Web Marketing Seminar

We are pleased to offer a seminar on web marketing. It will be held:
Thursday, December 11, 2008 at 1 PM
K-W Board Office (540 Riverbend Drive)

Terry LeClair is the Broker of Record/Owner of Prudential LeClair and Associates Realty in Barrie. He is a selling broker, selling over 100 properties a year.
Over the past few years he has focused on building his business through having a great website to capture leads. He has tried many different ideas, keeping the good ones, and tweeking the ones that didn't work.

The two main topics he will be covering are: Seven Functions of an Effective Website, and, Implementing a Powerful Web 2.0 Experience. Goran and I have seen his presentation and thought everyone could benefit from his pro-active and researched ideas. I hope you can make it on the 11th.

2009 Prudential Sales Convention

Next year's Prudential Convention will be here before you know it. It is being held March 28 -31st, 2009 at the Mandalay Bay Resort in Las Vegas.

You can preview some of the key note speakers and headline entertainment on the Prudential Convention website. You need to sign in with your user name and password in PREA Centre to get access.

As usual, we have pre-booked a block of rooms and registrations for those who are thinking about going. We will be booking flights in early December. Please drop me a line for further details. There are lots of reasons and incentives to go!

Do Not Call List

Today you will receive a memo about the upgraded Prudential Grand Valley Realty Do Not Call List software. We now have a web address (password protected) where you can check a phone number quickly to see if the number is on the Do Not Call List. We've even ensured that the web page works on your blackberry! It's fast, simple, and efficient if you just need to check a number before you call.

When you get the memo, bookmark the URL and stash away the password. You can rest assured it will come in handy later.

RECO Credits Online

I received an email recently from Carson Dunlop about the RECO continuing education credits that you can take through them. The topics are excellent for learning about construction and home maintenance.

Here is the web address for the courses if you would like to check them out.
CarsonDunlop.com

Real Estate at a Whole Different Level

Goran sent this website along to me the other day. Interesting reading.

Who is the top selling agent in North America? Second place isn't even on the horizon! It's Dolly Lenz from Prudential Douglas Elliman Real Estate in Manhattan! Last year she sold $ 748 Million in real estate. Second place? A paultry $181 million!

You can view her website at dollylenz.com.

No doubt, it's a whole different world out there.

Leader's Edge Training

Chris Leader is running his three day training program in Toronto at the Richmond Hill Country Club, 8905 Bathurst Street, Richmond Hill on December 3rd, 4th, and 5th. It is the same program that he ran in the summer in Kitchener.

If you are interested in attending, please see me or Goran in the next few days and we'll get you booked.

NAR Survey results

I recently read the results of the National Association of Realtors (U.S.) on their annual Profile of Home Buyers and Sellers Surveys for 2008. It is always interesting reading. There are 1.3 million realtors in the United States and they have many more resources than us, just based in the numbers. The annual survey always includes over 100,000 participants. The two Canadian factors to keep in mind are: firstly, they have been embedded in a housing recession in some areas for more than two years, and secondly, most surveys related to the internet show that Canadians use the internet in higher numbers than our American neighbours.

Where will you spend your marketing dollars?

When asked what resources buyers used when searching for a home:
87% used the internet
85% used a real estate agent
62% used yard signs
48% attended open houses
47% looked at newspaper or print ads

Buyers usually start their search process on line and then contact a real estate agent.

When asked where they first learned about the home they bought:
34% learned about the property from a real estate agent
32% found the property on the internet
15% discovered it through the yard sign
7% heard about it from a friend, neighbour, or relative
7% found it from a builder
3% from a newspaper or print ad
2% learned directly from the seller
1% from a home book or magazine

Interesting numbers...

Profile: Nelly Kilianski, Kitchener Office

Nelly has worked in the real estate field since 1987, with her specialty being in residential and relocation areas. Nelly received an Award of Excellence in 2007 and has also received ten Productivity Awards. Nelly has been successful at recruiting new agents into the business and prides herself on repeat clientele.

