Disclosure in Real Estate

One of the issues that plagues both REALTORS® and sellers is the matter of disclosure. Both factions can often be unsure of what circumstances pertaining to a property need to be disclosed to a potential purchaser. Publications put out by organized real estate often detail the long and costly legal proceedings that arise when the decision is made to withhold information that would impact a buyer's decision to purchase a particular property and there are usually no winners in such scenarios.
  As a general rule-of-thumb, I always ask both myself and my sellers “would this item (ie: a deficiency in a home or incident that happened therein) affect your decision to purchase the property?” If the answer is yes then disclose, disclose, disclose is the order of the day. I’ve seen or heard of incidents where a prior fire or basement flood took place, mould remediation was done or where a suicide happened that were not disclosed to a buyer until after a deal was firm or closed and you can imagine the legal ramifications that ensued.
  We have one such potential incident in the area which some of us have recently talked about. Many of you will have heard and or read about the double murder that took place in Craigleith recently. We can only sympathize with the victim’s families and further, hope the police apprehend those responsible in due course. The house in question had been listed for sale and no doubt will once again be on the market at some future point of time. This is a prime example of what can only be described as a “stigmatized” property. The question is, how much does such a stigma devalue a property? Many buyers would never even remotely consider purchasing a property that was the scene of a murder no matter what the price. Those that would, still have to consider the long term impact on value and saleability that an incident such as this will forever have on the home.
  REALTORS® are ethically bound to abide by the direction/instructions of their clients as long as it's legal.  In an instance where a seller wishes not to disclose a pertinent fact about a property, a line must be drawn between obeying the client and what is ethically and morally correct.  Not disclosing a material fact about a property that would impact a willing buyer's decision to purchase, a fact that a seller wishes to keep secret is in the long run not in the seller's best interest.  The seller's REALTOR® is obligated to council the seller accordingly and if the seller insists on not disclosing a matter of importance, it's probably best to walk away from the listing. Honestly always pays off and disclosing a material fact about a property to a buyer and their representative is in my opinion, one of the highest forms of honestly a REALTOR® can display.

Area Real Estate Sales Up 12% in May

  While area real estate sales dipped in May from April's near record high, sales remained very strong throughout the month. Absent however were the number of sales in the upper price ranges suggesting those with money are holding onto it.

  Sales activity reported through the MLS® system of the Georgian Triangle Association of REALTORS® in May posted a gain of 12% in terms of unit sales while dollar revenue for the month increased a more modest 9%. Sales in the lower price ranges remain very strong and from my perspective it is encouraging to see that average real estate purchasers are more confident with their finances and purchasing power than they have been in some time. Sales below $200,000 during the month were essentially unchanged from May 2011 however in the $200,000 to $349,999 price range units sales were up 20% for the month. No sales above $800,000 in our entire MLS® trading area were reported in May which is somewhat unusual and it’s not because of an absence of upper end listings.

  Year-to-date MLS® sales now total 811 properties, up 17% from the first 5 months of 2011. MLS® dollar sales now total $233.9 million for the year, an increase of 11% from last year. For the year, residential sales below $200,000 are up 12% while sale in the $200,000 to $349,999 and $350,000 to $499,999 price ranges were up 22% and 14% respectively. While sales above $1 million are running at the same pace as 2011 with 13 properties sold year-to-date, to date there has only been one sales over $1.5 million whereas last year there were 3 MLS® sales reported above $1.5 million plus 1 additional non-MLS® sale for a total of 4. Year-to-date sales in 2011 between $500,000 and $799,999 total 59 properties, an increase of 25% from one year ago. Between $800,000 and $1 million however sales are down 50% with 5 properties selling this year compared to 10 in 2011.

  It would appear that market conditions overall will remain strong through the balance of 2012 and may in fact increase as we get closer to another ski season. Whether we see a rebound in upper-end home sales in the months ahead remains to be seen.

A New Era at Royal LePAGE in Collingwood

  Exciting news is happening at Royal LePAGE in Collingwood. Since 1994, Royal LePAGE All Real Estate Services has maintained an enviable position in both the local real estate market as well as in the community as a whole. Our office has established a strong market share presence and we have contributed to the well-being of the community through charitable events such as our Annual Ski Day in support of Hospice Georgian Triangle and more recently via participating in the annual Royal LePAGE Shelter Foundation National Garage Sale supporting My Friend’s House.

  This past February, the Royal LePAGE Collingwood location located at 330 First Street, merged with Royal LePAGE Locations North Realty Inc. with office in Thornbury and Meaford.
  This merge brings with it many exciting changes within our organization that we will be rolling out over the next several months. As the largest real estate brokerage in the area, our combined experience, and expertise will be put to work for our past, present and future clients. From a vastly improved advertising strategy to an even stronger online presence, to the adoption of new technologies, these initiatives strive to put the real estate consumer at the forefront of every transaction. Our overall goal is to make our business truly client centric.
  Effective June 1, 2012, the name of our Collingwood office with change to Royal LePAGE Locations North Realty Inc. The exterior signage on our office at 330 First Street will be changed to reflect the new name and branding.
  One thing that will not change is our commitment to you, our Buyers, Sellers and friends. The service, integrity and professionalism you have come to expect from us will not just remain, but improve. Our new mission statement says it all. We will deliver Personal, Professional and Progressive real estate services to our valued clients.
  As a Broker with Royal LePAGE Locations North Realty Inc., I look forward to the bright future ahead for our brokerage. With three offices, close to 50 dedicated full time real estate professionals and a plethora of new and cutting edge tools for us to work with combined with the support of Royal LePAGE Canada, our clients will receive the utmost in professional real estate services. Next year (2013) will mark the 100th anniversary of Royal LePage. I can think of no better way to start the next 100 years of real estate service that with the changes taking place right here in Collingwood. Please do not hesitate to contact me if you have any questions or if I can help you achieve your personal real estate objectives.