Steve Randall
Other

Following news Monday that Vancouver home sales had hit a new record for June, Toronto also had an exceptional month.

New data from the Toronto Real Estate Board show that there were 11,992 sales through its MLS system in June, a new record and 18.4 per cent higher than a year earlier.

The average selling price in Toronto was up by 12.3 per cent over the same period to $639,184. Demand for homes is outpacing supply.

TREB’s director of market analysis Jason Mercer noted that, although new listings have increased, prices will continue to increase in the market while the low-supply persists.

High-end home sales made up a greater proportion of the sales in June compared to the same month last year.

Copyright © 2015 Key Media Pty Ltd

In the third part of our series on social media for Realtors, real estate marketing consultant Jennifer Snyder explains how to build relationships through Facebook

Jennifer Snyder
Other

Marketing on Facebook has changed a lot over the last few years. No longer can you just put up a business page and hope you will get business from it. Facebook has changed the rules when it comes to business pages, and it is now a pay-to-play model. That means you have to be strategic when it comes to getting business from Facebook.

Here are five ideas to get you started:

1. Facebook strategy

First, you must have a strategy. You can’t just write posts every once in a while on your business page. You must have a plan.

I recommend that my clients post one new thing every day on their business pages. This shows consistency and will help your followers stay engaged. Most Realtors are overwhelmed when I tell them to post that often. I get it. That’s a lot of posting!

The good news is that it doesn’t have to be all your own content. Find interesting articles that apply to your target markets and post them on Facebook. Find tools or apps that will make your followers’ lives easier. The goal with your Facebook posting strategy should be to post valuable content.

2. Connect with your clients

Another good idea is to become friends with your clients on Facebook. By “friending” your clients, you to continue to build your relationships with them. You can stay in touch with the happenings in their lives long after they close on their home. You can continue the friendship that you started when you worked together.

I like to create lists in Facebook to manage my friends, family and business associates. This makes it easier to check in on each group and see what people are up to. I recommend that you do the same with your clients. Facebook only allows people to see 300 posts a day. Keeping lists helps you see more than those 300 posts. It is also an easy way to check in and engage with your clients!

3. Engage people

Social media are all about engaging with people, and Facebook is the number-one platform for engagement. Keep that in mind when you are posting. Write posts that are engaging. Ask questions, give value and request feedback on what you write. These are great ways to strike up conversations on your posts.

Also take the time to engage with your clients on their posts. Scan your client lists and look for posts you can comment on. Your comments don’t all have to be business related. Show your personality and make comments on the personal posts. Treat your clients’ posts like you would conversations offline. Listen, comment and engage.

4. Posting ratio

Many Realtors like to post about real estate on their personal profiles. I think this is a great idea within reason. Don’t post every single listing or only post about real estate. People will get annoyed that you are only posting about business and hide your posts from their newsfeeds or “unfriend” you. They will feel like the only reason you are on Facebook is to get business.

Remember why people are on Facebook. They are there to talk to their friends and see photos of friends. They aren’t there to do business. Does that mean business isn’t happening on Facebook? No, it doesn’t. But you have to watch the balance. I recommend that clients use a 4-to-1 posting ratio. Post four personal items for every one business item. This is a healthy balance, and your Facebook friends will appreciate it!

5. Pay to play

If you are serious about getting business from Facebook, you will have to pay to play. Facebook has made it almost impossible for business page posts to show up in personal newsfeeds. Why? Because they want you to pay for ads. They are no longer giving businesses a free ride.

The good news is that it is inexpensive to buy ads on Facebook, but you have to know what you are doing. I suggest that you research how to write the best Facebook ads to bring in leads. There are many variables to Facebook ads, and you want to make sure you are doing it right!

With more than a billion users, Facebook has singlehandedly changed the way we connect with others. This is true both personally and professionally. Facebook is a great platform to connect with people and get to know them better. It is also a great place to get more real estate business. Follow the five steps above to grab your market share of the billion users on Facebook!

© 2015 Real Estate Weekly

Jordan Maxwell
Other

Zoocasa’s re-emergence in the online space is expected to force agents to examine their value proposition and hone their skills.

“Some of the nicest websites are presented by some of the weakest Realtors,” said an agent on the REP forum. “All of the fanciest bells and whistles’ like drone flyovers, and video walk-throughs are enticing, but if the Realtor can’t negotiate, he or she will do you little good outside of the hot markets of Vancouver, Toronto and a few others spread across the country.”

The agent’s comments reflect a growing realization for agents as they compete with digital real estate services like Zoocasa, which was shut down less than two weeks ago after Rogers deemed the operation a failure, losing more than $1-million. The efforts to re-launch Zoocasa is forcing some agents to evaluate where their value lies.

