Brought to you by the CALIFORNIA ASSOCIATION OF REALTORS NEW CALIFORNIA LAWS FOR 2009-10 AFFECTING REALTORS®
The conclusion of the first half of the 2009-10 legislative session has brought many new laws that may affect California REALTORS® and their clients. Not surprisingly in the subprime aftermath, prominently featured among the new laws is stricter regulation of the mortgage lending industry. To view the full text and legislative summary of any of the following new bills, go to www.leginfo.ca.gov.
REO Buyer Can Select Escrow and Title: Effective October 11, 2009, the Buyer's Choice Act prohibits an REO lender selling residential property up to four units from directly or indirectly requiring the buyer to purchase escrow services or title insurance from any particular company. A buyer, however, who has received written notice of the right to make an independent selection, may agree to the REO lender's escrow or title recommendations. An REO lender that violates this law can be held liable for three times the charges the buyer incurred, whereas a violation by the seller's agent may be subject to license disciplinary action. This law expires on January 1, 2015. Assembly Bill 957.
No Advance Fee Loan Modifications: Starting October 11, 2009, a new law prohibits anyone from claiming any compensation for negotiating or arranging a loan modification until after that person fully performs each and every service as promised. Aimed at combating loan modification scams, this ban applies to upfront fees collected by real estate agents and attorneys. The ban expires on January 1, 2013. Also effective immediately, anyone who negotiates or arranges a loan modification must give the borrower a specified notice that paying a third-party for loan modification services is unnecessary. These new requirements apply to mortgage loans secured by residential property up to four units, with certain exceptions for lenders and loan servicers acting on their own behalf. Violations can be penalized by, among other things, a $10,000 fine plus one-year imprisonment for individuals, or a $50,000 fine for businesses. Real estate brokers with existing Advance Fee Loan Modification Agreements reviewed by the Department of Real Estate (DRE) can no longer, as of October 11, 2009, enter into these agreements or collect advance fees. Agreements entered into and advance fees collected before October 11, 2009 are not affected. For the DRE announcement, go to http://www.dre.ca.gov/pdf_docs/SB94WebAnnouncement(brokers).pdf. Senate Bill 94.
Advance Fee Redefined: Aside from loan modifications discussed above, Senate Bill 94 also broadens the definition of an advance fee which must be specially handled by real estate agents, such as by submitting an advance fee agreement for DRE review and placing funds received into a broker's trust account. Under the new definition that took effect on October 11, 2009, agents cannot separate advance fees or services into components to avoid the advance fee requirements. More specifically, an advance fee is now defined as "a fee, regardless of the form, claimed, demanded, charged, received, or collected by a licensee from a principal before fully completing each and every service the licensee contracted to perform, or represented would be performed." Exceptions include advertisements in newspapers of general circulation, tenant prescreening fees, and tenant security deposits. Senate Bill 94.
Mortgage Loan Originators Regulated: Beginning in December 2010, a real estate licensee acting as mortgage loan originator must obtain a license endorsement, which entails education, written testing, and reporting requirements. A mortgage loan originator is anyone who, for compensation or gain, takes a mortgage loan application or offers or negotiates terms of a mortgage loan for residential property containing one-to-four units. Exemptions include real estate agents who only engage in selling, buying, or leasing activities, unless compensated by a lender or mortgage loan originator. This license endorsement requirement comports with the creation of a Nationwide Mortgage Licensing System and Registry under recent federal law. Finance lenders and residential mortgage lenders under the Department of Corporation must also register in the nationwide system. Additionally, if a real estate broker or the broker's salesperson makes, arranges, or services loans secured by residential property containing one-to-four units, the broker must notify the DRE by January 31, 2010 or within 30 days of commencing such loan activity, whichever is later. Senate Bill 36.
Mortgage Broker Activities Restricted: Commencing January 1, 2010, a mortgage broker will be deemed a fiduciary with a duty to place the borrower's economic interest above his or her own. This fiduciary duty pertains to a mortgage broker who makes loans secured by residential property of one-to-four units. Also starting January 1, 2010, the law will strictly regulate higher-priced mortgage loans as defined, including requiring upfront disclosure if a mortgage broker only arranges higher-priced mortgage loans, restricting prepayment penalties and yield spread premiums, prohibiting negative amortization, and prohibiting mortgage brokers from steering borrowers to higher-cost loans. Assembly Bill 260.
