Since moving his well-established real estate brand from Re/Max to eXp Realty last fall, Calgary realtor Justin Havre has been an ambassador for the relatively new, independent company trying to upend the status quo across North America.

At the time, Havre had a team consisting of 60 agents and 18 staff. 

 

New model, different fit

 

Havre’s team has been very successful, selling almost 9,000 homes in Calgary since 2016. For five consecutive years, they were named Re/Max’s #1 Large Team in Canada in Closed Transactions. They left Re/Max First with $4 billion in sales volume in Calgary and surrounding areas.

Today, his team at eXp, the Justin Havre Real Estate Team, has 90 agents. 

In Canada, eXp continues to grow with the recent addition of Toronto’s Polsinello Team, which Havre helped recruit to the brand. With 25 agents, last year they achieved 218 closed transactions totaling $213 million in volume.

“Finding a brokerage that offered more in terms of commissions and benefits was our top priority and eXp Realty fit the bill perfectly,” says founder and team lead Frank Polsinello in a news release. “We are very conscious of what’s best for our agents. The idea of a retirement fund and revenue share made a huge difference in our decision.” 

Likewise, Havre notes that other teams choose to partner with eXp because they see the business model is for them and their agents who go on to become partners.

 

Future plans: ‘The sky’s the limit’

 

Havre explains his future plans are to continue to impact the people he chooses to partner with. 

Goals for the Justin Havre Real Estate Team also include creating a great client experience and delivering results that both buyers and sellers are seeking in the marketplace while continuing to evolve and adapt to the constantly changing real estate environment, “whether that comes with utilizing technologies, different brokerage models and/or marketing tools to ensure that we are top of mind in the marketplace but at the same time creating the (right) client experience.”

Havre’s mission is to provide the tools, resources and development for all agents so they have what they need to navigate the ever-changing real estate landscape.

“One thing we do quite well is training and developing our agents, whether they’re experienced or new to the industry,” he explains. “I’ll continue to grow as long as we find the right people. I’m never going to say no to aligning myself with people who have the skills, the talent and the ambition to grow a successful real estate business. How many agents is that going to be? The sky’s the limit, really.”

 

Super or ‘mega’ teams with 200+ agents to come

 

Havre thinks the industry will see the formation of super, or mega, teams in the future with 200 to 300 agents.

“I do believe that a lot of brokerages are recognizing it’s incredibly challenging to run a profitable business but at the same time provide all the tools and resources to support their agents,” he points out.

“Because the margins are so small and tight in that brokerage model, this is where the so-called ‘disruptors’ like eXp come into play, (to) actually provide better support, better tools, better technologies and resources that will help agents’ businesses for a lot less.”

Another benefit he cites is the fact that all agents partnered with eXp have ownership in the company.

Havre could have gone the route of creating a brokerage, but he says eXp made more sense for being able to grow his business and attract people to a model.

 

‘It‘s a business that’s here to stay. It’s a business that more and more agents are looking to’

 

Being a large independent real estate company with more than 87,000 agents in over 20 countries, eXp continues to scale internationally. It gives realtors the unique opportunity to earn equity awards for production goals and contributions to overall company growth.

“There are a lot of misconceptions, a lot of fear-mongering from the traditional brokerages, which is unfortunate. I may have been one of those people myself because I wasn’t informed,” Havre admits.

He feels that as more people get educated and begin to understand this model — a model that he stresses isn’t going anywhere — one of the things he’ll look at is publicly traded companies.

“I would say that people on Wall Street are pretty smart. And when you can look at a Re/Max with 140,000 agents with a market cap of around $250 million compared with, for instance, a company like eXp with 87,000 agents having a market cap of nearly $2 billion, that has to say something about what kind of a business model it is.

And it’s not going to be gone tomorrow — it‘s a business that’s here to stay. It’s a business that more and more agents are looking to.”

Havre explains that if people open their eyes to study the model without judgment and once they start to see and understand how it works, “The ‘light bulb moment’ will go off. Part of me moving over also opened many people’s eyes. There must be something to this model.”

 

Returning to original brokerages for ‘the professionalism of the people, the vibe feeling like family and the services provided’

 

As with anything else, finding the right brokerage is a personal decision that looks different for every agent and industry professional.

For example, Teri Shaw, a realtor with Royal LePage State Realty in Ancaster, Ontario, moved over to eXp in February 2020 from Royal LePage but returned in December 2020. Shaw has been a realtor for 17 years. She joined Royal LePage State Realty in 2015.

She says the decision to join eXp wasn’t her choice as she had a business partner at the time who was “gung-ho” on the idea.

“I just went with it,” says Shaw, adding that her experience with the brand was “not great.” “But, in fairness, they were new to Ontario. So the professionalism that I was used to from Royal LePage, which is amazing, was not there with eXp.”

Shaw ended her business partnership and stayed with eXp for a couple of months after that. “Then, I needed to go back to somewhere I felt was a better fit for me,” she recalls.

Shaw cites the professionalism of the people she had worked with at Royal LePage and the vibe of the brokerage which felt better suited to her, feeling more like family, as key factors in her decision to return.

“Also, I felt the services provided by the brokerages were more in line with who I was than eXp. I want to sell real estate. I didn’t want to recruit people and it felt like eXp was a recruiting (place). Get more people to join. And that’s not what I wanted to do — it wasn’t for me,” notes Shaw.

“I wanted to talk to a real person, but every time I’d have a question about something I’d call and they’d say you have to go into the ‘eXp world’ and chat with someone there. I didn’t want to do that. I wanted to be able to pick up the phone and call my manager to get my question answered immediately.”

That said, Shaw recognizes they may have improved upon this by now. “I’m not knocking them. There were some quite nice people that worked there and everybody was helpful, but at that time they were not ready for the growth that they were experiencing.”

 

While there were early signs of renewed momentum in June following the Bank of Canada’s first interest rate cut since 2020, activity in Canada’s housing market took a pause in July, according to data released earlier this month by the Canadian Real Estate Association (CREA).

“With another rate cut announced on July 24, we’ve now seen two rate cuts in a row, and the expected pace of future policy easing has steepened considerably, with markets now anticipating rate cuts at every remaining Bank of Canada decision this year,” Shaun Cathcart, CREA’s senior economist, says in a statement.

“Combine that with a record amount of demand waiting in the wings, and the forecast for a rekindling of Canadian housing activity going into 2025 has just gone from a layup to a slam dunk.”

According to CREA, in July:

• National home sales decreased 0.7 per cent month-over-month
• Actual monthly activity was 4.8 per cent above July 2023
• Number of newly listed properties was up 0.9 per cent month-over-month
• MLS Home Price Index was up 0.2 per cent month-over-month but was down 3.9 per cent year-over-year (benchmark price was $718,700)
• Actual national average sale price ($667,317) was down just 0.2 per cent year-over-year

 

Uptick in market interest since interest rate cuts

 

Phil Soper, CEO of Royal LePage, says there has been a material uptick in market interest since the Bank of Canada started cutting interest rates. 

