the Rental - Alberta Residential Landlord Association

Transcription

the Rental - Alberta Residential Landlord Association
the
ISSUE 2
VOLUME 20
SUMMER 2015
Rental
gazette
Rental Apartment Vacancy
Rates on the Rise Across
Edmonton Region
B Y R I C H A R D G O AT C H E R
According to CMHC’s latest (http://www.cmhc-schl.
gc.ca/odpub/esub/64343/64343_2015_B01.pdf)
forecast report, landlords in the Edmonton region can
expect reduced rental unit demand associated with a
slowing economy and an increased supply of rental
units, leading to higher apartment vacancy rates in the
months ahead.
Last October, the rental apartment vacancy rate in
Greater Edmonton rose to 1.7 per cent from 1.4 per cent
a year earlier. Weaker job growth this year and fewer
newcomers from outside the province will undermine
demand. Meanwhile, a surge in apartment starts this
year will bolster supply going into 2016. CMHC analysts
are calling for the October vacancy rate to rise to 2.7
per cent in 2015 and 3.2 per cent in 2016.
A higher vacancy rate will boost competition for new
tenants and slow the rate of rent growth across the
region. The average rent for a two-bedroom apartment
was $1,227 in October 2014, up 7.5% from $1,141 in
October 2013. In 2015 and 2016, rents will continue to
rise but at a more moderate pace than in previous years
due to higher vacancy rates.
INSIDE
New Members................................ 2
2015 ARLA Board........................... 3
Events Calendar............................. 3
President’s Message....................... 3
Golf Tournament............................. 4
Editor’s Message............................ 5
Redesigned Laws........................... 6
Sharing the Risk............................. 7
Digital Trends................................. 8
Condo Rental Pools....................... 10
New Licence Model....................... 11
Condo Living................................ 14
CMHC notes that new additions to Edmonton’s rental
apartment universe will put some upward pressure on
the average rent level, as newer units typically rent for
more than older rental apartments. Overall, the average
two-bedroom apartment rent is expected to be $1,265
in October 2015, representing an increase of 3.1% from
a year prior. In 2016, CMHC expects the average twobedroom rent to rise by 2.4% year-over-year to $1,295.
Richard Goatcher is Economic Analyst for the Canadian Home
Builders Association (CHBA) in Alberta. He is also principal owner
of Goatcher Consulting, which provides a variety of economic and
market analysis services to clients such as UDI Edmonton and the
Realtors’ Association of Edmonton.
ARLA works tirelessly to promote professionalism, education and equity in all aspects of the
Residential Rental Business for the benefit of industry members and tenants.
208, 10544-106 St. Edm, AB T5H 2X6
Ph 780-433-9773 Fx 780-423-5186
The opinions expressed in any article in
The Rental Gazette are those of the author of
that article and not necessarily those of the
Alberta Residential Landlord Association.
Welcome New Members
Owner / Operator Members
Free and Clear Property Management • HomeEd
Jasper Place Health & Wellness Centre • MacTaggart Place
Magnum York Property Management • Mayair South • Saint Thomas Health Center
Skyline Living • Tamarack Gardens • TPI • Quality Assured Property Professionals
Barrett, Amber • Ammar, Shad • Anaka, Leah • Andersen, Jon • Banh, Long & Yen-Le
Beitz, Peter • Bloom, Tony • Boe, Suzanne • Botticelli, Vivianna • Rutar, Brian • Gollpudi, Butchi
Buteau, Kassie • Campbell, Deborah • Penner, CarolChou, Ming-Ying • Cook, Lois & Virginia • Cooke, Justin
Dodd, Raymond & Beatrice • Dimmick, Heather • Eberle, Lisa • Eichel, Brehn • Fraleigh, Jessica & Brad
George, Joseph • Gering, Don • Golurlay, Laura • Goossen, Cynthia • Filan, Greg • Gilbert, Alex • Hamilton, Amy & Scott
Hansen, Jonna • Hauck, Joshua • Hearing, Ab • Hicken, Crystal • Hiebert, Linda • James, Mary
Journeau, Geraldine • Jurina, Roman • Kennedy, Veronica • O’Neill, Jenna • Katchinskiy, Nir
Kheradpay, Mojgan • Kiryluk, Dan • Drover, Krystle • LaGrandeur, Philip • Lee, Susie • Lenzen, Harlan
Li, Ernest • Lindsay, Kim & Clay • Liu, Celestine • Lukusta,Nathan • Lutz, Lesley • Lutz, Maxime & Ken
Macdonald, Michelle • Mearon, Brian • Michaud, John • Mortensen, Darryl & Amanda • Nichols, Ian
Nielsen, Cynthia • Norman, Jason • Moore, Patti • Persaud, Robin • Pham, Nhan • Prokuda, Kristina
Pudyrcki, Cindy • Quilala, Manuel • Quock, Kyle • Rajagopalan, Sivakumar • Remley, Chris • Roesler, Randy
Ryzak, Brodie • Seerattan, Brenda • Sharma, Yash • Stewart, Greg • Stollery, Randy • Smith, Ann
Tamasiuk, Eden • Timmons, Barry • Van Der Walt, JC • Verghese, Abraham • Virk, Dave • Vlodarchyk, Marty
Walter, Jordan • Wendling, Michelle • Yue, Jennifer
Preferred Service Members
BFL Canada Insurance Services Inc. • Butler Plumbing Heating & Gas Fitting • Culada.com
Edmonton Eviction Services • Epcor Water • Golden Arrow Pest Control Inc. • Hybrid Horticulture
Rostucco Inc. • Paramount Flooring • Premium K9 Services • Superpro Painting Services • Titan Construction
Leading Edge Roofing & Consulting Inc. • Titan Construction
ARLA Advantage Program
Active Pest Solutions: 15% off regular pricing for ANY pest control service for
ARLA Members in 2015. Contact: Ryan Frawley at 780-371-9420 or ryan@
activepest.ca
ApartmentLove.com: ARLA Members receive a $10 discount on all individual
property listings and $50 off monthly subscription packages. Contact: Trevor
Davidson at 403-472-6510 or [email protected]
Leading Edge Roofing & Consulting Inc: Offering a FREE flat roof inspection and
condition report; limit one building per client.
RentCheck Credit Bureau: No annual membership fees apply to ARLA Members.
75% savings on credit report, rental history ... and much, much, more. Contact:
Brenda Maxwell at 1-800-661-7312 or [email protected]
Capitall Exterior Solutions: Offering ARLA Members 15% off all services in 2015.
Contact: Craig Hatt at 780-977-6013 or [email protected]
Solution 105 Consulting Ltd: Offering a FREE consultation for existing & new
SUBMETERING services. Call us today! Contact: Chris Vilcsak at 780-945-9606 or
[email protected]
Edmonton Eviction Services: Offering ARLA Members a $30.00 discount on
basic eviction package throughout 2015. Must note membership upon inquiry.
Contact: Donald Gray at 780-974-8427 or [email protected]
ZipSure.ca: Discounted on-line tenants insurance as low
as $9/month for ARLA members. Contact: Kathleen
Corkum at 587-337-4116 or [email protected]
IVIS Inc: Offering ARLA Members a 10% discount on all services in 2015. Offer
does not apply to emergency after hours services. Contact: Andre A LeBlanc at
780-476-2626 or [email protected]
2
The Rental Gazette
S U M M E R 2 015
alber talandlord.org
President’s
Message
ARLA
BOARD OF DIRECTORS
BY SHERRI DOUCETTE, PRESIDENT
EXECUTIVE COMMITTEE
Thank you to all our members for your ongoing support
of the Board of Director’s and Administration personnel
as we continue to transition into our new identity. While
not as drastic as the transition of the currently infamous
Bruce/Caitlyn Jenner there always seems to be just
one more little thing to be redesigned or re-labeled in
order to complete the transformation. I know Lynn and
Melanie will be delighted when the last detail has been
completed.
