they are doing it at higher speeds with much greater congestion. The population of the US has doubled. Just under 33,000 deaths in 2010 ... how many in 1949? (Think for a second, before you peek)

Answer: Over 30,000 ! That is an astounding improvement in survival, albeit still a lot of people dying.

. And the final gobsmacker. What cause of death has now passed traffic accidents in the US:
Answer: Suicide. That is as depressing as the traffic numbers are encouraging.

As I noted, nada to do with real estate. I just needed to say it. Drive carefully. Get help if you need it.

Run Forest Run !

2011-03-25T23:44:00.000-04:00

Just a heads up that the Beach Spring Sprint is just around the corner. Great event that raises funds for the Rec Centre programs.

You can't just show up on run/walk day (April 2), and there are only 3 registration days left: March 28, 29, 30 7-9pm at the Beaches Rec Centre, 6 Williamson Road / 416-392-0740.

What should you do?

2011-03-13T12:46:00.000-04:00

A (not so much fun) day in an agent’s life.

1.    The seller paid to have the knob and tube wiring removed when a kitchen reno was being done. But the home inspector finds that the knob and tube is still extensive on both the first and second floors. What do you do?

2.    A sale is firm, but on the same day as a buyer visit there is a substantial winter rainfall and the basement floods. What do you do?

3.    There is a verbal agreement on a sale. As both parties are out of town there is a 24 hour delay to get it all in writing. The buyer’s wife wakes up with very cold feet and they want out of the deal. What do you do?

Going back to bed and pulling the covers over your head is not an option.

App – ropriate. Part 3: Zoocasa, Zillow and others.

2011-02-20T21:40:00.001-05:00

This series of posts concerns what I think I know about smartphone apps and their kin as it relates to real estate. We had a go at the new CIBC app in part 1, and looked at the mobile version of realtor.ca in part2.

Zoocasa, Zillow and others are websites with accompanying mobile apps that are supposed to represent the future for access to real estate information.

Maybe they do, but they aren’t there yet.

Zoocasa is supposedly backed by Rogers and committed to developing its content and presence over the long haul. We, and quite a few other agents in our community, have committed to a presence with them. (Translated: they can include our listings and our advertising appears on the site).

In our case, we weren’t expecting them to “take off” instantly. But given their apparent level of commitment and sophistication they seemed to have the best chance. And we liked “being there” with the ad presence if and when take-off happened.

Advertising and promotion OF Zoocasa has disappointed us somewhat. As a result we are not sensing that many people are using the site. Are you? If you are, tell us about it.

Again, the site and the app will map an area you select and “pin” listings in the area. You can then call up the details for any listing – photos, room info, listing agent, etc. The website also connects you with some area info, mortgage brokers and other trades and professions; and it offers some Q&A help about how the business works.

The app seems more restricted to the nitty-gritty of “what’s for sale here and what is its story?” Even there, the app only seems to include a single photo and a couple of paragraphs of description. It does have a “history” button which saves an entry for all the properties you have looked at on the app, sorted by time – this could be pretty helpful when you are trying to remember “that third house with the … you remember, don’t you honey?”

The big problem is that Zoocasa is still incomplete and, I have discovered, sometimes inaccurate.

Zoocasa does NOT have access to all MLS® listings. As I understand it, they have listings from those individual brokerages who agree to provide them. There will be houses for sale that do not appear.

Worse, it seems there are properties that show up “for sale” that are long sold. On our own street, there is a house that sold nearly a year ago but is still on the Zoocasa map. That can be very frustrating to you if it happens often.

I think you should have a look at the site and consider the app. Have a look every once in a while to see how they are progressing. But don’t rely on them extensively at this stage.

I also mentioned Zillow. It is an example of one of the large US internet applications that seem to be gaining ground. It is available for Canadian iPhones and does have some listings. However, once in Canada it is VERY limited; seemingly only to a very few agents who have “signed up” with them. Its features may give you an idea of where we might be heading, but Zillow is not likely much use to you as yet in the Great White North.

So … CIBC HomeAdvisor has some potentially handy info, a note-taking utility, zero listings and a bunch of statistical info of questionable value and accuracy. Realtor.ca has all of the MLS® listings and makes good use of GPS but is still a little buggy. And Zoocasa and its ilk remain rather short on content.

Next up, in probably the last part of this series, a brief chat on some of the new technologies related to smartphones that may help with real estate.

Prices: Up? Down? Sideways?

2011-02-16T10:13:00.000-05:00

I know. I'm always writing "expert" opinions that amount to "Beats me". In these times, that seems to be what our expertise amounts to: "We know enough to know that we don't know". Might make that our new slogan.

This Globe and Mail piece, despite the headline, seems to capture it well. The Royal Bank report triggering the article takes an "on balance everything nets out and we're ok" position. If I had to pick, this is probably the position I would take.

But there remains a part of me that worries that I am just be averaging out more extreme possibilities. If one doctor says you're fine and will live to 100, and another says you are terminally ill and will be gone at 50, it is not smart to decide that it all means you will live to 75 ... "on average".

The article leads with the Royal report. But it also notes other predictions that are all currently on the table from knowledgable experts. One group predicts a 25% slide in housing prices due to bubble indicators, rising rates and high personal debt. (disturbingly, our own financial advisor loiters around some of this thinking)

Another industry group predicts continued price increases in a healthy market and economy.

The Royal decides that an improving economy will balance rising rates and we just chug along about where we are now. What do you think?

