Although I am not a huge Tom Cruise fan, one of my all time favorite cheese-ball movies is Jerry McGuire. I love the story of the unethical wheeler-dealer who switches gears in the interest of getting back to being human and doing “good business.” Recently I (and many others) saw a local realtor make a bold move. When the REBGV and media are saying BUY, he is saying SELL. I read Keith Roy’s blog post with a critical eye and was speculative about what his true intentions were. I wanted to know more about what compelled him to write what he did, considering most of his professional industry is trumpeting the exact opposite of what he is. Today his post has been edited on his site, saying the original “… was deemed by some of my colleagues to be disrespectful to the industry of which I am a part.”
Was it about “help me help you” or is Roy cleverly marketing himself to a demographic that are thinking this is their last opportunity to cash out before a crash? You be the judge and read my interview with Keith.
TTG: What compelled you to share your story?
TTG: In your blog post you state, “It has been 2 generations since owning a home on the west side of Vancouver made sense for an average income family and I doubt those days will ever return.” – I would argue that we’ve reached a point where owing a home anywhere in Metro Vancouver makes “sense”. How do you see average families dealing with this in the years to come?
KR: The City of Vancouver will continue to have a robust rental market because it is unaffordable for many families to buy a home. This is the ugly side of living a world class city. Unfortunately, with a growing population and a limited land supply, owning a home will continue to be a struggle for many families.
KR: Markets are always rational. However, they are irrational in short spurts. Real estate in the city of Vancouver rarely moves slowly. It either goes up or down – and often quickly. The bench mark for activity for the areas that surround Vancouver is usually the west side of Vancouver. It attracts the most foreign investment, usually has the highest prices and largest swings and the offers the best examples for your “Absurd Property of the Week” blog. I have a lot of faith in the long term value of Vancouver. In the short term, however I am VERY cautious. I think a few more negative headlines about a ‘slowing’ or ‘transitional’ market will ripple through the whole market and end up forcing sellers to adjust prices to attract buyers back to the negotiating table.
TTG: I’ve heard mixed reviews about your post. Some think it is so refreshing and honest for a realtor to speak up about the media frenzy around Vancouver Real estate. Others see the post as a clever way to get people to list their homes (ideally with you) by creating the panic that they should “get out while they can.” What was your intention?
KR: As I said in my blog, if you are sitting on the fence about selling I think your home will be worth more today than it will be in 6 months. I even said, if you are need more information you should contact a realtor – not necessarily me. My goal was to provide some honest and forthright advice about my assessment of the market. Again, it is the same conversation I have been having with my clients for the past 3 months. My goal with the blog was to keep my clients informed about the current state of the market in my area. I’m glad it got so much coverage and the message got out, but I don’t think I could have planned to turn my blog into a major headline story in multiple newspapers. My message obviously resonated with some people on facebook and twitter and found its way into mainstream media. Certainly the media coverage hit the panic button. My blog merely presented a set of facts and some scenarios where cashing out might make sense.