Edmonton Real Estate Investor

In the east the housing prices may be leveling off but in the west there is a whole different market.

"CIBC senior economist Benjamin Tal said the gap between the west and the rest of Canada is so pronounced that there really is no such thing as a national housing market.

“Once you take the west out of the picture you see the levelling off in prices,” said Mr. Tal.

Click Here For Full Article

Edmonton once again leads in residential sales for Canada West. March was a record breaking month.

"The biggest percentage gains continued to be primarily in western cities. Edmonton's year-over-year price appreciation of 47.8 per cent leads all cities. Saskatoon's price gain of 28.2 per cent and Calgary's 27.6 per cent rounded out the top three."CBC.ca

The great thing about Edmonton is that prices will continue to rise due to the labour needs (among other things) of the oilsands - more people coming to look for a limited supply of housing. Edmonton also has an undervalued residential market. It may slow down this year but that only gives us a breather to get more great properties for our investors.

Don R. Campbell the best selling Canadian real estate novelist, analyst and instructor has labeled the Kingston-Waterloo-Camberidge area of Ontario as "the economic Alberta of Ontario".

His research is based on 13 key factors:

"He looks at whether the average income and population are increasing faster than the provincial average, if there's more than one major employer, and if major transportation improvements are in the works. The $400 million-plus Red Hill Valley Parkway in Hamilton that's due for completion this year fits with that criteria, he said."

"Transportation drives future value more than just about any other factor," Campbell said. "Distance isn't the issue, it's time. No one says I'm 12 kilometres from Toronto, they say I'm 30 minutes from Toronto. It's about shrinking the commute." Full Article

If you are interested in investing out East then look to this area but remember Alberta is still leading the country.

EREB the Edmonton Real Estate Board puts out quarterly and monthly statistics for the Edmonton. You can get this information from the website directly. The is a lot of data there that is useful for example the quarterly stats has average residential selling prices dating back to 1967.

It is funny that old school refers to rap and rap refers to talking and talking refers to word of mouth. For me old school is Run DMC and Beastie Boys - generation gap? W.O.M is a three letter acrynom for the oldest form of marketing, ever. Like when Thag told Urg that the hunting was really good upstream rather than in the plains or vice versa.

Do you remember when people told you about how good the bread was at Johnny's Bakery or how Tom down at the garage gives free tune ups if you fill up on a Sunday? I do. However I also know that print, t.v, radio and internet kinda blew the focus off of WOM marketing for a while. Contrary to the compounding of the Double Mint twins, why only tell two friends when you can broadcast to millions via radio or T.V or 100's of millions online.

Of course blogging is excellent and links make or break a website, but what about a handwritten letter to 10 customers to say Thank You? Spike Jones suggests this in his blog entry "Word Of Mouth Training Wheels"

In Japan we send out cards or gifts at the beginning of every season to say Thanks to our customers, and that we want their business this coming spring too.

Retro? Maybe. Effective? Definitely.

The cherry blossoms have finally fallen off the trees. I personally find this time a little sad. I know I know, fresh start, spring has begun etc...

Really, though, when they are in full bloom it reminds me of an Akira Kurosawa film I saw when I was 17. I believe it was Dreams. There was one scene it was fantastic with all these beautiful kimono clad women walking under beautiful mankai (full bloom) cherry trees. Leaves fluttering down like pink snow.

Anybody in business needs to do marketing and if you are online you need to learn about web marketing. I have signed up for an excellent marketing newsletter Marketing Profs. It really has a lot of good web marketing info, research and ideas. I can always find some good nugget improve my blog or website.

My cat just brought home a skink and in my attempt to save it I let it loose in the house. It is under the fridge, any suggestions? At least it is still alive though. I don`t mind picking them up if they aren`t mangled.

Internationally Canadian starter homes are a bargain compared to other major city centers. Edmonton fares well at $322 per square foot, about the 10th ranked.

"..But not only do first-time homebuyers who work in the downtown business districts of Canada’s largest cities generally pay less per square foot for their homes, they also tend to enjoy shorter daily commutes than their peers in cities around the world.."For The Full List

Edmonton residential prices have increased 16.5% since January. Unbelievable. As usual no signs of slowing down. The city is still affordable, prices are still rising and it is still no.1

“Edmonton is still affordable compared to Vancouver, which has an average of $590,000,” said Pratt. “(Edmonton is) certainly not in that range yet.”
She said she expects the increases to continue, especially through the busiest months of real estate, which are April, May, June and July. The market will then likely stabilize for the remainder of the year, she said. Carolyn Pratt, president of the Edmonton Real Estate Board (EREB.)read full article

Edmonton the oil rich capital is shrugging it`s cowboy image, unless of course you are thinking of Broke Back Mountain (which was actually filmed in Alberta). I was recently reading a travel article The Out Traveler: Canada's Top 5 gay cities and Edmonton ranks number 4.

