Agent Solutions - The PREVA Report

Welcome to the Agent Solutions Blog. As a Virtual Assistance firm that specializes in assisting Real Estate Proessionals, I wanted a place to log my thoughts, ideas and share my experiences as a Professional Real Estate Virtual Assistant (PREVA). Please do not hesitate to leave comments or contact me directly should you have any questions.

Monday, August 28, 2006

CANADA GETS SERIOUS ABOUT RADON

Health Canada is poised to tighten up guidelines for radon gas levels in indoor air, to a level four times more stringent than current guidelines. It could mean that radon testing will become mandatory in future real estate transactions, and that building codes for new homes will be upgraded.

Critics say that Canada should have adopted the stricter guidelines in the 1980s, when the United States and other countries around the world set their radon guidelines. But Health Canada says that "until recently, there was no evidence providing a direct link between radon levels in the home and lung cancer." The ministry says that, "However, in 2005, two independent scientific studies performed in Europe and North America showed that lung cancer risks extend to levels of radon found in some homes depending on the length of time an individual is exposed to it."

Canada's current guideline of 800 becquerels per cubic metre is the second highest allowed in the world. The new proposal would set the level at 200 becquerels, which is the same as the United Kingdom, Australia, Norway, Spain and several other companies. The toughest guideline is in the United States, at 150 becquerels.

Fergal Nolan, president of the Radiation Safety Institute of Canada, told media outlets that he asked Health Canada to match the U.S. guidelines back in 1988, but that the ministry didn't take the threat seriously.

However, Health Canada says there was no conclusive evidence before 2004 that radon levels in buildings were directly linked to lung cancer. Now, it acknowledges that radon can pose a serious health risk.

Radon is an odourless radioactive gas that occurs naturally in the environment. It is caused by the natural breakdown of uranium in soils and rocks. In the open air it does not pose a health risk, but in an enclosed space such as a mine or a basement, breathing in radon decay products can lead to lung cancer.

The Health Canada report estimates that lung cancers from radon exposure account for about 10 per cent of all lung cancers, second only behind smoking. It says an estimated 1,600 lung cancer deaths in 2000 can be attributed to radon. "The number of radon-induced lung cancers is about one-half of the deaths due to automobile accidents, and is equal to the combined total of deaths due to accidental poisonings, homicides, drownings and fires," says the Health Canada report. "In any other situation, this number of deaths would certainly justify a major public health initiative."

Radon can seep into a house through dirt floors, cracks in concrete walls and floors, sumps, basement drains, and through concrete block walls. Radon levels are higher in some geographic areas than others, and Health Canada is current working on a mapping system to identify the hottest radon zones.

However, predicting which houses have radon and which ones don't is difficult. "Factors such as the location of the house and its relation to the prevailing wind may be just an important as the source of the radon," says the Health Canada report. Radon levels can vary from season to season, with the highest levels usually recorded during winter.

One estimate says that about 175,000 Canadian homes, or almost three per cent of single-family homes, have radon levels above the proposed new guideline of 200 becquerels, and will need to be repaired to ensure the safety of its occupants.

In discussing the implementation of the proposed guidelines, the Health Canada report says several Canadian companies currently offer radon testing services, and the average cost is about $50 per test. It says that a national certification program should be considered to ensure that testing standards are determined and enforced.

For houses that require work, the average "mitigation" cost would be about $1,200 per house, says the report.

"Active soil depressurization has been found to be the most effective and reliable radon reduction technique in existing homes," says the report. "This method involves installing a vent pipe through the basement floor slab or connecting it to the foundation drain tiles through the sump. A fan which runs continuously is connected to the vent pipe. This reverses the air pressure difference between the house and the soil, so that air flows from the house into the soil, preventing soil gas entry, and reducing concentrations of soil gas, including radon, next to the foundation."

The report says open sumps should be fitted with airtight covers with special traps that allow water to drain, but prevent radon from entering the basement. Major gaps in the basement floor or in the top of foundation and interior load-bearing walls should be sealed, as should minor cracks in foundation walls and floors. Other gaps around utility penetrations should be sealed. Exposed soil in a crawlspace should be covered by a barrier with sealed edges and joints, says the report.