"comfree"

2011-02-08T19:33:00.000-05:00

Have you seen the ads on TV for "comFree"?

I first thought this was a new entry in the flat-rate listing segment. Given the timing -- with the recent news items around opening up the MLS® system, etc -- it made sense that somebody would start some heavy promotion.

Early in my initial investigation, I started getting agitated counting up how many Board and rules they were breaking on their site. Then I figured it out!

It seems that this is NOT an MLS® listing service. It is, in fact, a juiced-up "For Sale By Owner" package. You get photos, signs and some other support. You also get on their website and in a "magazine" they publish. Even the market comparison to determine price appears largely do-it-yourself.

The packages list from around $500-900, though they are currently heavily discounted. You can also buy additional ads in their magazine.

As I read it, you DO NOT get listed on any MLS® system. It would not surprise me if their representatives did offer some sort of listing service or referrals while signing you up for the basic stuff -- but I don't know this and don't see anything on the site that suggests it. Anyone out there know the answer to this one?

You may have seen "By The Owner" signs in the past, with a traffic light logo. This is in fact the same company, renamed.and relaunched.

FYI

App – ropriate. Part 2: Realtor.ca

2011-02-04T16:18:00.001-05:00

Triggered by a new real estate/mortgage app for your iPhone/Blackberry and an article about real estate and mobile apps, we began a little review of a few of them, starting yesterday with the new CIBC product. If you missed it, scan down the blog or go HERE.

Today we have a peek at the mobile coulsin of Realtor.ca -- the website familiar to many. It’s the official public site for the MLS® system. There is an iPhone app and a WindowsPhone7 app by the same name, with Blackberry en route.

The iPhone app reviews are pretty uniformly negative. People like the idea but find the app buggy. I think they are being a little harsh.
I have had a little trouble with the map disappearing, but seem to be able to get it back pretty easily. And sometimes the maps take a few seconds to update. Also there are a few navigation issues. But it’s easily worth the price (ok, it’s free, but still…) just for being location sensitive.

If you want to see what’s available nearby, up comes a map with “pins” for each listing (or group of listings until you zoom in). At any time you can flip to a “list view” instead of the actual map. Also with the “near me” concept you can focus on “new” listings or open houses.

A regular search option is available, using the “current location” or specifying a community. Or search by MLS® number.

There is also an option to look for a Realtor® or your own agent and identify them as “my agent”. Then you can annoy them by email every time you see an interesting property!

It's not perfect and it's not "sufficient", but if you are house-shopping or just normally nosey about real estate, you should probably have this app on your smartphone.

App - ropriate?

2011-02-03T15:18:00.002-05:00

Real estate apps (and more) for your smartphones.

An ad ran in the Globe this week for a real-estate app for the iPhone and Blackberry. The next day there was an article titled “Bungalow hunting? There’s an app for that”.

They mention a couple of mobile apps and suggest more are coming. They are probably right. So we’re going to give you our take on a few that we have seen.

Let’s start with the new kid. The CIBC product is called CIBC Home Advisor.
It is location-aware – it will show you where you are on a map. Give the map a second and it will show shaded neighbourhoods – the red ones are increasing in value over the last year or so; the green ones are declining (doesn’t that seem backwards? Maybe not if your corporate colours are predominantly red)
Tap the map and you get an average property value and a percentage change over a year. Then tap “More Info” and you get highest and lowest sales and average number of bedrooms and baths.

Then tap “full report” and -- oh-oh – now they want your contact info and promise you, not just the full report (whatever it is) but also a call from a mortgage broker.

That’s all nice and techy-flashy. But it doesn’t seem very useful. Look at the screenshots. Knowing the average sale price in this area is pretty basic info and doesn’t likely tell you anything you didn’t know already. And sorry, but the prices in this area have NOT gone up 18% in a year. Nope. Haven’t. Unh uh.

Wait, there’s more. There are some generic but somewhat useful bits: articles about home buying; a glossary of terms; and some financing calculators.

Now comes the neat part. “Visited Properties” allows you to keep notes on the houses you’ve seen. The GPS nails the address to the block, so all you have to edit is the street number. Then you can tick off features, enter price info and general notes. You can email the info to yourself or anyone else. You can also take photos, but I couldn’t find any but the first photo taken. That first shot gets used as a tiny thumbnail image associated with the record. So forget about having a bunch of shots of the house attached to the record. Nonetheless, it’s a good idea to take notes and this makes part of it pretty easy.

It seems the bank behind this app is hoping the app is going to provide a bunch of leads for their mortgage people. Whatever. There isn’t a good mortgage broker on the planet that won’t return your call same day, so I don’t know if the app will help them much.

If you have read this far, good for you. But let’s give you (and me) a rest.
We will opine over the next few days on other related things, including Realtor.ca (the app), Zoocasa, Zillow, and things like QR codes.

This Old House: Famous? Infamous? Historic?

2011-01-30T13:24:00.004-05:00

An interesting article via blogTO gives some tips on researching your home's history. Some of it looks like a fair bit of work ... but interesting if you have a little time, a place worth researching, and are ready to explore your inner geekiness.

The blogTO article is HERE.

One of the things they refer to is a "how-to" article by the Toronto Archives. You can get that through their link or HERE.

New Year, Newish Blog ... New Listing!

2011-01-30T00:58:00.006-05:00

Welcome to 2011, a new start on this blog, and a new listing.

The listing is on Kingsmount Park Road. It's a lovely large 3BR semi on a tree-lined family street. TTC, school, park, community centre, shops, the Beach and more are within easy easy reach.