"A fresh crop of smoke-free gay and lesbian bars and clubs teems with life in the burgeoning gay village of Jasper Avenue, a two-block area with half a dozen gay businesses. Staff shirts in Prism proclaim good girls go to heaven; bad girls go to Prism, although as it's the only girl bar in town, it seems all girls go to Prism."

Edmonton is a young and bourgeoning city that is slowly changing its image, where Calgary was always seen as hipper, cooler and white collar, Edmonton is constantly diversifying and reinventing itself.

"Let the herds kick up a ruckus about Calgary; bold, assured Edmonton gallops way ahead, leaving the rest of Alberta in the dust."

When I was a crazy teenager I used to tell my cousin all the stuff I would get up to. She would hold up a fork close to her eye and peer at me to see, "How you would look behind bars".

I can pretty much guarantee that no one looks good behind bars so take heed.
Mortgage fraud is rampant. Don`t lie on your mortgage application.

The banks don`t care who told you it was okay to write what. Just tell the truth. It is a crime and if you get caught there will be a lot of grief especially if you are the strawbuyer (basically the person who submits the false loan application) If your investment partner says it is okay to do something that you feel is not up and up re-evaluate your relationship and seek independant legal advice.

Read How Police Are Cracking Down On Fraud And How YOU Can Avoid Being A Victim

I want to talk about a movie I saw last night. Probably everyone in the Western Hemisphere has seen it already but I am in Japan that means we are just getting "The Departed".

Have you seen Invincible? A Walt Disney football success flick starring Mark Wahlberg or as anyone in my generation knows him Marky Mark. Basically anything with Marky Mark and/or football is a sure rental for me.

The movie is based is the true story of Philidelphia native Vincent Papale. In the 1970 the 30 year old bartender entered the open tryouts the Philidelhia Eagles had, and made the team. He then went on to play 3 seasons with the Eagles and make some pretty amazing plays.

This isn`t a movie blog so I will get to the point. All these sports success movies are generally the same.

Fx(succes movie) = Some girl/guy + incredible odds + laser beam focus
__________________________________________________ = Success
(n)2 (n =challenges)

I had to take calculus twice in college so that may be gibberish. There you have it, the formula for success. All success. Forget the lottery, forget rich old husbands/wives, forget overnight millions THIS IS IT.

A regular person works hard has some mishaps, some setbacks and just keeps on trucking with laser beam focus. I recommend this movie to anyone, anywhere trying to do something out of the ordinary or big with their life. It is inspiring. Plus Marky Mark wears football pants....teehee

Unlike B.C and Ontario there are no government enforced rent increased guidelines in Alberta. Landlords are free to raise their rents as much as they like every six months. These rent hikes are important to make the property investment work, of course most landlords work with integrity and raise rents in reasonable increments.

"....a young family facing a total rent increase of $375. They faced a hike in December and one that's coming in June. They'll wind up paying $1,175 for their north-end condo, a full 50% of their take-home pay." Kerry Diotte

However, after a 52% increase in real estate prices last year, the rents MUST increase, sometimes drastically, to make investment properties work. It is next to impossible to find a property that will give you positive cash flow, but most investors are aware that Edmonton is a capital gains market.

For Example:

"Realtor Stan Gallant tells of a recent example where a six-suite apartment unit in the Ritchie neighbourhood recently sold for $775,000. Rents currently bring in $46,000 annually.

But the new owner must pay out $50,000 per year on a mortgage, $3,500 in taxes and utilities and $8,000 in maintenance costs.

In order to get a small return on his investment the new owner is being forced to increase total annual rents to $77,000." Kerry Diotte Edmonton Sun

Once you factor in mortgage, insurance, taxes, repair and maintanence and all the other expenses a good investor takes into account you are left with massive negative cash flow. Money flowing out of your pocket and into a crocodile property.

I don't want old ladies and young families out on the street. I also don't want to ask my investors for $400 a month negative cash flow to cover the solid investments we go into.

The Edmonton Real Estate Board released their findings for the first quarter of 2007. The price of single family dwellings increased 6% in MARCH.

“It is clear that housing prices have not yet peaked in the Edmonton area,” said Carolyn Pratt, president of the EREB. “The spring season is always very active for REALTORS® and we do not anticipate that the pace of price increases will slow until early summer.”

Fraud is on the rise and yes it could happen to you. The Alberta police force gave some tips on how to avoid internet fraud.

They are as follows:

* Be cautious when you go on the Internet - if an offer sounds too good to be true it probably is.
* Keep your online bank password secret and change it often.
* Look for the 'lock' icon in your browser. This means that you are conducting a secure transaction.
* Be wary of e-mails requesting your personal information.
* Use good anti-virus, anti-spyware and anti-spam software. Use a firewall.
* Read the privacy policy of web sites you visit to see what kind of information they collect about you.

