The expose

With $1.2 billion a year from the feds, the CBC does a great job in showcasing feminist authors, LGBT++ issues and throat singing. When it comes to finances and real estate, turn it off.

Days ago, the Corp used secret cameras and deception to ‘expose’ illegal activity on the part of realtors who don’t want to deal with FSBO sellers. The allegation was that agents guide potential buyers away from do-it-yourself vendors who are selling privately in order to avoid paying commission. In other words, sellers can steer away agents but agents can’t steer away purchasers. And this is an outrage.

Here’s the context. Normally houses sell in a regulated marketplace and a commission (say, 5%) is paid by the seller to the agent who orchestrated the deal. That listing agent then gives half this commission to the agent who represented the buyer. Then both share the commission with their brokers, or corporate partners where they work as independent agents. So a $1 million house sale might throw off $50,000 in commish, of which each agent gets half and, after paying their brokers, ends up with $12,000 or $15,000. And, of course, agents pay their own expenses. Car. Gas. Phones.

Now even more illuminating is that lots of realtors in our hot, pandemic, crazy-stupid market are starving. One in five licensed agents in Toronto, for example, sells nothing in a year. About 70% sell fewer than six properties. In fact, just 20% of agents sell 80% of the houses, and usually with large teams of expensive employees.

There are 258,000 people in Canada working in residential real estate sales, and about half of them are commissioned salesfolk. By the way, same story in the US. The average agent there sells 4 to 6 homes a year and has a gross median income (before professional expenses) of $49,700. Is this something you really want your daughter pursuing?

But I digress.

FSBOs have but one motivation: greed. They want to maximize the money they can get for their property by trying to weasel out of paying commission. But if a buyer shows up who is represented by an agent (as all intelligent buyers should be) that agent expects to be compensated for the work done – and, on average, a buyer’s agent spends about six months helping people find a home. Without pay.

A CBC reporter pretending to be a buyer called three random agents and asked to view a home the ‘journalist’ knew was a FSBO, with a seller offering just a 1% commission to the agent of a purchaser. One agent complied. Two found excuses not to waste their time (without even knowing the CBC was deliberately wasting their time in a trap) and steered the pretend buyer away from the sell-it-yourself home. This was the basis of the ‘expose’ on realtor crime.

Wow. And we all paid for that.

As this blog has spelled out in the past, smart people never buy from a FSBO. Lots of reasons. You’ll probably pay too much, since a FSBO never discounts a price to offset the commission being saved and inflates the ask. They want it all, usually with scant room for rational negotiation. Second, there’s little or no protection against misrepresentation, vendor lies or deception as would be the case when dealing with a reputable real estate market entity. The provincial regulator is not involved in a private sale. The only recourse is the courts. Expensive. Slow. So if you save nothing, probably pay more and increase risk with a FSBO deal, why do one?

Meanwhile agents hate DIY sellers for reasons other than cheap. Showings are hard since most FSBOs insist on being present (a really bad idea as that inhibits buyers) and lack lockboxes that allow agents to schedule things conveniently. Moreover, FSBO properties are usually overpriced, since sellers are amateurs who get their market info from the hyperventilating media or their brother’s friend’s cousin’s sister who sold with multiple bids. There’s also too much emotion flying around, since a FSBO is trying to market, negotiate, sell and close their own family home without the benefit of an experienced intermediary.

In short, everyone wishes to avoid these people. As they should. Especially when your livelihood depends on it, in an eat-what-you-kill industry with no benefits, pensions, employee protections, public love or stable income.

Greed is unseemly, but understandable. Entrapment and distortion? Unforgiveable.

About the picture: “I am a long time daily reader of your blog.  I love the photos,” writes John. “I thought you might enjoy this photo I took up the street from my house in Kitchener.” Seems appropriate.

158 comments ↓

#1 crowdedelevatorfartz on 10.24.21 at 10:55 am

I guess Realtors would gain more sympathy from the general public if their cartel was a bit more open with it’s breathless pump, pump, pump questionable narrowly focused sales “statistics” about markets (that they overwhelmingly control).

As for the CBC and it’s endless politically correct wokeism…… a burning billion dollar dumpster fire doesnt smell as bad..

#2 Baba Novac on 10.24.21 at 11:02 am

Hi Garth,

Any chance the Weekly Call from this week can be updated/uploaded? You still have the Oct. 12 call as I write this.

It used to be some nice to have an archive of those calls, to be able to go back a few weeks, if one had missed them.

Anyhow, hats off for a great and free tool for educating the masses (as well as your clients). It’s just that the dog is eating the tape more than previously…

Thanks and keep up the good work. It’s working for many!

#3 Felix on 10.24.21 at 11:06 am

Wonderfully accurate photographic representation today of the dogawful curse that useless canines are upon this planet.

#4 David Pylyp on 10.24.21 at 11:18 am

Love the perspective in the post.

Thank you
David Pylyp
Toronto

#5 ts on 10.24.21 at 11:20 am

Or how about going with an alternative realtor such as Purple Bricks who charge a flat rate? They represent the buyer and do everything a real estate agent does.

#6 Anyone but Trudeau but not Jagmeet.. on 10.24.21 at 11:24 am

Last year we were hit with the worst global pandemic in a 100 years. As this new coronavirus spread around the world, the global economy was ground to a halt, resulting in unprecedented job losses and economic carnage.

The governments DID THIS, NEVER FORGET!!

THE GREATEST SCAM IN THE LAST 100 YEARS..

#7 Mark on 10.24.21 at 11:26 am

you’re way off the mark on this one, Garth. imho, of course. Realtors have set up a nice monopoly for themselves, where they can charge whatever they want. Why should fees stay at 5% when prices have increased 30% y/r? On a $1m property, are they doing an extra $15k of work compared to last year? it’s insane. And I can’t believe they get away with it. Here’s an idea: Don’t license 600,000 realtors. then they would all sell houses, could charge a reasonable fee, each of them could put food on the table and people wouldn’t need to pay someone half a year’s salary for a few hours of work.

#8 Honest Realtor on 10.24.21 at 11:26 am

Thank you, Mr. Turner, for defending the integrity of our profession.

Integrity was not mentioned. – Garth

#9 Ted Sanders on 10.24.21 at 11:26 am

Just because someone doesn’t want to pay commission to a realtor (that does very little work to earn it), doesn’t mean they are greedy.

#10 Dr V on 10.24.21 at 11:27 am

Saw the marketplace episode last week. Puzzled over the commish issue on the FSBO.

Apparently the buyer’s agent is required, by law, to show the FSBO to their client if it fits the buyer’s preferences (type, size, location, price…) and they request to view it.

But does the realtor then have to accept (or negotiate)
the commission offered by the vendor? Seems odd.

If the realtor is working for the purchaser, shouldnt it be the purchaser who pays the realtor? As there is no listing agent, and no work on preparing a listing, 2%
might be fair.

#11 JMM on 10.24.21 at 11:37 am

Pre/post-pandemic job postings on Hacker News that mention that the job is remote:

https://rinzewind.org/blog-en/2021/percentage-of-hacker-news-job-postings-that-mention-a-remote-option.html

Garth, they didn’t get the pants memo. Tell them something about talent in the office, please.

#12 I'mshort_corpdebt on 10.24.21 at 11:43 am

Oh puleeez, for the actual ‘work’ realtors do, fsbo should be the norm.

#13 daisy on 10.24.21 at 11:49 am

Was this post paid for by the real-estate cartel?

Agents are people. Cartels are organizations. They were not referenced in this post. – Garth

#14 Andy on 10.24.21 at 11:49 am

Garth, you are way off on this, from my experience.

I have sold many properties both with realtors and as FSBO.

My experience with realtors has been very disappointing, even disgusting. Just some examples:

-Not even showing up at open houses or buyer visits
-Not advertising properly, effectively or or on time – to save themselves money
-Accepting or rejecting offers without my consent
-Using my property simply as a ruse to help them direct buyers to another property they are selling
-Not being willing to release me from a BRA, when their incompetence means there is no other option but to dump them

And still more……..

This field of work basically requires a pulse and a few hours of study. I’m sure even your beloved pooch Bandit was a “realtor”, no?

As a FSBO seller, I have been very reasonable, successful, and faster in making and closing deals than any agent ever was for me.

Of 12 properties sold in 20 years, I have done 8 myself, agents 4. My sales were far more efficient and profitable for me.

No comparison. Most RE agents are unemployable losers who couldn’t get a job as a cashier at Costco.

It’s a cartel that needs to be smashed to pieces.

“Most RE agents are unemployable losers who couldn’t get a job as a cashier at Costco.” That is a shameful generalization. And what are the people at Costco to think? Are they also inferior to you? Andy, you owe many an apology. – Garth

#15 Shawn Allen on 10.24.21 at 11:50 am

A couple corrections on Pensions

#64 Wrk.dover on 10.23.21 at 6:38 pm
#47 BillyBob on 10.23.21 at 2:50 pm

I look forward to collecting CPP/OAS some day in a foreign country.
____________________________

I know I don’t owe you a favor but, I’ll let you know; the requirement to collect OAS is to be resident!

*****************
The residency requirement is to QUALIFY for old age pension. If you qualify for old age pension I am almost certain you are free to move anywhere in the world and still collect it.

But I also think it is not so easy to move. Canadians have no right of entry to other countries. They may or may not allow you to live there and they set the conditions.

Next Someone claimed that defined benefit pensions drop at age 65 when CPP kicks in. Not usually!

#48 Tarot Card CPP facts on 10.23.21 at 3:22 pm responded to me:

To Shawn Allen obviously you do not have a clue what your talking about in regards maximum CPP and defined benefit plans

All government employees technically do not receive CPP
Back in 1966 when the CPP was created all defined pension plans in Canada were merged with the CPP

So a federal public servant Pension plan and for that matter any person with defined pension plan includes the CPP in the calculation of defined benefit.

Many people do not understand this and rave on and on about a topic they have no clue.

But all defined benefit plans are the same!

As soon as you turn 65 your defined pension plan is reduced by an equivalent amount equal to the CPP at 65.

*******************************
Agreed CPP came in around 1966 and most DB plans did take it into account. Many DB plans pay out based on a percentage of best 5 years salary times years of service. In the case of the main Alberta government plan it is 1.4% per year UP TO the Canada Pension maximum pensionable earnings and 2% for wages above that.

If you retire early there is an OPTION to coordinate and levelize with CPP such that you get more money before age 65 but then no bump when CPP kicks in at 65.

I personally started collecting my pension at age 55 and chose no coordination with CPP. My CPP will kick in when I choose and my Alberta pension will not decline.

Also some DB plans simply pay out at 2% of best 5 year salary salary per year for all wages.

You wrote that all DB plans are the same. I guess you meant in regards to CPP. They most certainly are not.

As Linda noted my numbers on maximum CPP were correct and you may apologize to me for suggesting I have no clue about it and about DB pensions. I only share truth and I have the chops to know what I am talking about. I may get something wrong once in a while and I admit it if I agree I am wrong. But my posts are always based on knowledge. I will admit I try to get a rise out of people at times but I never ever mislead or post anything I do not believe. You’re Welcome!!

#16 T-Rev on 10.24.21 at 11:54 am

Pretty obvious that the CBC doesn’t do “news”, they do propaganda. When’s the last time you saw a focus on the economy, public debt, massive deficits, or an arrival questioning the logic of the cancel culture left, or probing the growing movement towards outright socialism?

Things are worth what you pay for them, including free media. Any news content you can access for free is garbage, including CBC, Fox, CNN. All rubbish of the highway order. Some exception for content on Twitter, but I hate the platform and what it does to people.

Unmade a conscious decision to pay for content a while back. I have a couple paid news subscriptions to what I consider to be the highest quality and balanced news sources. I’d encourage everyone who complains about the current state of the media to do the same. If you don’t pay for the product, then you are the product and outrage is the currency. You will be fed content that has evolved to be sensational and alarming so that you will stay engaged with it, in order to allow longer and more complete access to you as the product, so that they can either sell your info to others so you can be manipulated by more precise marketing, or so that you can be manipulated by purveyors of ideology who’s ultimate goal is either your vote, your action, or your inaction.

