Jeff Shields Real Estate Blog

What's in the wording? - Impact on price and time to sell

Jeff Shields, REALTOR® Qualicum Beach, BC (RE/MAX Anchor Realty) — Wed, 03 Oct 2007 14:23:56 -0500

A mortgage broker friend of mine just dropped by the office to share an article he had been sent. I thought it was worth sharing here on Active Rain.

A study done by the University of Windsor and CMHC examined some 20,000 listings to determine the effect of certain wording in listings and the impact on sale price and time to sell. What the study revealed will change how I write my listing descriptions. The data was from the Windsor area for homes listed and sold between 1997 and 2000.

Using the following words or phrases had these impacts:

Beautiful - added 12,500 to the selling price of a 250,000 home, about (5%).
Move-in condition - no impact on price but sold 12% faster.
Beautiful or gorgeous - sold 15% faster.
Landscaping - sold 20% faster.
Handyman special - cut sale time by half.
Must see or Vacant - had no impact on time for a sale.
Motivated or must sell - slowed sales by 30%.
Ranch - slowed sales by 10%.
Rental or Income producing - slowed sales by 60%.

The researches believe that the results are more or less universal but may vary by locale.

Time and a Place for everything!

Jeff Shields, REALTOR® Qualicum Beach, BC (RE/MAX Anchor Realty) — Mon, 24 Sep 2007 16:21:30 -0500

When I was a boy, my father continually feed me a diet of one or two line sayings that have stayed with me all my life. Many of these sayings, we have all heard at one time or another.

"Never be afraid to make a mistake, just never make the same one twice." - I 've made the same one more than twice but never more than 10 or so.

"If you are going to drink at lunch, drink beer or scotch, not gin or vodka. You want people to know you're drunk, not stupid." - Not sure this one applies today, but this came from a era when you were offered a drink whenever you visited an executive office. No DIU laws then either.

"Don't try, just do." - Yoda had nothing on him. He maintained if you always did your best, it would get better.

"Treat people with respect, and you will earn theirs." - What can I say.

One summer day when I was 12, he asked me if I wanted to go on an overnight road trip while he checked on a project. He was in road construction and the project was 350 miles away. I thought it would be fun, so I said yes.

We left the next morning and as we entered the job site, we came across a man up on a ladder loading dynamite into a blasting hole. A young fellow on the ground was tossing sticks of dynamite up and the old blaster would catch them and stuff them into the hole (although he sometimes missed a stick or two which would fall back to earth - I ducked). Anyway my dad stopped the car and called the man down off the latter. I had never heard my dad swear until that moment and every second word was f*** this, f*** that.

When he finished the conversation, he got back into the car and without looking at me, he said, "There is a time and a place for everything. Do you think he would have listened to me if I had said 'golly, gee, darn'."

He's been gone these past 25 years and I just wanted to say "miss ya dad".

August 2007 Statistics for Qualicum Beach/Parksville

Jeff Shields, REALTOR® Qualicum Beach, BC (RE/MAX Anchor Realty) — Wed, 05 Sep 2007 16:45:30 -0500

The Vancouver Island Real Estate Board (VIREB) has released the Sales Statistics for August 2007. Their press release indicates a large increase over August 2006 for the entire Board. Each of the 6 zones has shown a marked increase over the previous year ranging from 8%-21%.

NANAIMO, BC - Multiple Listing Service® (MLS®) sales summary data released by the Vancouver Island Real Estate Board (VIREB) for August 2007 shows increases continuing in sales volume and average sale prices.

The average sale price across the VIREB region for August 2007 was $340,380. This is a 17 per cent increase from the $290,173 posted at the end of August 2006. Unit volume increased almost 20 per cent from the end of August 2006.

Source: VIREB Press Release Excerpt

As you can see from the following table, the Qualicum Beach and Parksville area has shown the largest per cent change (21%) over last year and is higher than the Board average (17%). While the average sale price for our area was down slightly from June to July, it has re-bounded significantly in August to over $405,000.