Offering a new unique platform, Zoocasa has dropped the discount label and instead has gone the educational route, trying to provide value by scouting local neighbourhoods for homebuyers.

“Our mission is to give homebuyers access to the best possible real estate tools and information while providing a premium level of in-house customer service — and that means building a team of professionals who can adapt to changing consumer expectations,” Lauren Haw, the new CEO of Zoocasa, told the Star.

Agents have been doing this for years of course, and the emergence of online platforms have placed them in direct competition with discounted brokerages for commissions and general market share among homebuyers. Consumers are flocking to technology as a means to find homes to evade what some feel are unreasonable commission prices.

In addition to drawing referrals and the power of negotiation, agents are maintaining their value despite pressure from online players in Canada’s real estate market and are calling on the public to make smart decisions.

“The public has to take full credit for hiring the part-timers and the unknowledgeable and making them viable,” the agent said. 

Copyright © 2015 Key Media Pty Ltd

Jordan Maxwell
Other

Owen Sound is emerging as a hotspot for retirees and American investors, according to one industry vet, following record numbers in home sales in the month of May and strong activity during the month of June.

“Activity has been increasing and we’re seeing a lot of people come to the Owen Sound area from the larger urban centres like Mississauga, Oakville and Guelph,” said Karen Cox, a broker of record with Sea & Sky Realty and president with the Realtors Association of Grey Bruce-Owen Sound.

“Waterfront sales have also been really strong in the recreational real estate market near Lake Eugenia, some selling in the million-dollar range.”

Cox adds that the month of June has been no different for Owen Sound as activity and sales continues to climb. Her comments follow a record month for home sales in May as the town recorded 297 units sold, up 11.2 per cent from May 2014.  It was the third-best May on record, according to stats from the Realtors Association of Grey Bruce-Owen Sound.

One way the city is drawing consumers is through the local government, which is offering tax rebates to developers who build on former industrial sites, which has drawn interest from some investors who have capitalized on the program, drawing more than $1-million since the program was implemented in 2010.

What’s more, in a recent report from Royal LePage, low interest rates and a strong American dollar has fuelled interest despite the spring being a tough time for the recreational market due to weather. With summer in full swing, low oil prices continue to support Ontario markets and demand is on the rise.

“In a roundabout way, the fall in oil prices is supporting the recreational property market this year,” Phil Soper, president of the chief executive of Royal LePage. “Cheaper gasoline makes the prospect of a weekend commute to the lake a more affordable proposition.

“Cheap oil means a lower Canadian dollar, which has more people looking at Muskoka, Tremblant and the B.C. interior and fewer casting covetous glances at Florida and Arizona. We are even seeing money making its way north, particularly in British Columbia, Alberta and Atlantic Canada, as the strong U.S. currency has increased American buying power.”

Copyright © 2015 Key Media Pty Ltd

 

Jordan Maxwell
Other

Developers are facing a struggle to provide well-designed condos but also affordable ones, leaving some to try a new method that is sticking with millennials and other groups where demand is strongest.

“Parking is becoming an increasing issue for developers and many are looking at different options for use,” said Kenny Wong, a real estate agent with Tradeworld Realty Inc. who manages more than 50 condo properties in the GTA.

“There’s a condo project near University and Dundas in Toronto that has no parking and it’s worked well but it’s unclear if similar projects like this will continue to increase in demand.”

The project he’s referencing is the once-controversial 42-storey building featuring units under 750 sq. ft. in the downtown core. The project was cleared in late-2009 as parking spots can add up to $70,000 or more to the cost of a downtown condo these days, according to Wong.

Providing multiple-use spaces caused a growth in popularity among consumers and a similar project out West highlights a growing interest in parking-less condo buildings.

In Calgary, a company called Knightsbridge Homes is committed to building well-designed homes in a great location in underserved markets, but does so by removing one thing that’s less and less important to millennials – parking.

The Knightsbridge Homes condo project in the city’s East Village consists of 167 units between 461 and 620 square feet, priced from $199,000 to $299,000 and managed to lock that price down by convincing municipal officials to waive municipal parking requirements for residential developments.

“How do you provide cutting-edge design in a desirable location when both factors will increase costs?” as quoted in a Globe and Mail article.

By making parking optional, the development company was able to pass on saving onto buyers, adding some affordability into the mix, and it’s blending well for millennials occupying those units.

Since most millennials don’t drive, according to a recent report which shows that 25 per cent of Calgary millennials in their 20s don’t have a driver’s license, and 50 per cent don’t own a vehicle.

The challenge, however, has been the struggle been to create more developments like this in places across the country and still keep the affordability factor. 

Copyright © 2015 Key Media Pty Ltd

Sales volumes in region were highest for June since 2005, aided by a slew of new listings; prices up 7.3%, says real estate board

Joannah Connolly
Other

Sales in the Fraser Valley in June were the highest for that month since 2005 and ranked as the fourth busiest month ever for MLS sales in the region, the Fraser Valley Real Estate Board announced July 3.           

