California Real Estate Updates and Changes for 2017

2017 Real Estate Changes and Updates for California

I attended the Palos Verdes Board of Realtors March Breakfast meeting yesterday. Although breakfast was delicious, my primary reasoning for being there was to hear Gov Hutchison, California Association of Realtors’ attorney, speak regarding trends and changes reflected in California laws and real estate forms. Here are the latest updates:

1.  There’s a new bedbug form. Yes, those little critters have arrived in our Golden State.  The new disclosure form states landlords must disclose if the property was inspected for bedbugs, and if so, the results of said inspection.  Tenants must tell landlord if the rental property becomes infected; landlord must address issue and eviction of the tenant is not allowed.
2.  Carbon Monoxide/Plumbing form is now mandatory. Low-flow plumbing fixtures are required; it is seller’s responsibility to disclose whether such upgrades are in place. If the plumbing upgrades are not in place, expect it to become a point of negotiations during the sale.
3.  Effective January 2018 real estate license numbers are required to appear on signs, websites, and all marketing.

Other timely tidbits of useful information:

Income units are moving toward individual water meters; they are required in new construction. There is a new Water Meter form for use in the sale of income property.

Landlords cannot discriminate due to applicant’s criminal record (within reason), nor refuse because tenant does not speak English.  The landlord should request the tenant have a translator of tenant’s choice.

A new rental rule is a smoke detector is required in every bedroom–one in the hallway will not suffice.  Many local city ordinances have required this for some time.

The housing shortage in California is generating some relaxation in the zoning for two-on-a-lot requirements.  Granny Flats and Tiny Houses are growing in popularity. State guidelines override some city restrictions.

I’m glad I spent the morning receiving an update on new laws and changes in my industry. It’s one of the many ways I bring value and expertise to my client’s transactions. Norma Toering broker/owner of Charlemagne Int’l Properties independent real estate firm.  310.493.8333 or Norma@CharlemagneProperties.com

About the Author: Norma Toering

Norma Toering is the broker-owner of Charlemagne Intl Properties a boutique real estate company in Los Angeles. She has been a local South Bay real estate agent since 1992. Norma is the most well known & award winning real estate blogger in Palos Verdes. Forbes magazine consulted Norma on Palos Verdes property values when compiling their Forbes 400 list. Cell: 310.493.8333

Buying Income Property in Redondo Beach

The Beach Cities of Los Angeles continues to be one of the hottest markets for income units in the South Bay area. The demand for 2-4 unit buildings has soared, with developers grabbing up the smaller buildings to replace them with quick profit townhome build outs. Investors are chasing the triplex and fourplex market due to attractive financing. But even the larger complexes are selling too, with sales going over $5 million on a regular basis.

As units are replaced by new townhomes, the income property inventory isn't being replaced. Developers and unit owners just aren't putting in more apartments. This is partially due to the current zoning restrictions which encourage less density. Developers also see much better and quicker returns in selling off brand new townhomes instead of collecting rents.

Investors saw that even in the market downturn of 2008-2010, the Beach Cities and Redondo Beach property values did much better than other areas in California. This coastal stability is a very attractive feature of Redondo and the South Bay in general. There are always renters looking to live by the ocean and have that "Bay Watch" lifestyle they've dreamed about.

Would you like more information about income units in Redondo Beach? Find out the current market value of apartments you own? Toering & Team has helped many investors with both buying and selling investment properties around the entire South Bay of Los Angeles. Let us know how we can help!

- Josh Toering (310) 525-9440 or email ToeringandTeam@gmail.com

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