Lots has been done, including new hardwood, a big modern eat-in kitchen, and a finished basement.

If you wish to renovate further, you live here happily while you personalize at your own pace.

Lots of information right HERE Oh yes, ... $479,000.

Now about the "new" in this stale old blog.We are determined to get this blog rolling and keep it rolling this time.

We originally tried to keep it pure: informative, objective, largely non-promotional real estate info. A few people paid attention. But our interpretation of the polite feedback was: "good, interesting stuff ... but BORING".

So the heck with it. This is now going to mix the boring and informative with the (hopefully) interesting and fun. Gord is going to let his sense of humour run on a little longer leash. And Lee is going to worry about that.

If a little golf, music, even political opinions sneak in ... so be it. Comments and discussion are always welcome.

We are also going to try to integrate all the "social network" stuff -- if only to see how and if it "works". It has to "work" for you AND us and, to be honest, I'm not yet convinced. I am convinced it will take a little trial and error to get it right and in balance.

Come along for the ride and let us know how we're doing

Blog-oliday

2010-07-30T10:46:00.003-04:00

You'll be forgiven for thinking this blog has been on holiday for several months already. It has been no holiday, I tell you.

But it will be intentionally inactive until early ~~September~~ in the New Year. It will be slightly re-invented and seriously more regular and disciplined. I hope it will be better.

See you later.

Door to door water heaters

2010-06-02T15:35:00.005-04:00

Remember the questionable sales practices involved in door-to-door pitches for heating (gas) contracts, long distance phone plans, etc.? Well, it's rental water heaters these days. We just had a visit from "liveclean.ca" today but there are others.

A wise colleague and friend of mine suggests there is NOTHING sold door to door that you need, or need to make an immediate decision on.

What you will get if you let them in and sign on: ...You will likely get a nice new rental water heater that you may -- OR MAY NOT -- need.

You will likely get a contract for as long as 15 years. (Your current rental with Direct Energy probably does not involve a contractual commitment beyond month-to-month)

Your costs will very likely go up. (Some will claim efficiency or environmental benefits -- the validity of the claims is variable by company and situation)

You will likely have an "early cancellation" penalty that you didn't have before.

If it follows the pattern of the gas contracts, you will also probably have a new company to deal with in a year or two. Many of those companies were really in the business of selling the contracts rather than actually servicing them. They would then sell the contracts to another company at some later date.

My advice: say "no". If they want to leave literature, fine. If they get pushy, say "NO!!"

This routine has being going on for a while. Here, for example is a piece by Ellen Roseman from 2009:

By Ellen Roseman Personal Finance Columnist

Someone comes to your door and says your water heater is inefficient or unsafe.

Would you like a replacement?

Stop right there. If you say yes, you may be sorry.

Look what happened to a couple living in Ajax. The wife is at home with a newborn baby.

A National Home Services agent came to her door and said he was replacing water heaters in the area from Sept. 14 to 16.

Assuming he was with the company from which they rented the water heater, she said yes.

"Twenty minutes after being asked to sign to acknowledge the change, a technician arrived to remove our water heater," the husband says.

The couple read the contract later that day and decided to cancel the deal with National Home Services.

They were told there would be a $600 fee to remove the water heater after it had been installed.

When I heard about this, I thought there might be a legal issue.

Under Ontario's Consumer Protection Act, you have the right to cancel within 10 days without a penalty if you sign a contract in your home worth more than $50.

I asked the Consumer Protection Branch whether National Home Services could be seen as trying to get around the rules by installing the new tank during the 10-day period.

If the door-to-door supplier initiates the transaction, "the 10-day cooling-off period is absolute. The supplier installs on a rush basis at its own risk," said director Chris Ferguson.

It's different if the consumer calls the supplier for an emergency replacement and insists on getting it within 10 days.

In such a case, the consumer may be liable to pay the supplier reasonable compensation for installation or removal.

However, pushing to perform a service within the 10-day period can be seen as trying to deny the consumer the right "to cool off" under the statute, said Vishnu Kangalee, another consumer protection official.

Moreover, suppliers can't charge a big penalty to a consumer who requests the right to cool off within 10 days – even if the contract has a clause they believe allows them to do this.

"In our view, such a clause is not sufficient if the consumer has neither solicited nor requested the supplier to perform the service within the 10-day cooling-off period," Kangalee said.

Gord Potter, executive vice-president of Just Energy (which owns National Home Services), agreed to let the couple out of the contract without the $600 penalty.

Enbridge Gas (formerly Consumers Gas) once had a monopoly on water heater rentals in Ontario.

Direct Energy bought the business in 2002, but didn't face any competition until recently.

Direct Energy doesn't go door to door to replace your water heater, said spokesman Joshua Orzech. Nor does it make you sign a long-term rental contract with penalties to get out early (as competitors do).

Another National Home Services sales agent visited the same couple yesterday and used the same misleading sales pitch.

"I said, `Shouldn't you start out by saying that you are a competitor to Direct Energy, who we deal with, and that you want our service?' He just took off," the new mother told me.

So, remember this: If a sales agent induces you to replace your water heater during the 10-day cooling off period, but you change your mind, you can't be charged a removal fee.

Call the Ontario consumer ministry at 416-326-8800 for help in obtaining a refund.

Hope this helps. Comments welcome... Who's been knocking at your door?

