We invite everyone to visit our open house at 8204 Rodney Farm Dr. on 22 Oct 2017, 02:00 PM
We invite everyone to visit our open house at 5 K Banner Rd. on 15 Oct 2017, 02:00 PM
We invite everyone to visit our open house at 5 K Banner Rd. on 1 Oct 2017, 02:00 PM Only $188,900 for move in ready condo townhome near Baseline and Greenbank.
We invite everyone to visit our open house at 5 K Banner Rd. on 4 Sep 2017, 02:00 PM
• 3 bath, 3 bdrm 2 story – $349,952. $10K off or $10K design
Poole Creek, Stittsville – Quality new construction from long time local builder. Built to drywall stage and for a limited time, buyers can choose their own flooring, cabinetry, tile, fixtures and colours. 18 week delivery, so mid-to late summer at time of listing. Call your Realtor to arrange an appointment to view model homes or listed property.
Other models also available, *Interior photos are of model home not listed property
• 3 bath, 4 bdrm 2 story – $525,940. $15K design centre bonus
Poole Creek, Stittsville – Stittsville beauty! New construction family home from quality builder, is complete to drywall stage and awaits buyer decisions on finishings (limited time only!) 18 week delivery from firm agreement means a mid/late summer delivery at time of listing. $15,000 design centre bonus and terrific standard choices in finishing. Granite for kitchen counters, ceramic and hardwood are standard on main floor, as are 9’smooth ceilings. INTERIOR PHOTOS SHOWN ARE MODEL HOME, NOT LISTED PROPERTY.
The federal government is cutting commission rates for Realtor services on the National Integrated Relocation contract (IRP) and Ontario Realtors will share a total of 3.7% for listing and selling a relocating government employee’s home, as of January 1, 2017. (down from the previous rate of 4.1%)
While some will cheer the move, it may not be quite so popular with relocating employees if they see a decrease in service levels or lower buyer agent interest in their listings, due to the lower compensation offered.
What are typical real estate commissions?
In Ottawa, typical commissions remain around 5%* with 2.5% going to the listing sales person and brokerage and 2.5% going to the agent and brokerage that represent the buyer. Commissions are highly competitive and are open to negotiation but most typical fees will be in this general area.* commissions are negotiable and can vary by the individual salesperson or broker and many do charge less, including Oasis Realty.
How does it work with the Federal relocation contract?
Brookfield Relocation Services (affiliated with the parent company of Royal Lepage real estate) manages the federal government Integrated Relocation Program (IRP) nationally and has done for many years. Just a few years ago, this program paid Ottawa Realtors 5% with the usual 2.5%/2.5% split. On the last contract this dropped to 4.1%, with listing and buyer agents each receiving 2.05% over the last few years. (a decrease of 18%)
With the new fee/compensation structure coming January 1st at 3.7%, the listing representative and buyer representative will each receive 1.85%, if the 50/50 split continues (a further decrease of 9.7%)
Toronto is not Ontario and real estate is “local”:
We are not sure how these fees are established or negotiated but we strongly believe that “one size does not fit all” in real estate fees and by having one set fee for all of Ontario, this does not take in to account the vast regional and local differences. Toronto is its own market, as is Ottawa. Smaller but important centres for Federal employees such as Trenton, Petawawa etc. may have an even bigger problem if their local prices and volume of transactions normally requires 6% fees to support.
While Toronto prices have continued on the elevator ride up to atmospheric levels, our prices in Ottawa have certainly not followed suit and even this year with solid unit sales our average prices continue to be pretty flat and at or below inflation level. So Realtors are not making up the difference in the average price of houses being sold here, as they might be in Toronto.
What risks might a relocating government seller be facing?
1) fewer Realtors may be interested in listing properties on the program, given the compensation level.
2) Realtors may also ask employees to “top up” the government paid fees, so they can achieve their usual %. This happens regularly today with those selling or buying a private listing or FSBO where a significantly lower commission rate is offered to a buyer representative. The standard Buyer Representation Agreement signed by most buyers provides for the buyer paying incremental Realtor commission if the seller does not pay an agreed upon fee level ie 2.5%.
3) If one believes that Realtors are significantly “coin operated” then sellers may also see less interest from buyer agents in their properties, as those representatives may favour properties where the buyer representative commission is more robust. Getting paid 27.7% more on property “B” than government listed property “A” is a pretty compelling advantage. This amounts to about $2,600 on the average $400K sale or purchase.
4) Listing agents will certainly have less budget monies for advertising and other costs to support their government listings when one considers they are also splitting commissions with their brokerage.