Nelly and her husband, Walter, moved to Canada in 1951 from Poland. They have four children (2 sons and 2 daughters), and they are the proud grandparents of 4. She enjoys choral singing, attending concerts and opera performances. Nelly and her family also enjoy taking part in church activities.

Nelly is also a proud supporter of The Sunshine Kids Foundation and helps fund raise for the Juvenile Diabetes foundation.

Aeroplan Miles and Your Listings

At the recent Prudential conference in Toronto, I crossed paths with the Aeroplan people who have opened up your ability to offer Aeroplan Miles to your Buyers and Sellers.

We always talk about ideas to make yourself unique among the agents you are competing with. Here is one of those concepts. For every 10,000 in value on a property, your client gets 500 Aeroplan Miles. So, on a $200,000 purchase, they get 10,000 points, and on a $300,000 purchase , they would receive 15,000 points. You make arrangements through Aeroplan for your client to receive the points and for you to make the payment for them.

For more information, you can contact mvarona@homeserve.com and visit their website at aeroplan.com.

What are you doing to differentiate yourself?

Northstar Aerospace TCE Contamination in Cambridge

I realize that this is an old subject for Cambridge residents and Cambridge realtors. Unfortunately we occassionally run into situations where there are out of town realtors, or people buying privately, to whom the full situation has not been fully disclosed.

A local real estate lawyer told me a story recently where, an out of town agent sold a property in the area to a buyer who also had an out of town agent and the buyer had no idea of the situation until a week or two before closing. Scary disclosure.

Northstar Aerospace is a company on Bishop Street in Cambridge, that in its history, has leaked solvents into the ground that contain Trichloroethylene (TCE). TCE's have been suspected to contain carcinogens that cause cancer and other diseases.

Northstar has been very pro-active in supporting the affected area. They have spent a lot of time and money researching how far the contamination has spread. They have done extensive tests on all the properties in the area for levels of contamination. They have taken remedial action on the properties affected to correct the problem. Some people in the area feel they have been very supportive. Others would disagree.

Statistically, the situation has had a very limited effect on home values in the area. It is definitely not an "Erin Brokovich" scenario. But, it is a situation where everyone needs to do their homework.

Northstar has office space and staff set up to deal with this issue specifically in an information centre in their office on Bishop Street. There is a map which shows the area affected and readings in detail.

If you have a client desiring a property in that area, take them to the office. Every question you could conceivably ask will be answered. The key here is making sure your buyer is fully aware of the scenario so that they may make an informed decision.

Cambridge Sunshine Kids Mini-golf Report

Last Friday was the Cambridge office's Fourth Annual Mini-Golf Tournament. Every year things get a little better. More money, more people, and more prizes!
This year, we raised $12,300 !

Congratulations to the committee for all your hard work over the past few months. Sincere thanks to all our generous donors for making this such a great event.

Brian Ashton, our unofficial Prudential photographer, put together some of his pictures into a virtual tour. You can check them out here.

Ontario realty tax assessments

The Ontario government has taken our residential tax assessments to a new level of confusion and many agents have been receiving calls from their clients about the new assessment notices sent out. So, here's a simplified version of what's happening.

First of all, please understand the most fundamental of principles of real estate taxation:

Assessed value x mill rate = tax amount due.

Every year the municipalities (Kitchener, Waterloo, Cambridge, townships) plus the Region, plus the school boards (public and separate) pass a budget and establish a mill rate based on the collective assessment for their area. In these confusing times people get upset with their increases in assessment. They shouldn't focus on the increase, they should focus on their increase compared to their neighbour, because that is what matters. This article I give you from the Ontario Real Estate Association, explains that the key is 5%. Compare yourself to that.

Tax assessments to rise in 2009
Ontario residential property taxpayers will see an average assessment increase of five per cent in 2009, the first year of a four-year phase-in plan.

