Featured News
REBGV to open education facility in Coquitlam!
Your Board will open a second education facility at 228 Schoolhouse Avenue in Coquitlam early next month.
Members will be able to attend PDP courses and events and receive other services from this new service centre.
“This new education facility will help us better serve our growing membership,” Brad Scott, Board CEO said. “Members work across a large geographical area and we know many of you have a long commute to get to our courses. We want to make it easier for you to access services and attend PDP courses and other events.”
Registration is now open for classes at the new facility. Click here to see our upcoming courses in Coquitlam or Vancouver.
The Coquitlam office is surrounded by ample free parking and a variety of restaurants. Inside, the facility will be able to accommodate up to 44 members per class – including technology classes.
“Nearly 40 per cent of members live east of the Burnaby/Vancouver border. The new facility is accessible from several major thoroughfares, so members in Burnaby, Coquitlam, the North Shore, Maple Ridge and other communities can get in-person member service quicker than driving to the Board’s office,” Phil Moore, Board president said.
We anticipate delivering approximately 200 courses to 8,000 members from this location each year.
We’ll officially open the Coquitlam office in June. We’ll provide more details in future communications.
Board president addresses affordability issues at global real estate summit
Metro Vancouver’s real estate market captures attention beyond our borders. That’s why the Asian Real Estate Association of America (AREAA) invited Board President Phil Moore to speak at their global summit recently.
The three-day Global Luxury Summit spanned two cities, Seattle and Vancouver, from April 7 - 9. The event hosts industry leaders from around the world.
Phil spoke on a panel that included the Canadian Real Estate Association’s Chief Economist Greg Klump and past Vancouver Island Real Estate Board President Tony Joe.
Phil’s presentation focused on recent government interventions into Vancouver’s housing market and our recommendations for improving affordability. He broke down the new taxes, mortgage regulations, and rules that both the provincial and federal governments have implemented recently.
“Direct intervention in the market tends not to work in the long run," he said. "You can’t tax your way to affordability."
How can we address affordability in Vancouver? Phil suggested that governments at all levels can help by alleviating some of the costs, fees, and delays that make building homes the slow and expensive process it is in our region today.
AREAA is a non-profit organization that promotes sustainable home ownership in Asian communities. Their next global summit is scheduled for 2020 in Beijing.
Real estate regulator finalizes rules that'll take effect June 15
On April 27, the Superintendent of Real Estate announced amendments to the new rules for all real estate licensees in BC on the handling of conflicts of interest, continuing professional education, language proficiency requirements and disclosure of remuneration to sellers. The approved rule amendments:
- incorporate the Real Estate Council of British Columbia's (Council’s) English language proficiency requirements for new applicants into the new rules;
- require that new remuneration disclosures to sellers include a dollar amount; and
- create new rules to address conflicts of interest where a licensee finds themselves potentially working with multiple parties that would constitute dual agency.
Read the superintendent’s full release here.
These rules go into effect June 15. Council has created several resources to educate you on the coming rule changes and how they’ll affect your business. Here’s a rundown:
How the new rules will affect you
Each week, Council emails you its “Real Advice” newsletter. It contains tips, resources, news, announcements, and links to other resources to help you comply with the changing rules. Every newsletter is posted to their website.
A recent Real Advice newsletter looked at five key questions you should ask yourself about the way you conduct your business prior to the June 15 implementation date.
They also produce videos and a regular podcast called Real Talk, Real Advice that dig deeper into the new rules and your responsibilities.
Required course
Council is collaborating with the UBC Sauder Real Estate Division to develop a new online course, Rule Changes: Agency and Disclosure, that’ll be available in advance of the June 15 implementation.
All licensees in BC will be required to complete this course as part of their relicensing requirements.
Learn more about this new course here. We’ll share more details about how you can access this course as they become available.
FAQs
Council maintains an FAQ page that provides guidance on how to conduct yourself in a range of common situations. Many of the questions on this page were submitted by Realtors from across BC.
If you have a question that isn’t answered, submit it to Council and they’ll include it in the FAQs. Click here to submit your question.
A member writes
A member recently wrote to me:
I'm writing regarding the misinformation that's constantly showing up on MLS® regarding square footage, particularly of condominiums. I, along with a number of salespeople, am concerned with the lack of accuracy in the square footage displayed on listings. Shouldn't square footage be what's displayed on the strata plan? A large number of representatives are using square footage that they get from a “professional” measuring company. Having used these companies myself, I know that they can be incorrect. This past week I saw two listings in one building I'm familiar with that had the wrong square footage. When I pointed this out to the representatives, they did nothing to change it. Both were out by about 15 to 20 square feet. At $2,000 per square foot, this is a significant mistake. Just using the word “approximate” may be okay if it is three or four feet. But, 20 and 30 feet? I think not. The only square footage should be what is on the registered strata plan. If someone has added non-conforming space it should be noted in the listing. A new listing recently had the square footage listed as from “a floor plan.” Developer floor plans can be incorrect. In these times of REALTORS® being criticized at every turn, I see this as an easy situation to be solved by the Board.