So pay some money and subscribe to a damn paper or magazine. It may just help save civilization.

#17 Quintilian on 10.24.21 at 12:01 pm

“Greed is unseemly, but understandable. Entrapment and distortion? Unforgiveable.”

I can’t understand your defense of an industry that is insidiously causing untold and incalculable damage.

Some of the shyster realtors earn nothing because that is what their service is worth.

The ambitious and aggressive charlatans are driven by greed which doesn’t match what their qualifications would earn, but they like the Audi and wearing a tie, or push up bras and big hair.

My GF had a sales rep on her staff, who was later found to be a Relator on the side.

He would use the company time, car, cell, laptop, etc to do his side line, while collecting a regular paycheque and commissions from the company.

When they reported it to the RE board, they were told it was “unfair” to the other realtors they competed with, however; it was not illegal, although illegal only in some provinces.

Most people I know hate realtors, politicians, criminals and used car salesmen, but only a few hate the CBC, but I digress.

What a sad society this has become. Full of anger, resentment, hostility and venom for others. All because of money. – Garth

#18 Flop… on 10.24.21 at 12:07 pm

So I’ll write another entry about so-called affordable housing in Vancouver.

Wrote one the other day about an extensively renovated detached house in the hipster part of town that I’m glad they didn’t bulldoze and sold for 1.19 to give someone the shot at home ownership on a somewhat manageable scale for average folk.

Plenty of new duplexes in my hood, one nearby the bought a knockdown for around 1.1, built the structure, then sold the front half for 1.5ish and decided to live in the back, quieter half with a larger private patio.

That’s one way to do it.

With city hall pushing side street density again, with six units on one lot possibly coming to a house near you, I fail to see how this is going to solve anything and only cause problems for people that were seeking some form of solace in a cityscape.

I am a slow learner, and for that you can thank The Tasmanian Board Of Education.

Say they build a 3000 sq ft structure, divide that by six, not even allowing for inevitable shared areas, and each person would get get 500 sq ft of living space.

I am going to coin a term for these small areas and call them condos.

As of right now, to my knowledge on a standard Vancouver lot ( 33 ft x 122 ) you are allowed to build a structure around 2800 sqft , or around 70 %of the lot size, one sketch I saw drawn was 4 stories, so probably getting closer to 4000 sqft and your neighbours will ask you for a weather report daily because they will never see the sun.

No fourplexes in my area that I know of.

I fourplex in my mind is four units in one structure but with the density push could this development in Killarney be the future of my detached house neighborhood?

https://www.zealty.ca/mls-R2626630/5447-KILLARNEY-STREET-Vancouver-BC/[email protected]

They want 1.29 for this one, 961 sq ft of living space.

O.k, so what I gather is the developers bought 5443 Killarney St, which was an oversized 57 ft x 150 lot and built 4 separate units on it.

https://www.zealty.ca/mls-R2625114/5449-KILLARNEY-Vancouver-BC/[email protected]

Here’s one of the back units, they recently lowered the price from 1.34 to 1.17, 982 sq ft of living space.

So, although nice finishes inside, they are asking around 1.2 million for something that looks and has the same size as a coach house.

If Mayor Kennedy Stewart held a gun to my head, and made me choose between buying a unit like this, or living in a six-plex then I would choose this style all day long.

Could be worse, Alec Baldwin could have the gun…

M47BC

#19 crowdedelevatorfartz on 10.24.21 at 12:09 pm

@#10 T-Rev
“So pay some money and subscribe to a damn paper or magazine. It may just help save civilization.”

++++

100% agreement.
When the CBC digitized and you have to create a “password” to watch a taxpayer funded tv channel…. they lost me….and millions of other grey hairs that were their prime viewers.
( accidently shooting one’s self in the foot comes to mind)
I watch the 6pm Global ‘News” via Amazon Prime ( I refuse to get roped in on a TV contract where I am PAYING to watch advertising).
As for Global “news” , I last about 5 to 10 minutes before the woke, politically correct, 1st nations endless blame sessions, drive me away to channel surf.

As for excellent unbiased news reporting….
I have subscribed to The Economist for over 15 years.
a bit weighty at times but it gives an excellent overview of what is happening worldwide politically, financially and socially…..on a weekly basis.

#20 TRON on 10.24.21 at 12:13 pm

The CBC at one time was a respected source for honest and accurate reporting. Barbara Frum was a prime example of that and if you’ve not heard her interviews with Yassar Arafat you need to google them.

Today at the CBC we have a cult of wokeness that none of them dare to question for fear of being tossed out. This is thanks to what they were indoctrinated with at Canadian liberal universities. White decedents of European men, capitalism and religion are the source of all their problems when in fact their problems the inability to grow up and accept that life is hard and change takes time.

I don’t disagree with wanting a utopian society but having one narrative that can’t be challenged for fear of being cancelled is dangerous and needs to pushed back on hard.

#21 Dolce Vita on 10.24.21 at 12:15 pm

I agree Garth.

FSBOs want top dollar for their property and pay little or nothing in commission. Win-win for them. Lose-lose everyone else.

I have used the same Realtor for decades in Canada, helping me to buy and sell homes. He’s with RE/MAX and still one of their top 10% sellers, has garnered every RE/MAX distinction, award possible and is in their Hall of Fame.

It was worth every cent that man received from me. And he saved me a lot of cash over the decades negotiating to buy a home and got me top dollar when it was time to sell.

Why I agree with you Garth.

And CBC, what a joke they have become. Even the venerable Marketplace not immune to what amounts to Click Bait programs.

#22 Richard L on 10.24.21 at 12:29 pm

Interesting to see you defending the RE industry after crapping all over it, however you do have a valid argument.

The CBC is no longer a valid news or journalisim source. I do like Radio 2 however.

#23 Andy on 10.24.21 at 12:29 pm

“Most RE agents are unemployable losers who couldn’t get a job as a cashier at Costco.” That is a shameful generalization. And what are the people at Costco to think? Are they also inferior to you? Andy, you owe many an apology. – Garth

No Garth, you don’t get it!

I DO have respect for Costco cashiers – they work under high pressure, have to be precise and accurate, even when most customers are rushing them and some behaving like jerks. They have to be civil and polite as well as helpful and efficient. They have to KNOW what they are doing, and who to ask in case they don’t know something.

Most realtors are not trained and organized enough that they could even qualify for a basic, underappreciated job like that of a Costco cashier. They are just mostly improvising, too-often egotistical twits, with no real grounding in what they do, and without enough experience to draw on – a few sales a year is a pittance of experience for any type of work to consider yourself having any sort of ‘expertise’.

You can go ahead and apologize to these people if you want, Garth. But not for me.

We would all be much better off to gut this cartel and develop online and algorithmic systems to replace all the bs this self-serving, bureaucratic industry imposes on Canadians.

#24 I'mshort_corpdebt on 10.24.21 at 12:40 pm

At the very least, change the blind bid bs and put in the rule that no other bids are allowed once seller accepts to look at an offer. Like many other countries with healthier real estate markets do. You can literally be the only bidder and both selling/buying agents will play the individual pretending there is a competing offer. GD cartel!

#14 I appreciate Andy’s comment

#25 tbone on 10.24.21 at 12:44 pm

Commissions should be set on a sliding scale dependent on the sell price of the property.

I sold the last two rentals myself . the latter with the purple bricks method to get an MLS listing.
I had comps so i knew the sell price range.

They were both teardowns so minimal effort on my part.
I negotiated the commission to around 1.3 % to the selling agent.

#26 Dolce Vita on 10.24.21 at 12:45 pm

#19 crowdedelevatorfartz
#10 T-Rev

Here in Italia Cable costs €90/year, you get a few hundred channels from all ends of society/topics/themes, SD and HD, high fidelity audio for radio stations and if it’s RAI’s stations, many of them (State Broadcaster) you can view shows whenever you want without the need of a Cable Box recorder.

Oddly, you pay for the service with a charge on your Electricity Bill. It’s obligatory but well worth it. One heck of a subscription to me.

I do not subscribe to this, but they also have a satellite version that is in 4K.

There are pay channels but not many of them worth bothering with.

Like you Crowd… I use Prime the same way besides their Netflix style service and they carry a lot of UEFA matches for free.

#27 Phylis on 10.24.21 at 12:48 pm

#16 T-Rev on 10.24.21 at 11:54 am
Pretty obvious that the CBC doesn’t do “news”, they do propaganda. When’s the last time you saw a focus on the economy, public debt, massive deficits, or an arrival questioning the logic of the cancel culture left, or probing the growing movement towards outright socialism?

Things are worth what you pay for them, including free media. Any news content you can access for free is garbage, including CBC, Fox, CNN. All rubbish of the highway order. Some exception for content on Twitter, but I hate the platform and what it does to people.

Unmade a conscious decision to pay for content a while back. I have a couple paid news subscriptions to what I consider to be the highest quality and balanced news sources. I’d encourage everyone who complains about the current state of the media to do the same. If you don’t pay for the product, then you are the product and outrage is the currency. You will be fed content that has evolved to be sensational and alarming so that you will stay engaged with it, in order to allow longer and more complete access to you as the product, so that they can either sell your info to others so you can be manipulated by more precise marketing, or so that you can be manipulated by purveyors of ideology who’s ultimate goal is either your vote, your action, or your inaction.

So pay some money and subscribe to a damn paper or magazine. It may just help save civilization.
Xxxxxxx
Pay when your taxes have already paid for it? Check your library program and get PressReader free access.

#28 Common Sense on 10.24.21 at 12:50 pm

Wow a pro-realtor post!

Housing is a big transaction so you don’t want amateurs running the show. That includes both FSBO and the part-time a-few-deals-a-year realtors.

The competing issue is that commissions are just too high. Professional outfits are cashing in huge as home prices increase yet costs to service a home buyer and seller stay the same. It’s a cartel with weak regulation and no real alternative options.

The high commissions allow for amateur part time realtors like no other industry. Retire and deal a couple homes a year and make the country average salary.

The industry needs better regulation and more competition, including regulation on fees.

I am all for pros when it comes to realtors. I’m probably average in buying/selling homes with 3 buys and 2 sells, and have finally found a realtor that I “trust” and was a real pro on the last three transactions. However I just don’t see how it could “cost” the realtors $150,000 split between them to deal my home if I were to sell. That’s why there are so many amateur part timers ruining the industry.

As I pointed out, commissions are split four ways and the majority of agents sell a pittance. There may be little justification for current commission rates, but let’s be accurate. – Garth

#29 Deplorable with IQ 157 on 10.24.21 at 12:58 pm

What a sad society this has become. Full of anger, resentment, hostility and venom for others. All because of money. – Garth

The main reason for this are Govt Actions..mostly of liberal or social democrat variety..

#30 Alberta Ed on 10.24.21 at 12:59 pm

I pretty much avoid CBC altogether since it turned into an unforgiveable propaganda arm of the Liberals.

#31 Common Sense on 10.24.21 at 1:06 pm

And as I pointed out the majority of agents sell a pittance because they are amateur part timers. Everyone knows a realtor and/or has one or many in the family. Everyone knows a realtor that tries to leverage their family and friends just to get a listing. The amateur part timers are ruining the industry, and the amateur part timers are ever more enabled by the crazy fees. Cutting fees would eliminate the amateurs. Leave RE to the pros.

Even split fours ways the commissions are too high. And the argument I made applies to the broker portion of fees too.

#32 Kat on 10.24.21 at 1:12 pm

I would disagree somewhat, my mother just sold a very tiny plot for $6500 in Saskatchewan. The flat fee was $2000 for land only and she found out after the fact that they do not do any of the paperwork and she had to get a lawyer for all that as well as apparently it is different rules in that province. She asked what she paid for, they said advertising. Meanwhile they never even brought anyone to view the property the person just drove by to see it. I would say there is plenty of reason to sell by yourself as many realtors are lazy and just want the commission with zero footwork, the same thing happened when she went to sell her house. She signed on with a well known realtor, she listed it than went on leave for six months and no one bothered to take up the listing or show interested parties my mother had to call numerous times to even get anyone on the phone and explain that interested buyers were coming up to the house as they were not able to hear back from the listing agents. This is obviously small bananas compared to the bubble everywhere else but it highlights the greed of this industry and lack of caring or oversite more than the few people who choose to sell on their own, needless to say my mother plans on selling her house by herself when she moves again.