Quarry Lands Rally

2010-04-25T13:48:00.005-04:00

As the signs say: 1960's zoning does not make good planning.

A rally against the idea of 7 highrises full of teensy apartments is happening Sunday at 2:00 pm. If you live anywhere within 10 miles or more of Gerrard & VicPark/Warden you should be there.

UPDATE: Despite cold and threatening weather many hundreds of folk turned out to this well-organized event.

Representatives of all levels of government expressed support for changing the current planned development.

It shouldn't be this hard. The thing was zoned for this sort of density in 1968 when the "vision" (nightmarish, but a vision) was high-density housing overlooking the Scarborough Expressway! There is now no freeway, thank goodness; but nobody got rid of the zoning and so far, nobody seems able to.

For lots more informed information, got to www.gerrardclonmore.com . Join. Participate.

Uh-oh! ?

2010-03-25T19:39:00.003-04:00

As usual I am confused and uncertain enough to be unable to fall in behind either the doomsayers or "everything-is-fine" types with respect to real estate, the economy, exchange rates, pretty much everything.

Generally speaking, everybody is probably partially right. It's the timing that is the rub.

However, here is an interesting little factoid. Today, Thursday, March 25, 2010 in our core business area there were 48 agent open houses for new listings. That is two or three times as many as we would normally expect. Why?.

As usual, I don't know. But here are some possibilities.
• Interest rates are going up soon due to creeping inflation. This will slow the market so everybody is putting their house on the market now to beat the slump. If you buy this one and you need to sell soon, best get your abode on the market NOW. If you buy this one and are looking to buy soon, you might risk waiting a while for the market to slow down. And/or, you should re-double your market-watching -- a big increase in "supply" (new listings) should, all by itself, put a little more balance in the market and could reduce the multiple-offer craziness.

• People THINK interest rates are going up soon ...blah blah. This one could be self-fulfilling. Or not.

• The weather was nice for a few days. Typically, the big rush to market would happen closer to, or just after, Easter. But much like the "winter" slowdown, a significant factor is whether people "decide" that Spring (or Winter) has arrived.

• Some other reason. What do you think?

In any case, it was a huge number and it has us paying attention to see what other signals might appear.

P.S. If you are buying, we are selling. Our new listing is priced at only $389.900 and is well-renovated and a stroll to absolutely everything in and around the Beach. If this sounds interesting, off you go to www.drop.io/AshlandAve

Smoke, Fire, Gas, Light and Time

2010-03-11T10:49:00.002-05:00

Courtesy of thefireguy.ca:

Daylight Saving Time is from the second Sunday of March (March 14 this year)
This is also the best time to replace the batteries in your smoke alarms and carbon monoxide detectors.

If your smoke alarm, or carbon monoxide detector is over 10 years old it is recommended that they be replaced. They have a life span of about 10 years.

This is also a good time to get into the habit of testing your smoke alarm on a regular basis.

A candle will smolder after it is blown out. This smoke should activate the smoke alarm if placed directly below it.
REMEMBER; Only WORKING smoke alarms save lives!
Test YOUR smoke alarms and carbon monoxide detectors to-day.
Remember smoke alarms are now required on every floor level as well as outside sleeping areas.

Competition vs. MLS -- Part 2-ish

2010-02-19T21:45:00.008-05:00

The real estate section of today's Globe has an article headlined "Under the Gun" It starts off with an example of a couple in court because they got badly screwed around by unscrupulous-sounding agents. Then to the lady in the main photo who has burned through 4 agents who "failed" to sell it. We get a little dose of an agent defending their services, then into a Queen's professor who pretty much slags the current MLS setup. Ouch. Allow me to pull a couple of things out of the article that you may have missed in the whole "agents are useless crooks who are about to get their comeuppance" flavour of the thing.

First of all, the court case. Sounds like the agents failed to disclose "multiple representation" or "dual agency" and failed to disclose a family relationship between an agent and a buyer/seller. If true, nail them.

Or maybe they disclosed but did a poor job (accidentally or on purpose) of explaining and/or the sellers didn't read or pay attention to what they were signing. If true, nail both sides.

In any case, what the hell does a single anecdote of unethical behaviour have to do with the state of the industry? That was rhetorical; the answer is "It doesn't". Every profession has its baddies ... the occasional accountant steals, the occasional lawyer steals or screws up, the occasional financial analyst runs a massive Ponzi scheme. Shouldn't happen but it does.

Next up, the lady who burned through four agents who couldn't sell her house. Sounds like every time she went with one who said he "had clients who were interested" or "had contacts". Four times? We all have contacts and clients. That's not how you pick an agent. At least not four times.

So she decided to sell it herself, thereby supporting the "real estate is messed up and needs to change so that people have more options" theory. Well, she did have an option and she tried it (selling it herself). That didn't work either. Her bottom line: "She is now planning to list with [another] agent" but apparently using different selection criteria.

If you burn through four agents, plus yourself, and are working on number five, this is NOT an indication of systemic flaws in the industry. Even if you are cosmicly incompetent in selecting professional advisors, your house will eventually sell on MLS ... unless ... Unless your market truly stinks (not true here ... this was Calgary, not Detroit) or the house is seriously overpriced (I'm putting my money on this one).

And at the risk of being repetitive, she's about to hire an agent!

Finally, the prof. He says a rival database to MLS could give better information, the industry is protectionist, the consumer should have do-it-yourself choices, etc. But what would he do if selling his house? "I would probably pay full commission for the full service ... I know I would be able to find somebody really really good".