“Our principal portal which is royallepage.ca is the busiest real estate company portal in the country. Not as busy as realtor.ca … Every week I get an update from our IT team on royallepage.ca and we’ve seen a material uptick in viewership and engagement in our planning tools.”

Soper notes that a leading indicator is the increasing number of people using the site is unusual for August: “August is typically a very slow month. Things pick up at the end of August and into September. It’s indicative of re-ignited interest.”

He says the final leading indicator is the brand’s showings system, which clients use to book property showings with their realtors: “We saw an uptick in that in July. There’s clearly more interest and I believe it’s related to three principal things.

One, variable rate mortgages are cheaper given that the bank rate has come down. Two, fixed-rate mortgages are cheaper given the state of the bond market and the slowing economy — we’ve seen a real material drop in the popular five-year fixed. The third is building demand. We had this very large influx of new Canadians in 2022 (and) 2023 — a record. That’s going to put pressure on the entire housing ecosystem.”

Soper says demand is building and it will be released at some time. There will be an uptick in sales volume triggered by cheaper borrowing and pent-up demand should result in a busy fall. 

He believes those most impacted by higher interest rates, the overall lack of consumer confidence in the economy and the housing market in general are predominantly renters or first-time homebuyers. “That’s a big piece of the puzzle.”

 

Alberta, Nova Scotia, New Brunswick strong while Ontario struggles

 

Listings are going up because existing homeowners are seeing some positive indicators. However, Christopher Alexander, president of Re/Max Canada, says province by province is a different story.

“The year started off with a bang. Lots of anticipation that the Bank of Canada was going to start a series of rate cuts in the spring. That never materialized so you had this kind of malaise and slowness for several months, and then a strong majority of economists were insisting there would be rate cuts in June, so the market almost stopped in May. Then we got the rate cut and it really did nothing, but after the second rate cut we’re seeing renewed activity,” he notes.

“Alberta has been strong. New Brunswick and Nova Scotia have been pretty strong. Ontario has really struggled with slower market conditions.”

Alexander expects the market will see a renewed sense of urgency from buyers. 

“We’ve got a lot of inventory, so that should keep prices in check for the foreseeable future. We’re expecting more rate cuts and I think once the overnight rate gets to around four per cent, we’ll see sustained activity. All the indicators are showing we’re entering healthy territory again which is a good thing,” he says. 

 

‘End of the slump in most of Canada by end of this year’ but deeper rate cuts needed

 

Robert Hogue, assistant chief economist with RBC Economics, described the Canadian real estate market as slow, generally speaking, with obviously some variances across the country. Prices are mostly flat and some condominium prices are under pressure.

“We’ll need more interest rate cuts to get the market going,” he notes. “It’s a fairly slow grind this summer but it remains our view that as we get more rate cuts it’s going to translate more into lower mortgage rates, and that should get the market going a little faster.

We’re not expecting a big boom or anything like that but it will be the end of the slump in most of Canada by the end of this year.”

Hogue says the Bank of Canada’s interest rate cuts in June and July likely marked a turning point for struggling housing markets across the country, but so far the impact has been mixed. He says it will take deeper rate cuts to meaningfully reduce ownership costs and stimulate homebuyer demand more broadly.

“Supply, on the other hand, continues to grow. In some cases, such as in Toronto, it reflects the completion of many newly built units (mainly condominiums) that owners (mainly investors) are looking to offload. In other cases, it could be sellers betting lower rates will spur buyer interest and improve sale outcomes. In some, it may be a sign of homeowner distress arising from high rates,” notes Hogue.

He goes on to say that the balance between supply and demand varies considerably from market to market. “Conditions in Calgary, Edmonton and, to a lesser extent, Montreal favour sellers. It’s the opposite in the Toronto area where buyers have the upper hand — albeit just barely. A tenuous equilibrium holds in Vancouver.”

However, Hogue also points out that home prices have generally levelled off since spring. “Calgary — Canada’s housing hotspot — remains an exception, though gains have moderated recently. We see flat price trends persisting until larger rate cuts heat up demand more materially.”

 

Total listings up nearly 23%, sales-to-new listings below long-term average but balanced

 

According to CREA, at the end of July, there were about 183,450 properties listed for sale across Canada, up 22.7 per cent from the prior year but still about 10 per cent below historical averages (more than 200,000 for this time of the year). New listings were up slightly by 0.9 per cent month-over-month. 

The national sales-to-new listings ratio went down 0.8 per cent from June to 52.7 per cent last month. CREA notes the long-term average for the national sales-to-new listings ratio is 55 per cent, with a ratio between 45 per cent and 65 per cent generally consistent with balanced housing market conditions.

 

The real estate industry in Canada is adapting to a new and growing trend in the marketplace: multigenerational living. More and more Canadian families are seeking creative housing solutions in light of today’s affordability challenges.

Tim Syrianos, owner of Re/Max Ultimate Realty based in downtown Toronto, says the trend is evident in his market and will continue to impact the real estate industry in the coming years.

“Affordability, or the lack thereof, has definitely driven the consideration for multigenerational living. We are seeing it in neighbourhoods where you haven’t seen it before,” he explains. “You’re seeing types of homes that were single-family being topped up and having the lower level completed, and now you have two to three units where families are able to live together.”

 

Multi-unit homes with unconventional layouts

 

A trend he also notes is larger homes in more luxurious neighbourhoods being built to include more than one unit — in some cases, as many as three.

“Based on the cost of housing today, this is something that is definitely going to be considered by many families. There’s been conversation in the past about the bank of mom and dad helping kids — maybe the bank of mom and dad will not help them buy another home but instead, renovate an existing home that allows them to be together. This way, it helps (both) the parents as they’re aging and the younger generations as well.”

Syrianos points out that people looking at these properties might not realize they’re multigenerational homes. Instead of having the traditional single door in front of the home, there are perhaps two double doors side by side with a bay window. One door could go straight upstairs while the other door goes to the main floor and lower level.

He says builders are starting to build homes with this in mind. “Builders are being contracted specifically for it. They’re not really going to market and build them as common. They’re being contracted for that for the most part at this point,” adds Syrianos. 

“There are builders that I know and I have personally spoken to that are specifically building those types of opportunities for people, but not in the luxury market as much as we’ll say the ‘missing middle’ market.”

 

Not enough homes for multigenerational living: Finding solutions

 

Richard Mariani, sales and marketing manager for CountryWide Homes, says there are not enough homes being designed properly for multigenerational living, since much of the land isn’t conducive for that particular layout.

“But it’s something we felt the market had been requesting and the feedback from our sales team was that we had a lot of buyers coming here and looking to upgrade their house to a larger one. Maybe their in-laws or their parents are getting older, they have an older house (and they) sell both of their houses and buy one from us. We allow them to do that with certain options,” says Mariani.

Recently, the builder broke ground on Sora Vista, a new community in Vaughan, which addresses some of the housing challenges and encourages multigenerational living with fully customizable floor plans.