#33 Polecat on 10.24.21 at 1:32 pm

I’m just glad I sold my condo in Ottawa in August, realtor was a waste, it only sold because of a comparable in the building and we weren’t greedy on price. Happily renting now and I’m up about 1k a month. CBC= junk in my opinion, as someone said earlier, propaganda for the libs. Stay safe all. Think I will have a dram for smoking man tonight.

#34 Yukon Elvis on 10.24.21 at 1:35 pm

FSBOs have but one motivation: greed. They want to maximize the money they can get for their property by trying to weasel out of paying commission.
+++++++
I have sold one property fsbo and bought one fsbo in the past. All involved parties did their due diligence, all parties satisfied. Sales agreements were sent to respective lawyers and closed without any issues. My lawyer fees were about $1200 bucks last time if I remember correctly. No $50,000 dollar commissions. So I am a greedy weasel but a happy greedy wesel. I also have a big nose cuz air is free so there ya go.

#35 Sail Away on 10.24.21 at 1:52 pm

In the remote-ish areas we hunt, we can usually pick up CBC and a religious channel.

It’s tough to decide which to tune in: one is full of nauseatingly prescriptive dogma, unwavering belief in imaginary concepts and painfully in-your-face guilt..

…and the other just talks about God and the bible.

#36 Damifino on 10.24.21 at 1:54 pm

#14 Andy

Here’s a guarantee: I would be utterly useless as either a real estate agent or a Costco cashier. And the list is much longer than that. I thank providence daily for those who do what I could not.

#37 crowdedelevatorfartz on 10.24.21 at 1:54 pm

@#122 the Jaguar
“The Canadian Coast Guard said it was working with its U.S. counterpart to track the 40 containers that had fallen overboard, saying they pose a significant risk to mariners.”

+++

Yep.
Gotta love the Canadian Coast Guard.
Seaching for containers while the ships crew is left on their own to battle a chemical fire by themselves…..with a near huricane storm bearing down on them….

God forbid a fireboat putt putt out to the container ship thats been burning in full view of spectators onshore….. and render assistance like when it first arrived….

https://www.reuters.com/world/americas/canadian-coast-guard-says-monitoring-container-ship-fire-2021-10-24/

Nah, lets wait until it really gets burning and a hurricane hits driving the ship ashore….then its someone else’s problem.
Unbelievable short sightedness.

#38 Dogman01 on 10.24.21 at 2:00 pm

#16 T-Rev on 10.24.21 at 11:54 am

and All

What are some good new sources, I agree CBC is Propaganda and has actually declared causes it will explicitly support:

https://www.cbc.ca/news/editorsblog/editor-note-climate-change-cop26-journalism-1.6213067

I have the Economist to be a informative read, and https://www.aljazeera.com/ interesting for International coverage.

I follow Glenn Greenwald on Substack and his stuff is good.

The MSM is far too in bed with our establishment, and it seems to be gaining a more authoritarian\censorship propensity.

#39 Conspiratard on 10.24.21 at 2:24 pm

Notice how our deep-state broadcaster has been rebranded, as “CBCNN”?

https://www.saltwire.com/prince-edward-island/lifestyles/move-over-cnn-bnn-cbc-newsworld-rebrands-all-news-channel-as-cbc-nn-108863/

Coincidence? I think not.

I think not.

#40 Philco on 10.24.21 at 2:27 pm

#1 crowdedelevatorfartz on 10.24.21 at 10:55 am
——————————–
Perfect

#41 Philco on 10.24.21 at 2:33 pm

What a sad society this has become. Full of anger, resentment, hostility and venom for others. All because of money. – Garth
——————————
I think when ya have people like our present leader setting such a wonderful example sure as hell not helping.

#42 Mordko on 10.24.21 at 2:34 pm

Agree 100%.

Two of the realtors screwed up, yes.

CBC screwed up more. Reporters did not understand the issues. The vendor was never challenged on her claims. A lot of holes if one were to look. The whole thing was designed as a hatchet job.

#43 an investor on 10.24.21 at 2:50 pm

The CBC died when they lost hockey.

#44 Dolce Vita on 10.24.21 at 2:59 pm

Posting earlier than planned Garth. Seems a slow night. Post it later if you want Garth.

———

Last few days I posted Assets, Debt & Net Worth key numbers along with some observations + Average, Median numbers for the:

1. Under 35 years (“Lost”, #105 Dolce Vita)
2. Late Millennials 35-39 years + GenX less 55-56 years (“About time”, #53 Dolce Vita)

Recall:

In Garth’s “The Squeeze” he got the squeeze in the Comments (Boomers evil, bad, to blame for everything whilst all others innocent).

Poor Garth.

——————————————-
Today it’s the Assets, Debt & Net Worth of the:

Boomers, Paleo’s + Late GenX 55-56 years.
——————————————-

LET ME BEGIN BY SAYING THIS:

What.A.Mess.

I think a combination of the Bank of Ma & Pa looting their wealth for their SPAWN and lack of retirement preparedness. Look at the numbers & observations below, DIZZYING, and you’ll have a tough time buying into Dr. Paul Kershaw’s Generation Squeeze admonitions.

Here are the numbers, read them and weep for this wealth LOOTED generation (the vast majority are the Boomer, Paleos vs. only 2 years of GenX in there as well, blame StatCan for that agglomeration of the data and not me…6.931 MILLION souls):

https://i.imgur.com/a0aoTkJ.png

Median/Average $ PER PERSON provided below as applicable:

1. Net Worth little above that of Late Millennials 35-39 years + GenX less 55-56 years ($135,273/$258,979) – recall the Boomer, Paleo ages as to why this is truly shocking:

$177,925/$293,782.

2. 4% of them or 302 THOUSAND, that have 2 or more RE properties (Other RE) have put them deeply in HOCK, mortgage values:

$1,009,934/$1,486,093 vs. equity on those properties:

$264,951/$682,967

3. 22% of them or 1.5 MILLION, have a large mortgage on their Principal Residence:

$146,277/$197,806 vs. the equity of their Principal Residence:

$151,822/$200,040.

4. 17% or 1.14 MILLION have a large line of credit:

$37,587/$100,350

5. 6% of them or 406 THOUSAND have Other Debt (StatCan did not explain this) to the tune of:

$23,399/$102,217

6. 82% or 5.7 MILLION of them have a vehicle worth little – no Tesla for them:

$5,609/$8,904, and

22% or 1.5 MILLION of them have vehicle loans outstanding:

$21,319/$27,315

7. MERCIFULLY a FEW have invested in Mr. Market (Bonds incl. here, younger generations shun them per their low $ amounts):

14% of them or 967 THOUSAND have high MER Mutual Funds valued at: $175,801/$631,437
9% of them or 602 THOUSAND have Stocks valued at: $182,724/$839,701
3% or 204 THOUSAND have Bonds valued at: $107,843/$563,725

8. 54% or 3.77 MILLION have Employee Pension Plans etc. not worth a whole lot at this stage in their lives:

$156,380/$227,911 and

to add insult to accident their RRSP + TFSA accounts (a higher % vs. younger generations):

63% or 4.6 MILLION of them have an RRSP
51% or 3.5 MILLION of them have a TFSA

don’t add up to much either, RRSP + TFSA:

$64,422/$128,194

a LONG COUNTRY MILE from what the max’d amounts could be (RRSPs started in 1957, TFSAs in 2009). WORSE, 46% have NO employer pension plan.

9. And at their age, 11% of them or 774 THOUSAND are STILL PUTTING MONEY ASIDE for JUNIOR, RESPs:

$54,264/$454,393

10. 44% of them or 3 MILLION are debt free = a PYRRHIC Victory in light of the above and still 4% of them or 287 THOUSAND don’t have a bank account.

HOW SAD WAS ALL THAT?

Kershaw is a nutter.

———————————

Final Thoughts

Have the younger generations been the benefactors from the Bank of Ma & Pa? Look at this Average/Median Net Worth chart by Age Group:

https://i.imgur.com/gW0aGni.png

Then look at these tables for Under 35 and Mills/GenX and compare to the above table for the Boomer, Paleos:

https://i.imgur.com/gUK5N1Y.png
https://i.imgur.com/RXZG6rI.png

Take a close look at the money amounts in Mortgages, RE, Other RE and Mr. Market.

And ask yourselves for example, where ALL OF A SUDDEN (vs. Under 35) did the Mills/GenX come up with that MUCH CASH??

Clearly, there has been an unprecedented transfer of wealth from the Boomer, Paleos to the younger generations.

Of course from the mortgage, RRSP, TFSA, Employer Pension carnage, there are far too many less fortunate Boomers, Paleos that just did not make enough money for retirement or didn’t plan well for it.

I will not argue that.

But overall, it’s obvious what’s happened to a chunk of this cohorts wealth = The Bank of Ma & Pa.

Not so good in income for this cohort either, CRA Tax Brackets:

https://i.imgur.com/meJATtu.png

% of Generation in the $45,916 or less Tax Bracket:

GenZ 94%
Mills 63%
GenX 67%
Boomers, Paleos 73%

So, let’s not kid ourselves here that the younger generations are making gobs of cash to justify superior wealth, invest, etc. ALL BY THEMSELVES without the help of the Bank of Ma & Pa.

The Boomers and Paleos are owed a debt of gratitude and not scorn by Kershaw and Generation Squeeze.

I will also say that if RE major corrects like it did in the early 80’s and persists for a decade like it did back then…GenX, Boomers & Paleos will be in for a rough ride to say the least with a LOT of their wealth wiped out. Boomers, Paleos most vulnerable here. At least GenX will have almost a decade to recoup/regroup before retirement.

————————————————————–

Above Wealth data sliced and diced from here:

https://www150.statcan.gc.ca/t1/tbl1/en/tv.action?pid=1110001601

Also thanks to our good “fiends”, I mean friends at CRA (yes, that was a puny pun…there I go again):

https://www.canada.ca/en/revenue-agency/programs/about-canada-revenue-agency-cra/income-statistics-gst-hst-statistics/individual-tax-statistics-tax-bracket/individual-tax-statistics-tax-bracket-2019-edition-2017-tax-year.html

#45 SoggyShorts on 10.24.21 at 3:03 pm

#7 Mark on 10.24.21 at 11:26 am
Why should fees stay at 5% when prices have increased 30% y/r? On a $1m property, are they doing an extra $15k of work compared to last year?
******************
I hate % based fees for almost everything.
If I have a 2:1 coupon does the pizza guy deserve a 50% smaller tip?
If I order the 14oz instead of the 10oz does my waiter deserve a bigger tip?

If I pay more for the house I buy does my representation deserve more money? How is that not a conflict?
It would make more sense if the buyer’s representation got a commission based on how much less than asking you end up paying.

Flat fees are the fairest or hourly if need be. Some things become more complex with higher costs (like wealth management) but not most.

#46 Annek on 10.24.21 at 3:11 pm

When homes were inexpensive the real estate commissions were 5-6%. Now homes have doubled, tripled etc and the percentage is still the same. Tell me, is the work related to selling the same house 10 years ago and now more? Because the price went up? I have often
thought that agents should work on a flat rate rather than a percentage. Selling a $1.5 million home is so much more work than a $700,000 home? I think that this percentage fee , especially in these inflated prices is outrageous! If houses correct, and prices go down, does the work these agents must put in so much less, if their fee is percentage based, to get paid less?

#47 Wrk.dover on 10.24.21 at 3:21 pm

#18 Flop… on 10.24.21 at 12:07 pm
So I’ll write another entry about so-called affordable housing in Vancouver.
_________________________________

That house has a 7’X7′ 2nd bedroom!!!!

Room enough for one pair of Tasmanian shoes.