	UNIT SALES			AVERAGE SALE PRICE			% Change	*MEDIAN PRICE
ZONE	Aug 2007	Jul 2007	Aug 2006	Aug 2007	Jul 2007	Aug 2006	% Change	Aug 2007
Campbell River	66	74	51	304,191	325,642	257,562	18%	289,800
Comox Valley	118	102	79	332,456	329,693	274,932	20%	312,000
Cowichan Valley	84	109	94	362,567	356,142	303,378	19%	360,000
Nanaimo	152	185	107	346,037	351,662	319,389	8%	335,000
Parksville/Qualicum	78	72	71	405,163	364,390	334,688	21%	370,000
Port Alberni/West Coast	51	50	37	236,495	218,251	207,366	14%	226,000
**BOARD TOTALS	572	619	478	340,380	332,657	290,173	17%	--
Source: Multiple Listing Service® (MLS®) sales data from the Vancouver Island Real Estate Board. Median Price: An actual sale at or immediately adjacent to the midpoint in a price group. In the case of an even number of sales, the median is the highest price in the lower half of that price group. If the total number of sales is an odd amount, the midpoint sale is taken to be the median (i.e. 9 sales, sale no. 5 represents the median). *Please note: The Board Totals figures also include: Zone 7-North Island, Zone 9-Out of Board Properties, and Zone 10-Islands figures which are not listed separately in this table.

If you have any questions or would like more information on our area, please do not hesitate to contact me directly.

Jeff Shields
RE/MAX Anchor Realty
1-800-668-3622

There is the Market and There are Markets.

Jeff Shields, REALTOR® Qualicum Beach, BC (RE/MAX Anchor Realty) — Tue, 21 Aug 2007 16:16:53 -0500

The Real Estate Market continues to be strong here in Qualicum Beach, BC and one of the reasons is the quality of life on Vancouver Island. One of those reasons are the local Farmer's Markets.

Over the past weekend, my partner Susan and I managed to visit three of them, meeting some great people, purchasing fresh organic vegetables and free-range eggs and a few other sundry items. On Saturday we took in both the Qualicum Beach and Errington Farmer's Markets. On Sunday we headed up to Campbell River (the Salmon Capital of the World) for theirs. Each of the markets have a distinctly different flavor to them. With summer winding down, the local fresh produce is abundant.

Qualicum Beach's Market is held in the downtown area on a blocked off street. Fresh vegetables, jams and jellies, breads, organic meats, free-range eggs, cheeses and local crafts are all available. A jazz band who was playing on Saturday will also be performing at Milner Garden this weekend (Aug 19). The market runs every Saturday from May to October 8:30-12:00noon.

Errington's Market on the other hand is held in the park on Saturdays May to October 10:00AM to 1:00PM. Similar local fare is available here, plus some of the best cinnamon buns I have every tasted. This past weekend featured Shane Philip for the entertainment. Shane is a one man show mixing the didgeridoo, drums, guitar and voice to create a "totally unique and organic sound". Shane borrows and combines elements of reggae, ska, folk, funk, blues and rock to write and perform songs about love, peace, and the human experience.

Campbell River's Market is held in the parking lot by Fisherman's Wharf. It was great being right by the ocean and seeing all the pleasure craft and fishing boats. Many of the booths offered fresh, smoked or frozen seafood such as salmon, tuna, oysters, shrimp and other locally caught fish and shell fish. Crafts and local produce was also available.

If you are in the area, taking in one of the Farmer's Markets is certainly worth your time. If you want to discuss the real estate market, please give me a call.

Jeff Shields
RE/MAX Anchor Realty
1-800-668-3622

PS: A didgerdoo is an Australian instrument. Shane makes his own by cutting a piece of wood in half, hollowing it out and then gluing it back together. It is played by blowing into one end.

Susan Schaefer, artist, works on display in Qualicum Beach

Jeff Shields, REALTOR® Qualicum Beach, BC (RE/MAX Anchor Realty) — Mon, 06 Aug 2007 13:59:23 -0500

Susan Schaefer, Canadian Artist, was invited to show her work at the offices of RE/MAX Anchor Realty in Qualicum Beach.