The 2,103 residential sales were a year-over-year increase of 40.9 per cent compared with June of last year, and a rise of 20.7 per cent compared with May.   

After several months of contractions, the number of new listings also picked up in June, increasing by 12 per cent year over year, putting the brakes on the downfall of total active listings. 

Jorda Maisey, board president, said, “This is the strongest residential market we’ve experienced since 2005 and prior to that in the early 90s.

“What’s generating all this activity? Our informal market research shows that the majority of homebuyers in the Fraser Valley are families with children moving within their same community or moving within the Fraser Valley region.  Our clients are telling us that they’re feeling confident with the current economic climate in BC and the long-term value of investing in real estate.”

Sales and Listings                                  

Single-family detached home sales increased 49.9 per cent compared with last June, and rose 20.2 per cent compared with May’s figures.

Townhouse sales increased 27.8 per cent year over year, and 22.6 per cent month over month, having dropped significantly the previous month.

Fraser Valley condos sales increased an uncharacteristically large 29.3 per cent year over year and rose 19.5 per cent compared with May.

 

Fraser Valley: What’s Up, What’s Down
	Jun/May 15	Jun 15/14
Overall Home Sales	+20.7%	+40.9%
– Detached	+20.2%	+49.9%
– Townhouse	+22.6%	+27.8%
– Apartment	+19.5%	+29.4%
New Listings	+11.5%	+12.3%
Active Listings	-4.6%	-21.4%

 

The number of new residential listings also picked up in June, increasing by 12 per cent year over year to 2,760 last month.

This was almost entirely driven by a surge in new detached home listings, which rose 19.9 per cent year over year, whereas new townhome listings only rose 0.4 per cent.

The rise in new listings helped the total active residential listings recover somewhat but they were still down 21.4 per cent compared with last June, standing at 5,650 listings last month.

MLS Benchmark Prices

In June, the benchmark price of a detached home was $609,900, an increase of 7.3 per cent compared with June 2014 when it was $568,600.

Townhouse prices in June rose 1.6 per cent year over year to $302,600. However, the benchmark price of apartments decreased year-over-year by 2.6 per cent to $191,900 last month.

Fraser Valley MLS Benchmark Prices, % Change
	June 2015	Jun/May 2015	June 2015/2014
-Detached	$609.900	+1.1%	+7.3%
-Townhouse	$302,600	-0.2%	+1.6%
-Apartment	$191,900	-0.3%	-2.6%

 

To see home prices, sales and listings broken down by community, see the FVREB June 2015 statistics package.

To view our useful infographic that breaks down the stats area by area, click here.

© 2015 Real Estate Weekly

 

Sales activity up 28 per cent year over year, seeing the second highest volumes ever; prices up 10.3 per cent, says board

Joannah Connolly
Other

The weather wasn’t the only thing scorching in Greater Vancouver in June, with real estate sales seeing the hottest June on record, and the second hottest month ever, a according to Real Estate Board of Greater Vancouver (REBGV) figures released July 3.

Sales rose 28.4 per cent compared with June 2014, and an increase of 7.9 per cent compared with May 2015.

Last month’s 4,375 unit sales were 29.1 per cent above the 10-year sales average for the month. It’s also the fourth straight month with more than 4,000 sales, which is a first in the REBGV’s history. The previous highest number of residential home sales was 4,434, recorded in May 2005.

“Housing market activity comes in cycles; we’re in an up cycle right now that looks similar to the mid-2000s,” said Darcy McLeod, REBGV president. “It would be easy to point to one factor that’s causing this cycle, but the truth is that it’s a number of different factors.

“Conditions today are being driven by low interest rates, a declining supply of detached homes, a growing population, a provincial economy that’s outperforming the rest of Canada, pent-up demand from previous years and, perhaps most importantly, the fact that we live in a highly desirable region.”

Like in the Fraser Valley, there was an increase in new listings in June, but it was still not enough to keep up with demand, said the board.

Prices were again at record highs, with the benchmark price of a Greater Vancouver home rising to $694,000. This represents a 10.3 per cent increase compared with June 2014.

Condos overtook townhomes in being the property type that saw the most sales growth, although single-family homes again saw by far the biggest price increases.

Sales and Listings

Greater Vancouver home sales rose 28.4 per cent to 4,375 units in June, compared with the 3,406 sales recorded in June 2014, and an increase of 7.9 per cent compared with the 4,056 sales in May 2015.

Broken down by housing type, single-family detached home sales in June reached 1,920, an increase of 31.3 per cent from the 1,462 detached sales recorded in June 2014.