Appraisal Industry Oversight: The Office of Real Estate Appraisers (OREA) will have regulatory oversight of appraisal management companies, which gained prominence after Fannie Mae and Freddie Mac adopted the Home Valuation Code of Conduct (HVCC). Starting January 1, 2010, the OREA must implement a registration system for appraisal management companies, including fingerprinting and background checks for persons with operational authority as defined. On a separate note, this law clarifies what conduct constitutes improperly influencing the appraisal process by anyone with an interest in a real estate transaction. Such prohibited conduct includes withholding or threatening to withhold an appraisal fee, withholding or threatening to withhold future appraisal business, and promising future business, promotions, or compensation. Senate Bill 237.
Mortgage Fraud Becomes a State Crime: As of January 1, 2010, anyone who deliberately makes any misrepresentation or omission during the mortgage lending process with the intent of influencing that process will be guilty of mortgage fraud under California law. A violation of this law is a crime punishable by one-year imprisonment. Under existing federal law, loan fraud against a federally-insured lender is a crime punishable by a $1 million fine, plus one-year imprisonment (18 U.S.C. section 1014). Senate Bill 239.
Increase in Homestead Exemptions: Coming into effect on January 1, 2010, the homestead exemption protecting a homeowner's equity from judgment creditors has been increased by $25,000 across the board to $75,000 for individuals, $100,000 for married couples or family units as specified, and $175,000 for persons over 65 years, disabled, or over 55 years with limited income as specified. Assembly Bill 1046.
60-Day Notice to Terminate Tenants Extended: Existing law generally requiring a 60-day notice to terminate a month-to-month residential tenant, which was originally slated to sunset on January 1, 2010, has been extended indefinitely. A 30-day notice to terminate is sufficient if the tenant has lived in the property for less than one year, or if the landlord has sold the property and certain requirements are met as specified in our standard-form Notice of Termination of Tenancy (C.A.R. Form NTT). The 60-day notice requirement does not apply to fixed-term leases, such as a one-year lease. Other laws address tenants in properties foreclosed upon. Senate Bill 290.
Other Significant Laws: Other new laws that may interest REALTORS® include, without limitation, the following:
Landlord Utilities: Requires certain utility companies to notify residential tenants of landlord's past due accounts and upcoming shutoffs, and allows tenants to begin service in their own names and deduct payment from rent (Senate Bill 120).
Mobilehome Parks: Prohibits management from requiring a homeowner to use a specific broker or dealer when replacing a mobilehome or manufactured home on a space in a mobilehome park (Senate Bill 804).
Swimming Pools: Requires anti-entrapment devices for owners of apartment buildings, condominium complexes, and others, including the filing of compliance statements (Assembly Bill 1020).
Mechanic's Liens: Provides new procedures, including service of a Notice of Mechanic's Lien to the owner and mandatory recording of a lis pendens when enforcing a mechanic's lien (Assembly Bill 457).
Low Water-Using Plants: Renders unenforceable any HOA provision prohibiting landscaping with water-efficient plants in common interest developments (Assembly Bill 1061).
Reverse Mortgages: Provides new disclosure and other requirements under the Reverse Mortgage Elder Protection Act (Assembly Bill 329).
Disposal of Records: Shields from liability businesses that dispose of abandoned records containing personal information by shredding or erasing, and gives a legal presumption that a tenant owns records remaining on the premises after tenancy termination (Assembly Bill 1094).
Plumbing Fixtures: Provides new disclosure and other requirements for water-conserving plumbing fixtures effective on or after January 1, 2014 (Senate Bill 407).
I just want to share my experience with the Todd Bates program.
He went to our office promoting his program and promising 1 on 1's and coaching, but I came to realize that all he was selling were pre-recorded audio files for a 'discounted price' close to $1000. Even the free 800 # is not free! They waive the registration fee but you still have to pay the regular monthly fee. And the program is only good for 1 year, so you don't have access to these files anymore after 1 year.