5) properties may take longer to sell if satisfactory “full commission” alternatives are available.
Government employee sales will continue but there may be a few service wrinkles given the now “discount” fees being paid by the Federal government.
This commission change was hotly debated on a Realtor forum late in 2016, before the Board moderator cut off discussion on the issue, so there are clearly many who feel that this lower rate combined with their brokerage splits, dues/fees and other expenses makes this business less viable for them.
Oasis Realty Enhanced IRP Listing offer for government sellers!
We will offer a 2.5% co-operating buyer representative rate out of the 3.7% contract commission and this will ensure that the listing is on competitive ground with other listings in the area. Since all Realtors can manage with a 2.5% buyer rep commission there is zero worry for the seller!
Any relocating government employee who has concerns should know we have a program that will totally eliminate any potential risk and in fact, will help make their property even more attractive. For details on our program or for a no cost, no obligation evaluation of your property, please give us a call at 613-435-4692 (not intended to solicit those with existing representation agreements)
Gord McCormick, Broker of Record
Dawn Davey, Broker
Oasis Realty Brokerage
613-435-4692 or mobile 613-371-9691
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For “all the real estate news that’s fit to post” https://twitter.com/OasisrealtyOTT
One of Ottawa’s best real estate blogs: http://blog.oasisrealtyottawa.com/
• 3 bath, 4 bdrm 2 story – $624,000. $73,000 in upgrades
Poole Creek, Stittsville – Quality new construction with quick delivery from top Ottawa builder! Ideal family home on corner lot with access to all Stittsville and Kanata amenities and services. Quick access to 417. Amazing designer upgrades installed for 30 day possession. 4 beds, 3 baths, large main floor family room plus living room and dining room, butler’s pantry, large kitchen island with quartz counters, 2nd floor laundry, Energy Star® equipped, AC 16 SEER. Check it out for an early new construction move in 2017-no waiting months and months for construction on this one! Some photos shown are model home and some are actual property.
Buy this home directly through us and we’ll sell your existing home for only 3% + HST full service MLS® commission! (not intended to solicit those with existing representation agreements)
Here is a checklist to things to consider when prepping for winter showings:
- Please shovel the drive, walkway, front porch, decks and patios and make sure it is both accessible and safe for visitors. Ditto for snow or ice on roofs, eaves, overhangs or garages.
- check to make sure the house numbers are visible as is the real estate “For Sale” sign and not obscured by snow, ice or snowbanks.
- For evening showings, please leave an outdoor light on so it is quick and easy to access the lockbox and then open the front door.
- Leaving all house lights on, saves time and shows your home to its best. Best to turn off the security system for scheduled showings also.
- Please make sure there are ample floor mats and boot trays to accommodate visitor footwear, especially for Open Houses.
- Please keep floors dry and clean! Few things are more irritating or distracting than walking through a puddle or having to walk through a dirty basement.
- Keep a moderate temp in the 19-20 C range (65-68F). Many vacant properties are like meat lockers temperature wise and this does nothing for a buyer trying to “warm up “to a property, particularly when walking through in their sock/stocking feet on a cold floor. Visitors are wearing coats at this time of year, so please don’t make it too warm, either.
- Keep curtains and blinds open to admit as much natural light as possible, this is especially important in our low light winter conditions. Light, bright homes show better and buyers are very much interested in this.
- Have a pet management plan which includes daily removal of any pet droppings that are emerging through the snow and ensure cat litter boxes and the area around them are cleaned regularly.
- Check for cooking, pet or other odours (hockey equipment?) and ventilate the home using your HRV, as home odours are more noticeable during the winter when houses (particularly newer more air tight ones) do not get as much fresh air from opening windows and doors.
- Minimize distractions: we don’t need cooking smells, music, vanilla on the stove, excessive air or carpet deodorant, personal photos, etc.
- Leave out some good colour photos of what the house and yard look like in the summer time, this really helps a buyer “see” the property.
- Have a plan for any fireplace. Wood burning fireplaces don’t need to be lit but should be clean and with wood or fire log ready to light. Gas fireplaces should also be clean and ready to turn on with directions on how to do so but resist the urge to leave the gas fireplace “on” or a wood burning fire going.
- No smoking…even in the garage!
- don’t run dishwasher or laundry when showings are scheduled.
We would love to share our other thoughts on how to get your property sold, so feel free to give us a call at 613-435-4692 or email@example.com , if you are not already working with another real estate professional.
Centrepointe, Ottawa – We invite everyone to visit our open house at 23 Winterburn Terrace on October 23 from 13:00 PM to 15:00 PM.