The Value of a Home

I cannot say enough about the new ad campaign released by Coldwell Banker® LLC on Monday March 5th. The ads remind us of the “value of a home” as being not just an investment for your money, but a place where memories are made and remembered.  Take a look for yourself:

By the way, do you recognize the voice in the ads?  Yes that’s right, it’s Tom Selleck.  Tom’s Dad worked for Coldwell Banker for 38 years, retiring as Executive Vice President.  The sentiment the campaign presents encouraged Mr. Selleck to participate in the ads, as you can see in his message to all the Coldwell Banker agents at our recent Generation Blue Experience in New Orleans:

These ads are not just for potential home buyers, but also speak to the agent as a reminder of the importance of relationships in our professional careers.  With the plethora of new technology out there pushing information, making our lives more efficient, it’s important to remember nothing can replace face to face contact with clients and colleagues to build the lasting relationships our business rewards us with.

Changes to the real estate industry will continue to morph and roll through our shifting times.  The constant has always been,

“Trusted Agents, with the Right Tools, helping you Make Better Decisions.”

When the going gets "Tough"...just call me.

Susan Tough

fi•du•ci•ar•y /fəˈdo͞oSHēˌerē/

fi•du•ci•ar•y   /fəˈdo͞oSHēˌerē/ 
Adjective:   Involving trust, esp. with regard to the relationship between a trustee and a beneficiary.
Noun:   A trustee.
Synonyms:  trustee – confidant


Real estate Licensees are often described as owning their clients’ a ‘fiduciary duty”.   Let’s be reminded what that means – for both the expectation of the client and the delivery of services for the REALTOR®.


To be a fiduciary means that your client has put trust and confidence in you to deal with their real estate transaction.  A fiduciary duty is a duty of utmost good faith which means you – as the   REALTOR®  , are expected to be completely loyal to your client and NEVER put your own personal interests before the ‘duty’.  It also means that you must not profit from your position as a fiduciary.


In the Professional Standards Manual that all licensed   REALTOR®   have and are expected to follow it states:


As an agent, a brokerage and the licensees related to the brokerage have certain duties to their client. As explained in the Working With a REALTOR® brochure, the brokerage and the licensees related to the brokerage have: 

• a duty of undivided loyalty to the principal; 
• a duty to keep the confidences of the principal; 
• a duty to obey all lawful instructions of the principal; and 
• a duty to account for all money and property of the principal placed in the brokerage’s hands while acting for the principal. 

When does the ‘duty’ start and when does it end?


Your ‘duty’ comes into existence when you start to provide trading services to a buyer or a seller.  The origin is usually straightforward – When the client begins to receive guidance or advice from you – and when they believe you are working for them – Agency is created – therefore a fiduciary relationship and the obligations that go along with it are created.  It can be more difficult to say when the duty comes to an end. A lot will depend on the circumstance of the transaction.  A fiduciary relationship does not end with the existence of a contract of purchase and sale.  It lasts at least until the listing agreement expires or the transaction completes.  It is important to note that the Real Estate Council of British Columbia has taken the position that the duty of confidentiality remains even after the contractual arrangement between the licensee and the client has ended.


A licensee acting in a fiduciary relationship has a duty to disclose all material information to his or her client.  I always remember something my professor taught me at UBC – “You are to be a conduit to your client -- not a sieve.”  It is not up to a licensee to decide what is “material” or not, for any given client.  “Material” information can be different for one client or circumstance, to another.  It is information that would likely influence the clients’ conduct – or their decision – in the transaction.  The consequences of the disclosure of the information are not relevant.


A licensee must keep confidential ANY information received from their client pertaining to the transaction.  What a seller is willing to accept or a buyer is willing to offer should never be disclosed.  Realtors that insist on negotiating for their clients through verbal communications between licensees walk a very slippery slope and not only are at risk of breaching their fiduciary duty, they are also very likely in contravention of the Real Estate Service Act, the  REALTOR®  Code of Ethics, and Board Regulations and by-laws – to negotiate verbally is wrong on so many levels and fraught with huge consequence and risk to the licensee.  “I was trying to save time” – is NOT a defence that would ever be accepted in court, or for that matter, not likely by your client either.