Within less than a month of trying his program and completely unsatisfied, I contacted him and told him that I am not satisfied with the program and it wasn't what I thought I was purchasing and want a refund. Nothing in the contract says "NO REFUND". But he refused to give me a refund.
Ok, so I asked him to refund me half of what I paid for just so it's a win win situation. And I made this request only on the 3rd week after purchase. I thought it was more than fair. Besides, I never got any physical material and everything was online audio files. So he would still have made money.
Anyway, if you are thinking about getting the Todd Bates program, be sure to ask...
1) REFUND POLICY
2) IN WRITING: WHAT IS INCLUDED ON THE PROGRAM (I doubt there's any 1 on 1 coach you'll see in writing), the support is more like a quick (1line) email response, which I highly doubt he even writes himself.
I'm sure there are others who are happy with the program. But personally, I think it's a big scam!
SO DON'T GET BURN! THERE'S OTHER BETTER PROGRAMS OUT THERE.
I HOPE THIS HAS BEEN HELPFUL INFORMATION FOR THOSE CONSIDERING THE PROGRAM...
The FSBO Assistant - Prospecting & Working with For Sale By Owner
Giving to Receive
One nice thing about For Sale By Owner (FSBO) homes is that the owners advertise to the general populace, which makes them easy to find! You have their address in any ad they put out, which means you can do some extremely targeted marketing.
Another important thing to know about these "do-it-yourself" types is that most of them fail in trying to sell their own homes, and end up needing the services of a Real Estate Agent. You just need to make sure you're the first agent on their mind!
To that end, I recommend giving the FSBOs in your area a small kit you can label the "FSBO Assistant." There is actually a two-fold reason to give out these kits. The first one is obvious: You have to give in order to receive. By presenting value up front, you are earning the trust of the homeowner, and making it much more likely that they will choose you should they decide to use an Agent.
The second reason is a bit more subtle: By introducing them to the piles of paperwork and material that FSBOs need to understand, you show them what you get paid for, and why it's worth it to use you rather than try to do it themselves!
Here is an abbreviated list of some of the documents I would include:
A Generic Purchase Agreement
Escrow, Settlement, or Closing Instructions
Title Insurance Policy
Settlement or Closing Statement
General Warranty Deed
Special Warranty Deed
Bargain and Sale Deed
Lead-based paint Seller Disclosure
A list of other documents they'll need
Your Personal Brochure
Most importantly, include an offer to help them should they feel overwhelmed! This will give you more opportunities to sell them on your service later on. Be sincere in your desire to help them, and they'll be more receptive to you becoming their agent.
Happy holidays: Freddie, Fannie halt foreclosures till 2009
By John Gittelsohn
Freddie Mac and Fannie Mae say they're taking a holiday from foreclosing homes between Thanksgiving and Jan. 9.
The suspension will give breathing room to about 10,000 Fannie Mae and 6,000 Freddie Mac customers facing property losses over the holidays.
Also participating in the program are 27 mortgage loan servicers, which are working with federal officials to devise a comprehensive loan modification program to allow more property owners to stay in their homes.
"The streamlined modification program by Fannie Mae, Freddie Mac, Hope Now and 27 mortgage servicers is an important step forward in addressing the systemic issues driving the increase in foreclosures," said Fannie Mae President and Chief Executive Officer Herb Allison. "Until the streamlined modification program is fully implemented, we felt it was in the best interest of both borrowers and Fannie Mae to take this extra step to ensure that homeowners with the desire and ability to prevent a foreclosure have an opportunity to stay in their homes."
Long Beach Turkey Trot info & other fun area runs and activities ~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~
click for entry form/info: LONG BEACH TURKEY TROT 5K/10K RUN/WALK ~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~ proceeds benefit Haute Dogs/C.A.T./more; 6th annual Thanksgiving Day, Thurs., Nov. 27, 2008 on the scenic beach bike path, three start times: 7:30, 8:30 & 9:30 a.m. Co-sponsored by Justin Rudd, his nonprofit 501c3 Community Action Team (C.A.T.) & Councilman Gary DeLong. Register now at www.TurkeyTrot.us
Volunteers also needed. Long Beach Turkey Trot
HURRY: Your name will be printed on your bib,if you are registered by this Sun., Nov. 16. Long Beach Turkey Trot 5K/10K Download entry forms or get registered online at www.TurkeyTrot.us or visit Runners High or the Belmont Athletic Club on 2nd St. in Belmont Shore for an entry form.
