1. Brought to you by:
KW Research
Commentary 2
The Numbers That Drive Real Estate 3
Special Reports 9
Topics for Home Buyers, Sellers, and Owners 11
Released:
October 7, 2010

2. KW Research 2
Commentary
Canada’s housing market remains well-balanced with cooling home sales and new listings
adjusting to historical trends. “The hangover from accelerated home purchases earlier this
year is expected to persist over the rest of the year, but positive economic and job market
trends bode well for home price stability,” said Gregory Klump, CREA chief economist.
The outlook for the Canadian economy, while having changed slightly due to recent uneven
developments in the global economic landscape and south of the border, remains solid and is
expected to continue lending support to the housing sector.
While monetary policy measures undertaken since April have modestly tightened financial
conditions in Canada, they remain “exceptionally stimulative.” According to Georges Pahud,
CREA president, “The Bank of Canada recognizes that inflation remains well contained and
that economic growth will soften, so interest rates will rise slowly and at a measured pace,
which will keep home financing within reach for many home buyers.”
According to the central bank’s statement, “Any further reduction in monetary policy stimulus
would need to be carefully considered in light of the unusual uncertainty surrounding the
outlook.” However, some economists believe that this may not be the last hike this year. In
the mean time, Canada’s recovery will proceed slowly.

3. Brought to you by:
KW Research
Home Sales 4
Home Price 5
Inventory 7
Mortgage Rates 8
The Numbers That
Drive Real Estate

4. KW Research 4
Home Sales
In Thousands
Resale housing activity improved in August, totaling 32,807 units and is up 4.1%
from the previous month. This is the first monthly increase since March of 2010.
Activity was up most in Ontario and British Columbia, with monthly gains in these
two provinces accounting for most of the improvement in national sales activity
in August.
Data released on September 15, 2010
Sources: The Conference Board, CREA, Royal Bank of Canada
August ’09-’10
August ’08-’09
20-Year Average: 31.5

5. KW Research 5
Home Price
In Thousands
Data released on September 15, 2010
Sources: The Conference Board, CREA, Royal Bank of Canada
The national home price averaged $324,928 in August, which is on par with the
same month last year. Average prices rose or were stable in more than two-thirds of
all markets on a year-over-year basis. Average price trends are expected to remain
stable as supply and demand continues to move the market further into balanced
territory.
August ’09-’10
August ’08-’09

6. KW Research 6
NT
$299K
YT
$315K
BC
$488K
AB
$343K
SK
$239K
MB
$215K ON
$324K
QC
$252K
NL $246K
NS $203K
NB $154K
PE $156K
Prices Increased
Prices Decreased
Home Price Direction
(Year-Over-Year Change)
Home Prices by Province and Territory
9 out of 12 provinces and territories experienced an increase in home prices
National Average: $324,928
No Data

7. KW Research 7
Inventory –
Sales-to-New Listings Ratio
Number of homes available for sale
The market continues to hold its ground in a balanced territory as seen by the
sales-to-new listings ratios, which have remained well within 40%-60% for five
consecutive months. This bodes well for home price stability as the new supply of
homes continues to adjust to lower demand, resulting from accelerated home
purchases earlier this year.
Buyer’s
Market
Balanced
Market
Seller’s
Market
Aug’09-’10
Aug’08-’09

8. KW Research 8
Mortgage Rates
Average for 25-year amortization, 5-year term
Source: Bank of Canada
The Bank of Canada raised its target overnight rate by one quarter of one percentage point
to 1% on September 8, marking its third consecutive quarter point hike. Mortgage rates
stayed put at 5.39% for the month of September. This was down 0.1% from a year earlier
and was also 0.1% below where it stood at the beginning of the year. Despite further
expected increases, interest rates remained well below the historical average.
September ’09-’10
September ’08-’09
35-Year Average: 9.94%