 

‘We have to think differently and the buyer has to think differently to come up with solutions’

 

The multigenerational living trend is happening because of challenges in today’s market with elevated interest rates of recent years. This puts constraints on what people can afford. “We have to think differently and the buyer has to think differently to come up with solutions,” Mariani points out.

For example, homes are built with higher ceilings, allowing buyers to acquire more square footage and the potential to finish the basement to accommodate multigenerational living. Side-door entrances and separate staircases from the mud room off the garage or the side entrance of the house go right into the basement.

“We try to explain and illustrate to these buyers that we’re not just selling houses. This is an asset that’s so valuable to everyone. Everyone needs somewhere to live. You can put two families together, make it economically feasible and have some extra income generated. We’re trying to make everyone win here,” adds Mariani.

He explains that costs aren’t changing — they’re still high, whether for materials or labour — so they’re constantly thinking of innovative ways to give people shelter and be creative.

“That’s how a lot of immigrants start in this country: they live together. It’s nothing new that we’re talking about. People have been coming to this country, they live with family or friends until they can save up enough money, they all work and they all get jobs. We try to give people opportunity in this country no matter where they’re coming from … We want to provide shelter for them and make it affordable in the best way possible by coming up with these new creative building solutions.”

 

49% of those living with co-owners bought together because they couldn’t afford to on their own

 

Karen Yolevski, COO of Royal LePage Real Estate Services Ltd., notes the company did a co-owner survey in 2023 which shows that multigenerational households are now the fastest-growing household type in Canada.

“This trend is growing,” she says.

The survey found that 56 per cent of co-owners own a home with their parents or their parents-in-law, while 18 per cent co-own with their adult children. This doesn’t mean they’re all living together — in some cases, it’s for financial support. 

Yolevski says the survey indicated that, of those who live with their co-owner(s), 49 per cent purchased with another party because they would not have been able to afford to on their own. “Especially in Canada, we’ve always seen some multigenerational living. (It’s) very common, particularly in some cultures to have multigenerational living,” she points out.

“Because of the price of houses and the difficulties that particularly first-time buyers are having getting into the market — because it’s very difficult to save up the down payment and purchase prices are so high, (and) it can be difficult to qualify for the mortgage as well — we’re going to continue to see people make this decision based on financial reason. So, finances will be the driver behind multigenerational living.”

Yolevski also feels there will be different formats of the co-owner living arrangement. “We’re not just going to see parents and children living together, but we’ll see more instances of friends investing in a property together, we’ll see more instances of siblings investing in a property together. Different household formation patterns will come out of this.”

 

As president of the Ontario Real Estate Association (OREA), Rick Kedzior wants to concentrate on the organization’s member-focused strategic plan. His goal is to guide it to deliver its mission of supporting realtors in helping people find a home.

“I just want to leave organized real estate in a better place than I started four years ago (as a member of OREA’s board),” he states.

 

What OREA’s been up to

 

Kedzior says this has been working out, although the provincial association had “a bit of a rough year” in 2023 with the Ontario Realtor Wellness Program.

“Some of our members weren’t in favour or big supporters of it. That made it a bit of a tougher year. So this year, we’re out there mending some fences, improving our brand, providing guidance for our membership to continue to raise the bar on professional standards and advocating for home ownership policies,” he explains.

Kedzior notes the three pillars of the organization are advocacy, forms and clauses, and leadership training for all 29 real estate boards in the province.

 

Housing affordability: Ontario industry’s biggest challenge

 

As for the biggest challenge faced by the Ontario industry today, he says it’s the affordability issue.

“I’ve got a couple of kids in their early 30s. I look at them and what the real estate market in Ontario has done since 2021 when there was a big change in terms of pricing and craziness, and I wonder if my kids are ever going to be able to afford homeownership. That’s a real concern for me and I think for a lot of people,” says Kedzior. “This is definitely a concern for us at OREA.”

 

A 30-year career including giving back to the profession

 

Kedzior has been active in the real estate profession since 1994. He’s a Broker with Re/Max Aboutowne Realty Corp., Brokerage in Oakville, and a member of the Oakville, Milton and District Real Estate Board (OMDREB), where he was president in 2018 and 2000 and served as chair on various committees, including MLS, By-law and Professional Standards.

Kedzior also previously served as president of the Oakville Chamber of Commerce and director at the Ontario Chamber of Commerce. He recently served as director-at-large and president-elect at OREA. Then, he joined OREA’s board in 2020 and became president earlier this year.

“I’ve always been a volunteer. I’ve always thought that you need to give back to the profession that you’re in,” says Kedzior.

He believes real estate is all about meeting people and developing relationships. “The more people you know, the better off you’re going to be in terms of helping them. But that’s not the reason why I volunteer. I’m just a consummate volunteer. I think you’ve got to give back, try to make the profession better when you leave it.” adds Kedzior. 

He says some of the newer agents don’t have an interest in volunteering, which to him is “scary.” For example, OREA needs volunteers to keep the organization going. “It’s not always about making money. It’s about giving back. To me, it’s been a great career in real estate so I feel obligated to volunteer as well.”

 

‘Working with the public … something I enjoyed from banking days and I always had this fascination about real estate’

 

Kedzior was born and raised in Hamilton, where his parents immigrated in 1949. During World War II, his parents were each captured by the Germans and ended up working on a labour farm in Germany, where they met. His father was Polish and his mother was Ukrainian. They married in Germany and came to Canada after the war.

Kedzior’s background prior to real estate is in the financial field. He explains he managed a couple of community credit unions, one of which was in Oakville.

“When Re/Max opened up their branch or offices in Oakville, I established a relationship with the owner. He ended up banking with me so I had their trust and general accounts and handled all their banking needs,” he says.

Then, after five years of managing their accounts, the owner talked Kedzior into becoming a realtor. “I always enjoy working with the public. That was something I enjoyed from my banking days and I always had this fascination about real estate.

As a banker, I dealt with a lot of his agents financially as well, so I thought this looked really easy, real estate. Little did I know that looking from the outside in, it was easy to think that but it was not as easy as I thought it was. It wasn’t easy at all. I thought if I don’t take the plunge now I probably would never be able to.”

At that time, Kedzior was married with two young kids. He wondered what he should do. Ask his wife about changing careers knowing she was risk-averse and that she’d probably say no? Instead, one day he came home and told her this was what he was doing. In sharing this story, he jokes about the saying, “It’s better to seek forgiveness than seek permission.”

“She’s still my wife, that’s one good thing,” laughs Kedzior. “She wasn’t too happy about going from an every two weeks paycheque to commission, but it all worked out.”

 

Editor’s note:

On June 5, 2024, at the SGM, BRREA’s membership installed a new board of directors. Learn more here.

On May 14, 2024, LSTAR shared the following statement from Kathy Amess, LSTAR 2024 chair:

“LSTAR thanks everyone who joined us for the May 13 Special Meeting. Nearly 700 members attended, with another 244 members voting via proxy. It was the largest attendance recorded at an LSTAR event, with 937 voting delegates, and it was a very productive and respectful meeting.