#48 Fred on 10.24.21 at 3:21 pm

The homes were listed on MLS, so the realtors who refused to show them were in violation of their contractual obligations to show MLS homes if clients were interested.

Only if the buyer signed a contract (BRA). – Garth

#49 Garth's Son Drake on 10.24.21 at 3:28 pm

The average is 4 to 6 homes a year and has a gross median income (before professional expenses) of $49,700?

So, basically 28 hours of work per year vs. a health care worker who brings in not much more and has to work 2,080 hours per for that. Wow! What a lifestyle difference.

Using a Realtor is like using a handyman – you have someone to sue for liability who “should” have insurance money that you can go after.

Also, did anyone catch the CRB payout?

As of Oct. 10, the CRB had paid out just over $27 billion to nearly 2.2 million applicants since its launch in late September 2020.

The majority of recipients who received the federal help were continuous or repeat beneficiaries of the now-ended aid program.

The Canadian Press obtained a copy of the briefing note to the top official at the department under access to information law.

Experts who reviewed the document suggest the analysis hints at the level of need for the income-support program, which came to an end over the weekend.

#50 Jack on 10.24.21 at 3:33 pm

This doesn’t sound good.

Twitter and Square CEO Jack Dorsey says ‘hyperinflation’ will happen soon in the U.S. and the world.

#51 Jimmy on 10.24.21 at 3:37 pm

Why is the vendor paying for the Buyer’s Agent Commission?

Vendor pays commission for their representative and the Buyer should pay for theirs, simple.

#52 Jimmy on 10.24.21 at 3:38 pm

Why is the vendor paying for the Buyer’s Agent Commission?

Vendor pays commission for their representative and the Buyer should pay for theirs, simple.

#53 ElGatoNerodeYVR on 10.24.21 at 3:39 pm

Nobody pays 5% real estate commission on the total price.
Before you all get so angry about it , the average is:
In B.C., buyer and seller real estate agents charge a graduated commission based on the transaction value that usually ranges between 3% to 4% for the first $100,000 of a property’s price and between 1% to 2% for the remaining total.
We just sold and bought and I can attest to the above.
Good realtors with a solid history might charge 5% on the first 100K and 2.25% up to 1 mil then 1.25% to 1.5% on everything above 1mil.
All of this is negotiable ofcourse and if the realtor is desperate for any listing they will even share their commission with you .
Like everything else,some realtors are better than others and fully deserve what they get paid, others not so much.

#54 Wrk.dover on 10.24.21 at 3:42 pm

#16 T-Rev on 10.24.21 at 11:54 am
You will be fed content that has evolved to be sensational and alarming so that you will stay engaged with it
_____________________________________

AKA burlesque. What the media revolves around.

#55 Ponzius Pilatus on 10.24.21 at 3:43 pm

What’s driving the labour shortage?
I’ve done a little research and came across a clip by Fareed Zakaria which in IMO explains this situation quite well.
It focuses on the US but Is probably relevant to Canada, too.
The Economists call it “The Great Resignation”.
In the last 3 months, a record number of workers have call it quits.
That is despite COVID relieve measures have been phased out in many States.
One explanation for this is the ridiculously low wages for low skilled workers.
I.e. workers at MacDonalds in Denmark make twice as much as those in the States.
Another one is, that workers feel they are being mistreated, mentally and physically.
Also, job satisfaction is very low.
Another factor, more indirect, is the widening wage gap between the rich and the poor.
Remember, when Bezos seemed to be teasing his employees for making the space flights for the ultra rich possible.
The simpletons on this blog, of course, will just write this off as “wokeism”.
But this issue has been simmering for quite some time, and COVID and WFH has just crystallized the problem.

#56 AntMan on 10.24.21 at 3:47 pm

What a sad society this has become. Full of anger, resentment, hostility and venom for others. All because of money. – Garth

Uh, not entirely. When one is routinely traduced by government decree and a compliant media in the name of some identitarian ideology, one might have reason to be angry, resentful, hostile or even venomous. Of course that could just be my white fragility talking.

#57 Toronto_CA on 10.24.21 at 3:48 pm

How does Canada’s commission system compare to other countries like the USA and UK for instance?

Do the blog dogs know? The market is so opaque in Canada by design, whereas the US/UK have much more transparent RE markets. I believe the commission structure in the more open markets is less favourable to the agent and more favourable to the sellers.

But I could be way off the mark. Time to Google my answers!

#58 AlbertaGuy in AB on 10.24.21 at 3:54 pm

Commissions…sorry this burns me every time it comes up. As a competent reasonable fair person if I decide to sell something (anything) myself I should be allowed to do so and pocket the listing fee. Just make all current market and previous sales data available and transparent. Let me list on MLS (for a fee) and I would be happy to pay a REASONABLE commission to anyone bringing a legitimate buyer that can close the deal. If I decide to list at some ridiculous price over comparables in my area then it is on me if it doesn’t sell. Commissions in general should be prorated somehow to a listing price based on 12 month average sales price / sq ft or other base and capped at a maximum dollar amount reasonable to the “effort” involved in listing, showing and selling the property. Brokers fees should likewise be reduced. Lets face it … this last year has shown us that an office not really required any longer in most circumstances and internet viewings, remote signing and other efficiencies no longer justify the 5%+. (specialty properties excluded – $10m resort properties, private islands etc).

#59 the Jaguar on 10.24.21 at 4:02 pm

@#37 crowdedelevatorfartz on 10.24.21 at 1:54 pm

I just think it’s devastating given the location those containers are floating around in (Juan de Fuca Strait).
How the hell do they fish them out of the water?

There must be a way to snag them and then drag them up on to something like an aircraft carrier. Why do I have this nagging feeling that maybe it would be the oil and gas industry that might know how to do it? ( offshore platform recon stuff).

This is going to take somebody with special talents.
Fishman, where are you? A nation turns its lonely eyes to you….woo woo woo…

#60 XGRO and Chill on 10.24.21 at 4:09 pm

What a sad society this has become. Full of anger, resentment, hostility and venom for others. All because of money. – Garth

——

“As long as politics is the shadow cast on society by big business, the attenuation of the shadow will not change the substance.” – John Dewey

#61 Brian on 10.24.21 at 4:13 pm

I have went through 4 sales in my time.
Tried 2 FSBO, one in a hot market that sold in a day with only a sign put in the window, and one on a cool market that I ended up after 3 months going with a realtor who listed and for same price as I listed, and ended up selling in 2 months for a $7500 discount.
My other 2 sales were by realtor, mostly because 1 was paid by employer and the other was eligible for moving expense tax deduction. One was in a hot market and sold in a day. The buyers agent was with the same brokerage and my realtor tried to grind me hard to accept a 10% discount on my price – on the 1st day on the market! It was quite clear that she wanted her colleague to also cash in on the sale and was upset when I stuck to my asking price, which was eventually accepted.
My latest attempt to use a realtor was in 2019, realtor tried to get me to list for 379K. I listed for 358K because I needed to sell and personally thought his number too high. It was out up on website and the absolute minimum done IMO to attract a buyer. I ended up taking off the market after 6 months and decided not to sell.
If you are in hot market conditions, an FSBO can be done relatively simply as long as you are priced properly, but outside of a hot market you are going to be left out of the inner circle of buyers. In a softer market, you have to price aggressively and pass some of that commission saving to the buyer which most sellers are reluctant to do.

#62 KLNR on 10.24.21 at 4:17 pm

@#14 Andy on 10.24.21 at 11:49 am
Garth, you are way off on this, from my experience.

I have sold many properties both with realtors and as FSBO.

My experience with realtors has been very disappointing, even disgusting. Just some examples:

-Not even showing up at open houses or buyer visits
-Not advertising properly, effectively or or on time – to save themselves money
-Accepting or rejecting offers without my consent
-Using my property simply as a ruse to help them direct buyers to another property they are selling
-Not being willing to release me from a BRA, when their incompetence means there is no other option but to dump them

And still more……..

This field of work basically requires a pulse and a few hours of study. I’m sure even your beloved pooch Bandit was a “realtor”, no?

As a FSBO seller, I have been very reasonable, successful, and faster in making and closing deals than any agent ever was for me.

Of 12 properties sold in 20 years, I have done 8 myself, agents 4. My sales were far more efficient and profitable for me.

No comparison. Most RE agents are unemployable losers who couldn’t get a job as a cashier at Costco.

It’s a cartel that needs to be smashed to pieces.

“Most RE agents are unemployable losers who couldn’t get a job as a cashier at Costco.” That is a shameful generalization. And what are the people at Costco to think? Are they also inferior to you? Andy, you owe many an apology. – Garth

bought and sold several houses over the years.
never had a problem with my realtor/s.
rate was always negotiable – have never paid more than 4%. like any profession, you’re going to get questionable people. due diligence folks.

#63 Overheardyou on 10.24.21 at 4:25 pm

Does a home inspection protect a buyer from any after purchase expenses or is it strictly prepurchase protection?

#64 Trojan House on 10.24.21 at 4:43 pm

#10 Dr V on 10.24.21 at 11:27 am

You are essentially correct. If a buyer signs a BRA, there is a section that should be pointed out by the agent that the buyer could be liable for paying their agent commission for a few reasons, one of them being if the seller does not pay commission. Usually the agent writes in the commission amount payable in those cases and they usually put in 2.5%

However, the problem I have seen is that the buyer agent glosses over that section of the BRA so that the buyer really doesn’t have a clue that they may be liable to pay commission to their agent. And if and when it happens the buyers are often hugely shocked to find out they have to pay.

Even though explaining the BRA is mandatory, I think they should also make it mandatory for agents to clearly explain this section of the BRA.

#65 TurnerNation on 10.24.21 at 4:57 pm

The War on Small business continues.

https://toronto.ctvnews.ca/handed-a-death-sentence-canadian-restaurants-decry-pending-end-to-federal-subsidies-that-have-kept-them-afloat-1.5635032
“‘Handed a death sentence’: Canadian restaurants decry pending end to federal subsidies that have kept them afloat”

———–

— Normalcy soon I am sure!? As always the focus on the young:

.Toronto students told not to speak during lunch to reduce the spread of COVID-19News (toronto.ctvnews.ca)

.Sweden Suspends Moderna Vaccine Indefinitely for People Under 31, Fear ‘Increased Risk’ of Heart Problems (westernjournal.com)


— For the numbers folks this doctor asks – the definitions can be loose.
https://twitter.com/JeanmarcBenoit/status/1449979398963306497
Jean Marc Benoit MD @JeanmarcBenoit
Covid data confusion, hospitalized patients: out of 484 patients, do you mean that 211 have either received 1 dose, or are less than 2 weeks past second dose?
“It seems unlikely that a large number of patients’ covid vaccine status would be unknown”

#66 fishman on 10.24.21 at 4:58 pm

Conspiratard: You had me digging for awhile. I like you a lot already.

#67 victor on 10.24.21 at 5:05 pm

There are greediness on all sides, that is the world we are living in. It would be something better in between. Fair, transparent and data driven broker service, yeah another software and data company can disrupt the nonsense and monopoly.

#68 AmbiVasu on 10.24.21 at 5:13 pm

Just visited the marketplace streaming out of interest. But what we feel after watching the episode is that the reporting has a clear message to all the leadership if they are listening:

“The excessive realtor Commissions in Canada and a call for an independent enquiry into the whole real estate affairs of the industry coast to coast”

#69 Michael in-north-york on 10.24.21 at 5:29 pm

CBC isn’t wrong in this case. They correctly identified the origin of the problem: the buyer’s agent is legally required to serve in the best interests of the buyer, but is paid by the seller or seller’s agent.

Thus if the seller offers the buyer’s agent a 1% commission instead of the standard 2.5%, the agent has to accept a 2.5 times earning cut and has no recourse. It is hard to blame the agents who try to avoid that sale, even though they are in the wrong legally.

Furthermore, CBC suggested one good solution: separate the seller’s and buyer’s agent comissions and make both of them transparent to both the seller and the buyer. Then the buyer’s agent will be able to add a clause stating that their commission is 2.5%, and if the sellers pays less than that, then the buyer has to pay the difference.