With 2015 already half over the year of change for our
Association continues headlong with no end in sight. A
brand new NDP government will no doubt be taking a
hard long look at the way our industry operates in Alberta. The Association encourages all members to continue
to be diligent and attentive to the laws that establish the
framework for our interactions with consumers. Now is
not the time to raise any red flags with the legislative
assembly in regard to fair and ethical business practices
around rental housing.
The Board of Directors highly recommends that all residential property owners, managers, caretakers and/or
other front line personnel are intimately familiar with the
requirements of the Alberta Residential Tenancies Act. To
this end we have developed the Suite Smarts program;
an online, interactive and economical way to ensure you
understand the legislative requirements of running your
revenue property in Alberta. Do check out the website
or contact Melanie at the office to register or learn more
about what this course has to offer.
With the advent of the new government it will also be
essential to grow our association. As the government
tackles issues associated with the residential rental
industry we will all be better served by presenting a
strong and unified voice. Please be sure to spread the
word about the benefits of membership in our Association and the importance of robust membership numbers
when it comes to preserving a free and competitive
rental market.
On a lighter note be reminded that while the Association
offices remain open during the summer months there
will be no General Meetings, luncheons or seminar’s
until September. Enjoy your summer.
President: Sherri Doucette
Past President: Bill Begley
1st Vice President: Sandy Pon
2nd Vice President: Dan Posa
Secretary / Treasurer: Marty Kurpershoek
DIRECTORS
Constitutional: Bill Begley
Education & Conference: Jonathan Bussey
Government Liaison: Sonny Mirth
Membership & Benefits
Carolyn Flexhaug and Michelle Roseboom
2015 EVENTS
Newsletter: Raphael Yau
January 22
Seminar: Fire Code Program
General Meeting Luncheon
Program & Social: Donna Monkhouse
February 19
Seminar: After the Court Order
General Meeting Luncheon
Public Affairs & Social Media:
Lynn Hamliton and Pete Ages
March 26
Seminar: Difficult Tenants
General Meeting Luncheon
April 23
Seminar: Ask the Expert
General Meeting Luncheon
May 14
Seminar: Death of a Tenant
General Meeting Luncheon
June 11
Landlord Boot Camp
June 18
Golf Tournament
September 24
Seminar: Collections
General Meeting Luncheon
October 22
Seminar: After the Court Order
General Meeting Luncheon
November
AGM & Christmas Social
*New Location: Chateau Louie Hotel
ARLA ADMINISTRATION STAFF
Lynn Biggs
Executive Director
[email protected]
Melanie Robillard
Program Administrator
[email protected]
(117 Street & Kingsway Avenue)
General Meeting Luncheon................................................ $32
General Meting Luncheon Non-Member............................ $40
Annual General Meeting & Christmas Social...................... $40
Education Seminar Members............................................ $60 *subject to change
Education Seminar Non-Member....................................... $75 *subject to change
alber talandlord.org
S U M M E R 2 0 15
The Rental Gazette
3
Golf Tournament Swings Into Action
B y D onna M on k house , C hair , A R L A G olf C ommittee
On Thursday, June 18th the Alberta Residential Landlord Association held its 14th Annual
Dougald Miller Golf Classic Tournament over at the Sandpiper Golf & Country Club. Members
and invited guests had a delightful day out on the course followed by a BBQ dinner and awards
banquet. Throughout the day golfers enjoyed the fruits of sponsorship by way of complimentary
hot dogs, delicious mimosa cocktails and a wide assortment of liqueurs; and for those with a
sweet tooth, there was even a ice cream truck parked on the course, serving soft ice cream. It
just doesn’t get any better than that!
ARLA wishes to sincerely thank its Board of Directors, landlord Owners, Operators, Property
Managers, team staff and its Preferred Service Supplier members for attending the annual
tournament. ARLA especially wishes to acknowledge the event Sponsors for their tremendous
support of the golf tournament through participation, contributions, gifts and prizes. A special
shout-out goes to the people who manned their corporate holes and delighted the golfers with
games, prizes and mouth quenching refreshments and goodies. ARLA is grateful beyond words
and as a reminder we encourage members to support its Service Providers by utilizing their
services. The detailed list of sponsors are noted below:
Tournament Highlight Recap
Winning Team with a score of 56: Congratulations to Captain Will Pozzo, James Ma, Travis More,
Patrick Madden.
Most Honest Team with a score of 84: Congratulations to Captain Dan Posa, Darryl Dreger, Les
Cebula
Proximity Winners
Ladies Longest Putt..................Jenn Smith, Westcorp
Ladies Closest to the Pin...........Jenn Smith, Westcorp
Ladies Longest Drive................Fran Eastlake, Ascot Properties
Men’s Longest Putt...................Rob MacMullen, National Bank
Men’s Closest to the Pin............Jeff Mullenix, Sparklean Restoration
Men’s Longest Drive.................Blaine Kemp, Karlen-Elecom
Mulligan Proceeds: Raised $885 with proceeds going to Dougald & Lesley Miller. Glenda Rouleau, Homeward Trust won the Wine goodie basket for purchasing tickets.
50/50 Winner: Raised $653 with half the proceeds donated to The Canadian Breast Cancer
Foundation. Lucky ticket winner was Pieter Gerbeth, Titan Construction.
HATS OFF TO OUR SPONSORS
We wish to thank the tremendous support of our tournament Sponsors. Courtesy of our sponsors golfers enjoyed a complimentary continental breakfast, free driving range privileges,
team prizes, proximity prizes, door prize and gifts galore. A big shout-out goes to:
TITLE:
CHRISTENSON & MCLEAN ROOFING CO.
PLATINIUM:
Boardwalk Rental Communities
DF Technical & Consulting Services
Homeward Trust
Peoples Trust
GOLD: Active Pest Control, Ascot Property Management, Ayre & Oxford Inc.,
Capitall Exterior Solutions, Karlen-Elecom, Murray Hill Developments, OAB
Reliable Carpet Care, Solution 105 Consulting, Sparklean DKI, Strathearn
Heights, TELUS Communications, Titon Construction & Reynolds, Mirth,
Richards & Farmer LLP.
HOT DOG:
Coinamatic
SILVER:
4Rent.ca
All Reach Glass
CART VALET:
National Bank
ypnexthome
BRONZE:
Edmonton Eviction Services
Edmonton Police Service, Crime Prevention Program
In conclusion, on behalf of Lynn Biggs, Executive Director and myself, Donna Monkhouse, we
wish to sincerely thank Melanie Robillard (ARLA Assistant Program Coordinator) and its wonderful volunteers Joanne McNalley (Boardwalk Rental Communities) and Shawna Thompson
(Avenue Living) for their tremendous hard work in making this year’s tournament such a
wonderful delight! We look forward to seeing you all back on the green next year for an even
bigger and better event already in the works!
4
The Rental Gazette
S U M M E R 2 015
alber talandlord.org
Editor’s
Message
increase and some are questioning if inventory levels
can remain manageable. Many of the units under construction will be completed in 2015 leading to higher
inventory levels of both owner-user units as well as
rental units.
