Less than three months until WEBForms changes permanently

If you’ve been putting off learning CREA’s new WEBForms in favour of using the old system, be aware that the old system will go away permanently at the end of December.

At that point, you’ll only be able to use CREA’s new WEBForms.

We strongly recommend our resources to familiarize yourself with the new WEBForms as soon as possible. 

Take our WEBForms course

We’ve developed a new, in-person course to help you learn the new WEBForms. All members can take the course one time at no additional cost to you.

The course will show you how to create transactions, build and manage a personal clause library, and access the most up-to-date forms and contracts.

Seats are available for course dates later in October and November – click here to register for a date and time that works for you.

Please note that this course will build your understanding of the new platform. It won't cover the transition from the old WEBForms to CREA’s new WEBForms. Learn more about our transitional resources below.

New WEBForms webinars available now

We’ve also developed four new webinars to help you transition to the new CREA WEBForms. They are:

Creating a transaction

Adding clauses to a form

Creating a template

Our first webinar showed you how to migrate your transaction kits:

Other resources

Our Transition Guide has everything you need to translate your workflow from the old WEBForms to the new system. We’ve received positive feedback on the guide from members – click here for your copy.

CREA’s resource page has more information, guides, and how-to videos to help you learn how to use the new system. Click here to access these resources.

Reporting issues

Since the launch of the new WEBForms, members have identified bugs and other issues with the new system.

While this is a CREA initiative, our focus is on getting you the information and resources you need to minimize the impact of this change. We’re documenting every bug and issue you send us and sharing that feedback with both CREA and Lone Wolf, the company that created the new WEBForms.

Please continue to report issues you encounter to both CREA (support@crea.ca) and our Help Desk (support@rebgv.org). You can also call our Help Desk with other WEBForms questions at 604-730-3020.

Remember, the old version of WEBForms will not be available after the end of December. Please take the time to learn and get comfortable with CREA WEBForms as soon as possible.

REBGV joins real estate partners to make housing affordability recommendations

Your Board partnered with the British Columbia Real Estate Association, the Canadian Mortgage Brokers Association – British Columbia, Landlord BC, the Mortgage and Title Insurance Industry Association of Canada, and the Urban Development Institute today to release the below recommendations on how the next federal government can improve housing affordability in British Columbia.

You can find and share these recommendations on social media here.

---

BC housing sector urges federal parties to act on affordability recommendations

Too many British Columbians struggle to find an affordable home to rent or own because of a lack of housing options. Nearly six in ten uncommitted Canadian voters cite access to affordable housing as a top election issue, according to an August 2019 Angus Reid survey. 

The next federal government has the opportunity to improve affordability by reducing taxes on new rental homes, encouraging housing supply to match transit targets and changing mortgage underwriting rules. 

Six organizations representing the BC housing sector have partnered to make housing affordability recommendations that focus on much-needed solutions. In advance of the first debate, we urge each of the parties to adopt the following three recommendations to help address the housing and affordability challenges in British Columbia and the rest of Canada.

1. Remove GST as a major barrier to new rental housing 

British Columbia has a rental housing shortage. Metro Vancouver’s overall rental vacancy rate has hovered around one per cent or lower for the last five years. CMHC estimates the region has had a net loss of 6,000 purpose-built rental units since 1991. At the same time Metro Vancouver’s population has grown by over one million people and is forecast to grow by an additional million in the next 20 years. This scarcity of rental housing has resulted in increased rental prices and stress for renters, a situation that will continue unless decisive action is taken. 

A barrier to addressing the lack of new rental options is the punitive application of the five per cent GST on new purpose-built rental buildings. Under GST rules, a builder pays GST on the “self-supply” of a purpose-built rental building when construction is completed. This means that when rental developers intend to keep, manage and operate new purpose-built rental homes, GST rules require that they pay GST on the market value of the building and property at completion as if they’ve sold it. This is essentially a sales tax on an artificial transaction that adds millions of dollars to the cost of new rental buildings, even for non-profit home builders. A recent analysis of a 117-unit project in Vancouver showed how removing the GST could reduce monthly rents between 3.04 and 6.06 per cent. This additional tax negatively impacts renters, because rental providers must recover the costs through increased rents. 

Removing the GST would make purpose-built rental projects more financially viable and could provide lower rental rates for affordable housing projects. 

We recommend: 

• fully rebating or exempting the application of GST on new rental housing. 