Suddenly, everything becomes transparent and there is no conflict of interests. You want to sale FSBO? Sure, you can offer they buyer’s agent 1% or nothing at all, and your house will not be avoided. You want to buy from FSBO? No problem either, but you will have to negotiate the commission with your agent directly and add it on top of the house price. You think that 2.5% is too much? Again, everything is in your hands, you can negotiate with your agent and settle for a value that satisfies both parties.

You are wrong. The buyer’s agent has no responsibility to the buyer unless there is a contractual arrangement between the two. I am sure the CBC reporter did not sign it, as this would be fraudulent. – Garth

#70 DON on 10.24.21 at 5:31 pm

#19 crowdedelevatorfartz on 10.24.21 at 12:09 pm
@#10 T-Rev
“So pay some money and subscribe to a damn paper or magazine. It may just help save civilization.”

++++

100% agreement.
When the CBC digitized and you have to create a “password” to watch a taxpayer funded tv channel…. they lost me….and millions of other grey hairs that were their prime viewers.
( accidently shooting one’s self in the foot comes to mind)
I watch the 6pm Global ‘News” via Amazon Prime ( I refuse to get roped in on a TV contract where I am PAYING to watch advertising).
As for Global “news” , I last about 5 to 10 minutes before the woke, politically correct, 1st nations endless blame sessions, drive me away to channel surf.

As for excellent unbiased news reporting….
I have subscribed to The Economist for over 15 years.
a bit weighty at times but it gives an excellent overview of what is happening worldwide politically, financially and socially…..on a weekly basis.

********
Good advice.

For me, I look to many news sources when trying to get to the truth, shift through the crap, slowly putting the pieces of the puzzle in place. Other countries tell on their foes, so good to read the international news. Face it…human nature is simplistic…if it doesn’t make sense, it is because no one is asking the right questions or their is bias. It’s all been done before…less we forget over and over and over again. When someone starts projecting, its a tell, most of the times. You know when someone is lying to you.

Oh…it looks like Trump has a comeback shot at this point FFS. Dog help us!

#71 yvr_lurker on 10.24.21 at 5:31 pm

I don’t think that one can take this one example and then make general comments about all those who sell by FSBO. Some FSBO offer much more than 1% to the buyer’s agent and some are priced well. Although I wouldn’t do it, some people want to save on the commission. In a hot market, where a sale can be done in days, why pay so much to your agent who may have very little work to do.

However, the most important aspect that Garth omits here is that it is ILLEGAL for a buyer’s agent to act like they did on the CBC story. Illegal = full stop. If a buyer’s agent is not keen on a client pushing to see a FSBO, perhaps they should just step aside and seek another client.

In light of the CBC investigation, the Real Estate Council of Ontario issued a warning to agents about such practices: “In addition to being illegal, the conduct undermines consumer protection, consumer confidence and the reputation of the real estate profession as a whole.”

#72 indigirl on 10.24.21 at 5:35 pm

It never hurts for people to have their eyes opened that realtors are not really in it for the seller or the buyer.
Plus, you will never change my mind about CBC. There is no better institution that pulls our country together and gives us a common thread. It’s not perfect, but it’s important.
Personally, I am forever grateful to it for getting me through my maternity leaves. CBC Radio helped me stay in touch with the world, near and far, even though I was home alone and lonely day in and day out with wee ones.

#73 CL on 10.24.21 at 5:35 pm

I don’t know, people sell their own cars and have for many years so I don’t see why a house can’t be the same really. I don’t hate, I just don’t understand things sometimes that’s all.

In my decades on this planet, I’ve ever seen people so divided and hateful towards each other all because of politics really. The old divide and conquer routine but this isn’t the first time people have been so divided.
There’s nothing new under the sun.

People should read “The Dash Poem” and see just how important their hate, division and money really is.

#74 crowdedelevatorfartz on 10.24.21 at 5:36 pm

#58 jag

Nah.
Those containers sink.
A crab colony full of electronics or sneakers or chemicals that burn when crushed
:)-

The rain and wind are building, fighting fires in a hurricane, does it get any better?

#75 crowdedelevatorfartz on 10.24.21 at 5:38 pm

@#68 DON

Reuters is pretty good for news.
Sadly they just updated their website with advertising a few months back.
It was one of the last sites other than this one that have great info and no ads.

#76 waltersafety on 10.24.21 at 5:42 pm

I paid my first real estate commission this year, prior two houses i found my own buyers.
This time was not a good experience . I feel we got worked over with conditional deals blowing up and buyer demands and rural property regulations .
End of the day we got a over ask offer and a clean deal.
Circumstances required we use a agent I guess it worked out. The agent earned his commission with the final price bump.
Still way more stressful than doing it on my own but then I was a younger man on the other deals .

#77 Cici on 10.24.21 at 5:44 pm

“FSBOs have but one motivation: greed.”
_____________________________________________

Usually, but not always. I’ve actually noticed a trend this year: certain agents pricing homes anywhere from 40%-60% higher than comparables would go for 2019, and often $150,000 to $200,000 over already bloated 2021-2022 pandemic-adjusted evaluations. That’s greed too, and some buyers who desperately want to sell their homes are delisting after three or four unsuccessful months on the market, and instead using FSBO to move their properties at a more reasonable price (but still making nice gains).

There’s greed everywhere, especially so in tight markets.

Sellers, not agents, set asking prices. – Garth

#78 DON on 10.24.21 at 5:45 pm

not.

#37 crowdedelevatorfartz on 10.24.21 at 1:54 pm
@#122 the Jaguar
“The Canadian Coast Guard said it was working with its U.S. counterpart to track the 40 containers that had fallen overboard, saying they pose a significant risk to mariners.”

+++

Yep.
Gotta love the Canadian Coast Guard.
Seaching for containers while the ships crew is left on their own to battle a chemical fire by themselves…..with a near huricane storm bearing down on them….

God forbid a fireboat putt putt out to the container ship thats been burning in full view of spectators onshore….. and render assistance like when it first arrived….

https://www.reuters.com/world/americas/canadian-coast-guard-says-monitoring-container-ship-fire-2021-10-24/

Nah, lets wait until it really gets burning and a hurricane hits driving the ship ashore….then its someone else’s problem.
Unbelievable short sightedness.

***************

Took a drive on the ocean (sooke). The waves are eating the shoreline. That storm is slowly reaching land and the wind was air drying the soccer field. Lucky it was somewhat warm, which is even more concerning (more energy). Calm again at the moment. 1000mm of rain on the way. We got a preview shower…soaked in less than 5 minutes.

Don’t worry Jag, the salvagers will get those containers if they can…Nick and Relic are still on the job.

#79 Mattl on 10.24.21 at 5:47 pm

Have two private RE transactions under my belt. Not for everyone but have saved over 50K.

My experience with Realtors is they are close to useless. The one time I could have used coverage for misrepresentation by a seller they were of no help. You will end up going to court anyways.

All that said I don’t expect a Realtor to show a house they won’t make any money on.

#80 Jim on 10.24.21 at 6:08 pm

It’s time for another paradigm for real estate.

Yes, the real estate agent in theory provides the advantages and mitigates the disadvantages you mention, but the availability of information is changing things. No longer is the buyer subject to the exclusiveness of an agent/real estate organization to find the right property. With the right infrastructure/regulations in place, both the seller and buyer can have reasonable protections during and after the transaction.

Maybe in the past real estate agents commanded a higher trust level with the public, but I would rank a high percentage of agents on the level of used car salesmen.

Remember the travel agent? Maybe we’ll be asking that question about the real estate agent sometime in the future…

#81 fishman on 10.24.21 at 6:23 pm

Jaguar: Containers sometimes get lost & when they don’t quite quite sink become a problem. Hard to see when they 95% semi-submerged. I’ve got a corten steel skin. If we hit the can the right way it’ll act like a can opener. Keep your eyes open, don’t put the deckhand on the wheel at night. Pray the can(s) will sink.

#82 Jake on 10.24.21 at 6:26 pm

Garth… yes or no?

https://www.cnbc.com/2021/10/23/twitter-and-square-ceo-jack-dorsey-says-hyperinflation-will-happen-soon-in-the-us-and-the-world.html

Not a chance. 50% inflation per month? Hilarious. – Garth

#83 crowdedelevatorfartz on 10.24.21 at 6:33 pm

@#39 Conspiratard
“The changes follow a particularly difficult year for the CBC, which has been struggling to cope with a $171-million budget shortfall.”

++++

Perhaps if they didn’t keep changing theiir format and their channel……the last faithful viewers…..would be able to actually find them.

The overpaid, over pensioned, woke, politically correct, donkeys in charge of the CBC have gutted that organization.

It’s a brain dead zombie that continues to roam the airways.

#84 Nonplused on 10.24.21 at 6:41 pm

#23 Andy probably hates plumbers too.

#85 Blobby on 10.24.21 at 6:44 pm

Whats a FSBO?

#86 Blobby on 10.24.21 at 6:45 pm

Never mind, google answered it.

#87 crowdedelevatorfartz on 10.24.21 at 6:46 pm

@#71 indigirl
“CBC Radio helped me stay in touch with the world,”

+++
CBC Radio is a different beast entirely than CBCTV.

CBCTV is a revolting waste of money.
I particularly loved seeing the CBC Colombia Brittanique French version that had better News and Sports than the English version, because there are so many unilingual french language people in BC.
Million per year blown ion that extravagance.
Multiply it times ten provinces.
A friend of mine was a private contractor that reno’d the CBC French studio here a decade or so ago before the Winter Owe-Limp-Icks.
$ 7 million dollars to build a new studio in Ontario. Disassemble it, ship it to Vancouver in trucks and reassemble it.
$7 million dollars because apparently, there are no cabinet carpenters here in BC capable of building it.

CBC TV deserves everything that will, inevitably , come it’s way.

The only people that will mourn its loss will be the staff that are laid off with huge severance packages that expected a “job and pension” for life.

#88 Nonplused on 10.24.21 at 6:54 pm

#49 Garth’s Son Drake on 10.24.21 at 3:28 pm
The average is 4 to 6 homes a year and has a gross median income (before professional expenses) of $49,700?

So, basically 28 hours of work per year vs. a health care worker who brings in not much more and has to work 2,080 hours per for that. Wow! What a lifestyle difference.

————————————

My realtor showed us at least 75 houses before we pulled the trigger. (We are kind of fussy and didn’t want to buy junk. Most of what’s out there is junk, in need of major repairs and poorly designed.)

So I think you made the 28 hours a year part up. Just pulled it thin out of the air (or someplace darker). Fabricated it wholesale. Showed a complete disregard and lack of interest in any facts. I assume you live alone because you must be a real pleasure to be around.

#89 Barb on 10.24.21 at 7:01 pm

#7 Mark:

“Here’s an idea: Don’t license 600,000 realtors.”
————————————————-

So you propose more and more government involvement?

I’m of the opinion that all levels of government are already way too deeply involved in many aspects of our lives.

#90 wallflower on 10.24.21 at 7:06 pm

turn it off
ha ha ha ha
I hate throat singing.
I have been turning off CBC Radio a LOT past 6 months but for a lot more than just that!

#91 Nonplused on 10.24.21 at 7:09 pm

#52 ElGatoNerodeYVR on 10.24.21 at 3:39 pm

“Nobody pays 5% real estate commission on the total price.
Before you all get so angry about it , the average is:
In B.C., buyer and seller real estate agents charge a graduated commission based on the transaction value that usually ranges between 3% to 4% for the first $100,000 of a property’s price and between 1% to 2% for the remaining total.”

Ya, that’s what I thought too, but I didn’t want to say anything because it’s been a while since I bought or sold. However, back when I did my agent when acting as a seller took a very reasonable flat fee. He earned his money when I bought. He did not list the flat fee in the listing though, he put the regular numbers in there to keep it confidential.

When selling he advised not to muck around with the buyer’s agent fees, stating that if you lowball the commission realtors will deprioritize your listing. This is what’s happening to FSBO people that lowball the buyer commission as well. (Realtors will not generally avoid FSBO if the buyer’s agent commission is standard, but it usually isn’t.)