Since the real estate market is so hot right now, mortgage fraud is also on the rise;

"Many Alberta residents have been lured by promises of big returns and have become victims of mortgage fraud. Many bought properties that had overinflated values as a result of a series of fraudulent transactions, which resulted in victims facing huge financial losses and compromised credit ratings."read article

Here are some ways to protect yourself against mortgage fraud:

* Contact your local real estate board to ensure your representative is a licensed real estate agent.
* Ask for a comparative market analysis of the property.
* Ask for a copy of the land title.
* Insist on a home inspection of any property you are planning to purchase.
* When you make a deposit, ensure your money is protected by being held in trust.

In all cases just do your due diligence. Our company offers referrals from past clients, insists our partners get independant legal advice and operates with a high level of transparency in our business dealings. As REIN members we sign a pledge to never operate in the "GREY AREA" that boils down to working with integrity.

Apparently there are a lot of shy millionaires in Edmonton. Edmonton - long known as the blue collar city is catching up to Calgary's white collar wealth.

"Compared to Calgary, Edmonton's wealth seems to be quiet and not as ostentatious," said Jon Hall, Edmonton Real Estate Board spokesman. "In Calgary, I would suspect people are buying homes a little more aggressively and they're more outgoing with their show of wealth." What`s a Million?

So far this year nine $1 million dollar homes have sold in Edmonton, not far off from the 2006 total of 17 $1 million dollar homes. That's not hard to believe with the 52% increase we saw last year and the 10% the city has done in the last three months.

I guess the people in Edmonton read "The Millionaire Next Door" or my earlier entry

Many people don`t want to JV partner when investing in real estate. That is okay, if they are willing to put in the time and work in finding properties and building a trustworthy team to represent you in the real estate world.

If you are one of those people take a look at our Real Estate Investing Tools page. There is an excellent range of books, courses and home-study programs that will start you on your path to wealth.

They are all part of the REIN investment course that was produced by Canada`s Number 1 Bestselling writer Don R. Campbell.

It`s over! It`s over! I hear this all the time... Is Edmonton`s run over? NO. Canadian Business Magazine agrees with me. They published an article today that quite clearly states the Edmonton is NUMBER 1 in Canada and it`s not just because of the oil.

"HOT: Edmonton
With a one-year average price increase of 10%, the oil city is Canada's only major market that has a trifecta of strong demand, tight supply and affordability. And it's not only because of the oil and gas boom." Canadian Business Magazine

Trifecta, I have always associated that with the dark side but let me reassure there is nothing evil about the profits our partner are seeing in this incredible market. Since the beginning of 2007 Edmonton prices have increased 105, a pretty good return for 3 months.

I read "So You Want To Be A Millionaire" by Liz Pulliam Weston a few months ago and I really liked it. Everyones idea of what a millionaire is and what millionaires really are like is completely different. As "The Millionaire Next Door" showed millionaires are not flash, they aren't extravagent, they don't wear gold and diamond encrusted rolexes.

"Most of the millionaire households that they profiled did not have the extravagant lifestyles that most people would assume. This finding is backed up by surveys indicating how little these millionaire households have spent on such things as cars, watches, suits, and other luxury products/services. Most importantly, the book gives a list of reasons for why these people managed to accumulate so much wealth (the top one being that "They live below their means"). The authors make a distinction between the 'Balance Sheet Affluent' (those with actual wealth, or high net-worth) and the 'Income Affluent' (those with a high income, but little actual wealth, or low net-worth)." Wikipedia

They are the people in economy class, the ones who compare price tags at the grocery store and they do drive domestic cars. Conspicous consumption just brings unwanted attention to them and in our world that could be dangerous.

I know you are thinking well what about celebrities? Have you ever noticed that many of them end up close to bankrupt at least once? They may be talented by they aren't neccessarily financial geniuses. The long lasting wealth that some celebrities display comes from hiring people to set them on track.

Have you heard of the Business Ethics Pledge? I took it last year. Shel Horowitz, " a self employed guy working from a farmhouse"(his words not mine), is trying to make a difference. He has started the Business Ethics Pledge in hopes of getting 25,000 business leaders and influencers to take the pledge and create a business world where an "Enron" could never happen.

I heard him on a marketing tape and researched his site Business Ethics Pledge . We know we have ethics, integrity and we try never to work in the gray area but maybe we assume our clients know that, but maybe they don`t. Perhaps if we clearly state "Look this is where I am and what I believe", then perhaps from the beginning our clients will have that much more faith in us. Naive? I don`t know. It`s worth a shot.

The other reason I really like it is because what we pledge to do is clearly laid out. My ethics could be based on something completely different from another guys. The pledge just lets everyone - clients, coworkers and competitiors know what page we are on.

CENTURY 21 Canada: International Executive House Price Survey

"Canada's hot real estate markets, such as Vancouver and Calgary, experience house prices and daily commute times that are on par with those in the world's major financial centres of London, England, New York, Paris, and Seoul" says survey of typical house prices conducted by CENTURY 21 Canada in 15 cities in Canada and by CENTURY 21 brokers in 16 cities around the world.

