What the hell do I know about auction houses?
And no, “Hello, David,” or “thank you,” simply an individual giving their order, as though I run a civil service.
Seriously, every day without fail.
The concern I get asked more than any, from random blog site readers and callers, is this: “Are there still issues at 201 Carlaw Avenue?”.
Just recently, a cold-caller on one of my listings stated they had seen a system at Printing Factory with a Purple Bricks agent, who didnt understand what a “Status Certificate” was, and could not answer any questions about the buildings financial resources, or the olden lawsuit. They had read my article, and ultimately followed up with me.
So after six years, I finally chose to look into this. I d want to wager Ive been asked over fifty times in those 6 years, whether or not there are still concerns in the structure.
The suit has actually not been settled.
Buyers require 20% down payments, as home loan insurance is still tough, if not difficult.
And now, let the peanut gallery speak…….
–. Me Think Thou Doth Protest Too Much?
A great listing representative will order the condos Status Certificate well in advance of the listing, and ensure they have it in hand once the home is noted.
An inexpensive agent wont spend the $120 unless she or he understands that the home is offered and he or she is going to get paid. I cant possibly stress enough just how absurd that is, but thats a subject for another day.
How much money is in the reserve fund, whether costs are going up or not, whether theres an unique assessment, etc
. In this market, its constantly much better to identify problems well in advance and try to get out ahead of them.
If a representative decides to hold back deals on a listing as a matter of technique, its a lot more crucial to have the Status Certificate, to encourage buyers to send genuine offers, and its essential too to ensure there are not a surprises.
I just recently revealed an apartment that was “priced for multiple deals,” and for which the Status Certificate was offered.
My customer wasnt interested, but I was still on the e-mail thread and got updates as deal day progressed.
Mid-day, I received this e-mail from the listing agent:.
We have a status certificate readily available for (PROPERTY). I have connected it here. I have likewise attached a record of our customers paying completely their unique assessment balance that finished this month.
We have been getting some questions regarding the financials so I contacted the home management in hopes of clearing some things up even more.
I have actually been informed that the 2019 financials have actually been approved and that they are waiting on the last copies to be put into the Status certificate. They are hoping to get those last copies in a week or 2.
In the 2018 declarations, there is mention of a legal conflict concerning professional fees that led to a settlement of 150K. I have actually been informed that this was resolved back in May and the last payment of 75K was sent in the middle of August, thus it not being removed from the Status certificate yet. This is now dealt with and total.
They didnt like said study so they went somewhere else to get a 2nd opinion to compare. The factor being that they got an increase that wasnt sustainable for the residential or commercial property.
I have validated that there are no additional special assessments being gone over at this time from residential or commercial property management.
Of all, good on the listing agent for this. She or he fasted to react to the feedback and concerns from representatives, and this email is thorough, concise, and addresses the problems.
However, and this is a huge nevertheless, I cant imagine this will review well with the purchaser pool.
The listing representative didnt do anything incorrect here. He or she just got dealt a hard blow, as the Status Certificate wasnt as up-to-date and extensive as one would hope, and things like, “they are in the middle of attempting to decide” supply a level of uncertainty that some buyers will not feel comfy with.
Its easy to say, “The representative ought to have gone out ahead of this at the start of the listing,” however youre damned if you do, damned if you dont. Make a problem where purchasers dont see one, and youve lost. Do not bring this up until the very eleventh hour, and youve lost.
–. Surprise Disclosure!
An entirely different method of handling disclosure, and one that is requesting for catastrophe, is the following……. If you can believe of the worst possible disclosure a listing agent and/or seller would need to make, what would it be?
Mold? Asbestos? UFFI? Or some other sort of hazardous product present?
What about a major structural problem?
What about a lien on the residential or commercial property?
Heres what I got from an agent on the day deals were being examined:.
Can you guess what the disclosure was?
I cant think about an even worse time to spring that on a purchaser than the extremely afternoon they are going to send an offer.
––. Time To Open Up?
Much dispute has been made of public open homes, and while the province might have moved into Phase Three of post-pandemic re-opening, I believe there are a lot of individuals out there that still feel property agents shouldnt be doing open homes.
When the pandemic very first started in mid-March, it was commonly comprehended that hosting public open homes was an insane idea, but that didnt stop a handful of agents from continuing to unlock on weekends. That changed in April when the federal government basically prohibited them, and the arranged real estate bodies encouraged their members not to put the general public at risk, and almost all agents did the same.
In June, I started to see the odd open home indication, however as a company, we were still versus them.