But can you imagine the horrors of an agent avoiding a cheapskate’s listing? Why wouldn’t you, you already know several things about the property: It is overpriced, it is non-negotiable, maintenance was probably done with the same view to dollars first, and the seller is a prick.

I viewed a FSBO house once that still had a gravity furnace in the basement! I mean talk about cheap! Nobody should be taking something like that to market. I saw that thing and decided to leave the rest of the property to my imagination.

But of course the most sinful part of realtors prioritizing houses based on the commission is that they are responding to incentive. We all know that it is viewed negatively when any other profession responds to price. If a person leaves one job for another that pays more that is a great embarrassment for that person and they avoid talking about it at dinner. An Dog forbid a contractor ever turn down work because the client offers to little money and there is other better work to be had.

#92 Nonplused on 10.24.21 at 7:13 pm

#54 Ponzius Pilatus on 10.24.21 at 3:43 pm
What’s driving the labour shortage?
I’ve done a little research and came across a clip by Fareed Zakaria which in IMO explains this situation quite well.
It focuses on the US but Is probably relevant to Canada, too.
The Economists call it “The Great Resignation”.
In the last 3 months, a record number of workers have call it quits.

————————————

I hardly care. If people don’t want to work why would we make them? I only care if they expect me to cover their living expenses through the government, or they start stealing stuff. But if they don’t want to work and can get by without the money I don’t care what they do.

#93 Another Deckchair on 10.24.21 at 7:15 pm

Hey @30 Alberta Ed;

Try CBC overnight (midnight to 6am, at least EST) – it’s worth listening to. Mainly shows from around the world, but sometimes “Ideas” which is one of the CBC’s best shows.

Terry O’Reilly’s shows are (were?) good, and I liked Vinyl Tap, which is no longer. Too bad. History’s not a bad thing, even in music.

Now, in my “man cave” I listen to NPO Radio 1 and 2; no longer CBC. Good for my “foreign language” ear.

Via the Internet, you can tune-in to radio anywhere in the world. We are no longer stuck with CBC.

#94 Keith on 10.24.21 at 7:23 pm

@ 54 Ponzius Pilate

The tide turns part one

https://www.businessinsider.com/seattle-dicks-drive-in-19-minimum-wage-jobs-are-challenging-2021-9

#95 Keith on 10.24.21 at 7:25 pm

@ 54 Ponzius Pilate

The tide turns part two

https://www.vancouverisawesome.com/business/50kyear-dishwashing-job-illustrates-desperation-in-restaurant-industry-4533006?fbclid=IwAR1mepCvNGT1lkyu0G3jbUbssFKp7jEgc-zmip50P9ypmRmCapu7j_iQUsE

#96 SP on 10.24.21 at 7:26 pm

Say I work in pizza delivery, and deliver on average 6 to 8 pizzas a year.
I think it would be fair if I’m paid a commish of at least $7000 per delivery, because, you know, I need to feed my family.

You people are twisted. Walk a mile in a commissioned-income, no-salary, no-pension, no-paid-vacay, no-benefits saleperson’s shoes for six months. Then you get to comment. – Garth

#97 Yukon Elvis on 10.24.21 at 7:35 pm

Jay Black has passed. A Magic Moment from 1969.

https://youtu.be/pKfASw6qoag

#98 FriedEggs on 10.24.21 at 7:36 pm

I think some people are starting to feel ‘buyers remorse’ in real estate and other things.

#99 jenna on 10.24.21 at 7:40 pm

WOW Garth !!!

As I perused the article…I spat out my Kombucha ;)

Very sad propping up Real Estate Agents.

#100 Winterpeg on 10.24.21 at 7:43 pm

Yes, CBC has become the channel for Liberal and left leaning values. Not too much capitalism promoted on it. (except Dragon’s Den. lol)
Still, it provides a lot of great shows (TV and Radio) that promote Canadian culture and Canadian content. That can’t all be scrapped if there was a downsizing of the CBC sponsorship by the government. Maybe they could reduce the news section and focus on culture if cuts were made to the CBC. ( cuts which will be have to be considered some day to reduce the deficit.)

#101 Trojan House on 10.24.21 at 7:45 pm

#68 Michael in-north-york on 10.24.21 at 5:29 pm

You are only partially correct (or partially incorrect). If there is a BRA signed then, yes, they have the contractual obligation to show them all the properties that fit their criteria. However, as I pointed out before, there is a clause in the BRA that says the buyer is liable for the commission in the BRA which the agent will include – usually 2.5%. Therefore, if the seller is only offering a 1% commission the buyer would have to make up the 1.5% difference.

Again, unless the agent clearly lays out these terms when the BRA is signed, the buyers should not be shocked. Unfortunately, this part of the BRA is usually glossed over with most agents saying, well, the seller pays the commission.

If there is no signed BRA, then there is no obligation for the agent to show them any homes.

#102 Trojan House on 10.24.21 at 7:54 pm

#70 yvr_lurker on 10.24.21 at 5:31 pm

Again, you are only partially correct (or partially incorrect). It would only be “illegal” if there was a BRA signed, then yes, the agent would have the contractual obligation to show them the home. Calling or meeting with an agent out of the blue and asking to see a home, with no BRA signed, then it would be up to the agent whether or not they would do that. That is why most agents will want to sign a BRA as soon as possible and if the buyer doesn’t want to, most agents would move on.

Unfortunately, most people do not understand how working with a real estate agent works. It also doesn’t help that some agents, not all, operate in grey areas. The commission portion of the BRA seems to be a grey area for sure.

#103 DON on 10.24.21 at 8:03 pm

#74 crowdedelevatorfartz on 10.24.21 at 5:38 pm
@#68 DON

Reuters is pretty good for news.
Sadly they just updated their website with advertising a few months back.
It was one of the last sites other than this one that have great info and no ads.

*****
One of the top 4.

BBC is similiar to CBC. They don’t really get to the heart of the matter. Read BBC as they like to tell on other countries. Its an old empire thing…lol.

I can’t watch Global either. Thank Dog for selective TV probably an unsung hero of democracy. The choice to find your own news at any time and not have to spend an hour listening to fluff and non stories.

#104 Nonplused on 10.24.21 at 8:05 pm

Here is my new unvetted totally speculative theory:

Since we know that:

a) Trudeau hates anyone with money who isn’t a Liberal party member, part of the circle,
b) The government is desperate for cash,
c) The CBC is a Liberal Party orifice, and,
d) This out-of-the-blue expose doesn’t fit in with the current news cycle and isn’t exactly new,

We can conclude that Freeland is planning a flat tax on commissions, probably including gratuities.

How to tell? If the CBC has exposes on wait staff and car salesmen next. Maybe they’ll even do a deep dive on what’s going on at the ag-equipment dealers. And Amway. All MLM companies.

Then, at some point some of our commenters will start talking about how “a dollar is a dollar” and how people need to “pay their fair share”, despite the fact that all these people are already paying income tax. No matter, a 30% commission surcharge is in the works. You’ll be able to tell just by watching this comments section. Already today we have a bunch of comments from Realtor haters. Most likely they are paid Trudeau trolls. It’s possible anyway. They always say the same thing. Although where the hatred for plumbers came from I am not certain. Maybe Trudeau has a plan for tradespeople too.

Anyway it is clear that we have Trudeau trolls all over the place because every time someone makes a dollar the comments section, not just here but across the internet, goes wild with hatred and vitriol.

#105 Just someone on 10.24.21 at 8:07 pm

I think you are overselling the value proposition of real estate agents in the sale of a house. As others have said. The system is broken, overly expensive for buyer/sellers, promotes pumping of real estate value, and way too many agents trying to milk the market.

I don’t think many people want to sell their house themselves, they just hate paying tens of thousands of dollars for something that should cost MUCH less and be far less onerous.

Prices up insanely – huge windfall gains, and sellers want it all! Did I mention greed? – Garth

#106 kc on 10.24.21 at 8:12 pm

#81 Jake on 10.24.21 at 6:26 pm

Garth… yes or no?

https://www.cnbc.com/2021/10/23/twitter-and-square-ceo-jack-dorsey-says-hyperinflation-will-happen-soon-in-the-us-and-the-world.html

Not a chance. 50% inflation per month? Hilarious. – Garth

*****

anything can happen… they probably said same thing in Venezuela

No, it cannot happen. – Garth

#107 Michael in-north-york on 10.24.21 at 8:13 pm

“You are wrong. The buyer’s agent has no responsibility to the buyer unless there is a contractual arrangement between the two. I am sure the CBC reporter did not sign it, as this would be fraudulent. – Garth”

Got it. In that case, indeed the CBC reporter misrepresented the situation.

I didn’t realize that they could have been acting without signing the BRA.

#108 Yukon Elvis on 10.24.21 at 8:26 pm

Prices up insanely – huge windfall gains, and sellers want it all! Did I mention greed? – Garth
++++++++++
Greed is good. Gordon Gecko, Wall Street, 1987.

#109 Michael in-north-york on 10.24.21 at 8:29 pm

#101 Trojan House on 10.24.21 at 7:45 pm

#68 Michael in-north-york on 10.24.21 at 5:29 pm

You are only partially correct (or partially incorrect). If there is a BRA signed then, yes, they have the contractual obligation to show them all the properties that fit their criteria. However, as I pointed out before, there is a clause in the BRA that says the buyer is liable for the commission in the BRA which the agent will include – usually 2.5%. Therefore, if the seller is only offering a 1% commission the buyer would have to make up the 1.5% difference.

Again, unless the agent clearly lays out these terms when the BRA is signed, the buyers should not be shocked. Unfortunately, this part of the BRA is usually glossed over with most agents saying, well, the seller pays the commission.

If there is no signed BRA, then there is no obligation for the agent to show them any homes.
===

All good points. Still, I believe there is room for improvements in the system. In particular, it should be made mandatory to spell out the commissions paid to both the seller’s agent and the buyer’s agent on the sale contract.

There is a major psychological component in the decisions related to RE buying. If the buyer has to scramble to assemble $1 Million to pay for the house, that feels like one big task. If the same buyer has to come up with $980k to pay for the same house, plus additional 12k to pay the agent, that feels like two tasks. Suddenly you feel hostility to your own agent, who represents an additional 12k barrier between you and your chosen house. Even though a completely rational buyer would know that they are paying $992k in total instead of $1M, saving 8k.

That’s the reason many buyer’s agents want to gloss over the section that talks about the additional commission. If the commission disclosure on the sale contract was mandatory, there would be much less reason for the agents to gloss over that.

#110 Flop… on 10.24.21 at 8:30 pm

I just watched this story on 60 minutes on the water shortage on the former mighty Colorado River.

I like Bill Whitaker because he talks real slow…

M47BC

https://www.cbsnews.com/video/colorado-river-water-level-60-minutes-video-2021-10-24/#x

#111 crossbordershopper on 10.24.21 at 8:36 pm

when i bought my last house not too long ago, not a townhouse pre construction . I was in a bidding war with some other guy i guess, the listing agent called my agent and she relayed to me” how bad do you want it”. implying if i sweeten the offer i can maybe get it. i was thinking its just like sex, i turned to my wife all the time and say the same thing and its an inside joke, how bad do you want it. lol
i didnt get it , well the house anyway

#112 MalcolmM on 10.24.21 at 8:46 pm

I sold my Mom’s apartment privately. I did give the buyer a break on the purchase price as she saved me the hassle of dealing with an agent.

I bought me current townhouse through an agent. Both my agent and the sellers agent were horrible.

But I’m a do it myself person when it comes to real estate and finances. I’ve had similar terrible experiences with financial planners.

#113 Quintilian on 10.24.21 at 8:56 pm

“Sellers, not agents, set asking prices. – Garth”

I see elephants are like trees.

#114 Mid on 10.24.21 at 9:19 pm

Garth you forgot to mention how each realtor in the CBC piece LIED about WHY they didn’t want to show the FSBO property. That in itself casts realtors in an unfavourable light. And did nothing to help their cause.

