Ontario targets underground contractors

May 25th, 2007

By Roma Luciw - Globe and Mail
With a file from Canadian Press

The Ontario government is cracking down on the underground construction industry, saying unregistered home builders who work on the sly, undercharging legitimate contractors, are costing the economy up to $2-billion in lost taxes each year.

Ontario Labour Minister Steve Peters said Monday the government will share information with Tarion Warranty Corp. in order to ferret out unregistered home-building sites and make sure that contractors comply with provincial laws.

The government will let Tarion know about potential violators and Tarion will send one of its inspectors to investigate. A ministry inspector would then take over the case.

“The information sharing agreement we are signing today will help enforcement efforts to clamp down on unregistered builders who may be working in the underground economy, help safeguard construction workers, level the playing field for legitimate contractors and protect the home-buying public and our economy,” said Mr. Peters.

Tarion is a non-profit company that acts as a guarantor of builders’ warranties for new homes. It registers new home builders and vendors and investigates illegal building practises. All residential builders in Ontario must be registered with Tarion.

According to the government’s press release, the so-called “underground economy” is costing the construction sector between $1-billion and $2-billion annually in lost sales through unpaid taxes, premiums, and other fees that legitimate businesses pay to all levels of government.

Unregistered contractors are builders who work under the table, often for cash, don’t pay insurance, employment or pension premiums, as well as federal or provincial taxes. Because they work under the table, they charge significantly less money for building a deck or fixing a roof than a regular home builder or contractor would.

The demand for contractors has gone through the roof in recent years, as the boom in Canada’s real estate market fuelled a frenzy of home renovations. Canadian residential renovation spending jumped 8.7% to $32-billion in 2006, according to Statistics Canada.

And although housing starts and real estate activity are showing signs of easing, interest rates are still low and Canadians are expected to keep pushing forward with their home renovation projects this year and next. Home builders in cities across the country have complained of a shortage of skilled labour, saying there is not enough manpower to meet demand.

Economists estimate that the average amount Canadians spend on their home renovations is $12,000. The most popular rooms to renovate are the kitchen, bathroom, and basement.

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Tenants can also use a good Toronto real estate agent

May 25th, 2007

A Toronto real estate agent can often negotiate a better lease

Excerpt of an article by Amy Brown-Bowers in the Toronto Star

Using a Toronto real estate agent to buy a house makes good sense – it doesn’t cost a dime and you have everything to gain from the relationship.

Some savvy and discerning renters are also enlisting the help of realtors to find the perfect pad.

Toronto realtors can more easily screen out the sour-smelling, sketchy looking duds, while also locating the hard-to-find gems – the 2,000-square-foot condos or converted lofts that don’t tend to be listed in classifieds, says Laurin Jeffrey, real estate agent with Right At Home Realty Inc., Brokerage.

Betty Cho had a tough time finding something that fit her list of rental requirements – a new building, a nice neighbourhood, close to the subway and in her price range.

“In the end it was just, okay, well, I think it’s just going to be easier to get an agent…,” says Cho, who worked with Barkin for about a month last fall to find her condo in a new Entertainment District building.

“They can send me links and they get access to the information faster and they know the areas… and they can set up appointments for me.”

Payment comes from the owner of the rental unit, and is generally the amount of one month’s rent, split between the listing agent and the renter’s agent. That’s a bonus for renters, but poor incentive for real estate agents to work with these clients.

But, he says, working with renters can be a great investment in future business.

“When you deal with a client you don’t want to deal with them for one transaction, you want to deal with them for life,” he says. “It’s more of a PR thing just to get a client, have them happy and get them some referrals.

“Maybe you’re not going to make money on this one transaction, but you’ve got a client and that’s gold.”

One of the bonuses of using a Toronto real estate agent to find a rental unit is that they will go to bat for you to negotiate a lower rent or a more favourable leasing agreement.

“It was $1,500 and he actually went and put in a lower offer for us because we couldn’t afford that and we ended up getting it for the amount that we wanted, which was good,” says Jellous. “That wouldn’t have happened if we went by ourselves.”