ENTRY FEES 5K/10K - $30 if payment is rec'd after Nov. 1 - $35 if payment is rec'd after Nov. 25 -NEW add just $10 to run both 5K & 10K races!
KIDS 1/2-MILE RUN(12 & younger) $15 advance $20 cash-only on race day or day before race Entry forms and details now at www.TurkeyTrot.us
THIS SAT. Justin Rudd's JETTY-TO-JETTY LOW TIDE RUN - Long Beach Nov. 15, 2008, 4 p.m.
Start/finish: 1 Granada Ave., Belmont Shore. On the hard sand (you choose 3-, 5-, or 8-mile run along Long Beach's Pacific Ocean shoreline). 4 p.m. start time (low tide is predicted to be 5:11 p.m. Sunset at 4:50. You can also run the 8-mile race with a partner (one does 3 miles, one does 5 miles). Runners will be at the water's edge, except around the orange cones of the dog beach (soft sand area). $15 day-of or $10 advance. RELEASE FORM To enter, print/fill-out this release form and mail or hand-deliver your check payable to Justin Rudd, 5209 E. The Toledo #1, Long Beach, CAlif. 90803.
faster option for groups! GROUP PACKET PICKUP - on the day before the Long Beach Turkey Trot. This option will be available to those who make an emailed request by Tues., Nov. 25. We'll need the first/last names/t-shirt sizes of each person for whom you will be picking up bibs (race numbers)/t-shirts. Make requests to Justin@JustinRudd.com. If you follow the steps above, we'll have your t-shirts and bibs ready for you in the "GROUP PICKUP LINE" on Wed., Nov. 26 from 3-7 p.m., so you won't have to go from line to line. You can then proceed straight to the start line on race day.
The optional packet pickup on Wed., Nov. 26 from 3-7 p.m. is for groups and individuals.
DAY AFTER THANKSGIVING SALE AT ALL THREE RUNNERS HIGH LOCATIONS! Friday, Nov. 28 Special store hours for this event only. 9AM - 5PM No additional coupons or discounts given for this event. Save 10% - 60% on selected items. No other discounts or coupons will be accepted during this once a year sale events. http://runnershighcalif.com
Come out for the best Christmas Run in Southern California on Sunday December 14. The Make Room for Santa 5K, 10K and Kids ½ mile Run in Irvine has a great tree lined course with a downhill finish. Each participant gets a Santa Run ornament and the first 100 5K and 10K participants who register will get a FREE pair of Make Room for Santa running socks (pick up socks at the event). Run in costume and you might be awarded a prize for best running Santa or the best holiday costume (non-Santa). Race features long sleeve t-shirt, goody bag, family expo and a personal visit from Santa and his elf.
A portion of the proceeds will go to the Providence Speech and Hearing Center and the Fun and Fit Program. You can find out more about the event at www.RenegadeRaceSeries.com or by calling (949) 975-1812.
Belmont Shore/Heights-area yards needed CAN WE PUT A TURKEY TROT YARD SIGN IN YOUR YARD OR AT YOUR BUSINESS? We're looking for yards with lots of walk-by traffic. If so, please email Justin@JustinRudd.com with your name and address. We'll pick them up the day after the Trot, or please return your sign to the registration area on race day.
YARD SIGNS If you can, let us know, and we'll leave a yard sign at our front door in Belmont Shore for you to place in your yard, or we'll deliver one to you. Remember, we need them back. If you can return your sign to the registration area on race day, we'd thank you even more.
The 2nd Annual USC Quench the Fire 5K Run/Walk/Roll is coming up on December 7th, 2008 at El Dorado Park. It is hosted by the University of Southern California School of Medicine and will benefit the USC Pain Center in its goal to raise awareness of neuropathic and other chronic pain conditions such as Reflex Sympathetic Dystrophy (RSD). Come on out and join us! Go to www.w2promotions.com for more information and to register. See you there!!
