John Geha, president of Coldwell Banker Canada, signs documents to create the first Canadian chapter of the Asian Real Estate Association (AREAA). From left: AREAA board member Allen Chiang, AREAA chair Kenneth Li, John Geha
By Susan Doran
With the influx of Asian buyers into Canada, notably into British Columbia and Ontario, the impact and influence of the Asian community here grows daily.
John Geha, president of Coldwell Banker Canada, is well aware of this fact. And he’s running with it. Recently he became chair of the Asian Real Estate Association of America (AREAA)’s first international chapter, which is based in Burlington, Ont.
“This new chapter of AREAA acknowledges the importance of the Asian community in Canadian real estate,” he says. “This new trade organization – which already has deep roots in the United States – will help real estate professionals here better serve this growing market. I’m very enthusiastic.”
He’s just starting up the new Canadian chapter’s membership drive, and looks forward to building AREAA’s presence in the Canadian real estate industry and “expanding to other Canadian chapters” in due course.
With tremendous interest in Canadian real estate by Asian buyers, who represent a significant part of the overall Canadian market, this country was the natural choice for a launching pad for AREAA’s expanded presence internationally, the organization’s spokespeople say.
“AREAA has resisted expanding internationally until now,” Geha says. “They wanted to make sure they had a foundation …that their original mission was followed.”
That mission involves promoting sustainable homeownership opportunities for Asians by creating a strong voice for housing and real estate professionals who serve the dynamic Asian market. AREAA’s mandate is to do this by advocating to reduce homeownership barriers facing the Asian community (in the U.S., lack of mortgage financing availability has been cited as one of the biggest problems facing the multicultural real estate community), as well as by increasing business opportunities for mortgage and real estate professionals serving that market .
U.S. Congresswoman Judy Chu presents Geha with Congressional Recognition at the AREAA National Conference in San Francisco, for his efforts with the Asian business community. From left: AREAA chair Kenneth Li, Congresswoman Judy Chu, Geha, and Canadian radio host and Coldwell Banker sales representative Tina Mak.
The long-term goals are to provide new revenue opportunities for Canadian real estate professionals; to enhance the level of service to consumers in this growing niche market; and to provide new channels for professional learning and networking.
The current group of Chinese homebuyers fuelling the Canadian market tend to be the newly wealthy mainland Chinese, a different and less experienced market than the Hong Kong Chinese who have been buying Canadian real estate since the early 1990s, says AREAA. This is just one of the multiple aspects of servicing the Asian market that real estate professionals must recognize and consider, the organization says.
“We want to be aware of what’s going on and educated and knowledgeable so as to serve the market properly,” says Geha.
What’s attractive about Canada to Asian buyers?
“Real estate in China is expensive. In Beijing, buyers can pay over $1,000 per square foot. You can buy much more for your money here,” Geha says.
Moreover, “the Chinese government has placed curbs on mortgage lending, increased the amount of down payments and limited purchases” in that country. As the Chinese become more prosperous and diversify their assets out of China, “Canada’s liberal immigration policy makes Canadian real estate very attractive to them,” Geha says.
Australia was also a hotbed of Chinese investment, but it has tightened its regulations to limit foreign ownership, boosting Canada’s appeal further, he adds.
AREAA offers learning resources and networking opportunities to help real estate and other professionals understand and connect with the Asian market. They include a searchable online directory and the www.areaa.org website; ongoing communications via email newsletters and an Asian real estate magazine; special reports and studies on the Asian market; and networking and professional development events such as seminars, continuing education and the annual conference.
In the U.S. the cost of membership in the organization is $99 yearly. Geha expects it to be the same or slightly higher here.
A non-profit professional trade organization, AREAA was founded in 2003 in California (where one-third of the United States’ Asian population resides). Membership in the organization is open to a range of real estate professionals, including real estate lawyers and mortgage specialist/insurance companies.
“Membership in AREAA is open to all real estate brands,” Geha says. “We want to include everyone …We hope to have at least 100 to 150 members within our first year.”
Since he is not of Asian descent, Geha is sometimes asked why he was selected as chair of AREAA’s Canadian chapter. The organization’s website explains that, “Any individual with an interest in understanding and connecting with the Asian market can be a part of AREAA. It is open to professionals of every ethnicity, which can be seen from our diverse board and management team.”
Says Geha: “Real estate is still a relationship business. We’re focused on diversity, on protecting the consumer.”
He says he was excited to see that there were many non-Asians at AREAA’s recent national conference in San Francisco and that he is pleased to chair the new Canadian chapter.
“It says a lot about AREAA’s openness,” he says.