Jeffrey says he gets about a call a week from renters. Many are like Jellous, young professionals or post-doctorate students in transition.

“They don’t know the (Toronto) rental market” or they don’t have access to information, Jeffrey says.

He looks for places based on their criteria and sets up showings so they can fly or drive into Toronto for the weekend and pick a place.

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Toronto gives green light to green thumbs

May 25th, 2007

Toronto tries to spur ‘urban forest’ by providing free trees to homeowners

By Kathy Flaxman - Globe and Mail

Neighbours teased Sharon and Bob Cobban when the Kentucky coffee tree recently planted in front of their North Toronto home was slow to grow.

It seemed to take forever for the tree, which replaced a rotting maple, to get leaves and grow, Ms. Cobban remembers. “Everyone called it our stick tree.” That was 10 years ago; now it’s as tall as their house.

The Cobbans have the city to thank for this improvement. They are among thousands of homeowners who take advantage of its tree-planting service every year. Planting and maintaining trees is part of a program to ensure there is a healthy urban forest.

The city will supply, plant and maintain a tree - free of charge - on the city property in front of your home. There is no fee because “we do not want to have a disincentive to asking for trees,” says Richard Ubbens, the city’s director of urban forestry.

“It’s vital that we replenish and increase the growing stock,” he adds. “The canopy of trees provides shade, naturally cooling the air. In heavy rain, the canopy captures the water and puts the moisture back into the atmosphere.”

Andrew Pickett, urban forestry planner with the city, adds that there’s also an economic benefit. “Trees increase property values,” he says. But he adds that “a well-treed street where the canopy meets in the middle is beautiful.”

The process of getting a tree planted starts with a phone call to the city. An inspector will examine the site, and if it is okayed, a tree will be put in the ground in the next planting season. A homeowner can choose from more than 20 species, provided that any particular tree is suitable for the existing conditions. Requests are rarely turned down.

“We have a variety of trees and pretty much something for any site,” Mr. Pickett says. “There are trees that are larger-growing, and for small sites perhaps an ornamental tree will be suitable. As long as there is enough room for the roots to grow underground, we should be able to plant a tree.”

“New trees need watering,” Mr. Ubbens stresses, noting: “Our trees are bare-root planted, and they will grow well, with good success.”

While adding to and maintaining the urban forest is encouraged, removing trees on either city or private property is stringently controlled. Thinking of taking out a tree on your property? It must measure less than 30 centimetres in diameter and be no more than 1.4 metres high. There is an application process and a fee. If the tree is dead or diseased, there is no fee, but you must have an arborist’s report.

Thinking of removing a tree on city property? Don’t even go there. Call the city.

What about a sapling that sprang up from a seed carried by the wind? “If it’s just tiny, yes, you can take it out, on your own property,” Mr. Pickett laughs. “But we hope, if the location is right, that you might consider nurturing it along.”

If you want a tree planted in your backyard, a group called Local Enhancement and Appreciation of Forests will do it for a nominal fee that also includes a consultation and a follow-up visit.

“We want to restore the layers of the urban forest,” LEAF executive director Janet McKay explains. “Because we plant native species, we’re providing wildlife food value: We’re feeding birds, butterflies, worms and a variety of mammals. We want people to view the tree that is on their property or city property as part of the larger picture - the true urban forest.”

If you’re interested in planting a tree, visit the city’s website http://www.toronto.ca/trees or LEAF at http://www.leaftoronto.org.

Toronto Tree Facts

$424 - The amount the city charges for planting a larger, balled-root tree. Bare-root trees are planted free of charge.

8,000 - The approximate number of trees planted on residential streets by the city every year.

1,000 - The number of trees planted in backyards by LEAF each year.

$85 to $150 - The amount LEAF charges to plant a tree, including consultation and a follow-up visit. It will deliver small shrubs for $25 to $35 (no consultation and no planting).

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Contact the Jeffrey Team for more information