During a question-and-answer open forum, the delegation received responses to 40 questions that had been submitted by members, with additional questions and comments shared throughout the forum. With respect to the proposed motions, the board of directors was pleased by the overwhelming vote of confidence, with 83 per cent voicing their opposition to removing the board. In addition, the proposed motion requesting the resignation of LSTAR CEO Bill Madder never even made it to the floor, because no one came forward to make the motion.

The LSTAR Board of Directors has a clear path forward and we look forward to continued engagement with the membership, to deliver what our members need and expect from us, to lead LSTAR into the future.”

 

Special general meetings (SGMs) are being held in the near future by the London and St. Thomas Association of Realtors as well as the Brantford Regional Real Estate Association to discuss how decisions are being made in those organizations.

The LSTAR meeting is scheduled for today, May 13, while the BRREA meeting is on June 5. 

“A Special Meeting of London and St. Thomas Association of Realtors (LSTAR) members has been called. LSTAR respects that this is a members’ only meeting, so details are reserved for the members of our association. We look forward to what we anticipate to be a well-attended, interactive meeting with our members,” says Kathy Amess, 2024 LSTAR chair, in a statement.

 

LSTAR meeting motions for consideration

 

In a document obtained by REM, the Notice of Meeting cites several motions to be considered, including that:

• All changes to MLS or LSTAR services/MLS or LSTAR providers/MLS systems be communicated to the membership and brokerages in an item-specific email and news alert outlining the benefits and disadvantages at least 30 days prior to any contracts signed, changes implemented or contracts terminated
• LSTAR revoke the notice of termination from the Information Technology Systems of Ontario (ITSO) (and) immediately take the required action to extend the service from ITSO to December 31, 2024
• The board strike a task force to review all the currently available MLS platforms in Ontario and the decision to move to the PropTx MLS System
• The board undertake a full governance review by a qualified independent third-party
• The board be immediately removed and an election of directors be held immediately with nominations of potential directors from the floor at this meeting
• Bill Madder CEO of LSTAR be requested to resign from his position with LSTAR

Last fall, LSTAR announced it was joining the PropTx MLS service along with other real estate boards, including the Toronto Regional Real Estate Board.

 

‘Ontario-wide MLS listing system is the way to go, but not by one board saying ‘our way or no way’’

 

Jim McCarvell, an associate broker with Re/Max Centre City Realty Inc. in London, has been a member of LSTAR since 1982. He says two main issues have raised concerns with fellow realtors.

“This is the second time, probably within 12 months, that the administration of LSTAR is trying to jam something down the throats of the members without any input and without any regard,” he explains. “The first one was an insurance program (the Ontario Realtor Wellness Program). Our board just says it’s going to cost you $500 a year and too bad, so sad. There was a big chunk of people that said, ‘My wife works as well and she’s got a good plan so we’re going to stay with that.’ They basically told you, ‘Who cares? It’s going to cost you if you like it or not.’”

The second issue McCarvell points out is about amalgamating with the Toronto system: “They had four people out of 1,500 test the system on a very time-limited basis and they got back all kinds of feedback. They already had one meeting and it was sort of forced on them.

The microphones were just lined up. People were clapping for the resistance. Booing. They brought in a lawyer. They brought in an official MC and this sort of stuff. They knew it was backfiring on them — that there were just too many people ready to stand up and say ‘enough is enough.’”

McCarvell says an Ontario-wide MLS listing system is the way to go, but “not by one board jamming it down everybody’s throat saying, ‘It’s our way or no way.’”

 

BRREA meeting called to remove and install new board of directors

 

Ryan Campbell, real estate broker with The Crew Real Estate at Real Broker Ontario Ltd., in Paris, Ontario, says the BRREA meeting was called to remove the current board of directors and install a new board due to the current board’s handling of its MLS provider agreement. A two-thirds vote of those members in attendance plus proxy votes is needed to remove the board. 

“BRREA’s current contract with ITSO is expiring in August and rather than sign another contract, the current board decided that we should use PropTx, the current provider for TRREB. This would leave us without a data-sharing agreement with the boards that surround Brantford where our agents do a good deal of business as well, (like) Waterloo, Hamilton, Burlington and Simcoe,” he says.

Campbell explains that the surrounding boards decided to amalgamate into the Cornerstone Association of Realtors (CAR). “I hosted the presidents of these boards at my office for an information session for interested agents last month. They informed us that they have a data-sharing agreement with the ITSO boards but not with PropTx at this point.”

He says the primary issue for the agents that called for the SGM is data and the idea of needing a dual membership to access the boards surrounding them. “We are a one-member, one-vote board and the question was asked if the board needs the membership’s vote to change MLS providers. The answers given were unclear about whether this was required.” This is what led a group of members to call for the SGM and bring the issue to the membership.

“Since this issue has arisen, three members of the board have resigned and new members were appointed by current board members. A commitment was made to take another look at the PropTx agreement (it’s a 10-year commitment and some members were uneasy about the length) and a task force was to be formed regarding amalgamating with CAR.”

 

Response from BRREA

 

In an emailed statement, David DeDominicis, president of BRREA, says special meetings of the membership are available as an option to members who have an item they would like to see debated or an action they would like to see taken.

“In this instance, a minority of members have raised concerns with ongoing discussions between the board of BRREA and the board of PropTx. It is factual and well-known that the board is engaged in contract negotiations to transition to this platform; however, at this time, no contract has been signed with PropTx and BRREA continues to be in the process of negotiating the best deal for our members,” he says.

The statement goes on to say: “BRREA recognizes the MLS landscape in Ontario is changing and it is the board’s responsibility to ensure our members are best served by the platforms and services we use. After a lengthy review of the MLS platforms surrounding our regional jurisdiction, it was determined that PropTx, under the correct terms, is the best option for our members.

The volunteer board members of BRREA are informed in their evaluation not only by their expertise as local realtor members but also through the continuous conversations they have with the membership of our organization. The board’s highest priority is always finding the best value for our members and ensuring every decision made has the best interest in mind for the membership.”

 

As a former managing broker and realtor, Trevor Koot’s nearly two decades in organized real estate gives him hands-on expertise in understanding the profession’s needs.

Today, as CEO of the British Columbia Real Estate Association (BCREA), Koot says he really believes that his role is not a tangible thing. 

 

‘(I’m) as much a critic of the industry as (I am) a champion … that balance makes me a better leader’

 

“It’s not to say this is what I do. What I like to think is that my role is to facilitate conversations that create impact for the industry,” he says. “That can change. That can look like a lot of different things but really it’s just having conversations with the right stakeholders at the right time to ensure that the industry is progressing, that consumers continue to be served by realtors in the future and that realtors have a place within the ecosystem of real estate transactions.

And we do that by creating impact, by knowing what changes need to happen, by facilitating those changes but also standing up for the industry when it comes to making those changes.”

Koot says he is as much a critic of the industry as he is a champion. Making sure that he can wear both of those hats to create that impact is important to him. “I think that balance makes me a better leader in this industry,” he points out.