In July, we went over at the business level whether to start running open homes again, however we concluded that it just wasnt right. The decision is eventually as much as the seller, however it wasnt something we felt comfy with.
So now that September is just around the corner, what should we do?
As a member of the general public, would you desire open homes in your neighborhood? Do you feel, even with the hazard of COVID transmission down considerably given that March or April, that open houses are safe?
As a member of the general public, would you attend an open home? Wear a mask, use hand sanitizer, and anticipate the very same of the agent running the open house and all the other individuals going to?
The Ontario Real Estate Association just recently took a survey, asking whether people would feel comfy participating in an open home.
Can you think what percentage stated they did?
I would have figured less than half, but I was wrong……. Thats amazing to me!
But I question if “feel comfortable going to” and “strategy to participate in” would have supplied various results.
If I were an active house buyer, I d reserve a personal viewing with my agent, and ensure I was the only person present.
Im sure that so few people are going to open homes nowadays that going to one essentially implies you have a de-facto “private viewing,” however I would not wish to remain in a complete strangers living-room with 8 other individuals, who have remained in and out of other individualss homes that afternoon also.
Im no alarmist, but I simply do not believe open houses are required right now.
Inform me how you feel, please.
––. You Cant Make This Shit Up…….
No Pun Intended …. A lot of you will have already seen this, however if you havent – – its a must-read:.
From BlogTO last month: “Toronto Condos Forced To Share Plunger After Efficient Toilets Installed”.
Seriously, you cant make this up. I triple-checked to see if this was some sort of April Fools Day gag from earlier in the year.
A downtown apartment, most likely a really shitty one, has changed all the toilets in the units with these “effective” toilets that obviously obstruct continuously, are hard to flush, and worst – – can not be plunged with your generic hardware shop plunger.
Something called the “PooZooka.”.
Seriously, Im not making this up! Check out the article, this is all real and there are photos!
The problem with this PooZooka is that it cant be purchased over-the-counter by you or I, but rather its only sold to property supervisors and condos straight.
Every time a local of this building muscles out an above-average colon-clot and obstructs the toilet, he or she has to go down to the concierge and ask to borrow the PooZooka.
My childish side is picturing the most popular female Ive ever seen, gracefully sashaying through the lobby, stopping at the concierge, and requesting the POOZOOKA!
Hows that for being familiar with your neighbours?
Thats it for me today, folks!
Have a great weekend!
The post Fridays Quick Hits! appeared first on Toronto Realty Blog.
In this market, its always much better to recognize concerns well in advance and try to get out ahead of them.
They didnt like stated study so they went in other places to get a 2nd viewpoint to compare. The reason being that they got an increase that wasnt sustainable for the home. Time To Open Up?
If I were an active house buyer, I d book a private seeing with my representative, and guarantee I was the only individual present.
Theres no Friday Rant in the line for today, however likewise no burning subject either. Absolutely nothing I can passionately sit down and compose a curt 2,000 words about, but there are, nevertheless, a few subjects to file under “this ‘‘ n that.”
Where to begin?
Oh, I dunno. How about this one…….
–.”( No) Problems At The Printing Factory Lofts
?”. Oh, guy. The last time a blog title like this appeared on my blog site, the hate-mail began to fiy……. For those veteran readers, you may recall the infamous article from January 29th, 2014 that passed the very same title: “Problems At The Printing Factory Lofts?”.
For those who are newer to TRB, read it.
Over six years earlier, there were serious issues at 201 Carlaw Avenue East. A huge claim in the building required all three home loan providers, CMHC, Genworth, and Canadian Guaranty, to basically “blacklist” the building. This meant that purchasers were unable to get mortgage insurance coverage in the building, and therefore no purchasers with less than a 20% down payment might buy there.
As you can see from the remarks back in 2014, a great deal of upset locals published their ideas, ranging from “Nothing to see here, folks,” to “David is a phony,” to some quite funny things, like the one person who stated I was arrested and tried in a court of law!
I took more heat for that article than my infamous June 1st, 2010 post where I compared the Foundry Lofts to Alcatraz!
In the end, I was vindicated. The structure was, in reality, blacklisted by home loan insurers, and while the locals tried to keep their monetary problems a trick, I felt like I was empowering customers by offering them much-needed details to assist them make an informed purchase decision.
Since Ive written over 2,500 different article in thirteen-plus years, and because Ive covered practically every topic there is, I get flooded with random emails on the day-to-day. If you can think about something that a person would take into composing, Ive received it in an e-mail.
I mean, get every question under the sun. Normally about 3-4 of these daily:.