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We attended the Urban Land Institute (ULI) conference at the end of October. The event was very interesting and successful, but it’s only now that we’ve had the chance to sit down and really think about what we learned at the conference – and what will stay with us, way into 2009…

1) Things are not as bad as they seem: everyone at that conference intends to be in business for next year’s conference, and the year after that, and the year after that. People are working hard, deals are being made, and things are getting better, but it’s hard to fight against the perception that is being propagated by the media. However, if you speak to realtors, developers, sellers and mortgage lenders, you’ll see that there is business to be made, and deals to be done. It’s just a little harder right now…

2) People are looking for innovative ways to sell developments and real estate: Rent-to-buy, auctions, pricing drops, online special offers, social networking…people are trying a variety of different techniques to keep selling real estate. Diversify or die – the buyers’ market means that realtors and developers MUST get more creative. A couple of ‘open house’ signs on the street does not a advertising campaign make, so if you don’t understand blogging, have never posted on a web board, or you have no idea what a ‘tweet’ is – you’ll be left behind in the new world of marketing. (p.s. Cheeky plug: check us out at http://twitter.com/Realestock.)

3) Print advertising is dead: Our booth was extremely busy. Why? Because we are offering something quite different from other advertising companies. Our advertising is all online, so we use new and innovative ways of marketing, and we don’t waste your budget like traditional advertising can. For more information on our full package for your marketing success,

4) People are waiting for the big turnaround: 2009? 2010? When will it be? Many realtors, developers and sellers are conserving more and spending less, delaying sales, or even renting out properties until people start buying again. The reason being that these businesses need to survive, and if you can’t afford filet mignon, you’ll dine on Kraft Dinner until you can.

5) Environmental and Green Building – It’s on the up! Once a niche market, this is now becoming the norm, and people are expecting to have features such as low flow toilets, good insulation and other innovations which save the environment, and save money. As oil, gas, and other materials become more and more expensive, it is not just the traditional environmentalist demographic who are interested in ‘going green’. Granted, for many people, it has nothing to do with the environment, and everything to do with saving money, but whatever the reason, environmental building is becoming very popular, and green houses are still selling, even in this market.

6) The coordination of houses and transportation: Suburbia experienced growth in the mid to late 20^th century because people were interested in moving out of the cities to get bigger houses, more space, and a better life for their families. Now that people’s priorities have changed, and most people are looking for energy efficient houses, easy accessibility to schools, shops, businesses etc, the suburban landscape is in decline. There is even a trend for families with children – the original suburban demographic – to move back to the city for reasons such as better childcare options, better education, and more choice. This doesn’t mean that the end of suburbia, but it does mean that things will have to change. Better transportation links such as buses and other forms of transit, in addition to encouraging more family-friendly opportunities and a better sense of community will enable suburban housing to stay competitive in terms of reaching young families and other buyers.

If you were at ULI, let us know what you learned, and whether you think these themes will stay constant through 2009.

Originally, the concept of suburbia was to create a place of community and safety. People moved their families out of the city so that their children would be safe from crime, drug problems, and so that they could be brought up somewhere where everyone knew their neighbors, and where there was a real sense of community.

However, times have changed. Suburban areas are no longer immune to these kinds of problems – a day doesn’t go by where we don’t hear about shootings and other crimes going on in suburbs of any major city. The community element has changed too. People know their neighbors, but many people work long hours in the city, and spend most of their evenings gridlocked in the daily commute, leaving little time for socializing. And I’m not even touching on the effect that rising gas prices have had on the suburban lifestyle, because there’s enough material there for another ten blog posts!

An article in last week’s Globe and Mail Newspaper looked at the growing number of families who are moving from large suburban houses to smaller places in the city. This is becoming a widespread trend all over the world. The families mentioned in the article citied a range of reasons for leaving their suburban houses, including shorter commuting times, more activities for their children, exposure to a more diverse mix of cultures, and close proximity to restaurants, shops and bars.

However, there are a number of plus points to staying in suburbia. If you work from home, it can have many advantages. There are lots of community events and groups, and if you’re not spending your evenings gridlocked somewhere on the 401, then you have the opportunity to really get to know your community. Also, even though crime is rising in the suburbs it very rarely compares to the city, so your kids are still safer in suburbia. Not just that, you get much more space, in terms of indoor square footage, and outdoor acreage, which is tempting when looking at a new home.

It’s an interesting situation. Do you sacrifice the space and tranquility of the suburbs for being five seconds walk from your nearest Starbucks? It’s a hard one. As an ex-English major, I love a good compare/contrast piece, so I had a look at the prices in Bloor West Village (a community in Downtown Toronto) and Caledon, Ontario, a town which is part of the GTA (Greater Toronto Area). I chose these places because they were examples given in the article, and also they are both desirable ‘luxury’ areas of the GTA. I looked at detached houses on MLS.ca priced between $650,000 and $800,000 (average spend for a single detached family house in Bloor West Village seems to be in the high $500,000s) in both areas, and then looked at what you could get for a cool million. The differences were very interesting, although not entirely unexpected:

Caledon, Ontario

In Caledon, $650,000 buys you a three bedroom, four bathroom, two storey detached house, with a saltwater pool in the back yard, and a games room. Said back yard? About five acres

For just over $650,000 you can get a five bed, five bath detached Victorian/Heritage house, which includes a suite to rent out, and has a range of period features, such as vaulted ceilings

For just over a million You can get a four bed, 2.5 bath Victorian house set on 25 acres. Unique features include a stone fireplace, and your own private waterfall(!)

For just under $1,100,000 you can get a hundred acres of land – and a six bedroom, six bathroom house with a workshop and heated stone floors

Toronto (Bloor West Village)

For over $650,000, you can get a four bedroom, two bathroom detached house with features such as a finished basement, and a renovated kitchen

For over $650,000, There is a work/live house which has two offices, one bedroom and three bathrooms. Features include a ‘loft like’ setting, and a renovated basement with a separate entrance

For just over a million you can get a three bed, three bath detached property, with a landscaped yard

For just under $1,100,000 you can get a five bed, five bath ‘Georgian-style’ house with a family rec room, and a nanny suite(!)

While the differences do not seem that monumental, it is worth noting that MLS doesn’t list the acreage on the Toronto properties, which indicates that you get little to no land.

To sum up, it depends entirely on your lifestyle, and how much you have to spend. If you can spend upwards of $600,000, then in either place, you’ll be living in a beautiful and quality house. However, the difference will be the space inside and outside – if you want all the conveniences of living in the city, you have to give up the space and privacy that comes with living in a small town. Granted, the lower costs to keep up a smaller place, plus the lack (or reduced use) of a car, will save you money, but the cost of groceries and house maintenance is much more expensive in the city, compared to a small suburban town.

The views expressed on the blog portion of this site represent only the opinions of the author and may not necessarily be the opinions of Realestock.com

Are you thinking of moving to the city? Or have you already done it? Let us know by posting below!