I am not saying our system is perfect. I am not saying that all agents are expert and professional. But here's a summary of this article from one perspective:

A certain number of agents behave badly. A lady in Calgary is learning that selling a home involves more than putting a sign on the lawn, and requires some care in selecting an appropriate representative. And an expert observer who seems to think big changes are needed would use a good traditional approach to selling his own home. Hmm.

P.S. Why is this called "Part 2"? Check it out.

That might work, ... if ...

2010-02-16T09:27:00.002-05:00

The Feds have announced some changes. If everyone sees them for what they are -- and what the Feds say they are -- they should be good. They should slow you down if you were about to do something silly. But they shouldn't stop you or seriously restrict you in doing what you want to do in real estate.

The first and major change requires. you to "qualify" for your mortgage at the five-year fixed rate. So you qualify by "pretending" that you are getting a mortgage at say 4.7% (whatever the 5 year rate du jour is). Then you go ahead and grab that juicy 2.5% variable rate.
This is kind of like your government protecting you against yourself. Might make our FoxNews-watching neighbours scream "socialism" and go a little crazy. But might also make you thank them if your variable rate starts up in a year or two.

Next up, is a new limit on the maximum amount you can refinance to. It's still early and I need more details on this one, but here's what I THINK they are up to. You can still go 95% mortgage when you buy a house. But, when your mortgage comes up for renewal, you have to get to at least 10% equity/90% mortgage. Why?
They are trying to encourage building up a safety cushion of equity. Presumably they are also discouraging a few folks who have lots of equity but are tempted to borrow back the whole wad in order to "buy themselves something frilly". For example, say you think it's time to buy some stocks or a snazzy cottage, etc. -- Well, fine, just don't risk absolutely everything on some delusion that interest rates will nudge zero forever and real estate will go endlessly and uninterruptibly up. ("Uninterruptibly"???)

Third is the one that I hope won't turn into one of those things that shows up in the headlines with the explanation continued on page 6. Headline: MINIMUM 20% DOWN"... page 6: "if you are buying a place for speculation/investment/rental income". In other words for 95% of you, it doesn't change anything.

First take. If I screwed it up, you can tell me. Or I'll post clarifications, corrections and apologies later.

Bubbles

2010-02-09T21:42:00.003-05:00

Suddenly the papers are full of bubble talk. Is there or is there not a Canadian housing bubble?

If you only read the headlines, you may think there is one.

Read the entire articles and the likely conclusion is "probably not, but we're not sure".

I don't have an answer. For quite a while, I have been concerned that the boom has been based on low interest rates and not yet supported by the economy. Our thinking was that if the economy perked up before interest rates start up, we'll be ok. If not, there will be a correction of some sort.

This seems to be what the media, banks, etc are suddenly worried about.

And the question about the economic recovery seems to be a similar debate ... Have we bottomed out? On the way up? Or another dip to come?

So I don't claim to have the answer, and I do claim nobody else has the answer. Doesn't mean I wont try to tell you what to do!
Actually, I'll mostly tell you what NOT to do.

Don't set yourself up by buying at your max price with hardly any down payment with a variable mortgage and think you'll move at a big profit in two years.

If you have enough down payment to withstand a short-term price correction; AND your income can handle an increase in payments (or your current payment schedule is attached to a fixed rate); AND you can stay in the house for a few years to ride out a correction, you should be fine.

Another "don't". Don't go hide in the basement solely because there MIGHT be a correction. If you are confident that this is a top, maybe you should hold off.

But if you aren't sure, and it turns out there is no bubble, your house might be more expensive when you come up for air.

Competition vs. MLS ... part 1

2010-02-09T21:38:00.002-05:00

So, the government (in the form of the Competition Bureau) wants to open up access to the data on the MLS system which is the property of organized real estate via CREA (Canadian Real Estate Association).

The idea is that the MLS system, built and operated by organized real estate, is the focal point for such a huge percentage of real estate sales in Canada that it is impossible for alternative approaches or systems to establish themselves and compete.

Theoretically, easier and more open access to this data would create lots of options for people to handle much more of the buy/sell process themselves at a much lower financial cost.

I’m going to rattle on for a post or two with some thoughts and perspective that I don’t expect to see very clearly expressed in the media. I might even be right about some of it.

And I’m actually still thinking some of it through. I understand the value of competition and I know that real estate commissions represent a lot of money, and there are probably changes that should be made to the MLS system.

But I think that I’m going to conclude that what the competition folks are after is wrong-headed and will leave homebuyers and sellers with weaker service, more risk, more confusion and will not ultimately save them any money.

So, if this interests you, follow the blog or subscribe or whatever. I’ll try to get at least one piece on this topic up daily for a week or so. And I would love it if you got in on the conversation.

Final thing today … here’s the official Royal LePage thought for the day:
Royal LePage Position
Royal LePage Real Estate Services believes that CREA and the MLS system are important components in Canada's real estate market. It is important to note:

1. The real estate market in Canada is highly competitive, and includes a wide variety of companies with diverse and innovative business models and price structures

2. There are other channels through which buyers and sellers can participate in the market, including online and do-it-yourself options

3. The organized structure and efficient attributes of the Canadian real estate industry are recognized globally, and many emerging markets would like to adopt a similar system.
Consumer protection and trust are the hallmarks of our business, and we will advocate strongly for our business, our partners, and our customers.

I'm back!!!