Originally from Saskatchewan, Susan recently relocated to Vancouver Island to pursue her passion for art on a full-time basis. Her work has often been described as "very colorful and bright" as she likes to use pure bold color. Most of her paintings ideas come from real life adventures and activities.

"The best advice that I can give anyone about painting ... is to paint for yourself, not for sales. Paint from your heart and always have fun!"

Susan will be displaying her work until November 11, 2007. Feel free to drop by for a look at her colorful watercolor and acrylic floral paintings.

The RE/MAX Anchor office is located at 113 w 2nd Ave, Qualicum Beach, B.C., and open Monday to Friday 9-5 and Saturday 9-4.

You may see more of Susan's work or order at her on-line store at Store.Youngatart.ca.

Art & Photography in the Garden - Milner Garden Qualicum Beach

Jeff Shields, REALTOR® Qualicum Beach, BC (RE/MAX Anchor Realty) — Mon, 23 Jul 2007 18:31:41 -0500

Over the weekend, my partner Susan and I took in "Art & Photography in the Garden" at Milner Garden. Local artists had booths set up to show their work, provide demonstrations and just share their joy and knowledge with the public. Potters, photographers, painters and sculptors were on hand even though the weather didn't completely co-operate.

We spent a great deal of time speaking with local photographer Alan Cornall, MPA, F/PPABC of Parksville who retired after 50 years in the profession. He shared his secrets on the type of camera, lens and printer he uses for his digital photography. Many of his shots were wildlife including tigers, eagles, wolves, various birds or just beautiful outdoor scenes.

Larry Aguilar and Sandy Richardson both displayed their pottery and provided demonstrations of their work. These two have worked together for many years and do incredible work.

Several of the local area painters caught our eye including Margaret Bonneau of Nanaimo, Dan Gray of Errington, and Elissa Anthony of Bowser. There were as many different styles and techniques as there were artists.

Margaret's work is a blend of both Figurative and Contemporary Abstraction using pastels and watercolors on textured surfaces and a variety of media.

Dan has worked in soft pastel since 1975 - always painting from live models... always ‘en plein aire’ when painting the landscape. Dan is hosting and Open Studio on August 11th and 12th in Errington.

Primarily working in oils, Elissa also uses acrylics and watercolors. Her works are often created as commissions.

It was a great afternoon and Susan hopes to display her artwork there next year.

Retirement Community Extraordinaire - Qualicum Beach, BC

Jeff Shields, REALTOR® Qualicum Beach, BC (RE/MAX Anchor Realty) — Wed, 18 Jul 2007 16:10:14 -0500

Qualicum Beach (pop. 8500) is the oldest small town in Canada. Recent figures from Stats Canada based on the 2006 census indicates that British Columbia has 5 of 10 of the top ten oldest cities over 5000 people. However BC is the fifth oldest province in the country with just 14.6% of the population 65 or older. This is just slightly higher than the national average of 13.7%.

A recent article in the Vancouver Sun says:

"Qualicum Beach has more elderly people than any other small town in Canada, - 41 per cent of the population is 65 and over - and Sophia Thornley couldn't be happier about it.

"You know that television show Cheers, where they say it's a place where everyone knows your name?" Thornley said Tuesday.

"Well, we all joke that this is a place where everyone forgets your name," said the 81-year-old, who moved to Qualicum Beach from Victoria in 1996."

Seniors enjoy Qualicum's Senior's Centre, wide network of walking trails, lively amateur theatre scene and art galleries. There is also lots to do for the younger crowd include our extensive beachs and some of the warmest waters north of California. Other outdoor activities for all ages include skiing, salmon fishing, year round golf, hiking trails and exploring the caves at Horne Lake.

Events for July and August include Art and Photography in the Garden, Canadian Open Sand Sculpting Competition and Oceanside Overdrive.

So if you are looking for a retirement home, Qualicum Beach is a great place to consider. If you are planning on visiting our area and are interested in discussing real estate, please drop by or give me a call.