Sorry  -  got off on a tangent there – verbal negotiation is an issue that causes me personally, great frustration and worry.  There is just no reason to ever do it. 











What it is important for both  REALTOR® and client to take away from this BLOG today – is to know exactly what Fiduciary duties are so the  REALTOR® knows the professional standard to which they are measured and so that the client knows what they have a right to expect from their Professional Real Estate Agent.

When the going gets "Tough"...just call me.

Susan Tough

Money FROM the Government ??? Really ?? How?

I did it!  Within two weeks of making a first call – I had my furnace serviced and H2O tank checked out, recommendations from Wightmans’ Mechanical –250-762-3122 (they were great by the way!), house inspection from  EnergyWise Solutions (a contact provided to me from Wightmans)




Furnace, H1O tank and air conditioner installed, Finished off with a post inspection from Energy Wise Solutions  (pre and post inspections cost was $335 total)

Efficient and a money saver!

Energy Wise Solutions will rate your homes efficiency on many levels and let you know what you can do – should you choose – to improve your homes efficiency, your carbon footprint AND get money back from the government.  I have to say I was very surprised at the amount of Grants offered by both Federal and Provincial governments.  Here is a link to the chart on the Energy Wise website.

The inspector that came out was knowledgeable, polite and professional. 

I learned that regulations on coolant have changed and once the current inventory of air conditioners is used – the new models go up by at least $1000. Turns out the decision to replace my 12 year old air conditioner BEFORE it broke down was a good one.   As the technicians were installing the new – the oil in the lines made it apparent that my unit would have very likely seized during  the first few weeks of summer use (with my luck, after the more affordable inventory on replacements units was gone).  I saved on labour by doing it all together and wait time as, of course in the summer, the mechanical companies are a lot busier when it comes to air conditioners.

Hawley Works (my fabulous handyman) installed new weather-strip on my doors, a new Energy Star bathroom fan, plus rubber seals around my attic hatches.  This will improve the air leakage (likely not the technical term) of my home by over 10% so I will qualify for a Grant towards that cost as well.

When all is said and done – my rebates will total over $2800.  This of course depends on the work you have done, that it meets the qualification standards of the program and the ultimate improvement to your homes  current status but I would  suggest it is certainly worth checking out.

Energy Wise completes and submits the forms for the Grant from the government for you!  Wightmans also completed and submitted the rebate forms available to me from Lennox and Teresen gas.  Wightman’s will credit you back the charge for the furnace service if you proceeded to install a new one.

They truly make the process stress free.

I’m sure there are other qualified mechanical companies out there that can do this – my personal experience has been with Wightmans.  One of my sisters runs the largest Plumbing and Heating Mechanical company in Saskatchewan  so I had some inside encouragement and advice available to me.  She was very pleased with the information, recommendations and quotes that I received from Wightmans.

Time is running short!  This program, surprising to me, has been available for quite some time and your final post inspection on work done must be completed by March 31, 2012.

In a years’ time – I’ll let you know where my utilities have gone to as a result of more efficient equipment and air management of my home.

When the going gets "Tough"...just call me.

Susan Tough

Wanna trade?? - My bike for your……..house?

Coming through the adjustment to the market we have been experiencing these last months has brought some ingenuity and creative ideas to Sellers, Buyers and their REALTORS®.


Moving is something you may want to do but what if you can’t get your money out of your house?  


A Common question! 

Common justification that REALTORS® will make is, “Even though you may not get what you want, Mr. and Mrs. Seller, you are also buying into the same market and can very likely save an amount on your purchase, similar to or greater than the amount you believe you are losing by selling right now.”