9. Brought to you by:
KW Research
Special Reports Competition Bureau and CREA
Reach a Deal
10

10. KW Research 10
Competition Bureau and CREA Reach a Deal
Sources: REMonline.com and TheGlobeandMail.com
The Canadian real estate industry has reached a tentative agreement with federal competition
authorities which will now allow consumers to choose which services they want from a real estate
agent and pay only for those services. At the same time, it also gives greater flexibility for agents to
offer an array of prices and services that cater to consumers’ needs.
In February, the Competition Bureau formally challenged CREA’s practices. At the heart of this was the
Multiple Listing Service, which was owned by CREA and is responsible for about 90% of home sales in
Canada. According to Melanie Aitken, commissioner of competition, “Since challenging CREA’s rules,
the Bureau’s goal has always been to achieve a long-term solution that would strengthen competition
in the residential real estate brokerage services market.”
While acknowledging that both sides have gained a better understanding of their respective concerns
through the negotiation process, CREA maintained that the agreement simply reflects the reality of
the marketplace. The agreement will be subject to ratification by the CREA membership at its Special
General Meeting in St. John’s on October 24. Once ratified, the new rules will take effect immediately
and remain in effect for 10 years.
While this may heighten the industry’s competitive atmosphere, the long-term impact on the market
is still to be seen.

11. Brought to you by:
KW Research
Topics for Home Buyers,
Sellers, and Owners
Ten Habits of Highly Effective
Real Estate Investors
12

12. KW Research 12
Real estate has long been well regarded as a sound investment, but it takes a little savvy to
become successful in this arena. So what do the top real estate investors have in common?
Ten Habits of Highly Effective Real Estate Investors
Source: TheGlobeandMail.com
1. Treat Investments as Businesses
- Create a business plan to identify main objectives and chart a viable course of action
toward their attainment.
1. Know Their Markets
- Acquire an in-depth understanding of your selected market(s) which will enable you to
make sound business decisions, react quickly and effectively to market shifts and create
potential opportunities.
1. Maintain High Ethical Standards
- An investor’s reputation is likely to be far reaching. Create and maintain the highest level
of integrity and ethical standards.
1. Develop a Focus or Niche
- This will allow you to gain the depth of knowledge essential to becoming successful in
the long run. Once a particular market is mastered, you can move on to additional areas.
1. Strive to Be Good Customer Service Representatives
- Referrals serve as an important source of business for real estate investors, so it is
critical that investors treat others – business partners, associates, clients, renters, etc. –
with respect and care.

13. KW Research 13
Ten Habits of Highly Effective Real Estate Investors
Source: TheGlobeandMail.com,
6. Stay Educated
- Successful real estate investors make the effort to stay educated, adapting to any
regulatory changes and economic trends. So stay abreast of new laws, regulations,
terminology, and trends.
6. Understand the Risks
- Sensible real estate investors understand the risks associated with real estate
transactions as well as the legal implications involved, which help them adjust their
business to reduce risks.
6. Invest in a Reputable Accountant
- Sharp real estate investors employ the services of a qualified accountant to handle the
business’s books. This could bring significant savings in taxes and/or potential costs
which could result from failure to understand and follow current rules and regulations as
well as the time away from the business.
6. Find Help When They Need It
- Successful real estate investing can be complicated and requires a great deal of
expertise. Rather than risk time and money solving problems on their own, successful
investors embrace other people’s expertise.
6. Build a Network
- A network can provide important support to a real estate investor as well as aid
significantly in advancing one’s career through shared knowledge and new
opportunities.

14. KW Research 14
Although it is important to stay informed about what is going on in the
national economy and housing market, many different factors impact the real
estate market in your own area.
Talk to your KW associate for assistance interpreting the
conditions in your local market.
KW associates are equipped with all the knowledge and information to help
navigate you through the home-buying or selling process in any market.
Your Local Market

15. KW Research 15
About Keller Williams Realty
Founded in 1983, Keller Williams Realty, Inc., is an international real estate
company with more than 77,000 associates and 677 offices located across
the United States and Canada. The company began franchising in 1991, and
following years of phenomenal growth and success, became the third-largest
U.S. residential real estate firm in 2009.
The company has succeeded by treating its associates as partners and shares
its knowledge, policy control, and company profits on a system-wide basis.
Focusing on helping associates realize their fullest potential, Keller Williams
Realty is known as an industry leader in its family culture, unmatched
education, profit sharing business model, phenomenal coaching program,
and technology offerings.
www.kw.com

16. KW Research 16
The opinions expressed in This Month in Real Estate are intended to supplement opinions on real estate expressed by local and
national media, local real estate agents and other expert sources. You should not treat any opinion expressed on This Month in
Real Estate as a specific inducement to make a particular investment or follow a particular strategy, but only as an expression of
opinion. Keller Williams Realty, Inc., does not guarantee and is not responsible for the accuracy or completeness of information,
and provides said information without warranties of any kind. All information presented herein is intended and should be used for
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