Even been secretly filmed by a person impersonating a client trying to make you do something useless? Nah, didn’t think so. – Garth

#115 Ponzius Pilatus on 10.24.21 at 9:21 pm

I’m watching the TV realty series “ Big Timber” which features the breathtakingly beauty of the shoreline around Sooke on Vancouver Island.
I get mad when I see the pictures from the overloaded rust bucket that lost 4 containers and is now burning.
How the hell can we allow these accidents to happen enter our shorelines.
Well, at least as of now the situation is under control, thanks to the valiant efforts of the Coast Guard.

#116 the Jaguar on 10.24.21 at 9:27 pm

@ 81 Fishman++

What the Google sez:

How many shipping containers get lost at sea?

“The World Shipping Council’s 2020 report estimates that an average of 1,382 containers are lost at sea each year. The figure is based on a survey of the WSC members that represent 80% of the global vessel container capacity.Feb. 15, 2021.” +++

While I understand that many might just be carrying Nike tennis shoes or sweater sets, am I just ‘old fashioned’ to think that those that contain dangerous chemicals should be in more special protective custody, i.e. no chance of them falling overboard and killing marine life? Maybe don’t pile ‘those ones’ at the top of the heap in the event they encounter rough seas?

Is it just me that also can see a little ‘hypocrisy’ in the wailings of people like Governor Gretchen Whitmer over Enbridge Line 5 when this careless regard for marine life goes on every day in plain sight?
What is sunk below the ocean waves to Davie Jones Locker just isn’t newsworthy, I suppose. All in the pursuit of cheaper goods manufactured in far away lands so we can feel good about ourselves as we rise out of bed each morning to greet the world with newer and improved Woke platitudes.

As for ‘ Keep your eyes open, don’t put the deckhand on the wheel at night. ‘, in my darkest dreams I could not imagine being on a vessel smaller than a cruise ship at night. I could not wade beyond two feet into the beautiful green waters of Lake Kalamalka after sundown.

I sometimes wonder how either set of my grandparents found the courage to sail across the ocean from England to North America, the first in 1885 and the other on the SS Southwark in 1907. Faith, hope and a new beginning, I suppose.

#117 Doug t on 10.24.21 at 9:41 pm

I Absolutely cannot stand “I vote CBC” bummer stickers, lawn signs, window signs, shirts etc – WTF does it even mean – God the people that ornate themselves with this are insane in da brain

#118 crowdedelevatorfartz on 10.24.21 at 9:41 pm

@#100 Winterpeg
“Still, it provides a lot of great shows (TV and Radio) that promote Canadian culture and Canadian content. ”

+++++

The CBC was once the only National channel.
Then the private sector slowly took over. It took decades and cabletv but the writing was on the wall.
The CBC is an unnecessary anachronism of a later time.
Sadly the people in charge still seem to think they can rely on two generations of older viewers that still remember The Friendly Giant.
All while “going digital” and completely ignoring those self same generations of faithful viewers as they try and capture the younger kids that barely know where the tv is in the house.
Younger viewers that spend more and more time on the internet and can’t be bothered to “sign in” to watch wincingly painful “Canadian Content” like Little Mosque on the Prairie or $hitts Creek.

Cornball series that go into syndication as soon as possible ( and profitable for CBC)and get picked up by other tv stations around the world desperate for squeaky clean family hour pabulum with the obligatory gay person or person of color.

Apparently The Beachcombers is playing somewhere in the world 24/7.

Either way.
The CBC is a Zombie Corporation…
It staggers around not knowing it’s actually dead….
While burning through hundreds of millions per month trying lame Woke idea after lame politically correct idea to find viewers that have left and don’t really care to come back.

Drive a stake in them.
They’re done.

#119 crowdedelevatorfartz on 10.24.21 at 9:54 pm

@#115 PanaMax Ponzies Predicament

“I get mad when I see the pictures from the overloaded rust bucket that lost 4 containers and is now burning.”

++++

I’d hardly call a ZIM Container ship carrying hundreds of containers that just successfully sailed through a Cyclone a “rust bucket”. Losing 30-40 containers and still keeping the rest of the containers stable and the fire under control…. a worthy crew.
( more on the remnants of the Cyclone that will hit us tomorrow)
Talk about wanting your Cake and eating it too.

Those blessed containers are carrying the latest widgets from your beloved China Ponzie.
How do you expect to pressure wash your mossy driveway without the latest chemical antifungal detergent straight from Shenzen?
Silly Ponzie.
Wants cheap stuff from China but doesn’t want the messy fallout when things go wrong.

I think Ponzie’s right.
We should stop importing all chemicals and build chemical factories in Surrey, White Rock, Tsawwassen, Richmond and ship it out to the world.

#120 Sail Away on 10.24.21 at 10:02 pm

#116 the Jaguar on 10.24.21 at 9:27 pm

I sometimes wonder how either set of my grandparents found the courage to sail across the ocean from England to North America

——-

Really, what’s the worst that can happen? I would love to swim in the wildest insane seas. Cork goes up, cork goes down. That’s actually my palliative care plan. Way better than drifting away on an ice floe.

#121 meslippery on 10.24.21 at 10:15 pm

Sellers, not agents, set asking prices. – Garth

———
Unless I just take what the agent tells me should be the selling price.
I will do much research to protect myself.Then the lawyer dose her work then we split four ways between 2 uber drivers (delivering prospective buyers ) and the desks they rent instead of working from home and reducing cost. (Think Real estate app) Too many middle men ??
Cost to much in a hot market.

#122 Ryan G on 10.24.21 at 10:28 pm

This whole argument that the average realtor doesn’t make a solid annual income is no argument for their high commission. It’s a joke of a qualification, fast and easy. They dream of the Audi and easy fast cash. The over supply the employment market and reduce their share of the work. FSBO is now a shity system, we need better options. Like that in Scandinavia. Flat fees, balanced and fair. And FSBO are not all greedy. Knowing you’re paying too much for the work performed when I lost my SF house in YVr and it’s gone in a week. Cost me $60k for literally a few hours work. Not reasonable.

#123 Ryan G on 10.24.21 at 10:33 pm

Additionally, the YVR market for example has increased approximately 150% over the past 12 years. Yet realtors commission has remained the same ratio of the sale price. They pay has also increase 150% over the same period. What other industry has seen such a pay raise? Especially as their processing and systems have only increased in efficiency.

#124 Philco on 10.24.21 at 10:40 pm

#117 Doug t on 10.24.21 at 9:41 pm
I Absolutely cannot stand “I vote CBC” bummer stickers, lawn signs, window signs, shirts etc – WTF does it even mean – God the people that ornate themselves with this are insane in da brain
——————————–
LOL I use to send them emails calling them out on their very bias reporting.
Hey your going to do why the guy tells you to do when he’s supplying you your pay cheque.
“Defund the CBC!”

#125 BillyBob on 10.24.21 at 11:02 pm

#81 fishman on 10.24.21 at 6:23 pm
Jaguar: Containers sometimes get lost & when they don’t quite quite sink become a problem. Hard to see when they 95% semi-submerged. I’ve got a corten steel skin. If we hit the can the right way it’ll act like a can opener. Keep your eyes open, don’t put the deckhand on the wheel at night. Pray the can(s) will sink.

===============================================

https://en.wikipedia.org/wiki/All_Is_Lost

https://www.youtube.com/watch?v=no1rl9Gvx-s

An acting tour de force from Mr. Redford and a moving film.

#126 Trojan House on 10.24.21 at 11:33 pm

#109 Michael in-north-york on 10.24.21 at 8:29 pm

I agree. That part of the buyer’s rep agreement needs to be the most important discussion but, if I remember correctly, it’s buried at least half way down the contract.

#127 calgary on 10.25.21 at 12:17 am

Realtors are redundant. Selling and buying should be all online; especially with blockchain. Only need home inspection. Government gets a cut for every transaction. Everyone, except realtor, is happy.

#128 Jon B on 10.25.21 at 12:43 am

Do not agree at all. Stop assuming people who FSBO their own house lack the selling, marketing and general business acumen to do the job properly. Additionally, it’s the lawyers who do the heavy lifting in any transaction. Greed? That’s the appropriate descriptor for the realtor cartel who are all about keeping their monopoly by not sharing market information with the public and employing tactics that encourage FOMO. I like to shop around but standardized commission rates don’t help me determine which realtor might offer me the best value when the price is fixed.

#129 Urban Dweller on 10.25.21 at 1:03 am

I’ve sold 3 homes via FSBO! No regrets and all 3 sold in 1 day! All comparable sales to homes on my street!

#130 Millennial 1%er on 10.25.21 at 1:32 am

Another industry that is going to be replaced by a few NVMes & CPUs in a datacenter in arizona, running on code written by one disgruntled Canadian FSBO who had enough.

You know it’s coming, Garth. Tech is going to disrupt and automate RE, and RE “agents” will have to learn how to code or learn hope CERB lasts a while longer

#131 Diamond Dog on 10.25.21 at 7:13 am

https://en.wikipedia.org/wiki/Marketplace_(Canadian_TV_program)

Just so we are clear with who and what Garth and lot is bashing here, Marketplace has had a long history in Canada, having been around since ’72. It’s shtick is well described in the link above, in case anyone has forgotten what they do.

I will concede that there have been episodes produced from Marketplace that haven’t been fit to win Pulitzer’s by any means but in the same breath, there have been some winners. We might want to remember this the next time we remember Cadmium in jewelry or lead in crayons.

Are we to suddenly pretend shenanigans don’t exist in sales and products since the day we were all born and that there isn’t a market for something or someone in media holding the buggers to account? More to the point, are we to believe that Marketplace should be cancelled because Garth takes a swipe at the CBC provoking the victim playing hypocritical, easily led, dimwit snowflakes quick to practice cancel culture from their outraged woke closets?

C’mon!

Wait, let me check with my party affiliation before I cast an opinion on, well, anything since we know some AH looking for a wedge has decided to politicize anything with an identity and is only too happy to formulate that opinion for my lazy mind. (eye roll)

Someone cue some hyperbole please, entertainment has value, that is at least until people mistake it for something else. (another eye roll)

#132 Wrk.dover on 10.25.21 at 7:47 am

Here’s one just for fun.

In 1980, I walked into a RE brokerage around noon on a Monday, and met an agent on her first day on the job. I told her exactly what I had in mind for vacant land. Panoramic ocean view, a brook through it, paved road, and between A and B. Three days later she phoned to show me her find. We met there and she suggested I sign an offer for 75% of ask. It was accepted and closed at the $3000, she got her commission from the seller based on that discounted amount.

She had a long successful career.

We built, and have privately bought and added some adjoining properties since then, but have no experience selling.

I could live on what flippers pay agents to keep moving round and round.

It’s cheaper to keep ‘er, or rent.

#133 crowdedelevatorfartz on 10.25.21 at 8:05 am

@#117 Doug
“I Absolutely cannot stand “I vote CBC” bummer stickers.

++++

Yes it is a bummer.
“I vote CBC or I vote Liberal” is essentially the same thing.

Personally I think we should have Bumper stickers that read “Bury The Corpse” with the CBC logo.

#134 crowdedelevatorfartz on 10.25.21 at 8:30 am

An article about the CBC’s flagging viewership, falling advertisings rates, climbing govt handouts….

https://torontosun.com/opinion/columnists/lilley-canadians-are-ditching-cbc-so-why-do-we-keep-funding-it

Forever 3rd in a 3 horse race.

#135 Ich Bin Ein John Galt on 10.25.21 at 8:51 am

So now the latest Bidenesque foggy-brainstorm south of the border is to start taxing people on unrealized capital gains.

It seems like paying tax on money that you made isn’t enough; now the US government wants to tax you on money that you haven’t yet made or may never make. What can go possibly go wrong? Other than everything of course.

Expect T2 and TikTok to be all in on this one shortly.

My wife and I binge watched “Atlas Shrugged” on the weekend. She hadn’t read the book or watched the movie before. She was astounded by how much of it now looks like it was ripped from today’s headlines rather than written in 1957.

We’re seeing the Intersectionality of “1984”, “Animal Farm” and “Atlas Shrugged”. If you don’t know what I’m talking about, go do some reading that’ll scare more crap out of you than Negan wielding Lucille.

