Why won't clients take the professional's advice.

My experience has shown that many clients feel they have difficulty getting "the right" information and advice to make informed choices in all aspects of their real estate transactions. I am addressing residential and new income property clients, my field of focus. Clients choose to use the services of agents, inspectors, loan officers, notaries, et al who present a daunting volume of knowledge clients don't/won't/cannot/should not engage themselves to learn.

They rely on us to provide the "best" advice. And, as they have difficulty expressing what they want, we can often miss meeting expectations. We all know what can happen then.

So how can I / we help clients meet their own expectations and those they place on us?

We cannot tell clients what to think. There are too many "professionals" out there doing that already and each tells a different story according to clients. How are they to believe anyone if they are being told the "right advice" is to turn left by one pro and then to turn right by another?

My approach is not to tell clients what to think; instead, I encourage them to get a second/third opinion and to come back to me to discuss it before they make their decision. I do not try to convince them or sell them and instead provide perspective and guidance. In this way, the benefits are that I keep in touch with what information is being presented in the marketplace and I have the opportunity to correct clients if they have been given information that might lead them astray or misinform them. And, I have the opportunity to make mistakes and correct them.

What is our role as a professional?

Clients expose/present different tidbits of information to different people for many reasons. They cannot be expected to provide everything they are thinking in every conversation. They do not know clearly what trade-offs and compromises they are willing to live with from one point in time to the next. The reason for these "gaps" when buying and selling properties is that this is a "decision process" that grows with time and changes as a client's information base grows.

Our job, as professionals, should be to take on the role of teacher and coach rather then the too often, simply titled, "salesperson" role to the client. Yes, we want to "close" the deal with the client. And yes, we have to ABC at every opportunity. However, ask yourself about your last purchases and think about who the best salesperson was and why?

The question professionals should ask themselves when deciding what next to say to a client is simple: "Who makes the buying decision, the salesperson or the client?" It is the client who has to willingly take the money out of their pocket and willingly give it to you.

Keeping this in mind, is the client more likely to do that if they feel you have pushed them to believe you over someone else OR if they believe you have looked out for them and were interested that they be best informed to make their own decision?

What should I / we remember?

Yes, we are absolutely in business to sell a product / service. The clients know this and there is no reason to shy away from our purpose or to try to hide this fact. We then have the choice to sell by pushing our product / service forcefully and blindly or we can use our knowledge and skill to "teach" the client how to make an informed choice and present the benefits of ours over theirs, all the while "coaching" the client on how to make the best decision to satisfy their wants and needs.

Professional advice should be just that, "advice".

Unfortunately, due to a new database search tool offered by the Montreal Real Estate Board (GMREB), I will be unable to provide meaningful monthly statistics. Query results do not allow for practical data tabulation to present meaningful statistics as I have done until the end of 2007. For this reason alone, I will not be able to continue this post.

The tool will help agents better service our clients.

Westmount, Cote St. Luc, Montreal-Ouest, Notre Dame-de-Grace

Market figures are from the Greater Montreal Real Estate Board's (GMREB) Multiple Listing Service (MLS) database.

The Month's Inventory along with year to year comparison of sold properties represent market conditions. Statistics are presented by property type as individual homes, condominiums and multi-unit (plex) properties have different selling cycles.

It is important that my clients know market conditions and understand the market. Misinformation is common in the real estate industry and can be a disservice to clients making decisions on faulty information.

I compile more complete information than can be exhibited here that can aid in decisions when buying and or selling. As my client, this information is made available for your use. One month's activity does not make a trend and so I use quarterly and other market information to advise my clients and help them make better real estate decisions.

Westmount, Cote St. Luc, Montreal-Ouest, Notre Dame-de-Grace

Market figures are from the Greater Montreal Real Estate Board's (GMREB) Multiple Listing Service (MLS) database.

The Month's Inventory along with year to year comparison of sold properties represent market conditions. Statistics are presented by property type as individual homes, condominiums and multi-unit (plex) properties have different selling cycles.

It is important that my clients know market conditions and understand the market. Misinformation is common in the real estate industry and can be a disservice to clients making decisions on faulty information.

I compile more complete information than can be exhibited here that can aid in decisions when buying and or selling. As my client, this information is made available for your use. One month's activity does not make a trend and so I use quarterly and other market information to advise my clients and help them make better real estate decisions.

Westmount, Cote St. Luc, Montreal-Ouest, Notre Dame-de-Grace

Market figures are from the Greater Montreal Real Estate Board's (GMREB) Multiple Listing Service (MLS) database.

The Month's Inventory along with year to year comparison of sold properties represent market conditions. Statistics are presented by property type as individual homes, condominiums and multi-unit (plex) properties have different selling cycles.

It is important that my clients know market conditions and understand the market. Misinformation is common in the real estate industry and can be a disservice to clients making decisions on faulty information.

I compile more complete information than can be exhibited here that can aid in decisions when buying and or selling. As my client, this information is made available for your use. One month's activity does not make a trend and so I use quarterly and other market information to advise my clients and help them make better real estate decisions.