Don Lawby, President of CENTURY 21 Canada, says, "Our survey shows that executives in Canadian cities and in the world's major business centres are rewarded for their education, years of hard work and business successes with beautiful homes and reasonable commute times."

"Whether executive house prices are at the high or low end of the range, in Canada or elsewhere in the world, depends on the current state of the local economies - and our survey reflects that Vancouver and Calgary are booming whether you compare them to cities in the rest of Canada or to cities around the world," Lawby says.

Lawby says Canadian cities at every price level have benefits that can't be measured in dollars and commuting time.

"All things considered, Canadian cities offer among the best living and working conditions in the world. We have low levels of population congestion, we breathe fresh air, nature is at our doorstep, and we have few security problems. You can't say these things of many other major cities in the world, which might have stifling heat or humidity, crushing congestion, or choking pollution."

"Our three largest cities - Toronto, Montreal and Vancouver - are as cosmopolitan as any cities in the world. We can sample and enjoy nearly all the major cultures of the world right here," says Lawby.

What reminds you of home? Is it the smell of chocolate chip cookies just out of the oven? A well kept garden? Well these factors help you make a buying or rental decision when you view homes. How your property looks (decor, clutter, cleanliness) makes tens of thousands of dollars of difference to your final sale price. That directly affects your profit.

"What people have to realize is that 78 per cent of the factors of buying a house are decided before somebody even comes to your home ... Once they've decided your house meets their criteria (in terms of size, neighbourhood and price), once they come in the door, it's up to you to present your house to make them fall in love with it."Calgary-based professional stager Kathy Tough

Clean up your clutter and make sure your house will appeal to a broad range of people. That means neutral tone carpet, clean windows and walls and a homey smell.

When I talk to our Japanese associates, they are always interested to learn that in North America buildings actually increase in value with age. In Japan the "scrap and build" mentality has ruled the real estate industry for years. A house`s life span is a max of 20 to 30 years,so when they speak of property they actually mean the land.

Recently with the stagnate economy many young people can`t afford to build their own home. Outside of major city areas housing prices can start at $500,000 to buy land and build a house,the land price being the larger portion of that figure. More and more young families are starting to buy resale homes. Instead of facing 35 year mortgages for a house that may not outlast the mortgage they buy properties renovated to modern standards.

The only problem for this resale market to take off is the high taxes investors face if they buy and sell investment properties - up to 50% of the profits.

It is interesting to watch the changing market as it shifts to accomodate the next generation.

Here is the Avison Young 2007 forecast for major cities across Canada.

"Edmonton is a city servicing the second largest and most stable source of oil in the world. As global markets become hungrier for this energy source, the long term prospect for growth in Edmonton could not be stronger. New construction in all real estate sectors is a direct reflection of the confidence investors have in this vibrant market." Dean Wulf

Read More....Download

Rising prices in Alberta are fantastic, if you are already in the market. If you haven't invested yet you may find that it is getting harder and harder to get into an investment. Now starting investments are in the $75,000 CDN range.

For cash investors that will give a solid investment in a growing area and cover all investment costs ie, downpayment, insurance, inspection, appraisals, staying power fund, and all fees. To read more...

RRSP second mortgages are also a good way to get fixed returns on an investment held against the property. In effect you become a lender like the bank. To read more...

You can always pair up with like minded friends and family to get in to the market. It is better to buy early and wait than wait and be too late!

"Location, Location, Location." How about "Cash Is King"? Or perhaps you have heard "Make Your Money When You Buy". They are all important no one thing is more important in investing, you need strong relationships, do your research, buy in growth areas, do your own due diligence are the basics of real estate investing.

"Experts say the secret to successful real estate investing is research, research, research. Review your moves, get good advice and look for clues in sources such as the new Canadian census data. The pay-off is two-fold: ongoing cash flow and capital appreciation."10 tips to Real Estate Investing

Real estate success is not something that happens overnight it is a long process that requires constant growth and learning.

Every day Edmonton is becoming a more beautiful place to live. The River Valley Alliance, consisting of councillors from seven municipalities, wants to create the Capital Region River Valley Park, which would span the North Fort Saskatchewan River for 88 km from Devon, through Edmonton, and all the way to Fort Saskatchewan.

"I think it's going to be around for generations to come," said Jo Szady, a councillor with Parkland County on Thursday. "The biggest, and best, park I think North America has ever seen." www.cbc.ca

The park will be one more reason that people from around the world decide to make Edmonton their home.

The old-style main street and picturesque river winding through town is part of the charm that is attracting people to Okotoks. Okotoks is the fastest growing city in Alberta.