Get up to four (4) hours volunteer credit a day. Volunteers needed on 2nd St. to pass out Long Beach Turkey Trot fliers/ entry forms at our canopy in front of WaMu Bank this weekend. We are looking for some volunteers to pass out entry form and info for the Turkey Trot on this & any Sat. and Sun. leading up to the Thanksgiving Day Turkey Trot. Volunteers who are teens or adults can serve 2-4 hour shifts. We can accept up to four volunteers at a time. Contact Justin@JustinRudd.com if you are available on one of those days. Hours can be any time from 9 a.m. to 6 p.m. on any Sat. and Sun. STUDENT SERVICE LEARNING HOURS GIVEN. Contact Justin@JustinRudd.com
LONG BEACH TURKEY TROT VOLUNTEERS NEEDED 2:30-7:15 p.m. on the day before Thanksgiving (early packet pickup) and 5:45-11 A.M. ON THANKSGIVING DAY
This was sent to me by one of my lenders and thought I'd share it with my fellow agents ;)
The "Neuroeconomics" of Sales: How Buyers Really Decide
Buying a home is one of the largest purchases the average person makes in a lifetime. Emotions are high. Here are some tips to help you understand the unconscious forces that often influence your buyers' words and actions during the difficult decision-making process.
Research confirms what you've probably suspected: buyers are deeply irrational beings. A group of scientists from CalTech, Carnegie Mellon and MIT reviewed studies examining how people buy. Most economists -- and many sales training programs -- assume buyers make logical decisions about what they need and what's in their best interests.
Decision-Making Process
Most buyers believe their decisions are a result of a sensible, step-by-step process. But these "neuroeconomic" studies show the automatic, unconscious process that's really going on.
Buyers buy with their hearts first. When money changes hands, the primitive, emotional part of the brain calls the shots. Buyers buy with their heads second. Logic comes in afterwards as the brain justifies the decision it's already made.
This type of research has profound implications for salespeople. Traditional selling approaches focus on logic and reason: features, benefits, and reasons to buy. But if you're engaged with the customer at that level alone, you could be wasting your time: the real decision has already been made.
Some people shy away from emotional appeals when they're selling, because they think it's risky or unprofessional. But the emotions are there whether you talk about them or not. If you don't engage the customer's heart as well as head, you're at a disadvantage.
More Effective Selling
Here's how you can sell more effectively by appealing to a customer's emotions, rather than sticking to the logical reason-based sales approach.
1. Don't put too much stock in buyers' "official" reasons for buying or not buying.
Listen to what the customer isn't telling you. They're not trying to mislead you; they simply don't have access to their own unconscious decision-making process. You'll gain much better insight by paying attention to unconscious cues -- body language, volume and voice pitch, words suggesting their emotional state.
By determining their hidden pain, you will find the real reason they are unsatisfied with their current situation and will be in a better position to offer an alternative. Acknowledge their frustrations and angers, and use them as tools to develop a better relationship.
2. Understand the emotional component of every sale.
Encourage the customer to express emotion. Listen until you understand. Then listen until the customer understands that you understand.
Research also shows the more that's at stake, the more these emotional, unconscious forces come into play. People can be quite dispassionate when they're making low-risk purchases. In those cases, a logical selling approach is likely to work well. But when there's a lot on the line -- a lot of money, a promotion, a career, an entire business -- emotional or even irrational considerations can overwhelm logic. That's why, for high-stakes sales, connecting with the buyer's emotions is critical.
3. Respect the buyer's emotions.
Keep in mind that the risk of loss is emotionally more powerful than the opportunity for gain. We drive, even though it's statistically safer to fly. We fear terrorists, but not cholesterol, which kills far more people. Buyers take a great risk when they let their guard down with you. Don't judge. Address the buyer's concerns even if you don't agree with the customer's logic (or lack thereof). Trying to sell prematurely will only drive their decision-making process underground.