 

Experienced ‘all of the beauty that is Canada’ between three coasts

 

Koot has lived in five provinces and one territory. He was born in Simcoe, Ontario and moved to Frobisher Bay, Northwest Territories (now Nunavut) when he was still young, grew up in New Brunswick, lived in Alberta, started his career in Saskatchewan and then moved to B.C.

“I’ve gone coast to coast to coast and experienced all of the beauty that is Canada,” he says.

Koot received a Bachelor of Science in kinesiology with a minor in mathematics from the University of Saskatchewan, and he recently completed a Master of Business Administration through Royal Roads University. Koot is adding to his extensive education through his current pursuit of completing a Master of Laws degree at York University.

 

Getting into real estate

 

He got into the business of real estate initially in Swift Current, Sask. after getting his real estate license in 2005. Koot began with Re/Max and then bought a Century 21 brokerage in 2007. He also started a property management company in between and grew that to 1,000 units in five Saskatchewan cities. While there, he was chair of the Saskatchewan Real Estate Commission for five years and played a key role in redrafting provincial real estate regulations during his tenure.

Prior to taking on his role at BCREA in 2022, Koot served as CEO of the Kamloops and District Real Estate Association for four years and the Kootenay Association of Realtors for three before successfully merging the two into the Association of Interior Realtors.

“I’ve worn all of the hats,” says Koot, who has been a competitive bodybuilder on the international stage. He also has had an acting career and owned a gym and supplement store called Iron Office. This was all in place while living in Saskatchewan before Koot decided to move to Kamloops.

 

‘My priority is to make sure the realtor continues to be central to the real estate transaction’

 

“I really believe there’s a future that exists without realtors. There is a future that can happen where realtors don’t (even) exist … let alone being part of the transaction,” Koot explains. “My priority is to make sure that’s not the future that transpires. My priority is to make sure the realtor continues to be central to the real estate transaction.”

He says the biggest challenge the industry faces today is the desire for and connection to legacy, and protectionism to the existing models that come with that. 

“It’s hard to convince stakeholders to embrace change when the primary role that they see for themselves is to protect the way things are. That’s going to be the biggest challenge for any leader in the real estate sector or the industry at large. It’s to create an environment where they can actually convince the folks who are being impacted by change to embrace that change because of a bigger outcome because of that future state.

Organized real estate is really, really good at celebrating legacy and protecting the existing structure, and that will be the demise of the sector if that’s the sole focus.”

 

Other major industry challenges

 

Koot notes there are fewer realtors today stepping up to be a managing broker. A large number of current managing brokers are reaching retirement age and looking at exit strategies. He feels there’s a lack of conversation around succession planning for brokerages and for the role of managing brokers.

“And I really think that this is potential for a kind of perfect storm that’s either going to challenge the industry or require regulatory intervention to make sure there are enough managing brokers moving forward,” he predicts. “When we talk about challenges or things on the horizon that I see being major and very impactful, that would be another one.”

 

Recently, real estate firm Royal LePage described the country’s recreational real estate market in 2023 as going through a “gold rush fever.”

The demand has continued into 2024 with a strong market forecast for the rest of the year in key recreational areas across the country.

 

Canmore, Alta.: Lots of interest from broader pool of buyers

 

Brad Hawker, associate broker, Royal LePage Solutions in the mountain resort of Canmore, Alberta, says the higher end of the market has been relatively strong. 

“There’s a lot of interest. It’s not typically affected by (elevated) interest rates,” Hawker explains. “It’s not an interest rate-sensitive end of the market. Most people are paying cash. 

We’ve just come out of what would typically be a quieter time of the year but entering into a more active time of the year now. So we’re seeing things pick up.”

Hawker says that buyers in the market have broadened over the last few years. He’s been selling real estate for 32 years in the Canmore area, and his first 20 years were predominantly all Albertans. But over the last seven or eight years, especially since COVID, there has been an expansion of buyers interested in the market. 

“Seniors are a lot more active now … Retirees now are rock climbing, mountain biking and downhill skiing. They’re doing it all. Still quite a few from Alberta but provinces east (like) Saskatchewan, Manitoba, Ontario and Quebec have really picked up since the pandemic as well as British Columbia,” explains Hawker.

 

Supply: The biggest challenge

 

The biggest challenge for both realtors and potential buyers is supply. This is supported by Re/Max finding that 64 per cent of Canada’s cottage owners are holding on to their properties rather than selling.

Hawker notes that sales for the luxury end of the market are reasonably consistent with past years, but, ”It would be a little stronger if we had some additional inventory.”

In fact, this issue is reflected in national statistics. A Royal LePage survey of 150 recreational real estate market professionals across Canada shows that 41 per cent reported less inventory compared to the same time in 2023 and 33 per cent said their region has similar inventory levels, yet 64 per cent reported similar or increased buyer demand for recreational homes.

 

Lakelands North, Ont.: Low sales, strong prices

 

Derek Stevens of Engel & Völkers, based in Port Carling in the Muskoka, Ont. area, works in the second home, waterfront market. 

“Anyone who is coming into this market, buying waterfront is a luxury. This is not just trying to put a roof over your head,” says Stevens. “For us, the luxury market is everybody. Muskoka is known for super high-end properties, and that’s what a lot of people think sometimes when they think of luxury.

Stevens works in Lakelands North, which he explains covers a fairly large area because of the fact that they don’t sell that many homes compared to other regions. He says Lakelands North (which includes Muskoka, Parry Sound and Haliburton) only had 775 waterfront sales in 2023.

“I say ‘only’ because that’s the kind of market we work in. We don’t sell that many (properties). That’s actually a reduction of about seven per cent over 2022’s volume. But with that said, our average pricing is actually up. On 775 transactions, we did over $1 billion — that’s nothing to sneeze at; it’s a lot of money. That creates an average price for waterfront properties of $1.388 million.”

 

Getting creative: ‘They’re not making any more waterfront’

 

Stevens says land values have increased substantially in the last few years and homes being built are bigger to accommodate family and friends who may want to visit. In 2022, there were four transactions over $10 million in the area and that number doubled last year.

“While volume is going down in some segments, you look at the over $10 million segment that’s going up because these properties, which are very expensive to start with, can support a high-end build.”

In that market, there are a number of celebrities and athletes who are looking for property there as well as people who have done very well in business.

“They’re not making any more waterfront. We’ve got what we’ve got and that’s it. There’s a lot of buyers that have been on the sidelines in 2023 and they’re waiting to come back into the market, waiting for a market correction. I’m not sure that’s going to happen,” Stevens points out.

He thinks they might be disappointed but generally speaking, the most desirable properties have already been developed and now people are becoming more creative in the types of properties they’re developing.

For example, “With advances in technology and engineering, people can do certain kinds of blasting and build on properties that were maybe previously thought of as being too steep or too rocky,” he explains.

 

Mont-Tremblant, Que.: Less impact from financing & interest rates helps with sales

 

Steve Lafave of Engel & Völkers, based in Mont-Tremblant, Quebec, says interest rates have slowed down the mid-range recreational real estate market in that region but the luxury segment of the market is very robust.