"Property values, which used to be a bargain compared to the sprawling suburbs of Calgary some 18 kilometres north, have doubled in the last four years." London Free Press

The Okotoks story is similar to many other Alberta communities. The province had nearly 49,000 housing starts last year. Alberta's overall population has increased 10.6 per cent since the 2001 census and will continue to grow with the Oil sands incredible workforce needs. In fact we have only just begun to see the migration that will occur in Alberta and that certainly means a rise in house prices.

In Business Edge News Magazine Online

"Canadian real estate provided a total return of 18.6 per cent in 2006, close to the record 18.7 per cent set in 2005, according to the Canadian Property Index.

The index is published annually by U.K.-based Investment Property Databank and the Institute of Canadian Real Estate Investment Managers.

Of the six major markets monitored for the index, Edmonton recorded the highest property return at 35.2 per cent. The others were: Calgary (30.4 per cent), Vancouver (22.8 per cent), Montreal (18.3 per cent), Toronto (13.1 per cent) and Ottawa (12.6 per cent).

The index is based on data from pension funds, life insurance companies and real estate managers on more than 2,000 properties."

As they say "Don`t wait to buy real estate buy real estate and wait!"

The coming of spring is always apparent in Japan. The cherry trees, Sakura, start blooming all around the city and country. Trees that were indistinct through the winter blossom over night and the foresight and eye for beauty of the city planners is instantly apparent.

Hanami (literally flower viewing) is my favorite time of year. Not only does it mark the anniversary of my expatriation to asia but it really reminds me that, Hey, I live in another country! Believe it or not it is easy to forget.

Everyone goes to the park or mountains and sets up a picnic area with friends, family and co-workers. Much wining and wassailing follow until by the end of the day blankets have joined into one giant picnic blanket that cover the park. While petals float gently to the ground like snow. Then to top it all off we stumble en masse to the nearest karaoke bar to sing 80`s greatest hits.

"Ottawa will spend $155.9 million to make Alberta's oil and energy industry more environmentally friendly, Prime Minister Stephen Harper announced Thursday."

Canada is a large and beautiful country world reknowned for its scenery and dynamic natural vistas. Most Canadians are nature enthusiasts who and all are proud of their country. Canada`s economy especially Alberta is going on all cylinders at the moment, everyone wants to do better economically but not at the expense of the environment.

Recent news of the oil industry is worrying but we are proactive and the government is putting aside $155.9 million to help reduce carbon dioxide emissions.
These funds will be spent studying ways to capture C02 emitted from the oilsands and store it underground instead of releasing the gas into the atmosphere.

"Most exciting of all, if we can perfect this technology, we can use it not only to curb Canada's contribution to greenhouse gas production but we could also export it around the world," Harper said"

The money will also fund a project in Edmonton designed to convert municipal waste into electricity. Also efforts to design a coal-fired electricity plant which releases almost no emissions will also be funded.

"All Canadians are looking for a balance between economic growth and environmental protection," Harper said. "Finding that balance is the fundamental challenge of our time."

Who doesn`t know this? Alberta is in articles all around the world. I`ve seen articles on Alberta and Canada in Japanese newspapers only recognizable as such by the illustrated outline of Alberta and the oil sands.

"The Canadian real estate market continued to give investors good value for their money in 2006, with the total return of 18.6 per cent nearly double the 20-year-average of 9.1 per cent, according to the Canadian Property Index.

Edmonton saw the highest property returns of the six major markets at 35.2 per cent, followed closely by Calgary which had 30.4-per-cent returns. Ottawa's returns in 2006 were lower at 12.6 per cent."

Ottawa Business Journal

In Alberta the price of a single-family dwelling rose an amazing 5.1% and condo prices rose 6% in FEBRUARY. We estimate a conservative 7% appreciation a YEAR for our Joint Venture partners. Alberta`s economy is really delivering. All indicators point to another stellar year like 2006. In my opinion a slight cool in housing prices wouldn`t hurt, just enough time to get ourselves adjusted and ready to take action for the next big price increase. Houses in Alberta are still reasonable so the market has a lot of room to rise.

Once again Alberta has reached a superlative status in Canada. The oil rich fundamentally balanced economy reached a budget record in the third quarter.

"Alberta will reap its second highest ever surplus this year - a $7-billion gusher driven by a continuing natural resource boom."
href="http://www.canada.com/nationalpost/financialpost/story.html?id=102b032b-89d8-4e62-943f-125738ae3637&k=89293">Financial Post

The excess won`t be used to reduce taxes but kept as an emergency fund.

Rhonda Byrne`s The Secret is a self help phenomenom.....

"The Secret" now has 3.75 million copies in print and for days has displaced the final Harry Potter book, "Harry Potter and the Deathly Hallows," from the top of Amazon.com, where "The Secret" is currently out of stock." AP Wire

I personally love "The Secret" and watch 15 mins of it every day. I don`t have time to watch a whole movie in one shot. I think the important thing to remember is positive visualization PLUS action is the key to success. You can`t have one without the other.