Empathy is your most powerful selling tool. Get on the same page, emotionally, as your customer. Your best chance to win the sale is by staying tuned into those buying emotions. Save the factual information for later -- the customer will need it to justify why they picked your company over the three other vendors that had lower prices.
4. Take emotional risks.
If your customers are going to put themselves on the line, you've got to be willing to do so, too. When you've tapped into their emotions, you become part of their decision-making process.
Crucial to Connect
It's crucial to connect emotionally with your customer; so it'll be easier to play ball if you're both in the same stadium. Once you understand the "neuroeconomics" guiding your customer's thinking, you and your customer will both be on the winning team.
This was emailed to our office from our Broker/Owner
and I just wanted to share it with fellow Realtors
NEW LAWS FOR 2008-09 AFFECTING REALTORS;
With the housing market taking center stage among the nation's
concerns, both Congress and California's State Legislature have
enacted significant new laws affecting REALTORS. Highlights of
the new laws are summarized below. To view the full text of a
California legislative bill, go to CAR's web site.
EMERGENCY ECONOMIC STABILIZATION ACT MAY HELP HOMEOWNERS: Enacted on
October 3, 2008, this historic federal legislation earmarks $700
billion for the Treasury Secretary to purchase troubled assets from
financial institutions. The Secretary and other federal agencies are
also charged with the task of mitigating foreclosures for mortgages
and mortgage-back securities and encouraging loan modifications.
Furthermore, this law strengthens the FHA-insured refinance loans for
troubled mortgages under the HOPE for Homeowners program, including
authority for the program's board of directors to increase the
maximum loan amount above 90% of the appraised value. This bill also
extends the tax exemption for debt forgiveness on home loans under
the Mortgage Forgiveness Debt Relief Act of 2007 from December 31,
2009 to December 31, 2012. _Source:_H.R. 1424[4].
DRE LICENSE NUMBER MUST BE ON FIRST-CONTACT MATERIALS: Effective July
1, 2009, California's real estate agents must disclose their
Department of Real Estate (DRE) license numbers on all solicitation
materials intended to be the first point of contact with consumers.
Examples include business cards, stationery, advertising flyers, and
other materials designed to solicit the creation of a professional
relationship between a licensee and consumer. Excluded from the law,
however, are advertisements in print or electronic media, "for sale"
signs, and classified rental ads reciting the address or phone number
of the rental property. The DRE may adopt regulations to clarify the
first-contact materials covered under this new requirement. This bill
also requires agents' license numbers on real property purchase
agreements, which C.A.R. has already incorporated into our standard
form purchase agreements. Senate Bill 1461.
DEBT RELIEF INCOME EXEMPT FROM STATE INCOME TAX: Starting September
25, 2008, the federal income tax exemption for debt forgiven on a
home loan now applies to state income taxes to a limited extent.
Federal law provides a tax exemption for debt forgiveness on a loan
incurred for acquiring, constructing, or substantially improving a
principal residence up to $2 million if the debt is discharged from
2007 through 2012. Under the new California law, the maximum
qualifying debt is only $800,000, not $2 million, and the maximum
exclusion is $250,000. Moreover, the California law only applies to a
debt discharged in 2007 or 2008. Senate Bill 1055.
DRE CAN DISCIPLINE LICENSEE FOR INFLATING BPOS: Beginning on January
1, 2009, the DRE can suspend or revoke a real estate license if the
licensee generates an inaccurate opinion of value (Broker Price
Opinion or BPO) for a short sale of residential real property to
manipulate the lender to reject the short sale or to acquire a
financial or business advantage, such as obtaining a listing
agreement. This new rule aims to preclude a self-serving agent from
inflating a BPO in hopes that the lender will reject the short sale,
foreclose on the property, and give the BPO agent an REO listing.
Senate Bill 1737.