“Residential property values have increased by an average of approximately 20 per cent across Ontario since 2005, when the last assessment update was done,” Carl Isenburg, President and Chief Administrative Officer of the Municipal Property Assessment Corporation (MPAC), said.

With a four-year phase-in, property taxpayers will see an average assessment increase of five per cent next year.

An increase in assessment does not necessarily mean an increase in property taxes. If the assessed value of a home has increased by the same percentage as the average in the municipality, there might be no increase in the property taxes paid by a property taxpayer.

The phase-in program does not apply to decreases in assessed value. The full amount of a decrease will be applied during the 2009 tax year.

“Our values are based on actual sales and trends in real estate markets across the province,” Isenburg said. Municipalities establish tax rates that are applied to assessed values to pay for local services and the Provincial Government sets rates for the education portion of the tax.

Property Assessment notices began arriving in the homes of property taxpayers in mid-September. MPAC expects the mailings to be completed over a ten-week period.

The confusing part (and this is my opinion) is that the Ontario government set an unattainable goal in making assessment equal to market value. It's like shooting at a moving target and is an unattainable goal.

Here's the most important point in this message: When looking at your assessment, look at your percentage change compared to all, not just your own. If your assessment changed more than the 5% per cent they are talking about, then you need to do some research. You should call your Prudential agent for some comparable salle research data. Don't feel you're imposing... that's what we're here for. From my past experience, the assessment appraisers are very open to changing assessments if you can give them data to back up your claim. But you can't go in shooting pistols without a basis for your argument. We are very happy to help our clients with that research data.

Hopefully all these asseessment issues will get simpler as time goes on.

October 2008 MLS Statistics

Well, as predicted, we saw some low numbers for October. Bad news in the stock markets, and general bad economic news in the United States have shaken consumer confidence in Waterloo Region. Interest rates are incredibly low and unemployment levels are still very low. We just need to get the consumer confidence back. Many are confident this will be a short term lull. There is no real reason to think otherwise.

On a positive note, the U.S. has elected a new president and this article in today's Waterloo Region Record from Canada Mortgage and Housing shows positive things for the days ahead.

Here are the October 2008 MLS monthly statistics from our two real estate boards:

	K-W This Month	K-W Last Year	Cambridge This Month	Cambridge Last Year
Avg. Sale Price	$ 263,909	$254,494	$251,193	$260,507
Percentage Change	+3.7%		-3.6%
Properties Sold	413	526	162	237
New Listings/Sales Ratio	50.4%	72.6%	33.6%	58.6%
Properties For Sale Now	2048	1813	866	N/A

Profile: Young Ihl Sohn, Kitchener office

Young-Ihl has been a Real Estate Agent with us since 2004 and specializes in residential sales. Young-Ihl moved from Seoul, Korea in 1999, and has lived in the Kitchener Waterloo area for six years.

Young-Ihl has received the Volunteer Impact Award (2007), and is a volunteer with the Senior Day Program in Kitchener.

The Importance of Getting The Price Right

Something that happens to real estate agents on a very regular basis is the issue of getting the price right on a new listing. Sellers want to get top dollar for their property, and so do we, but sometimes the "seller's price" is over the top and totally unrealistic. Especially in this slower market, it is very important to get their price in a marketable range that will encourage showings and offers.

Here's a story that happened in our brokerage recently that demonstrates the importance of getting the price right. The seller had a country property in a good, central location. The house was really nice with many updates and recent renovations.

We gave them an asking price of $ 450,000 about 18 months ago. They felt this was low, and decided to try and sell privately for $ 699,000. Later they listed with another broker at the same price without success. Well over a year passed in the process and they did reduce the price a bit, but nothing substantial.

In the end, after 18 months of the stress of trying to sell their property, they sold it for $ 415,000. I am sure everyone was disappointed in the end.

Nobody will ever know for sure, but we're pretty confident that they could have sold it for more than that with a year's less stress.

Any agent will tell you that they don't want to take overpriced listings. You can spend thousands of dollars advertising without a realistic chance of seeing a return on your time and financial investment.