Here is what I wrote in reply, which is of interest to all Realtors.
Dear member,
Your concern is valid. Members must not provide inaccurate information. REALTOR® Code, Article 4 (Discovery of Facts) is clear: “A Realtor has an obligation to discover facts pertaining to a property which a prudent Realtor would discover in order to avoid error or misrepresentation.”
Rules of Cooperation, Rule 3.06 (Accuracy of Listing Information): “It is the responsibility of every Member to provide to other Members clear, accurate and factual information concerning any listing by such Member. IT SHALL BE THE RESPONSIBILITY OF THE LISTING BROKERAGE TO CHECK ALL LISTINGS AND AMENDMENTS OF LISTINGS AFTER THEY HAVE BEEN PUBLISHED BY THE MLS® AND TO ENSURE THEIR COMPLETE ACCURACY, INCLUDING COMMISSION PAYABLE TO THE CO-OPERATING BROKERAGE.”
Rules of Cooperation, Rule 8.01 (Advertising – General): “Members shall not advertise in any manner that is false or misleading, prohibited by law or restricted by the seller.”
These obligations apply equally to sellers’ and buyers’ Realtors. Disclaimers are fine, so it's important to include them if they help you to sleep better. But, they won't necessarily protect you against complaints or a lawsuit. It’s better to provide accurate information in the first place. The Council would have similar standards as prescribed by the Real Estate Services Act. I’ve written about this multiple times (for example, “Wack-a-Mole” and more) in the Ethics Guy®’s column over the years. There have also been Legally Speaking articles on this subject.
These standards speak to the general requirement to provide accurate information. But what the Board does not have in edict form is a rule stating that members must always quote unit size from the strata plan. Using a measuring service or quoting from strata plan is fine, although my preference is to always quote from the strata plan because that information comes from a public registry and is indisputable.
By “indisputable” I mean that if the strata plan says 760 square feet then, when you say, “the strata plan says 760 square feet” you are providing accurate information. It would be quite different (and risky) to say, without qualification, “this unit is 760 square feet.” This is because, as you point out, the actual unit measurement may not match what the strata plan says. I understand the discrepancy can occur during construction, after the strata plan has been created, approved, and registered. The discrepancy is usually quite small, but as you say, at $2,000 per foot, even a small discrepancy can expose a member to a claim or a complaint. It would be a weak defence for the buyer agent to say, “It’s the sellers’ agent’s mistake, not mine,” because the buyer agent is obligated to check all the information he or she provides to the client. In summary it would be okay to say, “measurements from strata plan.” It would also be okay to say, “measurements provided by XYZ Measuring Co. Ltd. These measurements may differ from the size quoted on the strata plan.” It would be risky to just say, “the unit is 760 square feet” without saying where that measurement came from.
We do not want to micro-manage your day-to-day business practices, and for example, your preference as to how you choose to quote measurement information. We just expect that the information you do provide is accurate.
Limited dual agency recommendations, reviewing the regulators, and more
Limited dual agency – where are we at?
We made a submission to the Superintendent of Real Estate recently, outlining changes we believe are needed to his proposed ban on limited dual agency. Our recommendations are based on member consultation. Here’s a summary of what residential and commercial members told us were their key issues and recommendations.
Reviewing the real estate regulators
The BC government has launched a review of the province’s real estate regulators, the Real Estate Council of BC and the Office of the Superintendent of Real Estate. Here’s a summary of what the review will include.
Do taxes make homes affordable? Vancouver is about to find out
Vancouver's Empty Homes Tax will generate $30 million in revenue this year. After costs, $20 million will go to affordable housing. How will the City spend it? They’re asking REALTORS® and other stakeholders for ideas.
Strata windup
What happens when a majority of owners force the sale of a strata complex, but some strata owners don’t want to sell? Here’s what can happen, including summaries of recent court cases.
Complete a survey and make your voice heard on strata property law
Here's an opportunity to share your ideas on proposed changes to the Strata Property Act.
Home sales down, listings up across Metro Vancouver
The Metro Vancouver housing market saw fewer home buyers and more home sellers in April.
The Real Estate Board of Greater Vancouver (REBGV) reports that residential property sales in the region totalled 2,579 in April 2018, a 27.4 per cent decrease from the 3,553 sales recorded in April 2017, and a 2.5 per cent increase compared to March 2018 when 2,517 homes sold.
Last month’s sales were 22.5 per cent below the 10-year April sales average.