Westmount, Cote St. Luc, Montreal-Ouest, Notre Dame-de-Grace

Market figures are from the Greater Montreal Real Estate Board's (GMREB) Multiple Listing Service (MLS) database.

The Month's Inventory along with year to year comparison of sold properties represent market conditions. Statistics are presented by property type as individual homes, condominiums and multi-unit (plex) properties have different selling cycles.

It is important that my clients know market conditions and understand the market. Misinformation is common in the real estate industry and can be a disservice to clients making decisions on faulty information.

I compile more complete information than can be exhibited here that can aid in decisions when buying and or selling. As my client, this information is made available for your use. One month's activity does not make a trend and so I use quarterly and other market information to advise my clients and help them make better real estate decisions.

Moving forward to develop my business I realized I cannot increase my profile working in many neighbourhoods. For this reason, I am focusing on the neighbourhoods I know best. And so, I have altered my market statistics to reflect best the activity within the major districts I serve: Cote St. Luc, Montreal-Ouest, NDG and Westmount.

Market figures are from the Greater Montreal Real Estate Board's (GMREB) Multiple Listing Service (MLS) database.

The Month's Inventory along with year to year comparison of sold properties represent market conditions.

It is important that my clients know market conditions and understand the market. Misinformation is common in the real estate industry and can be a disservice to clients making decisions on faulty information.

I compile more complete information than can be exhibited here that can aid in decisions when buying and or selling. As my client, this information is made available for your use. One month's activity does not make a trend and so I use quarterly and other market information to advise my clients and help them make better real estate decisions.

The districts shown below exhibit the market conditions for June 2007 as per information presented by the Greater Montreal Real Estate Board's (GMREB) Multiple Listing Service (MLS) database. The market condition is represented by the month's inventory and the number of sold listings to new listings along with the yesr to year comparison of sold properties activity. Though one month's activity does not make a trend, I track this activity every month and use the information to advise my clients providing monthly and quarterly information to help with real estate decisions.

I find it important that my clients know that I understand my marketplace. Misinformation is common in the real estate industry for many reasons.

I compile more information than can be exhibited here that can aid in decisions when buying and or selling. As my client, this information will be made available for your use when working with me.

The districts shown below exhibit the market conditions for May 2007 as per information presented by the Greater Montreal Real Estate Board's (GMREB) Multiple Listing Service (MLS) database. The market condition is represented by the month's inventory and the number of sold listings to new listings along with the year to year comparison of sold properties activity. Though one month's activity does not make a trend, I track this activity every month and use the information to advise my clients providing them with monthly and quarterly information to help them with their real estate decisions.

I find it important that my clients know that I understand my marketplace. Misinformation is common in the real estate industry for many reasons.

I compile more information than can be exhibited here that can aid in decisions when buying and or selling. As my client, this information will be made available for your use when working with me.

Buying and Selling near the center of Montreal Island

Montreal is a wondrous city filled with tolerance and uniqueness within Canada and North America. Understanding Real Estate properties near the center of the island of Montreal is very different than buying and selling property in the West and East end or off island. Buyers and Sellers should be careful when selecting your agent to work with you to buy or sell near the center of Montreal in the older neighbourhoods. And more.

Seasonality of the Montreal Market

It is not often accepted that Montreal has 3 seasons for Real Estate. Spring by far outweighs the rest of the year in heavy transactions and slows down rapidly in June leading into the summer season where so little happens that many agents take a month or more off work. The fall season is the second chance season for those who did not sell in the spring or for those who want to test the market in preparation for spring. Of course, for those who absolutely need to sell or buy, there is no season as it is their time frame that will drive their decisions. Buyers and Sellers should have an agent who can use this fact to better market their property for sale and to help buyers reduce the price they pay.

July 1st in Montreal

Exclusive to Quebec is the end of apartment leases on June 30th. The wide spread acceptance of this anniversary date in Montreal moves landlords to change lease periods on leases started on any other date to July 1st for renewals. By law, the government insisted that landlords inform their tenants of any lease increases more than 3 months prior to the lease renewal date, in writing, so that the tenant may have the right to refute or accept the increases to their rent. If the tenant does not respond to such a request 3 months before the lease renewal, then the lease is automatically renewed. In Quebec, it is difficult to remove a tenant from an apartment and the rules, laws and possible recourses should be understood before purchasing a rental or revenue property. If a buyer purchases a revenue property with the intention to move in and ask the residing tenant to leave, then they must be aware of the laws protecting the tenant that will affect the new owner. A tenant protected by a 12-month lease ending on June 30 must be given written notice 6 months before AND in the last calendar year (by December 31st) of the new owner’s intentions to move in to the space. If the new owner advises the tenant after this date, say on January 1st then the tenant has the right to renew the lease after June 30 for another calendar year. The owner can then advise the tenant for July 1st of the following year. This means that the owner would then have to wait 1 and 1/2 years to gain access to the space. Laws in Quebec should be considered when buying a revenue property and your Real Estate Agent should be sufficiently knowledgeable to advise you on the basics. More than that and you will be referred to a qualified legal expert in the field.