“Families are still aspiring to own secondary homes and the lifestyle that brings. When we talk about an average secondary homebuyer, I think they would typically require financing. However, when we’re at the top end of the market in luxury properties, we’re seeing buyers, as we always have, that are acquiring without financing,” he points out.

“We’ve been able to hedge the sales absorption and activity by the fact we’re less impacted by financing and interest rates.” 

Lafave says that Baby Boomers reaching retirement are looking for places to remain active. Also, the line between primary and secondary homes is becoming increasingly blurred with professionals working from home. 

Buyers in Mont-Tremblant continue to come from Montreal and the Eastern Ontario region. He notes the Canadian market comprises about 75 per cent of buyers, and the other 25 per cent is international.

 

Whistler, B.C.: Seasonal residents settling in full-time

 

In B.C., the Royal LePage survey of recreational property experts found that 50 per cent of respondents reported less inventory this year compared to last, and 46 per cent saw similar demand. 

“Although we have not experienced a material increase in sales over the past year, we feel that buyer demand is building in the wings, waiting for news of interest rate cuts. We are expecting a seasonal boost of inventory in the spring, and new provincial short-term rental restrictions may also prompt some investors to offload their recreational properties, adding to that supply,” explains Vancouver-based Frank Ingham, associate broker, Royal LePage Sussex, in a statement.

He explains that thanks to high-speed internet and remote working, seasonal residents have settled into the Whistler area full-time to take advantage of the area’s year-round recreational options.

“Whistler is a very unique (luxury) market — rising interest rates have little effect on the buyers who purchase in the seven- and eight-figure price range. However, a drop in rates will give consumers greater confidence in the overall market and economy, prompting them to step off of the sidelines.”

 

National price forecasts

 

Royal LePage forecasts the median price of a single-family home in Canada’s recreational regions to rise by 5 per cent this year to $678,930, compared to 2023.

The company believes all of Canada’s provincial recreational markets are expected to see an increase in single-family home prices in 2024, with Ontario forecasting the highest price jump at eight per cent.

Re/Max expects something similar, with recreational property prices jumping by 6.8 per cent.

 

The Ontario Real Estate Association (OREA)’s controversial Ontario Realtor Wellness Program (ORWP) has experienced a successful first quarter since its launch this year, according to the organization.

 

‘A very good sign for a newly implemented program of this size and scope compared to peers across the industry’

 

OREA says the health and wellness benefits program has had more than 68,000 health claims and 61 travel claims, while 32 families have had life insurance coverage support in their hour of need, more than 355 general practitioner consultations have taken place (with only an eight-minute wait time) and more than 810 mental health consultations have been conducted for members.

As for how this usage stacks up against expectations, the association is pleased: “We designed a program that we knew would help our members and what we’ve seen so far is a very good sign for a newly implemented program of this size and scope compared to peers across the industry.”

The program, administered by Comprehensive Benefit Solutions, became mandatory on January 1. Tim Hudak, CEO of OREA, says it was designed to be helpful for its members and their families to give them a safety net for health benefits and insurance.

“It’s been incredible to see how many Ontario realtors are already benefitting from the support offered through the ORWP,” he notes.

“When we surveyed our members we found out that close to 60 per cent did not have any kind of health care coverage and up to 40 per cent reported they didn’t have access to life insurance. So they’re walking a tightrope every day because they love the profession, they love helping their clients, but they were putting their health and financial circumstances and those of their families at risk.”

 

Biggest challenge in launching

 

The biggest challenge in launching and implementing the program, Hudak explains, is the fact that OREA has been the first. He says implementation has been a learning process. “Things could always go smoother when it comes to implementation but given how many people have benefitted from the program already, I suspect to see other professional associations follow.”

Hudak stresses, “This has been the largest onboarding of a health and insurance program in Canada — one of the largest of the last couple of decades. Almost 100,000 members are now covered by this program. And it’s a huge program. There’s a complexity as well because we basically have 29 member boards that are 29 different corporations, all with their own sets of data and ways of doing things.”

With nearly 100,000 members, he says it was challenging to ensure everyone saw their welcome emails, could register for the system and were supplied the information needed to get the benefits. “That’s going to be a challenge for any kind of insurance program, let alone one of this size.”

He admits that with the member boards’ various approaches and data, ensuring information was accurate did cause growing pains early in the process and longer waits for service.

Despite the implementation challenges, he notes, “We’ve done it, and (individuals) in real estate and their families are now seeing the benefits.”

 

Good feedback and thanks from members

 

Hudak says OREA has received a lot of positive feedback and thanks from members because of the program, particularly from members who did not have a benefits program before. Many are also finding it to be user-friendly and a streamlined experience in getting claims approved or access to benefits.

“There have been some very touching stories of realtors with pre-existing conditions, for example, (victims of) cancer or a heart attack, who couldn’t find insurance to save their lives. Now, because of the ORWP and the support of their fellow realtors, they have a support package when it comes to health and life insurance,” he says.

With the implementation challenges smoothed out, “I’m pleased to say by investing wisely in resources for the program, our wait times are down to about three minutes when you call or within five minutes if you request a call back for support from the program.”

 

‘Fear-mongering’ from those opposed

 

Hudak notes there was a lot of fear-mongering from those opposed to the program, suggesting that thousands of realtors would have their benefits from their existing programs cut off. 

“That simply has not been the case. We’re not aware of a single realtor member who has been kicked out of their existing program because of the ORWP,” he says.

“We’re seeing more and more realtors benefitting from this program each and every day. The foundational decision to have it as an all-in program that’s a safety net for realtors — whether (they) work for a large brokerage or small, in a big city or a small town — has demonstrated to be a success.”

 

Positive user experiences

 

Lana Morgan, realtor with Royal LePage Key Realty in Sarnia, Ont., says she has advocated for the program from the beginning. Her son, who is also a realtor, suffers from epilepsy.

“For him, it was coverage that he would never, in a normal circumstance, be able to afford nor would he possibly even be able to obtain it no matter what the cost,” explains Morgan, who has not yet submitted a benefit claim.

“Myself, personally, the $100,000 in life insurance was about a third of the cost of me getting it elsewhere. I did not need dental or prescriptions because I am covered under my husband’s policy for that, but it’s everything else. At some point, I could still need that … Living in a border city, we go to the United States all the time (and) that extra coverage is nice to have.”

Kevin Thompson, a realtor with Re/Max Prime Properties Unique Group in Sarnia, says he has used the medical claims in the program for prescriptions. “And honestly we’ve had no issues. Getting things set up I struggled a little bit but that was on me,” he recalls. “The help desk that day was fabulous in walking me through it … Overall, my experience with it has been positive.

For us, it’s an added insurance. Hopefully, we never have to use it but for us it’s affordable … We welcomed the program right from the start (and have) been in full support of it since day one … It’s going to help a lot of people and for that, I’m thankful we have it.”

