New Real Estate Laws Which Might Affect You in 2021

 Condominium or other homeowner association homeowners may be accustomed to establishing the number of rentals allowed in the association, but under AB 3182, the common interested development must now allow at

Happy 2021!

least 25 percent of owners to rent or lease out their units starting January 1, 2021, regardless of whether the HOA has formally amended their governing documents. This also includes ADUs related to the property:  if the owner occupies his own unit then renting out a space within the unit, an ADU or junior ADU must be permitted. No matter what, the existing rights that owners currently enjoy to rent out their units cannot be changed. Thus in a 30 unit building, 25% of the units is 8 (rounded up from 7.5) which may now be allowed to rent out, regardless of what current rules or CCRs state.

 Rent moratorium and other state and local laws affecting landlords and tenants are in effect, or may soon expire.  They are numerous and complex, so without mentioning them further here (AB3088 and SB 1079 would be two of those laws), any landlord or tenant is advised to consult with their local city and/or county, and/or apartment association attorney, before selling, renting, raising rents, or evicting concerning his/her property.

The law authorizing the revocable transfer on death deed which allows a transfer of property by deed to a named beneficiary has been extended for another year.  (SB1305). This is another legal instrument which the property owner is wise to seek some legal advice about before making such a transfer.

Home hardening disclosure which requires a seller of a home built before 2010 in a designated high or very high fire area to povide a buyer with documentation that it is in compliance with local laws about vegetation management and defensible spaces. Look for more information here from Cal Fire https://www.readyforwildfire.org/.

 AB1885 increases the homestead exemption to $300,000 or the countywide median sale price of a single family home, whichever is greater, not to exceed $600,000.  In Los Angeles County, that would be $600,000.  Existing law exempted $75000 to $175,000 (depending on residents' situation) of a home's equity from a judgment debt.  The new law increases this equity exemption amount to the higher levels, and will be adjusted annually for inflation.

AB2463 prevents foreclosure of a principal place of residence based on a judgment lien if it was based on consumer debt. 

This is only a portion of new laws affecting California property owners, for instance the new laws passed under Proposition 19 have been discussed in 2 earlier posts.  For a complete list and more explanation of new laws concerning renting and rent control, consumer privacy act, foreclosure forbearance, exemption from reassessment after a declared disaster, and more, please contact me for a digital copy.

 

Julia Huntsman, REALTOR, Broker | www.juliahuntsman.com | 562-896-2609 | California Lic. #01188996