"What is required for testing services also applies in large measure to builders and contractors providing radon mitigation services. Standards and guidelines need to be developed and this includes revisions to national, provincial, and local building codes. These guidelines could be more rigorously enforced in radon-prone areas," says the report. "The approach here is not to over-regulate the building industry, but to provide it with the knowledge and tools needed to play an effective role in radon mitigation."

The report says that "a combination of radon-resistant requirements in new homes and mandatory testing of existing homes could lead to virtually complete compliance with the new Canadian radon guidelines within a decade."

For more information about radon in the home, download Radon: A Guide for Canadian Homeowners, produced jointly by Canada Mortgage and Housing Corp. and Health Canada.

Published: August 24, 2006

By Jim Adair
Realty Times

Thursday, August 10, 2006

CANADIANS LOVE THE CONDO LIFESTYLE

There's been a dramatic change to Toronto's skyline in the last few years as dozens of new high-rise condominiums have been built to feed the current housing boom. While it appears the market may be cooling, a new survey suggests that the long-term prognosis is good for condo developers in Canada.

The survey, conducted by Ipsos-Reid.ca for TD Bank, says that younger Canadians are more willing to consider raising a family in a condo than those who are over 45 years old. Overall, 80 per cent of the people surveyed would not consider raising a family in a condominium, but those in the age group that's most likely ready to start a family (25 to 34-year-olds) are the most open to the idea of condo living.

The results also indicate that those who currently live in condos are enjoying the experience. "Younger Canadians who bought condos as their first step into the housing markets have grown accustomed to the numerous benefits of the condo lifestyle, and many are considering extending them into the next phase of their lives," says Chris Wisniewski of TD Canada Trust.

The survey, conducted among adults aged 25-59 in Toronto, Montreal, Vancouver, Calgary and Ottawa, found that 64 per cent of respondents would not be likely to consider purchasing a condo as a primary residence. But the 35 per cent who would consider it are driving condo sales to record levels.

In Toronto, it's expected that a record number of new condos will be built for the second consecutive year. In June, more new high-rise condos were sold in the city than ever before. "Home buyers were snapping up a new condo every four minutes the sales offices were open," says Desi Auciello, president of the Greater Toronto Home Builders' Association. "Frankly, we never thought we'd see the day when low-rise product would represent the minority of our sales, particularly to this extent," he says. Six out of every 10 new homes sold in June were high-rise suites. Through the first six months of the year, high-rise sales are running two per cent ahead of last year's pace, while low-rise sales have declined by 10 per cent.

In the resale market, high-rise condos represented 20.2 per cent of the market share in July. The median price for a resale condo in the Greater Toronto Area in July was $214,000, while the average new high-rise condo price in June was $314,370. The average price for resale homes of all types in July was $358,035.

Not surprisingly, affordability is one of the main reasons why condos continue to be popular, and was cited in the survey by 57 per cent of those who said they would choose a condo as their primary residence. Other reasons for buying a condo, according to the survey results, are because they are "easier maintain (69 per cent)", and because people are "attracted to the condo lifestyle" (45 per cent).

Asked what amenities condos can offer to families, the top answers were building security (91 per cent), proximity to public transit (87 per cent), pool or recreational facilities for children (83 per cent), close to work (81 per cent), and proximity to schools (81 per cent).

Torontonians surveyed were the most likely to say all of these amenities are important to have for raising children in a condo, and were also the most likely to say they would not consider buying a condo because there is "no backyard or play areas."

People in Montreal were the most likely to say that condos are not suitable for families with children living at home, and 87 per cent said they would not be likely to consider starting and raising a family in a condo.

In contrast, Vancouver residents were the most likely to have lived in a condo either now or in the past (36 per cent), and the most likely to say they would consider buying a condo as their primary residence. They are also the most likely to consider starting a family and raising children in a condo.

Affordability is the number one reason why they would purchase a condo.

"Traditional attitudes change slowly," says Wisniewski. "Yet, as condo developers continue to create new projects with more family-friendly features and amenities, I think we can expect to see a rise in the number of families with children who choose this option."

Published: August 10, 2006

By Jim Adair
Realty Times