 

‘Seems to be something that people are not talking about as much’

 

Karen Yolevski, COO, Royal LePage Real Estate Services Ltd., says she hasn’t heard a lot from realtors following the ORWP’s implementation.

“Since it’s been implemented, other than a couple of administrative questions, people asking how they sign up or how they access information, submission of claims, we haven’t really heard too much,” she notes. “I’ve heard a few anecdotal stories about people successfully submitting claims and receiving benefits. So that’s great news that people are taking advantage of the plan but otherwise it seems to be something, now that it’s in effect, that people are not talking about as much.”

 

Program opposition continues

 

Despite OREA’s success with the ORWP, there continues to be opposition to the program, which costs OREA members about $660 annually for the standard plan in addition to regular OREA dues of $110.

A GoFundMe page has been set up to raise money for legal action. A complaint has been filed to the Human Rights Tribunal of Ontario (HRTO). A petition was also launched about the mandatory nature of the program. 

The GoFundMe page, as of April 15, has raised $152,280 of a $350,000 goal. Those funds are supporting the legal challenge by McMillan LLP in Toronto with HRTO, alleging age and disability discrimination.

 

‘Ready to pursue applications at whatever pace the Tribunal sets’

 

Rachel Wong, associate with McMillan LLP, says the matter was brought before HRTO in November 2023, asking the Tribunal to expedite the proceeding and to provide immediate relief to realtors. 

“Both of those steps were opposed by OREA and so at this point we remain ready to pursue the applications at whatever pace the Tribunal sets for them to be heard,” Wong explains.

“There is a GoFundMe that was started in the fall of last year and if realtors wish to continue to support those steps it does remain open (to) support our effort.

We just remain at the ready to take steps that are required to get this matter to a hearing and be adjudicated. We regularly hear the frustrations of realtors and we really want to pursue those next steps.”

 

Petition garnered 18,890 signatures so far

 

Liz Polak, realtor with Century 21 Miller Real Estate in Oakville, Ont. and one of the organizers of the GoFundMe campaign, says the ORWP will adversely affect the lives of thousands of professional real estate agents and their families. “I get emails from members all the time. (They’re) literally crying about this.”

Polak says all agents over the age of 65 will have to pay the same fees for the mandatory ORWP but will receive reduced benefits in return, and that reduced benefits or outright termination of some OWRP benefits will be automatically applied at age 65, 70 or 80.

A petition against the ORWP, started in June 2023 and organized by Tina Forte, sales representative with Red and White Realty Inc. in Waterloo, has gained 18,890 signatures so far. The text accompanying it says not being a member of OREA affects a person’s ability to trade in organized real estate and that, “How OREA has the authority to meddle in a self-employed individual’s personal choices that aren’t real estate related is still baffling.”

“The fact that if we don’t participate we lose our local board affiliation, that’s bad enough because our local boards provide a whole lot of resources for us,” Forte shares. “But we also lose OREA and CREA (Canadian Real Estate Association). We lose the OREA (or) Ontario forms. We lose the realtor designation … It’s not right that they’ve tied it to our ability to do our job.”

 

OREA’s response

 

In a statement, OREA says it cannot comment on ongoing matters before the courts and/or any tribunal.

However, it mentions, “As indicated in the research findings of a member survey done in 2019, over half of OREA members reported that a ‘Safety Net’ package was very important.”

The statement also talks about the Realtor Wellness Task Force: “In February 2023, the OREA board of directors appointed the Realtor Wellness Task Force to examine the viability and scope of a province-wide insurance and benefits program for all OREA members. The Task Force was comprised of realtor volunteers from across the province, covering all OREA regions.”

OREA points out that results of a survey (available from April 28 to June 20, 2023) indicate the majority of realtors did not have the specific types of insurance coverage that are included in the ORWP’s standard plan (for example, 73 per cent of members had no critical illness insurance coverage and 60 per cent had no healthcare coverage).

 

Going forward, Hudak mentions that OREA will always look at the program to see if there are additional benefits they can provide, if there are benefits not being utilized and if they need to substitute a new benefit. “But we’ll need some more data before we would turn our minds to those types of enhancements,” he says.

 

Residential real estate giant Re/Max has launched a coaching program in Canada for its brokers, owners, managers and recruiters. This is being done to help them attract and retain the best real estate agents and maintain the company’s standing as a leader in transactions.

Ben Fairfield, vice president of recruiting and retention for Re/Max, says the Max/Recruit program began in the United States last year and could expand to other countries beyond Canada.

 

Building on top-producing agent talent

 

“We have the top-producing agents in the world for productivity so we want to build on that. We don’t want to rest on our laurels. So how do we support our broker/owners?” Fairfield poses. “Not only on how do they get more of those people but how do we make all of our people continually more productive?”

These questions are what formed the thought process behind the program. “It was really a complete system,” he explains. “Coaching was a big part of it but it’s arming them and equipping them with what they need to do this process a little bit differently.”

 

Top objective: Staying number one

 

Fairfield says the company’s number one objective continues to be performing at number one in every market it serves. This is something it’s doubling down on.

“In Canada, we have that currently but we also know if we get complacent we can lose that very quickly. So, we want to make sure that we’re number one in every market we serve regardless of country,” he says.

“That’s the number one objective and the way we do that is by helping our brokerages continually attract the top-producing agents in any of the markets they’re in.”

 

‘You want to play better golf, you play with better golfers’

 

Transactional count is the first focus for Re/Max, and the company knows that successful people want to be with other successful people.

“Especially at times like this when there’s a lot of chaos and noise, (agents) want to be a part of an office that’s thriving and growing and full of like-minded, top-producing agents. Steve Murray coined the term ‘the silver tsunami’, (meaning) a lot of the industry is beginning to age out,” he says. “Just because we have that dynamic in our offices today doesn’t mean that we automatically will next year.”

Fairfield points out it’s about getting ahead to ensure the company continues fostering the top-producer environment its agents are looking for. “They want to be with people that do more business. It stretches them. It challenges them. You want to play better golf, you play with better golfers. That’s really the concept we’re pushing on, making sure that our offices continue to be that environment.”

 

Canadian expertise and perspective

 

There are more than 26,000 Re/Max real estate agents in Canada and more than 900 broker/owners. Currently, the coaching program is solely for broker/owners, team owners, managers and recruiters.

“Agents are our next evolution … We’re going to roll out the ability to do one-on-one coaching for our agents as well, really focusing on the Re/Max model and tools, coaching to what they have available to them,” adds Fairfield.

Kelley Skar, realtor with Re/Max Kelowna and Max/Recruit coach for Canada, was one of the first coaches hired for the program. He’s been in real estate for 17 years, first in Calgary and now Kelowna, and has been coaching officially and unofficially since 2013. 

 

Helping to solidify the broker/owner’s value proposition

 

Skar says the direct benefit to the agent in coaching the broker is helping to solidify the value proposition, not of just the brand and the company but also of the individual broker/owner.