#136 Sue on 10.25.21 at 9:23 am

Umm more importantly who is still still watching/ listening to the cbc? Hopefully these few have the sense to double check the info for themselves. Cbc is terribly biased. Too bad we have to pay for it. It should be user pay only. Im sure they get the bulk of Trudeaus ‘media subsidy’ What a waste of money.

#137 Honest Realtor on 10.25.21 at 9:33 am

Thank you for this fair and reasonable blog entry.

#138 Dharma Bum on 10.25.21 at 10:00 am

I recently put an offer in on a FSBO house in Alberta.

The place was kind of a relic and and pretty much a dump, but was in a location that suited me perfectly and was on a very large hunk of land considering it was an urban environment.

The owner was a greedy old codger who mentioned “recent upgrades” like a fridge bought in 2006, and “refinished countertops” which looked like barfed on Formica that had dried to a crusty brown glaze.

This bumpkin refused to budge on his asking price (which was ridiculous). I offered less than asking, but didn’t “lowball” because I had a particular motivation for acquiring the property that was unique to me.

Anyway, the offer was refused, and I walked. I found out that 3 months later the property sold for less than what I offered. In the meantime, the new owners are gutting the place (which is exactly what I would have done).

My timing was wrong, I guess.

The point is that the FSBO seller was greedy and deluded.

#139 Dwilly on 10.25.21 at 10:21 am

Now do how fairly CBC covers Liberals vs. Conservatives. Or how balanced it’s Pandemic coverage has been. Or…

#140 Sail Away on 10.25.21 at 10:28 am

#125 BillyBob on 10.24.21 at 11:02 pm

https://en.wikipedia.org/wiki/All_Is_Lost

https://www.youtube.com/watch?v=no1rl9Gvx-s

An acting tour de force from Mr. Redford and a moving film.

———-

It may be good acting, but old Robbie is acting like this character instead of an actually competent sailor:

https://www.npr.org/sections/thetwo-way/2017/10/18/558479798/man-found-after-137-days-adrift-in-sailboat-and-its-not-his-first-rescue

#141 Shawn Allen on 10.25.21 at 10:44 am

Greed is not a four letter word nor is it immoral.

And if it is immoral, let he without sin cast the first stone.

The idea that maximizing the proceeds from selling a house in a free market is something to criticize bewilders me.

The audience of this blog is not exactly made up of people who have taken a vow of poverty.

Greed, as I wrote, is understandable. The venom people spew towards others based on their occupation is unfathomable. – Garth

#142 Polozified on 10.25.21 at 10:58 am

#43 an investor on 10.24.21 at 2:50 pm
The CBC died when they lost hockey.
__________________________________
They let the golden goose slip through their fingers.

No matter how many awards Schitts Creeks wins, nobody is actually watching it.

#143 Ponzius Pilatus on 10.25.21 at 11:01 am

Gotta give one to Sailo.
Hertz has just committed to buying 100k Teslas.

#144 Ponzius Pilatus on 10.25.21 at 11:07 am

#138 Dharma behind
HaHa
So the “old codger” had you over a barrel?
Good for him.
Not sure who the greedy one was.

#145 KLNR on 10.25.21 at 11:14 am

@#134 crowdedelevatorfartz on 10.25.21 at 8:30 am
An article about the CBC’s flagging viewership, falling advertisings rates, climbing govt handouts….

https://torontosun.com/opinion/columnists/lilley-canadians-are-ditching-cbc-so-why-do-we-keep-funding-it

Forever 3rd in a 3 horse race.

would think CBC will be going exclusively online and radio. Cable in general will be toast soon.

#146 Lee on 10.25.21 at 11:16 am

I think by any reasonable assessment the US and Canadian stock markets will correct shortly by 15%. Hopefully this correction will occur prior to 2022.

#147 Ponzius Pilatus on 10.25.21 at 11:19 am

I sold a few properties in my life.
Any would be buyers who tried to get a better price by “talking down” the place, were politely shown the door.

#148 Dragonfly 58 on 10.25.21 at 11:32 am

Hi Garth and all. It’s not pure spite and venom. As an example , yesterday I heard a help wanted ad on the Victoria radio. Red Seal Plumber, $56.00 and change per hour.
I am not taking away from a Plumber. I have done plenty of plumbing over the years , much of it on the job plus a certain amount at home so I know at least the first 80% of the trade. My ticket is Mechanics, not Plumbing.
But my real qualification is far more Tech oriented . Same for my Nurse , Supervisor wife.
Both of our hourly wages; wife current , I retired 2 years ago,are less than that offered Plumbers rate.
Why spend many years qualifying for, and learning and taking on higher, much more demanding positions when a person can complete a 4 year apprenticeship and make the same sort of income ? Probably higher with overtime.
I get it that construction projects are delayed due to lack of Trades, but at some point the wages have to have some sort of relationship with the actual job duty’s and level of education, experence and qualifications involved.
Plumbing isn’t for everyone, as I said I have done plenty of it over the years. But for it to pay the same as a Nursing Supervisor with 30 + years experence ?
No wonder the Health Care System is dreadfully short of Nurses.

#149 Quintilian on 10.25.21 at 11:40 am

Shame on those parents of children who have to rely on school lunch programs for nutrition, while they old hostile feelings toward the slumlords who harvest 70% of their income for shelter, while the properties continue to deteriorate into squalor and appreciate in price, more per day than what workers can earn.

Yeah, shame on those people who don’t worship at the alter of greed.

#150 yvr_lurker on 10.25.21 at 11:56 am

#102 Trojan House

Thanks for taking the time to explain it. However, what I am confused about is the following statement taken directly from the Marketplace story:

In light of the CBC investigation, the Real Estate Council of Ontario issued a warning to agents about such practices: “In addition to being illegal, the conduct undermines consumer protection, consumer confidence and the reputation of the real estate profession as a whole.”

So if the buyers did not have a BRA, why would the real estate council write in “In addition to being illegal…” (their words), when it fact it is legal not to show a FSBO home without a BRA.

Bottom line though, and this is not in doubt, is that the realtors in the expose were not honest or straightforward in any way on why they would not show the FSBO home. This makes the realtor profession look slimy and begs the question what other unethical practices do realtors do behind the scenes. Garth’s response below in #114 is very lame

#114
Even been secretly filmed by a person impersonating a client trying to make you do something useless? Nah, didn’t think so. – Garth

A realtor would earn full marks for honesty if they just took a little time to honestly explain to their buyer how they earn their salary and that a FSBO does not provide the compensation that is expected. As a result, if you want to go with the FSBO either we need to push the seller to increase their offer to the buyer’s agent or you are responsible for the shortfall in the commision. Just say it as it is; no BS that the house is bad, it is over priced, etc… People who lie about one issue, will lie about others for sure, and then the trust is kapoot.

We have bought two places over the years. For the more recent one, our realtor coordinated the sale of our old place and the purchase of the new place. For the identification of the new place, he did close to zero work except providing the sale price of “comparables”. We identified the place and came up with an offer, and he just wrote it up. With everything online as compared to years ago, we do not need someone showing us random places every weekend. We did get a large discount on the commission for the sale of our old place given that we used him for the purchase as well.

#151 XGRO and chill on 10.25.21 at 12:00 pm

The story would’ve had no traction if the public supported what the realtors were doing. And less than 1 in 5 Canadians want the CBC defunded.

Erin O’Toole on the campaign trail recently said that he could stream video content from his phone and get more views than a CBC reporter, therefore the CBC is pointless. And that’s about as deep as the conservative thinking on the subject goes.

#152 Sail Away on 10.25.21 at 12:07 pm

#141 Shawn Allen on 10.25.21 at 10:44 am

Greed is not a four letter word nor is it immoral.

——-

Greed is indeed morally questionable, and it is also one of the Seven Deadly Sins, so best to avoid.

Who would want to be greedy? Those people can never be content.

#153 yvr_lurker on 10.25.21 at 12:13 pm

#44 Dolce Vita
———
Your statistics I believe help reinforce something that I have long suspected. Indeed there has been a very large transfer of $$$ from “well-off” parents to their millenial
kids to get them on the property ladder. Without this help, except for those rare young people who have hit the jackpot with a successful business, many millenials would be simply out of luck getting on the property ladder in our major cities (or now even in smaller cities).

What about those ambitious, creative, hard working young people for which the bank of mom/dad is not a possibility? With housing prices WAY out of line with local incomes (big or small), without a huge down payment they are just out of luck. This is the beginnings of a new feudal class for sure, and those who cannot benefit from the bank of mom/dad should just take their ambitions and skills elsewhere (i.e. the U.S. possibly or overseas where the tax rate is low…). Have a nephew flying for Emirates who is paid very well, and is living in Dubai and saving tons as the taxes are very low.

#154 Faron on 10.25.21 at 12:21 pm

#116 the Jaguar on 10.24.21 at 9:27 pm

@ 81 Fishman++

Now imagine sailing a thin-hulled carbon fiber monster 24/7 around the world? Solo? The Vendee Globe has to be one of the toughest sporting events out there. Several were lost this year (boats, not people) likely due to impacts with lost containers.

Many fine memories of sailing out local waters at night with a glinting moon. Or motoring when calm with bioluminescence trailing aft.

#155 The West on 10.25.21 at 12:33 pm

#17 Quintilian

reply:

What a sad society this has become. Full of anger, resentment, hostility and venom for others. All because of money. – Garth

——————————————————–

The balance of social economics has been irreparably broken by a greedy, self serving, elitist establishment who has seen exponential growth in their “papered” money by destroying the working class. (To be clear, the political opportunists who play on this are doing nothing to make this better. In fact, they’re making it much worse for a financially illiterate society hellbent on what they have learned from the top’s “greed” and “jealousy”.)

Bill Clinton did two things (oh yes – the “people’s man” from the 1990s).

1) Repealed Glass-Steagall (1933) which enabled the gamblers of society to print all the money the needed to drown the working class while capitalizing on fictitious gains – leaving a wake of unfettered inflation behind them. The middle class is gone, so is the opportunity upwards.

2) Set the ground work to off shore the North American middle class by bringing the slave labor of Eastern Asia (namely China) into the World Trade Organization twenty years ago.

As you mentioned in your entry “Lost” – hopelessly so.

North America and our parents in England, have been devoured by the establishment for 20 years (in England since the 80s under Thatcher) ….the centralization of money has utterly gutted the functioning of what was the most robust, and equal, economic circumstances ever created by humans.

Anger, resentment, hostility and venom?? I don’t think their is a real understanding yet of what is going to play out this decade in Canada and the United States. Let us hope and pray that the “anger” is directed where it needs to be.

The boot no longer tastes good

https://www.reddit.com/r/antiwork/

#156 S(cat) on 10.25.21 at 1:47 pm

“#3 Felix on 10.24.21 at 11:06 am

Wonderfully accurate photographic representation today of the dogawful curse that useless canines are upon this planet.”

And cat owners can absolve themselves from their high horses since they don’t actually see their feral felines defecating in the gardens where unassuming neighbours might catch their dirty little parasites.

All because friendly Felix can’t handle the responsibility and love of having a dog. You poor soul.

#157 Trojan House on 10.25.21 at 2:51 pm

#150 yvr_lurker on 10.25.21 at 11:56 am

I didn’t see the story so I can’t comment on what exactly happened in that situation, however, agents do have to be careful even without a BRA signed because in law you can end up owing a fiduciary duty to a buyer just by your actions. In other words, you are “legally representing” a buyer by providing them with advice, etc., even without a signed BRA. So perhaps that was what RECO was referring to with that statement. As an agent, you are better off not helping someone at all or, at the very least, show them a home and then get them to sign a BRA which covers your butt. An agent call also sign a BRA for one specific property and for a specific period of time.

#158 Al on 10.26.21 at 12:08 am

Didn’t know GF was doing REB sponsored articles now lol. The CBC is right though, you usually need to pay them their 2.5% if you want any action. Should my client buy a house that pays me 8k instead of 20k ….hmmm let me think about that lol. This should be self evident to anyone who is paying attention.