DRE CAN SUSPEND LICENSEE FOR ACTING AGAINST PUBLIC INTEREST OR
COMMITTING AN OFFENSE INVOLVING DISHONESTY: Commencing January 1,
2009, the DRE can suspend a license up to 36 months: (1) if
suspension is in the public interest and the licensee knew or should
have known that violating a DRE rule would cause material damage to
the public; or (2) for committing any offense involving dishonesty,
fraud, or deceit, or an offense reasonably related to the
qualifications of a licensee, whether such offense was adjudicated by
a criminal conviction, plea of nolo contendere, final judgment in a
civil action, or administrative agency judgment. A person suspended
under this law is prohibited from engaging in any business activity
related to real estate in a real estate office or certain related
fields. Senate Bill 1737.
DUTY TO DISCLOSE AGENT IS ARRANGING FINANCING: Starting January 1,
2009, a listing or selling agent who undertakes to arrange financing
for the sale, lease or exchange of real property (or an agent
arranging financing who undertakes to act as the listing or selling
agent) must, within 24 hours, provide a written disclosure of that
role and any related loan transactions to all parties to the sale,
lease, or exchange. Senate Bill 1737.
POOL DRAINS MUST BE PROPERLY COVERED: As a red alert for apartment
and condo managers, all U.S. "public pools and spas" as defined must
be equipped with anti-entrapment drain covers by December 19, 2008.
The suction from pool and spa drains can be so strong as to entrap
children, and cause injuries or drowning deaths. Under the new
federal Virginia Graeme Baker Pool and Spa Safety Act, a "public pool
or spa" includes pools and spas open to the public, as well as those
open exclusively to residents of multi-unit apartment buildings or
multi-family residential areas (such as condominiums). The new law
requires, among other things, that drain covers for pools and spas
conform to the performance standard of ASME/ANSI A112.19.8-2007 and
that single main drains be equipped with anti-entrapment devices as
specified. For more information, visit the Web site of the U.S.
Consumer Product Safety Commission (CPSC)[5], which includes a list
of manufacturers, given the uncertainty as to whether the supply of
compliant drain covers is adequate. _Source:_S. 1771[6].
TENANT VICTIMIZED BY DOMESTIC VIOLENCE CAN TERMINATE TENANCY:
Beginning on September 27, 2008, a tenant can terminate a tenancy
upon giving a 30-day written notice to terminate, if the notice also
informs the landlord that the tenant or a household member has been a
victim of domestic violence, sexual assault, or stalking as defined.
The tenant must attach to the notice a copy of a temporary
restraining order, emergency protective order, or police report
issued within the last 60 days. The tenant is also entitled to a
proration of the last month's rent if, within those last 30 days, the
tenant vacates and the landlord re-rents the premises to a new tenant.
This law will sunset on January 1, 2012. Assembly Bill 2052.
LANDLORDS AND REO LENDERS MUST TAKE CHARGE OF ABANDONED ANIMALS:
Effective January 1, 2009, any person or private entity with whom a
live animal has been "involuntarily deposited" must take charge of
it, if able to do so, and immediately notify animal control officials
to retrieve the animal. An "involuntary deposit" includes the
abandonment of a live animal on a property that has been vacated
upon, or immediately preceding, the termination of a lease or
foreclosure of the property. The animal control officers who respond
can secure a lien to recover the rescue cost, but this law imposes no
other liability upon a depositary who complies with these rules.
Assembly Bill 2949.
SMOKE DETECTOR AND WATER HEATER BRACING FOR MANUFACTURED HOMES:
Starting January 1, 2009, all used mobilehomes and manufactured homes
that are sold must have an operable smoke alarm in each sleeping room
(whereas prior law only required one smoke detector per manufactured
home). If the manufactured home was manufactured on or after
September 16, 2002, the smoke alarm must comply with the federal
Manufactured Housing Construction and Safety Standards Act. If the
manufactured home was manufactured before September 16, 2002, the
smoke alarm (which can be battery-powered) must be installed in terms
of its listing and installation requirements. A seller satisfies the
above requirements by signing a declaration, within 45 days before
transfer of title, that the smoke alarms are properly installed and
operable. For a manufactured home manufactured before September 16,
2002, the seller must provide the buyer with the manufacturer's
information on the operation, testing, and proper maintenance of the
smoke alarms. An agent is not liable for any error, inaccuracy, or
omission in any required disclosures that the agent did not know was
false. The California Department of Housing and Community Development
(HCD) may establish new rules as needed to clarify or implement the
smoke alarm requirements. This law also requires all replacement
fuel-gas-burning water heaters in existing mobilehomes and
manufactured homes that are offered for sale or lease to be
seismically braced, anchored or strapped in accordance with rules and
standards to be established by the HCD by July 1, 2009. Assembly Bill
2050.