“Market conditions are changing. Home sales declined in our region last month to a 17-year April low and home sellers have become more active than we’ve seen in the past three years,” Phil Moore, REBGV president said. “The mortgage requirements that the federal government implemented this year have, among other factors, diminished home buyers’ purchasing power and they’re being felt on the buyer side today.”
Listings
There were 5,820 detached, attached and apartment properties newly listed for sale on the Multiple Listing Service® (MLS®) in Metro Vancouver in April 2018. This represents an 18.6 per cent increase compared to the 4,907 homes listed in April 2017 and a 30.8 per cent increase compared to March 2018 when 4,450 homes were listed.
The total number of properties currently listed for sale on the MLS® system in Metro Vancouver is 9,822, a 25.7 per cent increase compared to April 2017 (7,813) and a 17.2 per cent increase compared to March 2018 (8,380).
“Home buyers have more breathing room this spring. They have more selection to choose from and less demand to compete against,” Moore said.
Sales-to-active listing ratio
For all property types, the sales-to-active listings ratio for April 2018 is 26.3 per cent. By property type, the ratio is 14.1 per cent for detached homes, 36.1 per cent for townhomes, and 46.7 per cent for condominiums.
Generally, analysts say that downward pressure on home prices occurs when the ratio dips below the 12 per cent mark for a sustained period, while home prices often experience upward pressure when it surpasses 20 per cent over several months.
HPI benchmark price
The MLS® Home Price Index composite benchmark price for all residential properties in Metro Vancouver is currently $1,092,000. This represents a 14.3 per cent increase over April 2017 and a 0.7 per cent increase compared to March 2018.
Sales of detached properties in April 2018 reached 807, a 33.4 per cent decrease from the 1,211 detached sales recorded in April 2017. The benchmark price for detached properties is $1,605,800. This represents a 5.1 per cent increase from April 2017 and a 0.2 per cent decrease compared to March 2018.
Sales of apartment properties reached 1,308 in April 2018, a 24 per cent decrease from the 1,722 sales in April 2017. The benchmark price of an apartment property is $701,000. This represents a 23.7 per cent increase from April 2017 and a 1.1 per cent increase compared to March 2018.
Attached property sales in April 2018 totalled 464, a 25.2 per cent decrease compared to the 620 sales in April 2017. The benchmark price of an attached unit is $854,200. This represents a 17.7 per cent increase from April 2017 and a 2.3 per cent increase compared to March 2018.
Click here to download the complete stats package for April.
Other News
New discipline decisions available
Stay on top of the work your Board is doing to uphold and enforce professional standards within the profession and resolve disputes between members.
Our Professional Conduct Committee (PCC) investigates alleged member breaches of the REALTOR® Code and our Rules of Cooperation. Click here to review the PCC’s latest rulings (C17-21 and C17-25).
Our Arbitration Committee works to resolve disputes between members. Click here to read their latest decisions (Case #165 and case #166). The Real Estate Council of BC posts all disciplinary decisions on their website – click here to review the latest Council decisions.
Obituary: Lee Hester
Commercial REALTOR® Lee Hester passed away in April after a courageous battle with cancer. He was 49.
Lee was interested in real estate from an early age and began his career as a researcher with Cushman & Wakefield. He was first licensed with Mcrae Walker Realty Corporation in 1991. During his career, he also worked for Royal LePage Real Estate Services Ltd. and Cushman & Wakefield. He was most recently with Jones Lang Lasalle (JLL) Real Estate Services Inc., where he’d been since 2015.
Known as “The Hess” to friends and colleagues, Lee was an outgoing individual with a passion for people. If he was in a room with strangers, he made it his goal to meet everyone in the room and learn something about them. He was a mentor to other Realtors and loved seeing them succeed.
When Lee was diagnosed with cancer last year, he took his zeal for life and applied it to his fight. He was the inspiration for JLL’s Wear Your Chucks to Work Day last year. The entire office teamed up to wear Chuck Taylor converse shoes to work, and together they raised over $60,000 for the BC Cancer Foundation.
Outside of real estate, Lee was a dedicated family man who coached youth soccer and was an ambassador for the Caulfeild community.
In lieu of flowers, and in recognition of the incredible care Lee received from the BC Cancer Centre and Vancouver General Hospital, the family would appreciate donations in Lee’s memory to the BC Cancer Foundation (http://donate.bccancerfoundation.com/goto/LeeGHester) or the Paul Sugar Palliative Support Foundation (www.paulsugarfoundation.com/donate-online).
A family-friendly celebration of Lee's life will be held May 31 at 7 p.m. Contact leehestercelebration@gmail.com for details.
Obituary: Lisa Korthals
REALTOR® and renowned adventure skier Lisa Lebreton Korthals passed away in March. She was 49.