Good logic actually.  It makes even more sense for those Sellers who are ready to buy ‘more’ house than they currently have.  Commonly, the higher priced the property – the more adjustment seen to their market price.  The higher end of the market sees less activity simply because there are fewer Buyers, which results in excess inventory (IE., more competition). Buying ‘up’ in the market helps a seller recover the price adjustment they feel they are making to sell because they can benefit from the larger price adjustment in the higher market.  Buying ‘down’ in the market can still lighten the blow for the high end Seller as a Buyer’s Market will provide a break on price regardless of what price point you are shopping in.


Here’s an idea:  I’m now an empty nester and don’t need as much space, plus I want to move a little closer to stores, doctor, day to day conveniences’.  My house is perfect for that young couple who has saved from working two jobs over the last years, is now starting a family, needs a yard, a basement, a double car garage for bikes and things.  That young couple, with the first or second child on the way, or teenagers that want more privacy, and the second car to get to school, hockey, dance, must be feeling a little cramped in that lovely little home they started out with a few years back.  



LET’S TRADE? !               


A very practical idea many good REALTORS® will bring forward to their clients.


Through networking with their colleagues and using the Trade book at the office and the website that is available to our Coldwell Banker Realtors, we have seen many successful negotiations go this way.


You don’t have to find something of the same value – one of you does have to pay the difference .  
Your Mortgage Broker can help you work through financial details.  Often save you fees if you are simply rewriting your mortgage to increase for the different – no payout penalty, no lose of great interest rate.  It can depend on the type of mortgage you currently have but asking the questions of a Mortgage Broker that can negotiate for your benefit doesn’t cost you anything and will very likely save you.


Your REALTOR® will address all the necessary clauses in the contract that will allow you, and your trade partner, to do all the necessary research, inspections and qualifying that you need to do.  Just because they found you someone to trade with doesn’t mean you shouldn’t be sure about what you are getting.


 A smart REALTOR® will protect you from
 agreeing to sell your home before you are
 sure you want to buy the other one. 


“Subject to the Buyer and Seller entering into an unconditional offer to purchase (the other persons home address), on or before (date this the day after you have all done your homework).  This condition is for the sole benefit of BOTH the Buyer and the Seller.


Contractually, this allows you and the Buyer to do all your homework, be sure you can finance, check out the condition of the home, be certain on all the things you expect to be included, find a date that will work for both parties to move and THEN tell them you are ready to go firm –they in turn must do the same. With this Condition being for the benefit of both of you – you BOTH have to sign off and agree to move forward – together.  Otherwise one of you could have sold your house without the other party agreeing to sell theirs.  

Trades can work, and do work, very well – you need an experienced REALTOR® and Mortgage Broker to protect your position so things turn out they you intend them to.

HAPPY MOVING!

When the going gets "Tough"...just call me.

Susan Tough

New Year, New Home?

It’s officially 2012 so let me start by wishing you a Happy New Year.  In early January, many of us are planning and setting goals for everything we want to do and achieve in the year to come.

While many people think of spring as the prime time home buying season, the winter months often offer an even greater selection of inventory, and the opportunity to settle into the new home before warmer months arrive.  If buying a house is on your “to do” list this year, now is also the time to begin preparing.


I remember when I bought my home.  There were so many things to get in order– it was confusing to decide where to begin! So, even if you plan to buy in the spring, January is a good time to get ready. Here are some tips to help you get on track to reach your 2012 home buying resolution:

• Select a qualified and trusted real estate agent: At Coldwell Banker Horizon Realty, we have knowledgeable, trustworthy agents.  Agents that understand the valley’s market and can help you find all the information and resources you need to get started. Researching on your own is important, and using free on-line tools is a great way to start, but meeting with an agent will ensure you don’t miss any important steps along the way.  In fact, the next three tips were sourced from the great advice of our agents.
• Create your “must-haves” and “nice-to-haves” list: Easier said than done, right?  But it’s next to impossible to find a first home with everything.  You’ll need to think about your lifestyle needs and prioritize the non-negotiable home accommodations, such as a bedroom for each family member, over items you may want, but not need, such as a large master suite. Everyone’s list is different, but knowing your “must-haves” in advance will help you stay focused.