Jeff Shields
RE/MAX Anchor Realty
113 W 2nd Ave.,
Qualicum Beach, BC
1-800-668-3622
250-752-2466

Parksville BC, Coming Events - August 2007

Jeff Shields, REALTOR® Qualicum Beach, BC (RE/MAX Anchor Realty) — Wed, 11 Jul 2007 18:02:27 -0500

If you are going to be on Vancouver Island this August you might want to drive up the Straight side of the island to take in the following events in Parksville.

August 3-5 - 29th Annual Coombs Country Bluegrass Festival. If you are a bluegrass fan, you wont want to miss the pickin' and grinnin' all weekend long. Jam sessions and fun for the whole family at the Coombs Rodeo Grounds.
August 5 - Oceanside Overdrive. There will be over 700 custom, classic and antique cars, trucks, hotrods and more at the Parksville Community Park.
August 10 to September 1 - Parksvill Beach Festival. Home of the Canadian Open Sand Sculpting Competition held August 10-12. The scultpures remain on display until September 1. At the Parksville Community Park.
August 11&12 - Coombs Fall Fair. Agricultural displays, music, entertainment, homemade goodies, animals and more.
August 19 - Annual Kid Fest. Parksville Beach is the venue for this awesome day with lots of entertainment, including a Kid's Sand Sculpting Competition. Spend a great family day at the beach.
August 25&26 - 10th Annual Coombs Rodeo Bull-A-Rama. Great bull action with a top 10 on Sunday at the Rodeo Grounds.

5000 sqft Commerical Property for Lease - Parksville BC

Jeff Shields, REALTOR® Qualicum Beach, BC (RE/MAX Anchor Realty) — Wed, 11 Jul 2007 17:42:04 -0500

Located in the heart of Parksville BC, this 5000 sqft building is located on 13068 sqft lot. 16 parking places, plus lots of street parking available.

Great location, great exposure. C3 zoning allows for many uses. Building is currently empty and ready for your improvements.

Lots of shopping and resturants nearby.

The building has been used as a library and 225 seat night-club.

For more information please visit my web site:
Jeff's Feature Listings

Jeff Shields
RE/MAX Anchor Realty
Qualicum Beach, BC

June 2007 MLS® statistics released

Jeff Shields, REALTOR® Qualicum Beach, BC (RE/MAX Anchor Realty) — Sat, 07 Jul 2007 17:44:34 -0500

For the Parksville/Qualicum Beach Area

UNIT SALES
AVERAGE SALE PRICE
% Change
*MEDIAN PRICE
ZONE
June 2007
May 2007
June 2006
June 2007
May 2007
June 2006
June 2007

Parksville/Qualicum
87
94
71
367,099
373,567
344,303
6%
325,000
Exert from VIREB News Release

Multiple Listing Service® (MLS®) sales summary data released by the Vancouver Island Real Estate Board (VIREB) for June 2007 shows an increase in sales volume and most average sale prices.

The average sale price across the VIREB region for June 2007 was $330,537. This is an 8 per cent increase from the $304,675 posted at the end of June 2006. Unit volume increased over 20 per cent from the end of June 2006 but decreased from the end of May 2007.

VIREB President Jennifer Lynch says housing activity remains strong.

"While it is not uncommon for sales to lag a bit in June as it is a busy time of year for people, we actually saw sales volume increase in five out of VIREB's six zones through the month," Lynch says. "This resulted in the sales volume increase across the region of 20 per cent from June 2006."

Average sale prices across VIREB's six zones, from June 2006 to the end of June 2007: Campbell River was up 13 per cent ($305,342), the Comox Valley increased 9 per cent (at $329,505), Nanaimo is even ($333,349), Parksville/Qualicum increased 6 per cent (to $367,099), Port Alberni increased 16 per cent (to $219,699) and Duncan's increased 10 per cent (to $359,936).

To view the full report please visit: http://www.vireb.com/assets/news/files/june_2007_sales_summary.pdf

Jeff Shields
RE/MAX Anchor Realty
Qualicum Beach, BC

Market Hot or Not

Jeff Shields, REALTOR® Qualicum Beach, BC (RE/MAX Anchor Realty) — Thu, 21 Jun 2007 18:00:01 -0500

I have been reading posts lately about how the market in the States is a buyer's market. Here it is still very much a seller's and no sign it is slowing.

