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Price Gouging in Bay Area Real Estate Due to Fires

By
Real Estate Agent with Berkshire Hathaway Home Services CalBRE#01383378

I've been really heartened by the out pouring of support for our neighbors to the north who have lost homes, clothing, loved ones and more.  Volunteers are clamoring to help at local shelters.  Gyms are opening so folks can take showers; offices are opening desk space for those needing computer time; food and clothing are available at various shelters and folks are opening up their houses in record numbers to house people.

Yet, there's always another side.  In an area already so impacted by the lack of housing inventory, landlords have been gouging tenants in this area for a while now.  Housing prices have soared, so they've been getting away with rent increases of up to 50% over the past couple of  years. 

So imagine my consternation to open my BAREIS MLS to see a price increase on a lease in my town of Novato yesterday.

After sitting on the market for over 30 days (too high already? ), the lease price of $5800, was increased to $7,000.. an increase of $1,200 per month or 21%.  How does she justify this?  In her own words....

 "Call Listing Agent first, supra at door.  Agent is owner of property.  Short term leasing available due to fires.  Increase of price is reflecting all utilities to be included.  I have a storage unit of furniture that can be used."

Utilities would never hit $1,200 a month, even in the coldest part of the winter.  Furniture is readily available as donations or can be inexpensively purchased at nearby consignment stores.  

Who is she kidding?

Sadly, she is a real estate agent.  

We're all shaking our heads in the office.  What a shame.  Greed knows no limit.

 

Posted by

 Margaret Kapranos, SRES, (Senior Real Estate Specialist) and Real Estate Advisor for Sonoma and Marin County.

 

 

Ron and Alexandra Seigel
Napa Consultants - Carpinteria, CA
Luxury Real Estate Branding, Marketing & Strategy

Margaret,

That takes the cake, and this agent expects to be in business for the long term?  What a crazy thing to do, she is has besmirched her reputation in one fell swoop.  Short term profit will equal long term bad PR;

We have been in touch with our friends and clients, and thankfully they are doing well.  There is just one person we have not heard from, and we hope that all is well.  A

Oct 14, 2017 02:13 PM
Margaret Kapranos

Isn't that the truth.  Glad your clients are okay save the one you haven't heard from.  This has been a disaster of epic proportion.

Oct 14, 2017 02:42 PM
Sam Shueh
(408) 425-1601 - San Jose, CA
mba, cdpe, reopro, pe

49er home game airbnb?

I suspect insurance companies will endorse it. 

Oct 14, 2017 02:16 PM
Sandy Padula & Norm Padula, JD, GRI
HomeSmart Realty West & Florida Realty Investments - , CA
Presence, Persistence & Perseverance

Margaret Kapranos I think the California Attorney General would love to find out about this person.

Oct 15, 2017 08:35 AM
Margaret Kapranos

I ended up getting a call and email from said office.   The agent must have been alerted to my blog as it posted to FB and LinkedIn.  I noticed from the MLS history that she withdrew the listing after my post.  I provided the history to the office.  Clearly, the JD in your credentials were important here!  Thank you.

Oct 15, 2017 09:07 AM