2. Link federal transit investments with federal housing targets 

The federal government can encourage effective land use and transportation decisions by linking the need for more housing options with the significant federal transit funding that is planned. Setting new land use guidelines with housing targets for transit investments would unlock additional home options by supporting regional and local transportation plans. 

We recommend:

• leveraging contributions to local rapid transit projects by requiring housing targets,
• providing preferred terms/rates to projects within CMHC’s Rental Construction Financing initiative that are within a specified distance from a current or planned frequent transit network,
• topping up federal cost-share ratios for rapid transit projects, currently up to 50 per cent of non-land related capital costs, by a modest percentage for projects that meet or exceed housing targets, and
• working with provincial and local governments, including Metro Vancouver, to explore a transit-oriented affordable housing fund to encourage more purpose-built rental housing, with a deeper level of affordability, near existing and new transit. 

3. Adjust the mortgage stress test and amortization rules 

In 2018, the federal government enacted new mortgage rules that require borrowers to qualify for a mortgage at the higher of either the rate they’ve negotiated with their bank plus two per cent or the Bank of Canada’s five-year rate. This B-20 stress test has had a pronounced impact in BC, causing an estimated $500 million in lost economic activity. 

The B-20 stress test should be a flexible policy that is adjusted regularly to respond to economic trends. 

B-20 is now due for an adjustment for the following reasons: 

• the debt burden has increased for people unable to access conventional financing who must resort to more expensive alternative mortgage financing,
• personal incomes nationally have risen by 12.5 per cent over the last five years, and
• a borrower’s equity position increases throughout the term of a mortgage due to principal payments.

Changing the stress test would help achieve the government’s goal of ensuring Canadians don’t take on more debt than they can bear, while acknowledging ongoing economic trends.

We recommend: 

• reinstating 30-year amortizations for insured mortgages to make monthly payments more manageable,
• qualifying all borrowers at their contracted amortization period (e.g., 30 years) instead of a 25-year period,
• excluding the stress test for mortgage transfers and switches, which better enables borrowers to shop for competitive mortgage terms at renewal time, and
• employing flexible stress tests that reflect the level of risk posed by the terms and conditions of the particular mortgage, including amortization period, fixed vs. variable rate and how interest rates are forecasted to change over the term of the loan.

For a PDF of the news release, click here. 

To learn more, visit bchousingaffordability.ca.   

Council revises mandatory disclosure forms

The Real Estate Council of BC (Council) has revised its mandatory disclosure forms. These forms include:

• Disclosure to Sellers of Expected Remuneration
• Disclosure of Representation in Trading Services
• Disclosure of Risks to Unrepresented Parties
• Disclosure for Residential Tenancies

The revised forms have been reduced in length and revised to make the language clearer to your clients. For example, the revisions include an explanation to consumers that these forms are not contracts.

Council will still accept the old versions of these mandatory disclosure forms until the end of the year. As of January 1, 2020, you should only use the revised forms.

Learn more about the revised forms on Council’s website.

The Ethics Guy®: My favourite public/REALTOR® remark bloopers

This week, I decided to lighten things up and focus on the sometimes unusual comments and remarks members write for their listings. I’ve combined some of these member comments and remarks into one long story for your entertainment.

Here’s the story.

Apparently, there’s a “character home in prime Dumber,” suitable for a “simple family.” Things might be a bit cramped though, because the house is on a 4-foot x 118-foot lot. But never mind, the house boasts “eight or nine bedrooms and two suites,” and “rentals and pests are okay.” There’s a “huge claw space in the basement” and “the family room has a retro chick.” The “master bed has a walkin closet and unsuite, comfortably fitting a King and, of course, a Queen.” It has “floor to window ceilings,” “stainless steal appliances,” and a “guess room.” The kitchen features “granite countertops in the butler’s panty.” Its “open kitchen concept brings you close to your guest for an intimate evening—[with] more details to come.” There’s also a “9-inch ceiling on the main.” The listing REALTOR® says the “neighbours are quiet,” apparently, because the property “backs onto a graveyard,” which is interesting, because the data input form says, “Estate Sale—Property Disclosure N,” with the comment, “owner lives in unit.” Also mentioned is, “our neighbor is for sale as well, so consider putting us together.” That should make things interesting.