I was particularly impressed by Price is King (Elvis Has Left the Building) by John Lockwood as that still holds true regardless of the trends. With this in mind I ran some numbers from the MLS for our area and was suprised by what I saw.

For Active Listing the average list price for a single family home was $598,000 with an average of 75 Days on Market. The Solds since May 1st had an average selling price of $389,000 and 62 days on market. Several properties sold over asking and the highest selling price was just under $700,000. Other REALTORS in the area were commenting that priced right, we are seeing multiple offers, overprice by 10% and they sit and stagnate.

Sellers are still want to list their properties higher than they should, and are reluctant to lower the price when it is recommended.

Sun Shines on Show, Dad's Beam

Jeff Shields, REALTOR® Qualicum Beach, BC (RE/MAX Anchor Realty) — Tue, 19 Jun 2007 12:49:05 -0500

The sun defied the weather man and attended the 14th Annual Father's Day Show and Shine in Qualicum Beach BC on June 17th. Thousands packed the streets to view the antique cars on display. Some 500 to 600 hundred cars from the 1920's to the 1970's lined 1st Ave, 2nd Ave, Primrose and Beach RD. Motorcycles and trucks were on display at the Civic Centre beside the beer garden.

Entertainment, food, shopping, 50-50 draws and door prizes added to the fun. A street dance on Saturday night with 1950's rock and roll tunes kicked off the festivities.

Awards for the Best of Show, Best Antique, Best Motorcycle, Best Truck and each decade were presented Sunday afternoon. Many of the antiques had been modified into Hot-Rods, while many had been lovingly restored to the original specs.

The 1931 Model A Ford, shown here, is owned by local resident Terry Wilson and has won several awards. Terry, a retired banker, has collected Model A's for years and maintains an active business buying and selling Model A parts.

More photos can be seen at the Parksville Qualicum Beach NEWS on-line photo gallery.

Rural Property - Who Owns the Poles

Jeff Shields, REALTOR® Qualicum Beach, BC (RE/MAX Anchor Realty) — Fri, 15 Jun 2007 16:44:14 -0500

A recent article in REM brought to light an issue regarding power poles on rural property. The article referred to a case in Ontario where 4 years after the purchase of a rural property, Ontario Hydro One yellow flagged two wooden hydro poles located on the property. The poles connected the main power lines to the house.

The gentleman was given one month to replace the poles or have his power disconnected as the poles were considered unsafe. To complicate matters one of the poles had an old step-down transformer that contained PCB, banned 25 years ago. Records showed the poles had been installed in 1949. The average age of a wooden pole according to the article is between 30 and 35 years.

The story went on to explain that the gentleman, who was elderly, could not afford the estimated $8000.00 to replaced the poles. He sued the Realtor and lawyer for non-disclosure in that he owned the poles and he had not been advised by either one that if the poles needed to be replaced, he would be responsible. The owner lost the case, primarily because he did not included the vendor who was a neighbour and friend.

Being in British Columbia, I was unsure if the same thing held true here as I had not heard of this happening before. So a quick call to BC Hydro confirmed that the property owner is indeed responsible for the poles on the property and for all wire from the first pole to the house. BC Hydro is responsible for the wire from the main grid to the first pole.

The moral of the story:
When involved in the purshase or sale of a rural property, make sure that ownership of the hydro poles is disclosed to the buyer and have the poles checked for their condition.

Father's Day, Seaside Cruizers Show & Shine

Jeff Shields, REALTOR® Qualicum Beach, BC (RE/MAX Anchor Realty) — Mon, 04 Jun 2007 15:56:28 -0500

On from June 15-17 Qualicum Beach hosts "Father's Day, Seaside Cruizers Show & Shine" with over 700 classic custom cars and trucks on display. This has previously been mentioned on Oprah's Top 10 things to do on Father's Day. This is just one of the many events scheduled for this summer.