This book is excellent and of course the best way to get wealthy yourself is to help as many people as possible get weatlhy with you.

The Japanese have adopted our custom of Valentine's Day but have put a clever marketing spin on it. As with North America gifts of chocolate are given but the spin is that they are not given to only those you love!

Women in Japan give giri chocolate (obligatory chocolates) to their co-workers or superiors at work and honmei chocolate (for the ones they love).

"The concept of "giri" is very Japanese. It is a mutual obligation that the Japanese follow when dealing with other people. If someone does you a favor, then you feel obligated to do something for that person." Japanese About.com

The whole fiasco isn't over until a month later on White Day when the men reciprocate and give more expensive chocolates to the females in their office. White Day chocolate comes in white boxes and you can buy a white gift bag as an extra. On the whole a costly custom and according to people I talk to not entirely joyful.

Why Canadian Oil is hassle free.

".....The iconoclast Chavez is in the vanguard of Latin America's resurgent left, which that has also swept Bolivia and Ecuador with promises to roll back 1990s' free-market reforms that first brought companies like AES and Verizon to Venezuela.

The effort follows Venezuela's campaign over the previous two years to wrest control of its fields from oil giants like Chevron and boost taxes on their operations.

But Chavez may face a tougher fight to take control by May 1 of four heavy crude oil upgrading projects that turn tar-like crude into light oil operating in the Orinoco basin worth $30 billion that include investment from some of the world's largest oil companies.

Rex Tillerson, chief of Texas-based energy behemoth Exxon Mobil, on Tuesday expressed doubt the Orinoco projects could meet Chavez' ambitious deadline, especially since the government has not provided details on the planned takeovers.

"We are waiting on the government representatives to sit down with us and give us some of the details of what exactly is it their objectives are, how you migrate and offer compensation........"

"Mind Boggling" employment figures for January were above and beyond economists expectations. In fact they were almost nine times higher than the 10,000 new jobs estimated. More to the tune of 89,000 Canadians found work in January alone.

"It is pretty incredible actually," said Carolyn Kwan, a senior financial markets economist at Scotiabank. "The job market has really been performing in a stunning fashion, having put forth upside surprises for five months now."

"Much of the growth was centred in the West, where Statistics Canada said British Columbia and Alberta produced 56,000 new jobs between them."

In British Columbia the jobs were mostly recreational due to favorable snow conditions. Alberta's jobs are full-time.

I just read that Canada is planning to mint a $1,000,000 coin. It will be "as big as a pizza and very heavy" not good for the pants pocket is it? I can't imagine who would use this thing although it would be quite fun to call up my realtor say, "I'll take 4 houses in Edmonton thank you" and hand him the coin of course he could keep the change. Although, by the time they finally get the thing minted and out to me I would only be able to buy 3 houses in Edmonton.

Febuary 3rd was the Setsubun holiday in Japan.

Setsubun is when people force bad luck and devils out of their homes. The common practice is to take soy beans and throw them on the floor while shouting, "Oni wa soto, Fuku wa Uchi " which means "Devil Get Out!", " Good Luck Come In!" Then you should eat your age in beans, of course not the beans you threw on the floor.

There are actually 4 Setsubun days throughtout the year but in recent times the February 3rd one is the most widely celebrated. This Setsubun is the last one before the start of the New Year so it is most imperative to bring good luck into your home for the new year.

In the past burning sardine heads and holy tree leaves outside the front door was a common way to deter evil spirits from entering the home.

Recently amidst the reports of global warming, increased oil sands production and a noticably warmer winter in Japan (the cherry blossoms have started to bloom already in some areas) the Kyoto accord has been in the news almost daily.

I, in truth, know very little about the Kyoto Accord and looked on Wikipedia for a complete and detailed explanation of the Accord and its affect on our future.

This is from the Canadian subsection

" In 2005, the result was limited to an ongoing "war of words", primarily between the government of Alberta (Canada's primary oil and gas producer) and the federal government. There were even fears that Kyoto could threaten national unity, specifically with regard to Alberta. As of 2003, the federal government claimed to have spent or committed 3.7 billion dollars on climate change programmes.[20] By 2004, CO2 emissions had risen to 27 per cent above 1990 levels (which compares unfavorably to the increase in emissions by the United States of 16 per cent by that time).[21]
After January 2006, the Liberal government was replaced by a Conservative minority government under Stephen Harper, who previously has expressed opposition to Kyoto, and in particular to the plan to participate in international emission trading. Rona Ambrose, who replaced Stéphane Dion as the environment minister, has since endorsed some types of emission trading, and indicated interest in international trading.[22]"

"Under the Kyoto accord, negotiated and ratified by the Liberals over Tory opposition, Canada is committed to a six per cent cut in greenhouse emissions from 1990 levels by 2012.