• Determine your budget: Be realistic about what is affordable. An agent can help you find comparable home prices and hone in on approximately how much the payments will be.  You should also plan to get pre-approved for a mortgage. Here is a link to two very capable Mortgage Brokers that have come very highly recommended by our REALTORS® that have used their expertise in the past with very positive results.  Brenda Dilley (250-861-4663) and April Dunn (250-768-6833) with Mortgage Alliance Homeline Mortgage are available to you at any time and will work getting together with you around your work and family commitments. Doing this prior to house hunting will let you know how much money you qualify for, and how much you can afford. You’ll also be able to figure out which mortgage type is best for you. You have a lot of options you may not be aware of.
• Identify the perfect “location, location, location”: Everyone has heard this phrase before, and while the surrounding neighbourhood and home itself may improve over time, the physical location will remain the same. Determine in advance how close you would like to live to work, schools or extended family. A short commute to work, proximity to family or having easy access to highways and mass transit will often be items for your “must-haves” list.

• Other costs and questions:  I won’t repeat myself but I will encourage you to go back to my Blog of      September 8, 2011  and review the many questions a first time buyer can have.  Even though this may not be your first purchase or move – things change, regulations, costs and you can sometimes forget the small details that may have caused you grief during your previous transaction.  Be sure you know what possible taxes will now apply to you on a second or third purchase that didn't on your first. Government grants for update to heating and insulation can come and go and may be available to you if you find the need to shop in a lower price point and put a little ‘elbow grease’ and equity into your home.

Welcome to home ownership !  - Something to be very proud of and excited about.  Be sure you have an experienced, trusted REALTOR® by your side to maximize the knowledge and minimize the stress.

Happy New Year!

When the going gets "Tough"...just call me.

Susan Tough

Kindness is contagious – even in real estate.

Everyone is moving in so many directions this time of year.  Be careful what you are missing.  

I watched a YouTube video the other day - one person picked up a wallet dropped by a shopper and followed them to return it.  That person helped a senior with her packages across the street.  The senior gave a young woman the change she needed for the parking meter……
You get the picture.  (See Below)

Remember the movie – “Pay it Forward” – that’s what was happening and although it had likely be choreographed for the video if you stop to think of your every day routines you’ll have to admit, kindness is contagious.


Selling real estate through the holidays can be so much more stressful for everyone concerned, than other times of the year.  The sellers are busy preparing for their families and their visitors – the last thing they really want are strangers traipsing through their homes – even though the house is decorated so beautifully.

Buyers would not commonly choose this time of year to buy so they are likely dealing with a job change or transfer – which means kids changing schools and leaving friends ... not happy about it.  Spouses upset for the timing of the pending move – a new community, new friends – a job change for them that was not planned.


REALTORS®, while preparing their own homes for Christmas, are frantically getting their yearend paper work done for the tax man – perhaps noticing they didn’t make all the installment payments they should have and the start of the New Year will be a little lean – especially given the market and economic climate they have been working through this last 24 months.  The tax man doesn’t care if the market is struggling.  Listening to upset clients and their children complain about the move, or, “the yard is not big enough”, or “the school is not close enough”, falls into a distant din as they think about what to get for their own children that is affordable, and will still put a smile on their faces.

Remember, all the support staff, the law offices, the property inspectors, the movers….they are all having the same issues you are.  Be Kind, be compassionate, be patient, be generous.

Let the true meaning of the season rule your demeanor, not that last sweater in the sale bin, or that collapsed sale.  Your smile may be just the thing to drop someone else’s rising blood pressure.  Your small act of kindness may set the example that triggers the next and the next.  Help a senior cross a slippery patch on the sidewalk, open a door, let someone else have that parking space – you’ll find another, let that driver merge in front of you as he seems to be in so much more of a hurry than you, deliver the keys to a colleague - don’t make then pick them up, help a client move some boxes, invite the new kids to go skating with yours.

Remember…..  ‘Kindness is contagious so this Christmas Season – and throughout the New Year – be the first link in that chain.

Many Blessings of the Season to you and your families from me and mine.

When the going gets "Tough"...just call me.

Susan Tough