Other upcoming events for June and July include:

"Bard to Broadway" June 29 - September 1 : Live theatre under the big tent in Qualicum Beach.
"Summer by the Sea Street Market" July 3 - August 28 : Tuesdays 6-9PM featuring live entertainment in Parksville.
"Art and Photography in the Garden" July 21 & 22 : Meet and be inspired with local artists at work painting, sketching, photographing and carving in Milner Gardens.
"Parksville Lion's Internation Kite Festival" July 21 & 22 : Kite flying, building and demos at the Parksville Community Park.
"31st Annual Coombs Country Rodeo" July 21 & 22 : All your favourite rodeo events, dances and more at the Coombs Rodeo Grounds.
"35th Annual St. Mark's Fair" July 28th : Antiques and collectibles at the outdoor market in Qualicum beach.

August is full of activity as well so stayed tuned.

Secrets to a Successful Marriage

Jeff Shields, REALTOR® Qualicum Beach, BC (RE/MAX Anchor Realty) — Sun, 03 Jun 2007 17:30:14 -0500

A man and woman had been married for 60 years. they had shared and talked about everything. They had no secrets between them except that the little old womand had a shoe box in the top of her closet that she had forbidden her husband ever to ask about. One day she became very ill and the doctor said she would not recover.

In sorting out her affairs, her husband took down the shoe box and took it to his wife's bedside. She agreed it was time that he should know what was in the box. When he opened it, he found two crochetted dolls and a stack of money totaling $95,000.00.

He asked about the contents. "When we were married my grandmother told me that the secret to a successful marriage was never to argue. She told me that whenever I was angry with you, I should keep quiet and crochet a doll."

The little old man was moved to tears. Only two precious dolls were in the box. She had only been angry with him twice in all the years they had been married, living and loving. He almost burst with happiness.

'Honey," he said, "that explains the dolls, but what of all the money?"

"Oh", she said, "that's from the dolls I sold."

About Qualicum Beach

Jeff Shields, REALTOR® Qualicum Beach, BC (RE/MAX Anchor Realty) — Sun, 03 Jun 2007 16:17:36 -0500

Qualicum Beach is located in the Regional District of Nanaimo, British Columbia with total population of 8,502 as of the 2006 census. It has the oldest average population in Canada at 58.3 years.

An attractive seaside town on the east coast of Vancouver Island, it began as a lumbering, summer resort and retirement area. The name "Qualicum" comes from a Coast Salish term that means "where the dog salmon run."

Located on the Strait of Georgia on the eastern coast of Vancouver Island in the shadow of Mount Arrowsmith, the community has been a popular tourist destination for residents of Victoria and Vancouver as well as a retirement community. It is served by the Island Highway (the main North-South highway on the Island) and by a daily train. The community is dotted with rental cottages along the coastline.

The area has cool wet winters with 80 to 85% of the precipitation falling between October and April. The average annual precipitation is 1,314 millimetres (51.73 in). Mean daily temperature range from 1 ° C to 3 ° C (34 ° F-37 ° F) in January with cloud and rain from north Pacific air masses dominating the winter weather. High pressure ridges over the mainland can block easterly air flows bringing snow and freezing tempearatures during winter but do not persist as moist westerly winds bring above freezing temperatures. North Pacific high pressure cells influence summer weather which is warm, dry and cloudless.

A road was brought to Parksville in 1886 and extended to Qualicum in 1894. The E and N Railway reached Parksville in 1910 and Qualicum in 1914. H.E. Beasley, a railway official, sponsored the creation of The Merchants Trust and Trading Company which organized the original layout of the town and built the golf links and a hotel in 1913.

For a complete article on Qualicum Beach, please visit http://www.jefferyshields.com/qb.shtml.

Copyright (c) Jeffery Shields.
Permission is granted to copy, distribute and/or modify this document under the terms of the GNU Free Documentation License, Version 1.2 or any later version published by the Free Software Foundation; with no Invariant Sections, no Front-Cover Texts, and no Back-Cover Texts. A copy of the license is included in the section entitled "GNU Free Documentation License".