2010-02-09T16:58:00.002-05:00

Time flies. Got a little busy. Then took a holiday. Got busy again, and well ... here we are.
I was determined to kick this off again with a post next week. But the headlines of the last couple of days got my attention.
Which headlines? Well, the Olympics and the Suberbowl stuff are certainly interesting. But for this little corner of the world I think we'll have a go at the "housing bubble" headlines, and the business of the Competition Bureau taking on organized Real Estate.
Stay tuned for a post on each sometime today.

And if you're thinking a newer, large-ish home would be nice but you want to stay in the Beach vicinity and don't want to break the bank, check out our little goodie at www.drop.io/enroutes (MLS E1781422)

By the way, the return of this blog is going to take a modified approach. Its main focus is still our take on the real estate market. It will still be largely non-promotional (except for mention of our new listings and the like). But it's going to be more fun and interesting.

Not that real estate isn't often interesting. But if this means I occasionally can't figure out any way to tie an interesting tidbit to real estate ... it gets posted anyway.

Talk soon.

229 Bain Avenue

2009-10-22T11:26:00.003-04:00

We have a new listing. It's a beauty, in the heart of Riverdale. You can read all about it here, or better yet, come and see it. Open Houses this weekend (Sat./Sun. 2-4 pm, Oct.24 &25)

The Other Hand: Staging, Stats, and Skipped Bits

2009-10-12T14:18:00.006-04:00

Here I go again with my lectures about looking reasonably carefully before jumping to conclusions and "answers".

A good agent who is also a great marketer dropped a card in our mailbox the other day with a two-sided pitch on the benefits of home staging. We absolutely believe that staging has become almost essential for most homes in today's market.

I have a pet rant about staging, but it's pointless to bore you with it -- whether I "like" universal staging doesn't matter; it usually works if done right; and since everybody else is going to do it, you pretty much have to do it as well.

But the amount and type of staging depends on the market, the particular home and other circumstances.

Like selecting an agent and nearly everything else in real estate, staging has a whole bunch of "art" and "situation" about it.

A nice survey-based table showing how much you will "make" on a given staging activity looks very scientific and "factual". If only it were that simple. The piece in my mailbox gives examples such as "Update kitchen and bathrooms" at a cost of $1404-$1828 yielding a price increase of $3216-$3934. To the author's credit, a source is noted: "HomeGain survey of 2000 sales representatives nationwide..."

My bank account seems to drop more than $1828 by just speaking to a contractor, let alone actually doing a kitchen reno. Note it says "updating". They are probably talking about a countertop and sink, some paint and a few other bits. Now if you have to deal with solidly laid out-of-fashion ceramic tile on the floor, a nice 70's era "Florida ceiling" and avocado appliances ... well, start by adding another zero to the cost.

Then there's that HomeGain survey itself. HomeGain is an American real estate marketing firm. Their survey was of sales representatives in the U.S. and appears to have come out in 2007 as the market was beginning to badly misbehave down there. Not sure how big a difference any of those things make, but they give me pause.

[The HomeGain survey results can be found in a very useful HomeGain guide that you can download here ]

On the other side of the card, another survey result: professionally staged homes sell 80% faster!

Again, all credit to the agent for noting the source. StagedHomes.com is an organization involved in the training, accreditation and promotion of stagers.

The data was gathered during the period when BOTH Canadian and American markets were slumping. The bit not mentioned in the source-credit: 55% of the homes were vacant!

And the 80% differential is between 37 days to sell for the staged home vs. 6 months for the others! The average days-on-market for the entire Toronto area in September was a very-low 27 days.

To summarize, I'm not dissing staging. It's important and works when done right in the right situation. But the "proof" in these statistics and surveys is far from conclusive. Really I'm just illustrating a caveat for many things in real estate ... and life, for that matter:

Wiser people than I have warned about the tendency to try to make decisions and issues as simple as we want them to be, rather than dealing with the complexity that truly comprises them.

"If a string has one end, then it has another end"
"Policy [or rules] are for the guidance of wise men, and the strict adherence of fools".

Some things we still don't know...

2009-10-03T01:12:00.003-04:00

We read the stories, we study the numbers, we talk to colleagues, we think (even when it hurts). We would love to just keep quoting the monthly amazing news out of the recent real estate market ... most sales ever for the month ... prices up ... recession bottomed out . But ... you knew there would be a "but" didn't you? . Back in the Fall of 2008, the headlines read "It's all going away ... hide in the basement ... the sky is falling". Down a couple of paragraphs, the story usually said something like "well, actually we're not in nearly as bad shape as the U.S., and even with the 6-10% price slippage we're still way ahead historically, and even that slippage is deceptive as it only applies to some market segments, and ...".
And if it didn't qualify the bad news, there would be a whole article a couple of pages on saying everything was going to be fine.

Nothing much happened early in 2009, even when it SHOULD have been happening ... Spring market and all that.

And then away we went. Maybe people just couldn't resist the low rates. Maybe they looked around and decided they were ok and could move ahead. For whatever reason, the buyers came back. Sellers were a little slower and that magnified the return to rising prices.

Traditionally it all slows down in the summer. Not this year. That led to the screaming headlines about some summer month having umpteen percent more sales than a year ago ... a new record!

Well yeah, July and August sales were way ahead of last year because hardly anything ever sells in the summer, but it did this year. What wasn't in the headline was that year-to-date roughly the same number of houses have sold in 2009 and 2008. Not very many in Feb., tons in August, in total up only 1.2%

And the standard two paragraphs into the articles about the end of the recession comes the comments about how long and hard the recovery will be and how jobs come back last.
Our own financial analyst, who I am beginning to hate despite what a good job he does, is pretty sure the hurtin' isn't over.