Originally from Toronto, Lisa came west to attend the University of British Columbia and fell in love with Whistler. In her early 20s, she moved back to Toronto to begin a life and career in the city, only to find her heartstrings tugging her back to the West Coast. She moved to Pemberton not long after returning to Toronto.
Her primary career was as a backcountry and heli-ski guide. She became famous in ski circles for travelling the world to ride down some of the largest, most dangerous mountains on Earth. Locally, she led ski adventures tours through the backcountry of Whistler and Pemberton.
Those who knew her best agreed that if there was anything Lisa loved more than the outdoors, it was people. She was described as a gravitational force who drew people to her with her infectious smile and warm personality.
That personality made real estate a natural fit as a second career. She became a Realtor with RE/MAX Sea-to-Sky Real Estate Whistler in 2010. It was the only real estate company she worked for.
She's survived by her husband, Johnny Chilton, and their son, Tye. Donations to Lisa’s family can be made via their GoFundMe page.
How to search by feature in Paragon
Your clients have varied needs and look for properties with specific features. In Paragon, the features field allows you to search for properties by features.
This field is available on the main search page for each property type. Just about any aspect of a property can be specified for your search.
For example, one commonly requested feature is a property with a den. By following this walkthrough document, you can search for all properties that have one bedroom and a den in Paragon.
Other common features you can specify include:
- seller’s interest (assignment of contract, court-ordered sale, power of attorney, etc.)
- bylaw restrictions (age restricted, pets allowed, rentals allowed, etc.)
- rooms (attic, media room, solarium, etc.)
If you need help using features in your searches, review this document or contact the Help Desk at 604.730.3020 or support@rebgv.org.
How to protect your clients from the hazards of older homes
Your client has decided to put her 1946 home on the market. During the listing appointment, you:
- open the back door and smell the pungent odour of oil;
- notice a fuse box surrounded by loose wires in the basement;
- notice condensation on the windows or buildup of toxic mould on the walls, ceilings and in the attic; and
- suspect there may be asbestos in the home.
What do you advise your client to do?
There’s a financial risk when listing or selling a property with a hazard. These include underground or above-ground heating oil storage tank (OST), asbestos insulation, or an un-remediated grow op and others.
In 2017, the most expensive real estate claim stemmed from contract terms that failed to protect a buyer from oil tanks and contamination. The total cost, including legal fees, was $442,700.
As well, buyers are becoming more aware of health, safety, and environmental aspects of the properties they’re looking to purchase. New legislation reflects those concerns with increasing levels of safety and greater disclosure. There are also more responsibilities and liabilities for buyers, sellers, and current and former owners.
Do you know what to do if you’re representing a seller or a buyer once you're aware of these hazards? What’s your duty to disclose? What steps do you need to take to inform and protect your client?
In our new six PDP credit, Category B, course, Hazards of Older Homes, you'll be able to:
- Describe key elements of the Property Disclosure Statement that should be verified and discussed with the seller prior to listing a property.
- Describe key elements of the Property Disclosure Statement that should be verified and discussed with the buyer prior to making an offer.
- Successfully prepare REALTORS® to comply with Council Rule 5.13 Disclosure of Latent Defects to avoid risks and liabilities.
- Identify the most common hazards of older homes, the potential risks of each and how they should be handled on the Listing and/or in a Contract of Purchase and Sale.
The first delivery of this course is May 30. To check availability and register, visit our course catalogue.
BC Real Estate Association installs 2018/19 Board of Directors
The BC Real Estate Association (BCREA) recently swore in its 2018/19 Board of Directors at its annual general meeting on May 1.
Here are your provincial association’s directors for the next year:
- James Palanio, President
- Michael Trites, President-Elect
- Jim Stewart, Past President
- Anthony Bastiaanssen, REALTOR® Director
- Ray Harris, REALTOR® Director
- Kyle Hislop, REALTOR® Director
- Dan Morrison, REALTOR® Director
- Kam Raman, Public Director
- Corey Raven, REALTOR® Director
- Katherine Rutherford, REALTOR® Director
- Mark Sakai, Public Director
Learn more about the directors on BCREA’s website.
Google Drive isn’t going away, but how you access it is changing
Google Drive, a popular online storage service, is undergoing changes on May 12. The desktop app used to access Google Drive is being replaced with two new ones - Backup & Sync, and Drive File Stream. You’ll need to have one of these apps installed before May 12 to access the service.
If you use Google Drive, you should see a prompt next time you open it explaining the change and encouraging you to download and install one of the new apps. Drive File Stream offers more functionality than Backup & Sync, but you’ll need to decide for yourself which app is best for you.
You can download Backup & Sync here.
You can download Drive File Stream here.