B Y R A P H A E L YA U , C H A I R
Summer is upon us and we can enjoy the outdoors
again, although the price of oil and the local economy
are on the forefront of many discussions among
Albertans. The Conference Board of Canada is projecting a 0.8% contraction in Real GDP during 2015. They
sight “the collapse in oil prices has significantly altered
the economic outlook among Canada’s largest cities.”
Unemployment is up slightly due to oil and its long
reaches into Edmonton’s economy, but Edmonton is
still a well diversified city. We are a government and
public sector city. Public sector employment accounts
for 20% of the local work force, and we haven’t seen
any major slashing in this area.
After the recent election, the newly elected NDP government is in its infancy and beginning to implement
its campaign promises. It’s a reality that the monies
must come from somewhere, so the NDP has begun to
announce some new policies which will coincide with
some new or increased taxes. They have also decided
to rescind some of the taxes and fees approved by the
outgoing PC government. There is a lot of discussion in
the business community about how the government’s
alber talandlord.org
proposed minimum wage increase will affect business
owners. The debate will continue until the government
clarifies how this process will unfold.
Oil prices seem to have stabilized around $60 per barrel. This translates to significant shortfalls in provincial
oil royalties. If the price remains depressed at the
current level, the Albertan economy could take another
significant dip in the fall. Economists’ price predictions
range from $50-$90 per barrel over the upcoming
twelve months. Read between the lines and it’s obvious no one knows for sure.
In Edmonton we are lucky that we benefit from a diversified economy; in construction alone we employ over
85,000 workers. This industry should bear some of the
pressure from the slowdown in the oilsands. There are
more cranes in the sky in Edmonton than ever before
in history. The count is currently at 23 and will swell to
30 by fall.
Currently there are over 12,363 multi-family units
under construction as of April 2015, up 32% from
the same month in 2014. Construction is expected to
S U M M E R 2 0 15
The Edmonton vacancy rate has risen from 1.4% last
April to 2.4% in this April. On a positive note, average monthly rents for all suite types increased from
$1,061 to $1,110. The overall apartment vacancy
rate in Edmonton increased due to softening market
conditions, along with a significant number of rental
purpose new construction. Currently there are 17 new
rental apartments under construction and another 17
proposed. With 21 rental buildings complete in the past
12 months, there have been over 1,800 units added to
the rental pool in Edmonton.
We have seen a steady demand for multi-family
properties with cap rates hovering around 6%. Owners
with stabilized operations are listing their buildings for
sale and looking to diversify their holdings. In 2015,
purchasers will continue to be drawn to cash-flowing
multifamily opportunities as a stable investment in
which equity can be sheltered and grown. Going
forward, increasing operating expenses and mortgage
rates may be the greatest factors to influence value
appreciation.
I hope you all are able to get outside and enjoy our
beautiful summers. It was great to see everyone at the
14th Annual Dougald Miller Golf Tournament.
Raphael M.H. Yau is a Partner with Cushman & Wakefield Edmonton. Source: CMHC, Conference Board of Canada, Edmonton
Journal, Cushman & Wakefield Edmonton Research
The Rental Gazette
5
Redesigned Laws for Landlords &
Tenants in Alberta Website
B Y A melia M artin , C entre for P ublic L egal E ducation A lberta
The Centre for Public Legal Education Alberta (CPLEA) is
excited to announce the launch of our newly redesigned
Laws for Landlords and Tenants in Alberta website (www.
landlordandtenant.org). The new website reflects the feedback CPLEA received from landlords and tenants across
Alberta. It features a modern, streamlined design with
enhanced search capability along with the same excellent
plain language content that Alberta landlords and tenants
have come to expect from CPLEA.
6
The Rental Gazette
CPLEA has a long history of providing accessible and
responsive legal information in plain language to tenants
and landlords in Alberta. The new Laws for Landlords and
Tenants website will continue to grow and evolve over time
to address the changing needs of Albertans. CPLEA’s Laws
for Landlords and Tenants in Alberta program, including the
redevelopment of the website, is generously supported by
the Alberta Real Estate Foundation.
The new website also features CPLEA’s brand new tip
sheet, If your Employment Ends… Laws for Tenants in
Alberta. This tip sheet outlines what options are available
S U M M E R 2 015
to tenants if they have lost their job and need to leave their
tenancy early. Landlords and property managers will find
the tip sheet to be a helpful resource to provide tenants
who are currently going through this situation.
All of CPLEA’s Landlord and Tenant tip sheets can be downloaded and printed for free from the new website by going
to www.landlordandtenant.org/resources. One of the most
popular publications is the CPLEA’s Eviction Notice flow
chart and is available on the site as well.
Amelia Martin, BA, MLIS, JD LLP Executive Director, Centre for Public
Legal Education Alberta (CPLEA) and can be reached at 780-452-0261.
alber talandlord.org
Are You ‘Sharing’ the Risk?
B y M i k e B eaton , A . P. B . R eid I nsurance Ltd .
As the world continues to change at an exponential rate,
established industries are being disrupted by smaller,
nimbler, more technologically advanced competitors.
Today’s consumer craves convenience and service, and
these new companies are scaling at a rate that is driving
the price down and forcing their competitors to react.
FaceBook, Kijiji and Uber are all highlights of this new
‘sharing economy’, disrupting their industries and forcing
the previous market leaders to react and change strategy,
not only to compete with these new players but survive.
One of the best examples of the new sharing economy
is a service called AirBNB – if you haven’t heard of it yet,
you will soon. AirBNB (Bed and Breakfast) is a community marketplace where guests can book spaces from
hosts, connecting people who have space to spare with
those who are looking for a place to stay. Typically these
are short-term rentals, and can vary from a room in a
residence, an apartment, to an entire house. AirBNB has
quickly spread throughout the United States and has
recently entered Canada. It has become one of the most
preferred methods of booking accommodations for the
millennial generation (born early 1980s to early 2000s),
and is taking a sizable chunk of market share from the
hotel industry.
As a landlord, where do you stand in this? If one of your
tenants has an extra room available, should they be able
to ‘rent’ it out to strangers? Does this leave you, the land-
alber talandlord.org
lord, liable? Is it covered under their tenants insurance
policy? What happens if a tenant rents space from you,
but use it ONLY as a lodge for travelers through AirBNB?
Does your insurance cover any losses? Unfortunately, like
many new products on the market, the rules governing
their use haven’t caught up to reality of the new economy.
AirBNB offers a $1,000,000 Host Guarantee, which
simply stated, will reimburse you for up to $1,000,000 in
damages to your eligible property, in the rare event that
guest damages are not resolved directly with the guest.
However, critics argue that most home owners insurance
policies do not, under any circumstances, cover shortterm rentals – it’s considered a commercial risk. They also
argue that the ‘Host Guarantee’ isn’t actually insurance
– it doesn’t cover things like cash and securities, pets or
certain types of property like jewelry and artwork.
Although being an AirBNB Host can be potentially lucrative, is it legal for your tenants to do so? This seems to be
a grey area in Canadian Law, with many provinces having
conflicting precedents set as to whether it should be allowed. For example, according to Vancouver’s Zoning And
Development Bylaw 10.21.6, ‘rentals for a period of less
than one month are not permitted unless the unit is part
of a hotel or bed and breakfast’. Other provinces have no
such provisions. Horror stories are emerging in the media
where the Host had to submit an insurance claim, due to
their guests’ negligence, only to be denied by their insur-
S U M M E R 2 0 15
ance company for not having coverage for this exposure.