“Far too often we’ve seen in our business that it’s incredibly difficult for some broker/owners to verbalize and articulate what it is they bring to the table. That’s part of what we’re trying to do with Max/Recruit in helping them realize that value, so they can then properly train, coach and mentor the agents. That’s really the downhill effect and trajectory,” he explains. 

 

Getting the word out

 

Skar mentions there are multiple channels leveraged through the company’s network to get the word out about Max/Recruit, but that it’s a slow build. “We’re slowly building this company inside of the Re/Max network (and) getting the word out as much as we possibly can through other industry events.”

As for the process to get started with Max/Recruit coaching, Skar explains: “If a broker is interested in coaching with us, then we jump into a discovery call to determine what their needs are and if they’re going to be a right fit for coaching. (If so), we get them to enroll and it’s a minimum six-month commitment.”

 

A holistic approach fit to each user’s needs

 

Skar says they’re taking a holistic approach to the program and try not to fit anybody into a box. 

“We’re not trying to shoehorn someone into a system. We really want to listen to the broker network and understand what their needs are. From there, we can craft and formulate a coaching plan that’s going to fit not only their needs but also their behavioural profile and their styles.”

 

There have been two pivotal moments for realtor Faisal Susiwala that have really set the stage for his journey in life — one as a top realtor and the other as a person dedicated to providing housing for those less fortunate in the world.

The first pivotal moment took place when he was still a teen. He met some South African people who launched his real estate career at this young age by purchasing $2 million in property through him.

The second was on September 11, 2001, when he and his pregnant wife miraculously survived the World Trade Center terrorist attack by a twist of fate.

 

His background

 

Susiwala has sold the highest number of houses in Canada since 2017. Plus, he has ranked as Top Selling Agent in Canada and #2 in the world in the Re/Max network while being an Amazon best-selling author with his book The Real Deal.

Susiwala was born in England. His family moved to Cambridge, Ontario in 1973 because his father was a weaver working in the textile industry, and at that time Cambridge was a big textile town. He’s still based there today, with Re/Max Twin City. 

 

A spirited entrepreneur from a young age

 

“I’ve been very fortunate and blessed,” Susiwala says. 

“I was 17 when I got interested in the real estate business. I was watching late-night television one night and saw an infomercial of this Asian gentleman by the name of Tom Vu. He was an entrepreneur who came from Vietnam, sitting on the back of a yacht with beautiful ladies and I thought, I want to be like this guy. He talked about how he made all his fortune buying and selling real estate.”

Susiwala was an entrepreneur by spirit at an early age. He wanted to learn more, but Vu’s course was so expensive that the teenager just couldn’t afford it. So in 1987, he checked the local colleges.

Conestoga College had a course on real estate. At the time, he didn’t realize the course would lead to licensing — he just thought he would learn how to invest in real estate. All of his fellow students were in their 40s and 50s, and he was just a young kid taking a six-week course during the summer.

 

First deals landed from paper route

 

Initially, Susiwala hooked up with his father’s friend, Reid Menary, who’d helped his father with his first apartment when the family moved to Cambridge. The 73-year-old independent real estate professional became Susiwala’s broker, mentor and friend.

The first few listings and business he did were essentially from his paper route.

In November 1988, Susiwala received an invitation to a fundraising dinner in Toronto. At his table were some South African people. Susiwala gave one of them his card as they were thinking of buying real estate in Canada. 

“In the next six weeks that followed before Christmas of that year, I sold over $2 million worth of real estate to them. I sold a block of townhomes, I sold a commercial building and I sold some development land to them. My commission at that time was $60,000 on those sales and the average household income at that time was about $38,000,” he recalls.

“At that point, I went back to mom and dad, who are South Asians from India, and told them I’m not going to go to university. I’m going to do this for a living. They, of course, got very upset with me.” 

 

A brush with death

 

The second pivotal moment in Susiwala’s life was his brush with death on 9/11. In September 2001, he and his wife, with a son to be born in January 2002, were originally staying at the World Trade Center’s hotel on their first night in New York City but then moved the next day to another nearby hotel.

They were in their hotel room on September 11 when they heard a big bang. 

“What was interesting about it is we were reserved for September 11 on the 104th floor of the World Trade Center at the Windows of the World restaurant for breakfast at 8:30 a.m.,” explains Susiwala. “And we didn’t go. That was the turning point of our lives. What stopped us from going? We were out the night before. It was a late night. My wife was tired in the morning. We decided we would go for lunch instead of breakfast.”

At about 8:45 a.m., a plane crashed into the World Trade Center.

 

Finding a greater purpose

 

“I think back. I talk about it a bit in my book on how that was a turning point in my life where you look at where your purpose is, and that has a lot to do with my mindset of giving back … Each day is a blessing,” he says. “It gives you a higher purpose in life than just getting by. When you look at the blessings you have in your life, how do you give back, pay it forward, do some good, leave some legacy in this world before you check out.”

Susiwala is giving back and fulfilling his purpose as an ambassador with the World Housing organization. Its mission is to provide homes to families, giving them the chance for a better life. The organization was introduced to him over a year ago through a developer he worked with. 

“They have a group of philanthropists that fund it so that 100 per cent of the money that they take in goes toward the need and the costs. Building homes in the Philippines. Building homes in Zambia. Building homes throughout the world where there is poverty and just basic housing isn’t available,” explains Susiwala.

“A group of individuals have gotten together to fund all of this and what we’ve committed to do — developers, builders, agents — is that for every home we sell on one project, we (give) $250 per home to World Housing.” He notes that between $5,000 and $7,000 helps facilitate the building of one house in the Philippines, Zambia and parts of Pakistan.

“I was doing this independently for years before World Housing came into my life — I was building homes for widows in Multan, Pakistan. We build small villages, and between $5,000 to $6,000 gets them a house and food for a year. That was the project I’ve been doing for many, many years now and I thought World Housing complements it.”

Susiwala says he became an ambassador for World Housing so he could help move things along through an organization, as opposed to himself independently, through resources in those countries.

“My life has been enhanced and changed as a result of being in the industry. Housing has done so much for me. It’s just a way of paying it forward for me.”

 

– Faisal Susiwala

 

Current efforts

 

Right now, Susiwala is working on a project with the Zehr Group and Cook Homes to build 76 townhomes in Waterloo, Ontario. Zehr has committed $250 per home as a developer and Susiwala has also committed $250. The hope is to raise $40,000 to $50,000 from that project to donate to World Housing.

He also recently donated $25,000 to give the project a jump start because these countries need help now.

From World Housing via Faisal Susiwala

 

“I’m creating housing locally and I’m helping people find homes locally. By doing so, I’ve been very blessed. I’ve earned a fantastic living,” Susiwala expresses.

“It gives me a lot of pride in helping people less fortunate get into homes and actually create a life for themselves, because if they didn’t have a home they wouldn’t have security, their kids may have to go out into the workforce at a very young age and widowed women would have to do businesses that are not acceptable in our society.”

He sums up what this actually means at the end of the day: “If you give somebody a home, you’re actually giving them security and you’re changing their life.”

 

Photo source: Homeshack.com