Montreal Tenants and Landlords

In Quebec, getting rid of a tenant is not easy as is controlling who lives in your revenue/rental dwelling. Sub leasing can become an issue if you cannot control whom the tenant subleases the dwelling to. Assignment of the lease is another tool offered the tenant to leave a dwelling and to hand over the lease to another party. Rent increases in Quebec are strictly controlled and disallow increases beyond the accepted level deemed appropriate by the rental board plus a percentage for improvements and repairs that can again be reviewed by the rental board. An agent understanding these limitations can help a buyer factor in potential costs against potential revenues when considering purchasing a rental of revenue property.

Divided and Undivided

Montreal has many properties previously used as rentals now being renovated or restored and coming on the market as condominiums. Buyers are not always versed on the 2 common types titled in the industry as “divided” (condos) and “undivided” (co-proprietorships). The basic difference between the 2 is as follows: a divided property allows a buyer to purchase a living space within the building. The building is composed of common spaces and purchased spaces. All condo owners maintain the common spaces and the individual owners maintain the inside spaces they own. Co-proprietorships are such that owners buy a portion or percentage of the entire building and living spaces and decide amongst themselves how to maintain all. There are also rules guiding the financing of these different categories that apply and I will not deal with here. Caution is warranted to buyers who do not understand the individual differences between these two unique forms of ownership. Your agent should be able to advise you on the costs and benefits.

Mortgages

Rules on first mortgages are different in Quebec. Buyers can be pre-qualified then pre-approved before they are actually approved to obtain a mortgage. It is important to understand the difference before you shop for a home, as it is important for the seller to understand the status of buyers visiting their home. Pre-qualified is a simple calculation performed by a financial institution to suggest a buyer might qualify. Pre-approval is a more in depth study of the buyer’s financial position and allows the buyer to shop with a degree of confidence knowing a mortgage can be provided based on their financial situation. Approval requires a signed offer to purchase along with a bank approval of the property before a mortgage will be granted. Each step does not guarantee a mortgage will be approved and the clients should investigate outcomes based on their individual situation. As an example to new comers to Montreal, new residents in the medical school at McGill can be shocked to learn that even though they have been granted a large line of credit, it does not mean they will be able to obtain a mortgage. I have heard it more feasible outside our province though have experienced the difficulty here in Montreal for them to get a mortgage. Your agent should work with experienced mortgage brokers who can shop around and negotiate deals to help you obtain good financing.

Sectors and Neighbourhoods

Coming to Montreal, it is not always apparent that there are pluses and minuses to settling into different sectors or neighbourhoods. Montreal is a very old city and as a result, the age of homes, the history of the sector will affect the lifestyle conditions within a neighbourhood. It will also affect the costs of entering and then maintaining a home. Montreal, an island, has limited space. and as Montreal has grown, the outer lying sectors have grown too. This has created a more difficult passage, during rush hours, on to and off of the island. As a result, Montreal is becoming more desirable to those who do not wish a commute each day. Therefore, many sectors on the island are going through a gentrification period. There are mixed groups living in the same neighbourhoods and the value of neighbourhoods will be affected positively or negatively based on the potential to complete the gentrification process in a reasonable time or the degree to which properties can be restored and updated. Understanding the sectors and neighbourhoods are an important part of your Real Estate Agent’s function to advise you to assist you in achieving your goals when buying or selling.

Regional Pricing

Not everyone understands the housing price structure in Montreal. Montreal Island pricing is determined, basically on concentric rings fanning out from the center Mountain called Mont Royal. Variations are affected by history of a neighbourhood and desirability along with cozying up or proximity to expensive properties. Your agent must have intimate knowledge of the history of the properties to guide you through the maze of pricing on the Montreal Island.

Structures and Foundations

Given that Montreal is a very old city for North America, it follows that methods of construction have changed along the way. Understanding the age of sector housing and the many methods of construction will help a buyer or seller realize the value and costs to buying or selling a property. Foundations in Montreal, have gone from stone, to hand poured to form-filled concrete over the last 100 years. The life of foundations will dictate the work needed to maintain or replace old foundations. As well, different sectors used different quarries for foundation materials that have led to issues of organic (dirt) contamination in foundations in some sectors, and pyrite issues in others. The construction of homes too has changed and can affect the integrity and heating costs to a buyer. Knowing that a home is double or triple bricked understanding it’s age can help to identify potential weaknesses such as the joists that were hung in a row of bricks and is now rotted due to moisture held in the brick touching the joist. Knowing that a home constructed in the 60s of wood planks and brick can guide a buyer to certain conclusions. An agent with experience and knowledge working in the center of Montreal would be better qualified to help a buyer or seller than would an agent say who is used to selling new homes off island where few homes are older than the 1950s or 1960s.

Heritage

Montreal has created Heritage Montreal to protect and conserve its historically constructed properties. Awareness of this fact will serve those buyers who want a “home with character” as at times, they purchase with the intent of modifying their purchased home only to discover that the cost to maintain its historical look will cost them multiples of what they expected. That is if they can perform the modifications at all. Your agent should understand and be able to identify these homes to advise you of the implications on your decisions.