According to neighbors of AirBNB users, the site is
bringing loud parties, over crowding, and even brothels
into their buildings – leading some tenant groups to
self-police and report residents illegally listing units on
the site. Critics also mention that in secure buildings, such
as those who require key (fobs) to enter, are becoming
compromised by allowing complete strangers to move in
temporarily. As a landlord, you would want to approve the
tenants that are moving into your buildings; however, with
services like AirBNB, this is now out of your hands.
There are a couple of ways to mitigate the risk on your
buildings that you might want to look into:
• Look through your building insurance contract to see if
there are any provisions about short-term rentals, and see
what you, the landlord, are liable for.
• Require your tenants to have tenants insurance - this
will likely lower your exposure to risk (and would likely
deter your tenants from using their space as a short-term
rental).
• Brush up on the bylaws in your city, in regards to these
services. These services have been banned in some
municipalities.
• Create an account on these services, and do a monthly
search for your buildings to make sure they aren’t being
listed.
• Educate your tenants personally about the risks of using
these short-term rental services and the potential effects
on their personal property, liability, and legal issues.
Mike Beaton, B.Comm. is a National Marketing Specialist for A.P.B
Reid Insurance and are Proud ARLA Preferred Service Members.
For further information please call Mike at 902-434-4642.
The Rental Gazette
7
Do You Know Your PPCs From Your SEOs?
D i g i t a l Tre n d s & O n l i n e M a r k e t i n g
B y E lisa Kro v blit, S enior E ditor , Y ello w Pages N e x t H ome
It’s been a print world for so long that you’re complacent about ad strategy.
Hold onto your budget – digital strategy will have you doing things differently.
Nobody needs to be sold on the power of the Internet, but we’ve finally got a
better grasp on how consumers are using the Internet – and best practices
to capture their attention.
It used to be enough to have a website. It was a place-holder, much like a
print ad. It was a touch-point that would connect your consumer with you.
Your consumer doesn’t just want to find you and connect, they expect more.
They expect to be sold on you by the time they contact you. They want you
to provide enough insight that they feel they’re making an intelligent and
informed decision by the time they commit to contacting you.
Harnessing these Internet tools gives you the edge in a competitive market.
You just need to understand those tools.
So do you know your PPCs from your SEOs?
Beyond a basic website, there are seven key trends that work together to
provide the best digital strategy. They’re not a pick-list, they are complementary, working together to optimize your traffic, connect the most qualified
visitors with your product and help you convert visits to sales. These are:
Mobile Website, Pay-Per-Click, SEO, Audience targeting, Retargeting, Responsiveness and Social Engagement.
“PPC - Pay Per Click – is used to drive leads,” says Kate Nash, Digital
Marketing Strategist at Yellow Pages NextHome. “You are able to get your
product in front of an audience starting a search using a combination of
broad and local keywords. But it’s not enough to just get people to your site,
you want to get the right people to your site, and you want to engage them,
keep them there.”
“Audience targeting,” says Nash, “is a type of display marketing where we
group consumers together based on their online searches and show them
an interest-based ad. After grouping all the like-minded consumers together,
8
The Rental Gazette
we can showcase your company on the next webpages they visit: optimizing
relevancy for the user and effectiveness for the advertiser. You define your
target audience, Google uses its own proprietary analytics to match you with
the right spots for your ads to be seen and consumed. Your PPC strategy
is maximized because every click you pay for is a qualified, interested and
well-matched click.
But, says Nash, PPC isn’t the only way to get them to your website, you also
need to capitalize on the organic search. This trend is SEO – Search Engine
Optimization. Whether they’re Googling, Binging or Yahooing, they’re performing a search to find information on businesses just like yours. You need to
make sure that your website ranks at the top so that they find you first and
fast. SEO is the way to make that happen. “You need to understand the
words they’re entering into the search bar. You need those terms to appear
on your website using sharable, engaging content. You need to have the right
components on your website to ensure that search engines are finding your
website,” she explains.
“Search engines find optimized websites,” Nash says. That means great content, pictures, video, copy, floor-plans, robust descriptions, specific pricing,
local information, well-organized pages – a strong body of information that
supports your business. “A very important component is the FAQ. Anticipate
the questions that your consumer wants to ask, and answer them. You want
them informed and engaged.”
You’ve got visitors. They’ve arrived, but you need strong content to engage
them and educate them. A prominent trend is to use an authentic approach.
Instead of “Sell, Sell, Sell,” give them content they want to consume, educating them and earning their interest and trust.
“Videos are huge,” explains Nash, quoting Comscore’s recent stats: 100
hours of video is uploaded every minute to YouTube. Six billion hours of
video are watched each month. The numbers are staggering.” If you don’t
have video yet, you may want to get some. “It’s the Millennials that are a
S U M M E R 2 015
huge consumer of video.” Nash has another impressive quote: There are 8.2
million Millennials in Canada, that makes up 23 per cent of the population.
“These are your renters. This, we know, is a generation that rents. They’re
interested in mobility, maintenance-free living. They’re your audience and
they want video.”
Even with the best websites, sometimes users leave before being converted.
This isn’t bad, says Nash. You haven’t lost them yet. They may be going to
crowdsource reviews. “This is what Millennials do. In fact, this growing trend
is proving to be popular across generations.” People are going to social
media to ask around before they commit. This is where Responsiveness
comes in. There will be a lot of positive messages about you. Google Pages,
Facebook, Twitter, Instagram – there will always be those outspoken people
that want to share their opinions. You need to check to see if you’re the topic
of conversation. You can engage users through social media. You can thank
people for their business and positive feedback, but even more importantly,
you can do damage control on negativity.
Even the best businesses get negative feedback. “It’s better to control
negativity than remove it,” says Nash. Own it, apologize. It’s not the problem,
it’s how you deal with the problem.
Finally, you need to employ Retargeting. This trend is easy to do. “When the
user visits our website, we drop a cookie on their computer,” explains Nash.
“This cookie allows us to follow the user around the web. We can put our ads
on the pages they’re visiting, making it easy for them to return.”
The final part of the digital strategy conversation is summed up in one word:
mobile. “The customer is agile. They leave their desk and want to continue
interacting so they switch to their phone or tablet. The experience has to
be seamless between platforms. A good website has to be mobile-friendly,
dynamic. This means it should adjust to the screen it’s being viewed on, not
look, feel or behave differently, regardless of the device.”
A customized combination of these seven digital components will keep you
on trend – and will keep business brisk!
YPNextHome are Proud Members of ARLA. For further information please
contact Heather Harke, Multi-Media Consultant at 780-456-1153.
alber talandlord.org
FIRE CODE
APPROVED GUIDELINE
AFC Division C 2.1.1.1.(2)(b)(i)
Page 1 of 7
June 2015
Senior Citizen’s Lodge
Fire Safety Upgrading
PURPOSE:
To provide guidance for improved fire protection and life safety in existing Alberta Senior
Citizen’s Lodges.
ISSUE:
Senior Citizen’s Lodges (Lodges) constructed in Alberta prior to the adoption of the 1997
Alberta Building Code (ABC) may have been constructed when fire suppression sprinklers were
not a code requirement for these Group C residential occupancies. Lodges constructed after the
adoption of the ABC 1997 were required to install sprinklers in occupied spaces and interim
amendments to the ABC in 2009 expanded sprinkler systems to attics and other occupied
spaces.
BACKGROUND:
A tragic fire resulting in the death of 32 residents in the 23 January 2014 Residence du Havre
fire in L’Isle-Verte, Quebec highlighted the need for continuing and expanded efforts to improve
fire protection in senior’s facilities. Alberta Senior’s ministry has committed funds to upgrade fire
and life safety in government owned/operated Senior’s facilities and is encouraging private
owners/operators to upgrade their facilities.
