OREA Plays An Important Role In Real Estate: Tim Hudak, CEO
Losing the Realtor licensing education program after 2020 was a huge loss to OREA. Its 2016 annual report shows that approximately 76 per cent of its 2015 revenue, about $29 million came from its real estate college.
But Tim Hudak says while the revenue coming in from the college was the biggest portion of OREA’s budget, the college also represented its biggest expense. He says it’ll be up to a future board to determine how that affects member fees down the road, but he believes that there will have to be a continued improvement in the quality of services before OREA asks “for one additional penny” from its members.
“We’re going to do fewer things, but we’re going to do them better,” he says, adding that includes things like “doubling-down” on government relations and doing more leadership training.
He calls it the “new rising of OREA”, which began under past-president Ray Ferris and continues under current-president Ettore Cardarelli. He says he’s been given “very clear marching orders” on where OREA should be heading which includes being accountable for every member dollar.
“In my first month on the job, we found over $1.5 million in savings,” says Hudak, explaining that he cancelled various expenses and removed consultants where OREA could do the job themselves. He says staff travel and accommodations are down by 32 per cent (including 37 per cent in the CEO’s office) and that the board cut their own expenditures by 20 per cent.
“So, we shifted money that was going to fancy consultants and travel and hospitality, and refocused them on government relations and member services.”
“Quite frankly, when OREA had the college contract, there were occasions where OREA bit its tongue instead of holding RECO to account,” says Hudak. “Because RECO effectively controlled the purse strings, we were too shy from holding RECO to account in terms of enforcement, higher fines and penalties, and improving the continuing education program, which the vast majority of Realtors tell me is a joke.”
When he became CEO of OREA, he went on a tour and met with 36 of Ontario’s 39 boards personally. He says 95 per cent of those conversations involved complaints about the continuing education program. Aside from believing there should be a classroom aspect to the program, Hudak says the program is open for abuse and sets poor standards.
“The fact that you don’t even know who is taking the test really opens it up to abuse,” says Hudak. “And, you can still get all of the answers wrong and still pass.”
Hudak says it’s the Realtors themselves who have been calling for the program to be revamped and to have the industry standards raised, and it’s something he is very proud of.
To that end, Realtors can expect that OREA will be their collective and loud voice.
“Realtors are going to see a stronger and more effective OREA,” says Hudak.