Experts say the target is likely not achievable through domestic action alone, but could be met through purchasing credits in UN-approved emissions-cutting projects abroad. " Yahoo Canada

This means increased production in the Oilsands will not help Canada achieve the target by 2012 but through purchasing credits, new extraction technology and other means Canada could still meet the target through helping with other projects abroad.

Finding the best home insurance for your new property can be boggling. We especially had a hard time as absentee landlords but with a lot of looking around and finally building a relationship with an excellent provider we were able to reduce the hassle and worries of insuring our properties.

Recently Kanetix, an insurance company, put out this article/ad on msn.ca. It is very helpful for deciding what kind of insurance you need for your new property. I am in no way promoting Kanetix but found the artical straight to the point and informative

Kanetix on MSN

Now if you want a little more detail and perhaps want to learn about different kinds of insurance then check out Insurance-Canada.ca they are the be all and end all of insurance. There are helpful tips and a lot of resources.

Recently the Edmonton Real Estate Board released it's market forecast for 2007. EREB president, Carolyn Pratt, predicted in the annual forecast seminar that housing prices will rise 15% in 2007.

"There is enough strength in the Alberta and Edmonton economy to forecast an increase,” said Carolyn Pratt, president of the EREB. “But to predict the percentage increase is difficult.” Pratt said that despite 52% price increases in 2006, Edmonton housing prices are still below Canadian and Alberta average prices. “There is capacity to increase prices in this market especially if we compare Edmonton prices to Vancouver or Toronto."

This break in rising housing prices is an excellent chance to pick up more properties. Even though house values rose 52% last year our due diligence shows that Edmonton make sense to buy in for a long time to come. The numbers work! There IS negative cashflow and that is okay because the capital gains on the investment far covers the paper loss.

The Edmonton market is long term and the prices will continue to rise for the next few years. A pause in the market is what investors need to get more product. It is also a great chance for new investors to put their money into Canada's #1 city to invest in.

I came across this informative website about the Alberta Oil Sands - Rigzone There are some excellent graphs and charts focused on the Alberta Oilsands. If you aren't exactly sure what oilsands are this site will certainly clear some things up. The magnitude of the oilsands are incredible and the effect it will and has had on Alberta's economy dynamic. The ripple effect on Real Estate was apparent last year with a 52% increase in property prices across Alberta. Of course Alberta is not only "oil" IT, nanotechnology and other industries are all bringing Alberta's economy to the perfect conditions it now enjoys.

Today in my car I was listening to the December REIN CD. My husband and I are Gold members of the REIN group and credit it for our excellent and easy investment system and a network of peers that have bought over $1 Billion dollars of Canadian Real Estate to date.

Don R. Campbell was saying that less than 10% of renters use newspaper ads as a primary source of rental units available in the Edmonton area. Many of the new tenants in Edmonton have inmigrated from across Canada therefore do not have access to local papers. They largely rely on internet rental sites.

So if you have a rental suite that doesn`t seem to be pulling the response that it should in this near 0% vacancy market, then you need to advertise online. It is cheaper and you can customize your ad to put as many photos and details as you like. I personally like www.rentboard.ca Once you post your ad and put up photos they give you 30 days free credit to your account. In this market that can last you a long time!

Welcome to a fabulous 2007!

As you read this blog we have just come back from the winter highland of Northern Japan. For the last few days we have been holed up in a luxurious log cabin with two great friends, enjoying food, relaxing and taking “Onsen” - Japanese Hot Spring Baths in the Nasu Highland region of our prefecture.

With a bit of luck this past year has been fantastic for you. It certainly rates as one of my top ten. We have seen incredible
increases in Alberta Real Estate, our partners made outstanding returns on their investments and we helped people from 5 different countries meet their investing dreams. Speaking of dreams don’t let any dream stealers rob you with their negativity. Make 2007 the year where you do IT! Whatever it may be….

It is never too late to invest in Alberta. But, don’t take my word for it: take a look at this Labour Force Required Graph on our website http://www.glennsimoninc.com/edmontonfacts3.html under “It Has Only Just Begun” You can see for yourself that the Alberta Dynamo Economy is just starting and has a long future ahead. The amount of projects underway and new labour coming to Alberta is staggering. They all need homes to live in and apartments to rent as well.

Have a wonderful January.

If you were worried that Edmonton is too far away to put your money into think again.

International investors and business elite have a new stop on their flight plan. The new Edmonton -London non stop flight tickets are now available from Air Canada. The flights operate three times weekly and daily service is planned for 2007.

Proof that the new development is related to Alberta's Oil Economy all flights are timed to ensure no glitch connections to Fort McMurray, Grande Prairie and Yellowknife.

"Air Canada’s announcement further signifies Edmonton’s expanding economy plus its growing importance in both business and leisure markets." www.edmonton.com

The holidays are a great time to show appreciation to your equity building partners - tenants. Good tenants can really make or break your investment. They take pride in their home and it shows in the neighbourhood and in your returns. We often give our tenants gift certificates, movie passes and long term tenants get turkeys or other holiday fare. Of course the tenants that call at three am with the toilet plugged get a plunger.