Alberta Seniors will use these guidelines to assess their Lodges for retrofit, involving a range of
options from complete retrofit to the current code requirements, partial retrofit including sprinkler
systems for occupied spaces based on the 1997 ABC, or new construction under the current
codes where retrofit is no longer possible or cost effective.
The Government of Alberta has the authority to mandate changes such as building upgrades to
Lodges under its care and control. This Approved Guideline provides the Government of Alberta
with an acceptable safety standard that takes into consideration the complexity of the fire
protection, fire notification and other life safety systems.
Privately owned Lodges are not required to implement this Approved Guideline at this time, but
private owners are strongly recommended to consider the Approved Guideline as part of any
retrofit plan. By applying this Approved Guideline, existing Lodges can have a significantly
enhanced level of fire protection and fire notification at a reasonable cost. Complying with the
Approved Guideline will also reduce the design water flow requirements such that upgrading of
the building water supply to the building will either be less likely or less costly.
The Approved Guideline standard is in line with current upgrading requirements for similar
facilities in other Canadian jurisdictions including Quebec, Manitoba, Ontario, Newfoundland
and Labrador, PEI and BC.
Issue of this STANDATA is authorized by
the Chief Fire Administrator and
the Chief Building Administrator
Alberta Municipal Affairs – Safety Services, 16th Floor, 10155-102 Street, Edmonton, Alberta, Canada, T5J 4L4
Safety Codes Council, 1000, 10665 Jasper Avenue, Edmonton, Alberta, Canada, T5J 3S9
For additional Guidelines and information go to: www.municipalaffairs.alberta.ca/alberta-fire-code-approved-guidelines
alber talandlord.org
S U M M E R 2 0 15
The Rental Gazette
9
Condominium Rental Pools: Pros,
Cons & Considerations
B Y G R E G S T E WA RT
As an investor owner of a condominium unit, there are
many issues to consider when making the decision to
join a rental pool. Revenue and expense sharing, peace
of mind, condition of your unit in relationship to the
others and the track record of the property manager
who will be assuming responsibility for the management of the rental pool.
There are many advantages to being part of a rental
pool. The advantages include economies of scale in
terms of sharing operating expenses, less personal
hassle relating to screening and managing tenants
and the peace of mind of knowing that your property
is being professionally managed. Economies of scale
relating to operating expenses can translate into lower
turnover costs and maintenance costs as the property
manager can utilize purchasing power to negotiate
better terms/costs for labor and materials. In addition,
you will not have the stress of trying to find a qualified
tenant for your unit or the hassles associated with
addressing behavioral issues for your tenant. A professionally screened tenant is more likely to stay longer
10 T h e R e n t a l G a z e t t e
and do less damage to your suite during occupancy.
Your tenant will quickly understand that a professional
property manager is in place that will not be easily
tricked or bullied by them. Professional management
will include periodic inspections to be sure that your
asset is being properly maintained and that the tenant
is held accountable for any demise of your unit, above
normal wear and tear. You can also be assured that
all other landlords in the property are being held to
the same standard as your suite, thereby reducing the
problem of some landlords renting to low end tenants
that will create a demise for the common property,
thereby creating a demise for the equity in your unit.
You need to be aware of the condition and marketability of your suite in relation to others in the rental
pool. If your suite is in superior condition to others, you
will need to understand what will be done to bring the
other suites up to a comparable standard and how the
expenses to do so will be allocated. If your suite is in
inferior condition to others, you will also need to be
sure you understand the potential costs to bring your
S U M M E R 2 015
suite up to an acceptable/comparable standard and
how those expenses will be allocated.
The Cons to being part of a rental pool is you will give
up some degree of direct control over marketing and
maintaining your unit. You will put your economic
destiny in the hands of the property manager and
with this in mind, it is very important you know who
the property manager is, what their track record and
accountabilities for success are.
In summary, being part of a rental pool has many
advantages including peace of mind, economies of
scale, professional screening and managing of tenants.
Assuming you fully understand how renovation costs
and revenues are distributed and you are confident in
the selected property manager, being part of a rental
pool is an excellent choice to assist you in maximizing
your net operating income while reducing the stress of
managing your unit.
Greg Stewart is a proud member of ARLA. For further information
please contact Greg at 587-920-4626.
alber talandlord.org
Council Approves New Real
Estate Licence Model
they will need to complete both the residential and rural
courses.
Consultation Findings
A new licensing model is coming to Alberta’s real estate
industry on June 1, 2015.
The new model will require new real estate professionals
to complete the practice education courses for the areas
of real estate in which they plan to work (residential, commercial and/or rural). If they want to trade in real estate in
multiple areas, they must take the education for each area
of practice.
Council formally approved the new licence model for real
estate professionals at its April meeting. The feedback
RECA received during the consultation process has directly
contributed to the structure of the new model.
The consultation included a review of draft definitions for
residential and commercial real estate, as well as questions about possible challenges and solutions to those
challenges. While there was a relatively low response
rate, generally responses were in favour of the upcoming
change.
Real estate professionals provided important feedback,
including highlighting areas on which they will need more
information and pinpointing things that are misunderstood.
This feedback is valuable to RECA as it develops the
industry tools, resources and information for real estate
professionals about the areas of real estate practice.
for retail, office, industrial, investment and institutional
purposes and multifamily residential property comprised of
more than four premises.
“Rural real estate” means real property that is located
outside a city, town, village, hamlet or summer village and
with a primary purpose of farming, but does not include:
i) minerals contained in, on or under that real property; and
ii) land used primarily for the purposes of extracting,
processing, storing and transporting minerals.
The definitions emphasize the use or intended use of the
land.
Status Quo for Current Real Estate Professionals
The new real estate licence model will not affect current
real estate professionals. For example, if you’re currently
authorized in real estate and can trade in all real estate
activities (residential, commercial, rural and property
management), your licence to trade in those areas will
continue after June 1.
After reviewing the consultation responses, Council’s decision is not to remove the rural real estate course. While
the original consultation paper contemplated a residential
restricted licence and a commercial restricted licence,
based on feedback, Council is proceeding with three
separate restrictions:
• Residential real estate
• Commercial real estate
• Rural real estate
The finalized practice area definitions that will be reflected
in the Real Estate Act Rules, and through the new licence
model are:
Rural residential is captured by the residential course,
while the rural course is devoted to agribusiness. If an
individual wants to sell rural residential and agribusiness,
iii) land intended or used as a site for residential purposes
As we move towards June 1, RECA will produce additional
information bulletins about the areas of practice, which
will be valuable tools to help new real estate professionals
understand the restrictions of their chosen licence.
“Commercial real estate” means real property intended
or used to generate income and includes property used
Reprint in kind from the Real Estate Council of Alberta, www.reca.
ca. For additional information, contact RECA at [email protected].
alber talandlord.org
“Residential real estate” means:
i) any premises intended for residential purposes and the
land upon which the premises are situated;
ii) a building comprised of not more than four premises
intended for residential purposes; or
S U M M E R 2 0 15
Real estate professionals will continue to require authorization in all real estate practice areas before becoming a
broker or associate broker.