We hope the area isn’t too aromatic because the “house is surrounded by manure irrigated landscaping.” Good to know this property “ISN’T a grown-up house,” because it has a “beautiful stoned driveway.” What a relief. It’s also “closed to shopping and transit.” But, no worries, there is a “rarely available strip centre for world-class hopping” nearby. That should interest some buyers because “the property is tenanted with a mid-sized God.” The other suite is rented for “$800 a month to a very long tenant.” Under “fixtures to be removed,” the seller’s Realtor has input “tenant,” so notice shouldn’t be an issue. Be careful: did we mention “to watch for the cats,” and that the “square footage includes the bolony.” And, from that bolony, you can “view the Universe, False Creek, the city lights, and Yeletown from every window.” Other features include “two bedrooms divorced for privacy,” with a “separation of bedrooms and living areas—perfect for a couple.” There’s also a “vanishing TV in the vanity,” and a “tilted bathroom floor.”

You can “show [the property] with pride to the fuzziest buyer” because it’s been “renovated for the fuzziest of buyers.” But “no showings from 12:30 p.m. to 3:30 p.m., Monday to Friday to allow for Kid Nap time.” And, make sure you “don’t disturb the guinea pigs and remember the seller’s Realtor says “PLEASE TOUCHBASE to Book your Appointments. I have a very poor memory and am not supposed to use my phone while driving. I need to know you are a bona fide Realtor, first names don't do it for me. Let's use the technology to make our lives easier, reduce stress and live longer.” The listing goes on to say, “Please do not irritate occupants without an appointment.” Which may be difficult, because the tenant is “a miserable old so-and-so—please give as much notice as you can.”

Buyers should act now because this deal is too good to miss. The property contains “70 to 80 students.” If that incentive isn’t enough to sell the place, there’s a “$3,000 bones.”

Now, to give the benefit of the doubt to those members who contributed to this story, we recognize that auto-correct, fatigue, and unfamiliarity with spell-check may have played a role in some of these bloopers. That’s a lesson for all of us; it’s always a good idea to print your listing when it goes live, just to make sure everything you’ve said is as intended.

Introducing my new colleague, Shauna Burns

There’s a new face in the Professional Standards Department. Welcome Shauna Burns, who has taken over for Barb Vandeneykel who retired on September 13. Shauna is no stranger to the real estate business. She has six years of residential real estate experience working in the Coquitlam/Port Coquitlam/Port Moody areas, so she’ll be in tune with members’ experience. Notwithstanding, please give her a little slack as she settles into her new position as professional standards advisor.

Federal election candidates' meetings, affordable housing solutions, and the First-Time Home Buyer Incentive

Board co-sponsors candidates meetings

We’ve partnered with local chambers of commerce to host federal candidates’ meetings to help voters better understand federal issues. Here’s a list of upcoming meetings.

Read more.

What you need to know to vote

The federal election is October 21. Here’s how to check if you’re registered to vote and what to do if you aren’t.

Read more.

New rules and regulations for using drones

Earlier this summer, Transport Canada released new regulations for the safe use of drones. REALTORS® need to be aware of these new legal restrictions.

Read more.

President's message: Attend our breakfast meetings in October

Our fall member breakfast meetings are a few weeks away.

These annual sessions allow your Board of Directors to engage with you on issues and strategic considerations.

You’ll have the opportunity to ask questions, share your opinions, and spend a morning with your colleagues in real estate.

One question for us this year is how to evolve REBGV’s funding model to meet your future needs.

As leaders, we must ensure our Board always has long-term financial stability in order to serve REALTORS’® and Brokers’ ever-changing needs. As such, we want to discuss with you how to evolve our funding model so that we can keep investing in the future, a future where Realtors thrive in the face of rapid technological change.

This year’s meetings will also cover the changes to PDP and WEBForms coming January 1. It’s important that all members are aware of these changes. We have considerable resources to help you prepare.

At last year’s meetings we walked you through the creative strategy behind our REALTOR® advertising campaign.

The campaign has been prominent on TV, radio, bus backs, and the web now for a year.

We’re measuring the impact that the campaign is having on the pubic. We’ll share our latest findings at the meetings. You can also watch for articles on this research over the next few weeks.

I hope to see you at one of this year’s meetings.

We’re hosting four sessions around the region this month.

Here’s the schedule:

• Friday October 18 — Fairmont Waterfront, Vancouver
• Wednesday, October 23 — Seymour Golf Club, North Vancouver
• Monday, October 28 — Sandman Signature Airport Hotel, Richmond
• Thursday, October 31 — Executive Plaza Hotel, Coquitlam

There’s no cost to attend, but please register by contacting Member Services at 604-730-3090 or memberservices@rebgv.org.