Apartment properties sales saw the biggest annual rise, reaching 1,774 in June 2015, an increase of 35.6 per cent compared to the 1,308 sales in June 2014.

Sales of townhouses and other attached properties in June totalled 681, an increase of a much more modest 7.1 per cent over the 636 sales recorded in June 2014. Attached properties were the only housing type to see a month-over-month decline, dropping 7.1 per cent since May.

“Demand in our detached home market continues to drive activity across Metro Vancouver,” said McLeod. “There were more detached home sales in the region last month than we’ve seen during the month of June in more than 10 years.”

What’s Up, What’s Down – At a Glance
	Jun/May 15	Jun 15/14
Overall Sales	+7.9%	+28.4%
– Detached	+9.5%	+31.3%
– Attached	-7.1%	+7.1%
– Apartment	+10.9%	+35.6 %
New Listings	+6.3%	+8.7%
Current Listings	-1.3%	-23.9%

New listings for all property types in Metro Vancouver totalled 5,803 in June. This is an 8.7 per cent increase compared with the 5,339 new listings in June 2014 and a jump of 6.3 per cent from last month.

However, the total number of properties currently listed for sale on the region’s MLS is 12,181, a 23.9 per cent decline compared with June 2014 and a 1.3 per cent decline compared to May 2015. This is the lowest active listing total for June since 2006, said the board.

“We’re seeing a steady stream of new listings entering the market, but the overall number of homes for sale is not keeping up with buyer demand,” McLeod said.

The sales-to-active-listings ratio in June was 35.9 per cent. This is the highest that this ratio has been in Metro Vancouver since June 2006, keeping the region well inside sellers’ market territory.

Benchmark Prices (MLS Home Price Index)

The benchmark price for combined MLS residential property types in Metro Vancouver continued to set its monthly new record, currently $694,000. This represents a 10.3 per cent increase compared to June 2014.

The benchmark price for a detached property in Metro Vancouver now stands at $1,123,900, a higher-than-usual annual increase of 14.8 per cent compared with June 2014.

Townhome and other attached unit prices increased 7.1 per cent between June 2014 and 2015 to $506,900.

The benchmark price of an apartment property increased 5.3 per cent year over year to $400,200.

The composite benchmark prices by housing type are:

Greater Vancouver MLS® Benchmark Prices % Change
	Jun 2015	Jun/May 15	Jun 15/14
Detached	$1,123,900	+1.7%	+14.8%
Townhome	$506,900	+1.2%	+7.1%
Apartment	$400,200	+0.8%	+5.3%

 

Home prices vary widely throughout the REBGV region. To get a good idea of home prices in a specific location, check the detailed MLS Home Price Index in the REBGV full statistics package.

To view our useful infographic that breaks down the stats area by area, click here.

© 2015 Real Estate Weekly

Jordan Maxwell
Other

Rogers Communications has now sold its discount real estate website, Zoocasa, to a Toronto Realtor and a group of investors following the site’s shut down just 10 days ago.

Lauren Haw and her investors group purchased the site’s domain name for $350,000, which has been losing millions under Rogers’s leadership, reports the Toronto Star.

“Zoocasa.com is an important Canadian asset, backed by unique technology and a brand that’s recognized by millions of Canadians,” said Haw, an agent with 10 years of experience creating and building business ventures who will now become the new CEO of Zoocasa, told the Star.

“Our mission is to give homebuyers access to the best possible real estate tools and information while providing a premium level of in-house customer service — and that means building a team of professionals who can adapt to changing consumer expectations.”

Going forward, the site will focus on GTA properties, rather than listings from across Canada until it rebuilds with new agent clients and online listings. Also, the site will no longer offer commission rebates and will instead feature an education centre to help agents navigate the real estate market.

Scholarhood.ca, another site run by Haw and her team, will run in tandem with the new Zoocasa and help families find homes in the best school districts in the GTA.

Zoocasa was launched as a brokerage in 2013, as a Rogers-affiliate. Previously, it had published listing data via real estate agents. The concept of the company was to make real estate data more accessible to the public.

However, in February 2015 Zoocasa stopped publishing home sale data to its site after receiving a warning from the Toronto Real Estate Board.

Copyright © 2015 Key Media Pty Ltd

Steve Randall
Other

Homes that have been used for growing marijuana are becoming more difficult to buy and insure.

The Financial Post reports that mortgage lenders and insurance companies are increasingly declining applications for properties that have been used as grow ops due to the potential damage to the property.

Mould in the walls and chemicals that have permeated carpets and walls can cause costly issues and buyers may find that insurers and lenders insist on expensive tests before agreeing to proceed.

Brokers report that lenders will often refuse a loan even where there has been a single marijuana plant in the property and that, along with the potential damage, lenders are concerned that a criminal past of a property could affect its future resale value. 

Copyright © 2015 Key Media Pty Ltd