The Rental Gazette
11
12 T h e R e n t a l G a z e t t e
S U M M E R 2 015
alber talandlord.org
alber talandlord.org
S U M M E R 2 0 15
The Rental Gazette
13
A Guide to Condominium Living;
Avoiding Strokes & Stabbings
B Y B I L L B E G L E Y, I N L A N D P R O P E RT Y M A N A G E M E N T
To begin, a comparison: Living in a condominium whether a townhouse, duplex or apartment building IS NOT LIKE LIVING IN A SINGLE FAMILY HOME on the street. Check the comparison chart here for some differences and similarities. Please note that this comparison is not intended to disparage condominium living but to give the reader some advance warning
before buying a condo because it is a major investment and more importantly will let you know what to expect in the circumstances of living in a condo community; information which
you will not find in a developer’s disclosure booklet or in the show home or real estate listing.
CONDO LIVING
SINGLE-FAMILY LIVING
If you want to do ANYTHING to the exterior of your unit or put anything on the grounds of
common property or even your own land in a bare land condo, you ask permission of the
Board of Directors PRIOR to doing it. The Board may say NO for a variety of reasons.
If you want to change the colour of your door, plant flowers, erect a fence, install an air
conditioning unit outside of your single family home you do it.
If you don’t pay the fees assessed by the Board for maintenance you will find a caveat
registered on your title and your mortgagee advised of your default.
If you don’t want to keep your grounds looking spiffy you can let it go and until it becomes so bad the City gives an order, you can leave it. Your neighbours will hate you but
it sounds like you’re not too sociable anyway.
You will have to put money into a Reserve Fund to cover the cost of anticipated future capital
expenses based on someone’s projection and anticipated life-span of those items (concrete,
roofing, boilers, etc.) It does not matter if you feel you will have moved or died before the
expense actually arises. Think of it as your share of the depreciation on things.
You are free to let any aspect of your home deteriorate or keep it maintained at your own
cost. If a roof needs to be replaced, you look to your savings to repair it at the time it
begins to give you trouble. (or after your ceiling crumbles). Same thing for driveways.
As a member of the condo, you join a group with common interests and there is a very
good chance that you will develop new friendships.
It is not uncommon for people to know nothing about their neighbours. The only common
ground is that you happen to live nearby. Certainly people do form community friendships but it takes just that much more effort without the condo connection.
CONTINUED PG 15
14 T h e R e n t a l G a z e t t e
S U M M E R 2 015
alber talandlord.org
CONDO LIVING
SINGLE-FAMILY LIVING
RULES abound in condos. First and foremost are the Bylaws. If you do not read the
bylaws BEFORE you buy you will regret it. You will find there what you are responsible
for, if you can have pets and how many, what you can or can’t do. In addition, many
condo boards create a set of rules and regulations which clarify and add more detail to
some bylaw requirements. If you do not like following rules do not buy the condo. If you
feel that some bylaws are not really going to be enforced, you will be proven wrong; do
not buy the condo.
RULES are what you make them. Aside from abiding by the municipal bylaws, you pretty
much do as you like at your home and change anything you feel like changing.
If your neighbour’s deck starts to deteriorate, you and all the other neighbours share in
the cost of repairing or replacing that deck. Before you buy, confirm whether or not this
is correct; numerous condos have found that decks (not balconies on apartment buildings) are a major expense and have amended their bylaws to place the financial onus on
the individual owner to repair the deck, particularly true when someone has installed a
sunroom on top of the deck.
If your neighbour’s deck starts to deteriorate, you remember not to go dancing on it
and hope they don’t fall and break their necks. Conversely, if your deck is rotting, it’s all
yours to fix.
The size of your association’s reserve fund may well impact your ability to sell your
home and how much people are willing to pay for it.
If you don’t repair and maintain your home, a buyer will probably reduce the amount
they are willing to pay for your home but they won’t ask you how much you have saved
up for it.
The outside maintenance of your home and of your neighbours’ homes is controlled by
the Board and its decisions on whether to do work this year or next or at all are their
own. The Board also decides who to bring in to do work.
You alone control the maintenance of your home. You do not have the comfort of neighbours contributing to the costs and you have to find contractors and investigate them for
the quality of their work, their insurance and Workers Compensation coverage.
You likely have at least one neighbour whose home is attached to yours; more if you are
in an apartment-style condo. You must deal with their lifestyle, parties, noise, odours,
comings and goings at all hours, etc.
Your home is your castle or hovel depending on how you want to or are able to live.
Unless the neighbours have Greek letters over their front door the parties, noise, etc. are
not often a concern.
MEETINGS. You have an annual general meeting and if you are on the Board you have up
to 12 monthly meetings to attend. These are usually held in the evening and last from 30
minutes to 2 ½ hours. Do you have some concern about the way things are being run?
Go to the AGM if your letter-writing campaign has been unsuccessful and voice your
concerns. Be calm and orderly and if at all possible, decide in advance what it is you
want to discuss and ask that it be put on the agenda. Most condos provide for Roberts
Rules of Order or The Standard Code of Parliamentary Procedure and this may assist in
getting your views in front of the meeting if there is resistance from the Chair. Please
don’t try and show everybody all you know about these procedures on every point on
the agenda. It is a small gathering (usually) of neighbours and friends (usually) and most
attendees just want to get home to watch the game.
MEETINGS. There aren’t any. Unless your wife says “we have to talk”.
Value for money is subjective but many people in condos believe that they do not receive
the same service as their freehold friends. That long road leading to your townhouse
from Main Street is really a DRIVEWAY. Once it leaves the public road it is not the public’s
responsibility to clear snow or fill potholes. Garbage collection is often privately done at
a direct cost to the condo and paid by condo fees. Property taxes (in Alberta and many
other jurisdictions) are based on Market Value. If your home is valued at $400,000 you
pay the same tax, based on the mill rate, as for single family homes. It still applies to
you even though the City makes you collect your own garbage, light the roadway within
your complex, etc. The theory of market value says your home is worth that much after
allowing for the fact you have to do those other things.
Value for money is subjective. Your driveway is maybe 25 feet long. You have to shovel
it and the condo owner doesn’t. Garbage collection is normally included in your taxes
or added to your water bill as an extra cost and you pay it whether you have one bag or
ten.
CARE-FREE LIVING is a concept found almost exclusively in developer marketing material. While you may not have to shovel or cut the grass you are paying someone to do it.
You should take your turn sitting on the Board or committees to help run the place. Every
Board everywhere has complained about the people who just sit back and let somebody
else do the work around there. If you go away for more than the weekend you need to
have someone lined up to care for your home. The grass may be cut or the snow shoveled but the fliers need to be cleared from your mailbox and someone should check on
your interior for problems like leaks.
CARE-FREE LIVING was never in the cards. If you don’t want to pay someone to do it,
you’ll have to do it yourself. You are the committee and the Board running your home
operation. You can have wine at your meetings. If you go away for more than the weekend you need to have someone lined up to care for your home’s exterior, pick up papers
and fliers and check that the hot water tank hasn’t exploded. If you were moving to a
condo for “care-free living” consider that you could pay someone to tend to your home’s
exterior and be in much the same position as a condo owner who pays for these things
through condo fees.
Insurance on your home is provided by the condominium through your condo fees BUT
this does not include your personal property, furniture, etc. or any upgrades you may
have made such as hardwood flooring, upgraded cabinets and the like or basement
development. Get a condo owner’s policy. Carry this insurance, it’s cheap. Make sure
you are covered for your liability to third parties and to the condo corporation for its
deductible in case a flood or fire does start in your suite. DO NOT be one of those people
interviewed after a fire who weep about not having anything left and no we didn’t have
insurance.
Insurance on your home is a major responsibility that you have. It is needed if you want
to come back from any catastrophic event and your mortgagee demands that you carry
it. Make sure it is for the full replacement value of your home and possessions. It will not
be nearly as cheap as a condo owner’s policy.