"Faced with long lines and slow service, Albertans are shunning the province's clerk-starved malls and clicking through their Christmas gift lists online." - CBC NEWS

Alberta`s hot economy and it`s labour shortages are affecting the Christmas rush. Albertans already shop online more than most other Canadians with 45% using online services to do their shopping.

Now with Alberta`s legendary winter in full swing, it is much easier to shop on line than drive to the mall to deal with parking and long waits.

"In September, six Alberta retail chains put expansion plans for the province on hold because of the difficulty in finding staff. The provincial government and the Retail Council of Canada are working on recruitment drives, expanding access for disabled workers in retail, and awareness campaigns for students of the possibilities of a retail career. "

So if you need a job head out to Alberta, you are sure to get hired and if possible bring 150,000 of your friends because that is the estimated labour shortage Alberta faces.

"Canadians are among the richest two per cent of the global population who control more than half of the world's wealth, a United Nations study released Tuesday has found."

Canada was ranked in at number 11 in the wealthiest countries in the world study.

"Building up wealth in the form of your house, (for example), is very important, but that's very difficult to do in a lot of countries." Canadians are very lucky to be able to easily buy properties, obtain mortgages and hold assets.

"The World Institute for Development Economics Research of the United Nations University, the UN agency that undertook the study, said it's the first time that household wealth - rather than just income - has been measured in a global study."

With house prices appreciating in many parts of Canada, many Canadians are house rich.

"If you hit a recession, or a drought, your income disappears, but if you have assets, savings and so on, you're in a much better position......."

Canada is a stable G7 country, it has a strong economy and a great social system and infrastructure.

"Still, there are many countries in the world where you can't depend on the bank on the corner - maybe it's not going to be there next year."

We are lucky to live, be born or to become Canadian. Now we have to start giving back or tithing our wealth back to those who are in the other 98%

Edmonton's market is still hot but the listings are cooling down.

"Edmonton-area home prices resumed their ascent in November after a brief pause in October.
Average prices rose to $334,039 for detached houses, and $282,434 for all housing types.
Compared to one year earlier, those figures are up 47.7 per cent and 42.5 per cent, respectively."

"Weaknesses in the U.S. or eastern Canada housing sectors are not present in the Edmonton market......." Madeline Sarafinchan, president of the Edmonton Real Estate Board

The frenzy we saw over the summer is slowing down and as a result less than 15 per cent of last month's sales were sold for over the list price. A big drop from the 37% seen in July.

Listings are down 21 per cent and sales are also down 16.7 per cent from October. The demand is still strong in Edmonton so prices are bound to increase. Especially since 2007 will see the city with historically low levels of inventory. The market is going to heat up next year but not to the level we have seen in the last twelve months.

So what? If you buy in Edmonton now you will still have a lot of opportunity to buy properties that make sense as an investment.

Sure they will be on the market for a shorter time and there will be multiple offers but Edmonton is still the NUMBER 1 city to invest in in Alberta. The market still has a lot of room to grow at least 5 years as the Alberta Oil Sands Development is still poised to take off. High demand and low inventory always means price increases.

"One in three Edmontonians say they haven't benefited from good economy"
Mike Sadava, The Edmonton JournalPublished: Friday, December 01, 2006

One third of Edmontonians say that they haven't noticed any economic change in their situation even though Edmonton's economy is the envy of the rest of Canada.

Mike Sadava, in his article in The Edmonton Journal, says this may depend on factors such as age, education and income. Things like a university education, owning your own home and having a yearly income of over $100,000 per annum were more likely to affect your benefits from current Edmonton economy.

"... many people who own homes are likely doing better than they think they are because they forget that they are sitting on an asset that is appreciating in value.

They might notice that the price of a coffee at Tim Hortons has gone up a dime, but they won't think about how much the value of their home has risen, at least until they think of selling....."

The fact is that home values have increased by 53% over the last year, unemployment is at a national low, salaries a national high,taxes the lowest in Canada and the economy is on fire. Sure prices may be increasing for daily commodities but there is so much opportunity in Edmonton now, that we are in a world model economy. The best thing to do is take or make an advantage of it.

The poll is deemed to be accurate within 5.7 percentage points 19 times out of 20.

JOB SURVEY

You have personally benefited from the boom

Stongly or moderately agree 60%
Strongly or moderately disagree 37%
Don't know / Not applicable 2%
Your wages have increased more than the cost of living
Strongly or moderately agree 32%
Strongly or moderately disagree 57%
Don't know / Not applicable 11%
Have rising real estate prices been good or bad for you?
Very or somewhat good 37%
Very or somewhat bad 20%
Did not make a difference to you 43%
Don't know Less than 1%