So?
So, if you think the trouble is over and everything is cheery you are probably wrong. And if you think it's all insanity, everybody is drinking the KoolAid and we're doomed you are probably wrong.

The market IS currently healthy and active. Interest rates ARE amazingly low. So if you are thinking of a move and are reasonably secure with decent credit, go for it.
But don't forget how you swore you were going to be more sensible about spending, and you weren't going to step quite so close to the financial edge anymore, etc.
Take advantage of cheap money, reasonable prices and your personal stability. But leave a little wiggle room in case ... well, just in case.

If that made sense and you are looking, and you're looking for a great bright excellently-maintained 4 bedroom home in our part of the world, wander over to www.drop.io/AmsterdamAve and have a look at our newest listing.

Did you miss me? ... Well, don't miss this !

2009-09-09T12:23:00.003-04:00

You have been spared blog updates through much of the summer. Partly because noone was likely to read them. An attempt at sorting out all the "hot market" news will be posted very soon.

But if a beautiful 4 bedroom home in a Unionvill neighbourhood sounds interesting to you, you should have a look at our new listing. It was just listed this morning (Wed, Sept 9) and there will be more info loaded over the next hours; but there is already the basic listing and lots of pics at www.drop.io/42ndStreet

Update: beyond housevalues.ca to justlisted.ca

2009-07-15T11:03:00.003-04:00

A while ago, I did a quick explanation of how the tv-advertised housevalues.ca works. That post is here, or see below. Now there is another ad airing for a site called justlisted.ca. What's it all about?.

Same company, same deal. It's a US company whose product is leads for agents. So yes, you can sign up for new listings to be emailed to you, but you will also be immediately contacted by whatever agent has purchased the rights to your area.

You can get the same information from the local agent of YOUR CHOICE. Any Toronto Board agent can set up a "match" which will automatically email you listings or changes that match your criteria -- criteria much more refineable than the justlisted.ca options. They aren't evil, but you should know what you are getting into.

HELP! Beach Biffy Bodies Beseeched

2009-07-03T12:25:00.003-04:00

If you have been strolling the boardwalk lately, you may have noticed the washrooms have been locked due to the strike. Without getting into the civic/labour politics, this is a problem for this time of year. Alan Burke is the pres. of the EBCA, an East Beach neighbourhood organization. It appears he and some helpers spent a witching hour a few days ago pushing a toilet/trailer from Ashbridge to Woodbine Beach.
The result is that, at least during prime hours on nice days a bio-break is possible without breaking public decency regs.

But he needs help staffing the trailer. This involves keeping an eye on things (not those things), collecting donations (to go toward the rental cost) and helping a bit with cleaning. High school students could score some public service hours.

If you can give a hand, give Alan a call at 416-566-0949

Transitions Seminar

2009-06-24T12:19:00.005-04:00

Thanks to all who attended the "Transitions" session we were part of on Monday. Initiated by "Trusted Transitions" , we delivered ideas and information on how to get a home "working" better in order to stay in it longer and happier; plus material on the process, options and issues if a move is the answer. It went well, only one person fell asleep, and we may have been tagged for a repeat performance!
Kathy Zaremba of Trusted Transitions started things off going through the 8 steps of "smartsizing" -- "preparing for change as we age" and talked about it being absolutely "OK" to make a change that makes your life more enjoyable and just better.
Changes in the current living arrangement can keep you there longer and happier. And there are ways to make the changes without spending the money you need for day to day life.

We all spent a bit of time on the various options available if staying in the current home just doesn't work.

We homed in on the selling process. We recognized that the very thought of selling is just the beginning of the potential stress. But there are lots of ways to get help and minimize the stress. And it's all en route to the next fabulous stage of life.

May Statistics & Analysis

2009-06-09T11:39:00.004-04:00

Market Watch.*

June 6, 2009. The May statistics are out and we are silly enough to try to figure out what they mean.

[While we have been doing this sort of analysis (and more) for ourselves and our market understanding, we have only put it “out there” since April, 2009. It takes a fair bit of extra work to make it “pretty” and understandable (I hope) to the layman. Please, if anybody out there reads this, tell us what you think. Useful? Useless? What should be taken out? What should be added? Do you agree with the analysis? We really want the feedback.]

Overall: It’s busy out there, much like “Spring” always is. Prices are holding. Relatively low supply and high demand suggest the activity will remain brisk through June. It doesn’t always do that!

Volume: There were 2% more SALES than last May! But still 15% fewer sales than May of 2007. This is consistent with our sense of a surprisingly active Spring market – down from the 2007 wildness, but actually stronger than last year.

The total number of ACTIVE listings declined 8% or about 2000 from last month. Not surprisingly this is well above the peak sellers’ market of ’07. Somewhat surprising in this environment, total active listings is also well below last year this time, indicating a relative dearth of supply.

Why? As noted, sales remained strong. And, although more NEW listings came on the market in May than in April, it was a minor increase. New listings continue to run 30-40% below previous years. So, although demand is down from the peak, supply is down much more.

So what? Sellers continue to “sit tight”. This helps to keep the market reasonably in balance, as you will see from the price discussion. Economic uncertainty is balanced by amazingly attractive interest rates, so the buyers are still coming out. Unless summer arrives the day after this post and everybody goes camping, the market should stay strong through June because supply is tight and there is good demand.