CONTINUED PG 16
alber talandlord.org
S U M M E R 2 0 15
The Rental Gazette
15
Continued From 14
GET ALONG (CHILL)
When you decide to live in a condo, you need to understand
BEFOREHAND that it is a multi-family living arrangement. If you
are in an apartment condo you should expect the same sound
transmission between walls and floors as a tenant in a rental
building. Ditto for odours.
A condo is not a single family dwelling where you get things
done the way you want them, when you want them and you
write the cheque. Repairs go to the Board or the Maintenance
Committee (it has many names) who will likely go around to
your place to see what the problem is and if it is indeed a
problem. Then they will decide if the budget allows the work
to be done or if it should be put off for a while. Then they will
tell you when the contractor is coming. Grass cutting and snow
removal are done in more of a commercial setting; not like you
going out and clipping every blade of grass to perfection. Cars
on driveways will thwart snow removal crews who generally will
not come within a meter of any vehicle to avoid damage claims.
The lengths people will go to, blaming others for damage can
be incredible. Without ever seeing a crew at work they know
“he raised the bobcat bucket up and damaged my eaves” or
whatever unlikely event occurred. Crews do things improperly
at times and you should report them. Debarking trees with weed
whackers, breaking fences with piled snow, gouging curbs and
lawns with bobcat buckets all do happen and most contractors
will repair these things. Don’t though, go out and harangue the
crew for perceived transgressions even if you do have proof or
eyewitness evidence. Call the manager or a Board member you
know to report it.
Don’t complain that you have to clear your own driveway
because you leave for work at 6:00 a.m. and the snow crew
16 T h e R e n t a l G a z e t t e
isn’t there and you shouldn’t have to pay for it. Don’t think you
shouldn’t pay for road maintenance because you live by the
entrance and only use 30 feet of the road. It’s a condo and you
pay in proportion to the number of Unit Factors your unit has on
its title.
If you have a dog (and sometimes this relates to cats) do not allow it to roam free on the property and do not allow it to poop on
the grounds, (whether it is on your bare land unit or on common
property) unless you are there to pick it up IMMEDIATELY. This
violates most communities’ bylaws and almost certainly your
condo’s bylaws. It is unhealthy, unsanitary, visually disgusting
and creates problems for grounds maintenance crews who have
to clean their equipment and will likely want higher fees next
year.
Apartment condos often turn the boiler down or off for the
summer. If there is an early cold snap, ask for the heat to be
turned back on but don’t equate the lack of heat to uncaring and
incompetent Boards and managers when no one expected this
weather. Give them a chance to reset the system.
If you have or suspect you have, a leak in a tap or toilet, have it
fixed immediately. Small leaks can generate large water bills if
left unattended and just because the condo is paying that bill is
not a reason
to ignore it. Small leaks can also become big leaks and if there
is a suite below you, they will suffer too PLUS you will likely get
the bill for repairing that other unit (or units).
Infestations happen, whether it is bedbugs or cockroaches or
what have you. If you find pests notify the manager without
delay. It is important that inspections be carried out in any units
abutting yours and as far afield as needed until none are found.
S U M M E R 2 015
Only then can the problem be resolved. Often the unit where the
infestation started will have to bear the cost of cleanup but the
longer and further it goes, the higher the cost. I have encountered people who thought they could treat it themselves and
refused to speak up thinking it was embarrassing. Don’t think
that; bedbugs have no favourites between rich and poor, clean
and messy. You can bring them home from the finest hotels.
I have never seen in single family living, the level of discontent I
see daily in condominiums.
a) If you are not able to accept that somebody else is running a
facet of your life - do not move into a condo.
b) If you cannot control your temper because someone next door
(or even down the street) got their deck repaired before you did
- do not move into a condo.
c) If it bothers you that neighbours have a big pickup truck on
their driveway that “blocks out the entire street so I can’t tell
what’s coming” or they have grandchildren come over to visit
who run amok and “totally destroy the place” – do not move
into a condo.
d) If no one should tell you to pick up children’s toys outside or
that you can’t leave a perfectly good transmission on your deck
or write to you to remind you a payment is past due – do not
move into a condo.
e) If rules were made for other people, not you - do not move
into a condo.
The reactions of far too many residents in a condo to perceived
slights against them or shortcomings of a Board in their decision-making, border on that of kindergarteners vying for toys.
If only we could put them all down for naps. Arrears notices
are not sent only to you nor is it a campaign to persecute you.
Recognizing that these are the homes of the people involved
there is still no justification for fits of rage, angry and often
CONTINUED PG 18
alber talandlord.org
alber talandlord.org
S U M M E R 2 0 15
The Rental Gazette
17
Continued From 14
anonymous letters accusing Boards of stupidity, favouritism,
financial trickery and mismanagement and vindictive campaigns
to oust the Board. A popular newspaper column answers questions about condos that invariably include the note that you
should consult a solicitor. Solicitors understand the law and can
interpret bylaws but how truly bad is a situation that you should
be going to that extent. Try talking about what you see as being
wrong rather than lighting torches and marching on the castle.
When looking at a purchase, ask questions about the various
responsibilities of owners vs Condo Corporation. As I noted in
the comparison table, ask who looks after decks and is there a
difference when a sunroom or roof has been installed. Who pays
when a zone valve has to be replaced in your apartment’s heating? Do you pay for windows and/or doors and is the garage
door, screen door or patio door included? What about the trim
around the door and the garage door opener? Very few sets of
bylaws get into the detail of such things. If you know going in,
the problems never arise.
It should be obvious but needs to be emphasized that condo
Boards are made up of VOLUNTEERS who do not get paid to do
this work and are also owners within the same condo, subject to
the same rules they devise for the rest of the population. When
they put through a 15% condo fee increase it was not to cause
YOU difficulty, it is the same increase they are paying and it has
been done because this money is needed to continue to support
the condo.
An important note on condo fees: the Board is charged with the
responsibility to maintain the condo property and not to make
sure the fees are “affordable” for everyone. Too many times
we encounter Boards reluctant to increase fees that have been
shown to be necessary because it will be too hard for people
18 T h e R e n t a l G a z e t te
to pay. While we all sympathize with people on fixed and low
incomes when it comes budget time, it is wrong-thinking to take
that into consideration in setting the basic budget. Yes, you can
forego the fancy electric gates at the entrance but you can’t
decide to not have snow cleared. Utilities, insurance and reserve
funds need to be paid for.
If the Board members “pay themselves” it is usually via a dinner
meeting at Christmas and is meagre compensation for the effort
they put into keeping your place running (not to mention the
abuse many of them take).
If you get a letter telling you to fix something like a deck or deck
boards (where the owner is responsible for it) they didn’t write
to you as a form of punishment; they are trying to ensure all the
components of the exterior are maintained. If your neighbour
has a bad deck also but didn’t get a letter, it’s not favoritism, it’s
an oversight or that person has already agreed to repair their
deck. And in any event, it is not something that should cloud
your day and fester inside you.
Don’t threaten to sue the condo or the management company
for every little thing you think was done improperly or wasn’t
done to your satisfaction. It is usually an empty threat and when
you see your lawyer to do this he’ll tell you what a waste of time
and resources it is and then you are left feeling kind of silly for
having said it. Save the big threat for the big problem because
nobody believes these everyday threats.