TITLE COMPANY\'S PROMOTIONAL ITEMS AND MARKETING REPS REGULATED:
Effective January 1, 2009, a title company is prohibited from,
directly or indirectly, paying for someone else's ads in newspapers,
newsletters, magazines, or other publications, or paying for someone
else's food, beverage, or entertainment expenses. A title company
may, however, give out $10 promotional items with a
permanently-affixed company logo (but not gift certificates or gift
card) or provide education and educational materials related to title
insurance (but not continuing education credits). This law also
requires a title marketing representative who solicits or sells title
insurance to have a valid certificate of registration from the
Department of Insurance. A certificate of registration is not
required if a person's primary duty is to issue a title policy or
perform escrow services. Senate Bill 133.
NO TEXT MESSAGING WHILE DRIVING: Commencing January 1, 2009, a person
driving a motor vehicle is prohibited from writing, sending, or
reading a text message, instant message, or e-mail from an electronic
wireless communication device. However, a person may read, select, or
enter a name or phone number in a wireless device to make or receive
a phone call. A violation of this law is an infraction punishable by
a base fine of $20 for the first offense and $50 for each subsequent
offense. Senate Bill 1613.
OTHER SIGNIFICANT LAWS: Some of the other new laws of interest to
REALTORS are, without limitation, amendments to the 3 1/3
percent California withholding requirement for installment sales and
non-California partnerships and corporations (Assembly Bill 3078);
bonding, insurance, and other requirements for 1031 exchange
facilitators (Senate Bill 1007); liquidated damages rules for
high-rise condominiums over $1 million (Assembly Bill 2020); and an
increase in the fine for acting as a licensee without a license from
$10,000 to $20,000 (Senate Bill 1448).
Options Home Owners Have When Faced With Foreclosure
Some of these can allow you to keep your home and your credit rating intact, while others may involve the sale of your home to preserve your credit.
Call us to find out which of these option you qualify for.
The longer you wait, the less options you have.
1) Special Forbearance - Your mortgage company may be able to arrange a repayment plan based on your financial situation. Your mortgage company may even provide for a temporary reduction or suspension of your payments.
2) Mortgage Modification - You may be able to refinance the debt and/or extend the term of your mortgage loan.
*** Lower your monthly mortgage payment, by: ***
lowering your principal
lowering your interest rate
OR BOTH
3) Partial Claim - Your mortgage company may be able to work with you to obtain an interest-free loan from HUD to bring your mortgage current.
4) Selling Prior To Foreclosure (aka Short Sale) - This will allow you to sell your property and pay off your mortgage loan to avoid foreclosure and damage to your credit rating.
5) Deed-In-Lieu Of Foreclosure - As a last resort, you may be able to voluntarily "give back" your property to the mortgage company. This won't save your house, but it will help your chances of getting another mortgage loan in the future.
Additional Information:
Whether you're in foreclosure now or worried about it in the future, we have information that can help.Get Help Now! - Talk to a housing counselor - Talk to your lender - Find state and local foreclosure resources - Contact HOPE NOWKeep Your Home - Are you at risk of foreclosure? - Tips for avoiding foreclosure - Foreclosure scams
Refinance Options - Learn about FHA Secure - Learn about HOPE for Homeowners - Who to call when a lender won't work with you
If You Can't Keep Your Home - Redemption period - your last chance to save your home - Local renting resources - Rental assistance - Relocation resources - U.S. Postal Service Movers Guide
Disclaimer: ActiveRain Corp. does not necessarily endorse the real estate agents, loan officers and brokers listed on this site. These real estate profiles, blogs and blog entries are provided here as a courtesy to our visitors to help them make an informed decision when buying or selling a house. ActiveRain Corp. takes no responsibility for the content in these profiles, that are written by the members of this community.
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