Price: Prices remain virtually unchanged over the past two years. As we explained last month, in order to get to “the same” average price as 2007, prices have risen, fallen, and risen again. And “on average” hides the fact that a lot of the volatility was in the higher dollar brackets.

So what? It STILL sort of depends what you see on the horizon – a rising sun, or a nasty fall off the edge of the world! The analysts seem to think the bottom of the recession is near, but it isn’t unanimous.

Time: “DOM” means “days on market”. Followers will know that we don’t put much stock in this statistic when applied to a single sale or a small sample. But applied to the whole market it still tells a story. Average days on market, year over year has increased significantly! It fell by a couple of days from April to May which is consistent with a busy market but borderline significant statistically.

So What? Homes are taking longer to sell. Buyers generally have more time to think and are being more careful; and sellers have to keep their home beautiful and clean a lot longer!

There are, however, more examples of multiple offers than in recent months, though nothing like the ’07 craziness. This is due to the overall “busy-ness” and also suggests sellers have accepted that prices are not going up like they did and are pricing more reasonably.

More detail: Below are a few selected numbers, recognizing that the bulk of our clients are in the Toronto East areas.

If you need help interpreting these, have questions, or would like some specific numbers or analysis, contact us anytime. If you are masochistic enough to want to see the entire Market Watch report, off you go to http://www.torontorealestateboard.com/consumer_info/market_news/mw2009/pdf/mw0905.pdf Enjoy.

This Month (May 2009)

Area	Active	New	Sales	AvgPrice	MedPrice	AvgDOM	Avg%List
E01	123	135	109	$458,088	$428,000	19	102
E02	100	131	100	$537,815	$453,050	14	100
E03	205	180	149	$386,833	$370,000	26	98
E04	165	135	104	$261,618	$277,750	31	97
E06	110	94	69	$380,891	$360,000	21	98
E08	201	160	103	$293,101	$286,000	38	96
All East	4,423	3,103	2,158	$314,238	$288,000	34	98
All TREB	21,524	13,686	9,589	$395,609	$337,000	35	98

Last Month (April 2009)

Area	Active	New	Sales	AvgPrice	MedPrice	AvgDOM	Avg%List
E01	128	115	90	$421,850	$412,500	22	99
E02	105	95	85	$641,479	$484,000	28	98
E03	222	171	130	$353,453	$350,000	23	98
E04	181	115	102	$237,866	$264,750	36	96
E06	130	83	63	$396,573	$320,000	34	96
E08	206	107	77	$276,521	$280,000	32	96
All East	4,747	2,744	1,820	$306,890	$278,500	36	97
All TREB	23,515	12,995	8,107	$385,641	$330,000	37	97

Last Year (May 2008)

Area	Active	New	Sales	AvgPrice	MedPrice	AvgDOM	Avg%List
E01	166	205	109	$450,784	$410,525	14	105
E02	150	195	101	$512,674	$464,200	14	101
E03	321	305	165	$387,564	$380,000	19	101
E04	297	213	99	$263,417	$284,500	26	98
E06	145	131	57	$400,423	$349,900	20	99
E08	297	170	95	$287,986	$287,000	29	97
All East	6,186	4,330	2,241	$310,724	$287,000	28	98
All TREB	27,267	18,715	9,411	$398,148	$338,000	31	98

Two Years Ago (May 2007)

Area	Active	New	Sales	AvgPrice	MedPrice	AvgDOM	Avg%List
E01	139	189	140	$408,705	$386,750	13	106
E02	126	174	128	$507,874	$440,950	13	104
E03	327	296	169	$344,077	$335,000	20	101
E04	292	236	124	$270,894	$282,000	24	99
E06	129	138	74	$365,798	$311,800	17	100
E08	369	209	121	$295,755	$277,000	37	98
All East	5,710	4,225	2,610	$305,168	$280,000	28	99
All TREB	23,739	17,399	11,146	$382,787	$325,000	28	99

*Market Watch is a monthly publication of the Toronto Real Estate Board (TREB) which consolidates monthly statistics for the GTA real estate market.

You think renting in Toronto is tough?

2009-06-02T12:12:00.005-04:00

I occasionally think about preparing a company for the day when there will be money to be made converting a bunch of those "cute" downtown condos of 400 odd square feet into more capacious 800-ish footers. But 400 feet sounds pretty grand compared to this apartment in Chelsea (New York City).

$1800/month in a good location featuring a "windowed kitchen and full bath".

They don't, however, mention that the kitchen and bath are the same room.

fyi: housevalues.ca

2009-05-28T09:23:00.002-04:00

There are tv ads running for a website called housevalues.ca. The suggestion is you get an estimate of the value of your home for free, online, no muss, no fuss. How great is that? Maybe you don't even have to talk to an icky real estate agent ...

Well, not exactly. There is nothing wrong with the site, but I thought you might like to know what it is and how it works. The site is run by an outfit called Market Leader in Washington state. Their customers are real estate agents and brokers. Their product is "lead generation".

You plug in location and contact information. They will give you a couple of listings in your geographic area and somehow (without ever looking at your home or laying human hands and eyes on the process) give a price estimate. They also give your information to the agent who has subscribed to their service for your area.

Again, nothing evil. But the estimate is rather unrefined, and you can get a full market evaluation by calling an agent of your choice anytime you wish.

Just thought you would like to know.

Coming soon, in a similar vein, I'll let you know what you get if you pay $24.95 for BMO's home-buying package.