May 2007 Statistics for Parksville/Qualicum Beach

Jeff Shields, REALTOR® Qualicum Beach, BC (RE/MAX Anchor Realty) — Sun, 03 Jun 2007 14:10:35 -0500

The May 2007 statistics for the Parksville/ Qualicum Beach area were released on June 1st by VIREB. It shows a 34% increase in unit sales of single family dwellings over April with an average price decrease of 2%. The average price of $373,567 for May 2007 was up 18% over May 2006. Unit sales were also up 16% over last year to 94 from 79. The median price for May 2007 was 333,000.

Other areas of VIREB did not fair as well with price increase ranging from -.5% to 17% over May 2006. Campbell River, the average price was down very slightly at less than .5%, while Nanaimo was up 17%. The Comox Valley was up 9%, Duncan at 12% and Port Alberni at 8%.

While the average price in Parksville/Qualicum Beach was higher than Duncan ($347,678) the median price was lower by $4000.00.

Port Alberni has the most affordable housing at an average price of $203,666 on 56 unit sales (median price was $189,000) for May 2007.

Source: Multiple Listing Service® (MLS®) sales data from the Vancouver Island Real Estate Board.
*Median Price: An actual sale at or immediately adjacent to the midpoint in a price group. In the case of an even number of sales, the median is the highest price in the lower half of that price group. If the total number of sales is an odd amount, the midpoint sale is taken to be the median (i.e. 9 sales, sale no. 5 represents the median).

60 Minutes Piece "Chipping Away At Realtors' Six Percent"

Jeff Shields, REALTOR® Qualicum Beach, BC (RE/MAX Anchor Realty) — Mon, 28 May 2007 17:07:56 -0500

I missed the TV broadcast but read the transcript on CBS's web site http://www.cbsnews.com/stories/2007/05/11/60minutes/main2790865.shtml.

"And the reason is, as any homeowner knows, they charge a six percent commission on the price of every house they sell. So, for instance, a home that goes for a half a million dollars will net agents $30,000 right off the top.

For realtors, the six percent commission is sacrosanct. It's remained in place, even as the price of homes has quadrupled over the past 25 years."
- CBS Editor's Note

The 6% solution isn't the way it's done here in British Columbia and it is slightly different in the various Board jurisdictions throughout Canada. Here commissions range from 5% to 7% on the first $100,000 and 2-3% on the balance and are fully negotiable. That means the gross commission on a $500,000 sale could be anywhere from $15000 - 21,000. This is much lower than the 6% ($30,000) charged in the USA. This commission is split between the listing and selling agents.

When we accept a listing we are required to provide a list of the services we will be offering for the fees paid. For instance you can view my full service Marketing Plan at http://www.jefferyshields.com/marketplan.shtml.

The question becomes not "What is the commission?" but "What services will be provided for the fees paid?". Flyers for just listed or open houses, newspaper or other advertising, web site, floor plans, MLS listing fees, title search, strata plans if required, and other documentation etc. are borne be the listing agent for any given listing. We also have our overhead such as Board dues, Association dues, office expenses, automobile and gas expenses, agency fees, and errors and omission insurance fees to pay. As we know, the cost of all these things has also gone up.

As a buyer's agent, my fiduciary obligation is to you. By solely representing your interests, it is possible for me to locate the right home, negotiate the best price and terms on your behalf, and follow up on all the details of your purchase, right through to closing. Confidences a purchaser shares with a Buyer's agent must be kept confidential. Although most of today's buyers use the internet to locate a home, they will use an independent REALTOR® to protect their interests under the law of agency.

As a member of CREA, VIREB and BCREA, I take pride in our Code of Ethics and Business Practice Standards.

Move to Qualicum Beach BC

Jeff Shields, REALTOR® Qualicum Beach, BC (RE/MAX Anchor Realty) — Sun, 27 May 2007 13:55:17 -0500

In early May 2007, I relocated from RE/MAX Select Properties in Vancouver to RE/MAX Anchor Realty in Qualicum Beach on beautiful Vancouver Island. It has been an exciting month while I become familar with the area and market. Adjusting to the slower pace of the island has been an easy transition.

I look forward to handling all your real estate needs. I am never to busy for your referrals.