In the comparisons above there is reference to the bylaws and
rules and obeying them. Too often we see people ignore them
because they don’t feel it should be a rule or that they only do
it “once in a while” or and this one is common, “I have to park
on the roadway/in visitor parking because I’ve got 3 cars and
S U M M E R 2 015
I can only put two in the garage.” This is not a reason; it’s a
rationalization and a poor one. If you cannot get a rental parking
stall you are left with parking on the street outside the condo. If
you prefer satellite television to cable make sure that dishes are
allowed, where they can be placed and that the Board will allow
you to put a hole in the exterior walls. All the rules are there to
be obeyed and the Board is obliged to enforce them when it
becomes aware of a violation. Having said that, most boards are
not looking for trouble and will wait until a complaint is made to
enforce many rules. Bear in mind also that some condos have
people with nothing better to do than look for other people’s
bylaw infractions and they will report everything, regardless
how minor it may be. Unfortunately, the Board must enforce the
bylaws and has to act when the local busybody points out an
infraction.
If you become a family instead of a couple and the bylaws
include an age restriction, you may be ordered to move out. If
your plan is in that direction make sure your condo home accommodates families.
If you join a Board please do so for the correct reasons. If you
are hoping to improve your environment or get some of those
delayed maintenance jobs done or streamline the administration
of your condo that’s great. If you want to work constructively
with other Board members that’s even better. Also remember that working constructively does not mean you have to
acquiesce to the others all the time; you are there to voice your
opinion too and show where your ideas are better. That improves the condo for everyone. And when the other person is the
one voicing their opinion, do not dismiss it even if you think you
are part of the majority; accept their view and consider all the
possibilities. If a question is put to the Board members, DO NOT
answer “I’ll go along with whatever the majority decides.” You
may be the one who creates a majority and more importantly,
you are a director and you are there to make decisions; not to
CONTINUED PG 20
alber talandlord.org
alber talandlord.org
S U M M E R 2 0 15
The Rental Gazette
19
Continued From 14
simply agree. If you give that answer you are not doing your job.
There is no reason to get angry with others for having disparate
views. If all the considered views have been looked at and your
Board makes a decision it is now time for you to stand behind
it. Even if you think it was a bad decision, you are part of the
team, the Board, that you joined and it needs a single voice to
the public. If you can’t be a team player maybe single-family
living is right for you. If being two-faced and sneaking around
behind the backs of your fellow Board members is how you
think you can “get your way” you may be right and I probably
won’t change your methods but know that this activity is usually
transparent to others and your personal “value” is gone (not that
you probably care) but being open with the Board members is
a far better means of attaining goals. If five other people think
your proposal is not in the best interests of everyone, it probably
isn’t. You probably should be living in a single family home.
of dialogue between meetings. Without it you are not going to be
as up to date as other members and then you put out someone
who has to take material to you.
Do not join the Board just because there is a piece of maintenance you want to have done at your unit. We have seen it too
often; the Board is joined, the particular problem is resolved
and that’s the last we see of the new Director. When you do
this you skew the quorum requirement and leave the other
Directors wondering why you are not coming to meetings. On
that final topic, only join a Board if you are going to be able to
meet the needs of the Board. You should be able to make it to
most meetings, you should be prepared to offer your insights on
topics and you should be able to communicate with the rest of
the Board between meetings. If you are going to be in Mazatlan
or Miami or Florence for the winter you may not feel like taking
time to Skype Board meetings so then don’t join. Today, when
almost everyone is internet-ready it is practical for every Board
member to have email as that is becoming the accepted method
In mentioning these points I do so because people become
almost apoplectic when they see some shortfall in the operation
of the condo. There is no good reason to get this worked up. Tell
the manager and that will usually get something done.
20 The Rental Gazette
Please don’t always tell the property manager that it’s all his/
her fault unless you know the manager was supposed to do
something specific. The property manager works for the Board,
takes direction from the Board and must only spend condo
money when the Board approves it. The property manager
deals with contractors hired by the Board so don’t yell at the
manager when the contractor misses your driveway or scalps a
part of your lawn or doesn’t pick up your garbage. If you tell the
manager, they will contact the contractor to resolve matters. I
have seen owners yelling at the manager because work didn’t
get done and that‘s only because the Board chose not to do it
or couldn’t make a decision, a common malady among Board
members.
If you have a problem with another resident of your condo
sometimes it is easier to make a direct appeal to that person
to cease whatever is giving you grief. A low-key, calm request
will often result in the person apologizing for whatever it was,
the explanation that they didn’t realize it was disturbing and
the cessation of the problem activity. If you hammer on their
door and scream or threaten because of some minor problem
like footsteps above you; expect to be greeted with hostility in
return. If you are uncomfortable approaching another resident,
write the property manager (or the Board) and explain the
problem and how you see it as violating bylaws. The manager
S U M M E R 2 015
can write to the other people with a request to cease and your
identity is not given to them as a complainant. The Privacy Commission has stated that the name of the complainant is not to be
given out. The manager needs it as backup for issuing the letter
so he is not then told “I never said anything” by a complainant
who fears retribution. Unacceptable activity that continues can
result in fines or other sanctions against people and in the case
of tenants, their eviction from the property.
When the property manager asks for information on you and
your tenant and the tenant’s agreement to abide by the bylaws
it is because the Act requires that you provide this information
and the condo relies on this to contact tenants and to enforce
its rights under the bylaws. You don’t have the right to refuse
because it’s private and it is only going to go in a file to be available if needed. No one is trying to usurp your identity.
Chances are that your condo has a professional property
manager. Some smaller condos manage things on their own and
this is fine if the people understand what is required of them.
Unfortunately, many self-managing Boards do not really know
what they are supposed to do, what records they should be
keeping or how to maintain a decent set of financial statements.
Green columnar paper might get you all you need but too often
something is missed. A professional will know to register an
address for service and changes of directors. They will keep
proper books and be able to tell who is in arrears and notify
mortgagees and register caveats. They will know or find the answers to bylaw questions and find contractors who will do good
work for you. Joining the Canadian Condominium Institute will
get you resources to help you if you must self-manage. Managers work on a rather narrow profit margin and because yours is
a small condo does not mean the manager has proportionately
less to do than a big condo. Management fees at small condos
can seem quite high for this reason but the big and small condo
each has one set of books, regular meetings, one snow or grass
contract to negotiate, etc.
© Bill Begley, Inland Property Management Ltd.
alber talandlord.org
alber talandlord.org
S U M M E R 2 0 15
The Rental Gazette
21
Building Smart & Profitable Landlords One Suite at a Time!
Learn how the Residential Tenancies Act can work for you by:
• Saving time and money
• Protecting your investment
• Avoiding costly mistakes
For information on
pricing and group discounts,
please visit www.albertalandlord.org
22 The Rental Gazette
S U M M E R 2 015
alber talandlord.org
PREVENT CRIME
IN YOUR RENTAL PROPERTY
REGISTER FOR THE CRIME FREE MULTI-HOUSING PROGRAM
This certification course is part
of an internationally-recognized
crime prevention program to help
owners and managers keep illegal
activity out of rental properties.
The course is presented by the
Edmonton Police Service and the
City of Edmonton Landlord and
Tenant Advisory Board.
Certification sessions include
manager training, landlord /
tenant rights and responsibilities,
drug and gang presentations,
Safer Communities and
Neighbourhoods (SCAN) and more.
Dates:
November 18-19, 2015
Location:
14339 50 Street, Edmonton
To register, contact:
City of Edmonton Landlord
and Tenant Advisory Board
8904 118 Avenue, Edmonton
Phone: 780-496-5959
Fax: 780-496-5859
Websites: edmonton.ca/LTAB
edmontonpolice.ca/crimefree