California Law: Balcony Inspection Due 1-1-2025

The balcony inspection law deadline is looming. Owners of buildings with three or more units with at least one balcony must complete their initial balcony inspections by January 1, 2025.

However, not everyone needs to worry about this law. The inspection requirement applies only to the following types of property:

• Buildings with three or more multifamily dwelling units (this includes condominiums),
• When there is an elevated balcony, stairway, walkway, or deck (at least six feet above the ground),
• That is supported in whole or in substantial part with wood or wood-based material, and
• The balcony or walkway and the load-bearing components thereof extend beyond the exterior walls of the building.

If the stairway or walkway does not extend beyond the exterior walls or if the balcony is not supported in whole or in substantial part by wood or wood-based products, then this law does not apply. Individual owners of condo units are also not required to perform an inspection; that requirement is placed on the condo association itself.  California Association of REALTORS

Building with outset balconies

In condo associations, a licensed engineer or architect must perform the inspection; in other properties a licensed general contractor with A,B or C-5 license may perform the inspection. In condo associations, the law allows the repairs to be done by the inspector, but associations may wish to hire a separate entity to do any necessary repairs.

Several REALTOR forms are being revised, or have been, to include this legal requirement and advise the parties about it.  Fannie Mae loan guidelines require the lender to review the report and repair progress for loan qualification purposes; without completion, an HOA property, for example, will be ineligible for a Fannie Mae loan. Why is this important? Because Fannie Mae carries about 70% of the mortgage market.

For more specifics on this law, which requires an inspection every 9 years, go to Civil Code Sec 5551 information

Please contact me if you would like a one-page Guide that summarizes the law. 

Julia Huntsman, REALTOR, Broker | http://www.abodes.realestate | 562-896-2609 | California Lic. #01188996

Total Amount of Dollar Sales Lakewood, Long Beach April 2024: Currently vs. 2 Years Back

CSULB Pyramid

Long Beach April Volume

 

 

 

 

 

 

 

Lakewood April Volume

The charts represent total sales volume in millions of dollars for single family homes in April in the last 3 years. 

The 2022 volume in both cities is higher than at present, the pandemic had certain market impacts, in particular very low interest rates which sparked highly competitive market bidding throughout most markets.

The rise in interest rates since 2022 has impacted inventory, however in Long Beach it has improved over last year's low dip.  Average days on market in April was 21 days in Long Beach, but April saw only 105 closed sales, compared to 185 in April of 2022.  In Long Beach the average number of showings before there is an accepted contract has increased to 8 showings, compared to less than 6 in 2022 (when many listings had showings with a line outside the home allowing for a maximum of 15 minutes for each buyer).

The Long Beach average single family home price for April is $1,113,599. 

Long Beach condo sales volume is up from last year at over $86 million, but still much less than  the $112+ million in April of 2022.

Lakewood condo volume in 2023 and 2024 is far less than the April 2022 volume, currently at $1,230,000; average days on market is at 21 days, much higher count than the last 2 years.

Lakewood single family homes are on the market for 20 days, compared to 8 in 2022, but the average number of showings to get a contract has decreased to 4, much lower than the last two years--so buyers are acting quickly.   

Lakewood single family home average selling price is currently $873,184.

For a breakdown of selling prices in your neighborhood, city or zip code, please contact me for a market report showing price, bedrooms, bathrooms, square footage and address in a given time period.

 

Julia Huntsman, REALTOR, Broker | http://www.abodes.realestate | 562-896-2609 | California Lic. #01188996

Open Letter from California Association of Realtors President

(The letter below as of May 1 is running in nearly 40 local newspapers, including the Los Angeles Times, San Francisco Chronicle, Mercury News, Sacramento Bee, San Diego Union-Tribune, Orange County Register, Fresno Bee, Press-Telegram, Desert Sun, Record Searchlight, as well as the California editions of The Wall Street Journal and The New York Times.)

Dear Californians,

If you’ve been reading about real estate lately, you’ve no doubt heard about antitrust lawsuits and settlements by real estate brokerages and the National Association of REALTORS®. You’ve also heard about the settlements resulting in certain changes in how agents will be compensated for their work. Recent coverage by media entities, industry insiders and anyone with an opinion and a smartphone have offered up a mix of fact and fiction. All this noise has caused confusion, fear and, in some instances, panic about the process of buying and selling a home.

We thought it time to speak directly to you. We’re California REALTORS®, and we know a thing or two about real estate. In fact, it’s precisely because of our knowledge about the complexities of what is arguably the most important purchase people make in their lives that we want to say this first: It’ll be okay. Yes, some real estate practices will change as a result of these settlements, but California REALTORS® know how to adapt to changing market realities. We always have.  And, while we understand that uncertainty can be deeply unsettling, especially when there are few answers and many opinions, we know we’ll figure it out together, as an industry and with our clients.

Here’s the bottom line: The two major changes resulting from this litigation are 1. Properties listed in databases known as the multiple listing service (MLS) will no longer be allowed to include an offer of compensation to buyer’s agents and 2. Homebuyers who want to work with an agent will need to sign a written agreement with that agent prior to touring a home. This means before you start your home search, you’ll need to discuss and agree with your agent what the agent will do on your behalf, and you’ll need to decide how much and how to pay that agent.

Of course, it’s not that simple. How consumers work with agents in this new environment will need to work itself out, and there will be differing approaches between agents and their clients.  Many in the industry, and we at the CALIFORNIA ASSOCIATION OF REALTORS® (C.A.R.), are currently working on sorting through and articulating those new practices as quickly as possible. Moreover, in California, we have supported transparency with respect to how buyer’s agents get compensated for more than two decades, since C.A.R. introduced its first buyer representation agreement in 1999. So, while the implementation of practice changes resulting from this settlement may be new, the spirit behind them is not — at least not in California.  We’re all for transparency because we believe it’s in our clients’ best interests and we know the value we bring to the transaction.

We’re in this business because we believe in putting people not just in houses, but in homes. You may regard us as the organization that fights to protect homeowners’ rights. That’s true. But more likely, you know us because we’re your neighbors. We live in the same communities as you. We volunteer alongside you at our kids’ schools, we show up to serve at local civic and charitable organizations, and we sit on city councils to make our communities better. And while we’re known as the neighborhood experts, we’re also trained in all facets of a real estate transaction, meaning we know what it takes to successfully conduct a home purchase or sale. Our jobs are far more involved — and far less glamorous — than what you see on real estate “reality” shows. The truth is that real estate transactions are complicated. That’s why we have to be well-versed in myriad financial and legal requirements in order to guide you through such a complex process. We negotiate on our buyers’ behalf to get them the right home at the right price, and we help sellers determine the best listing price based on market and neighborhood fundamentals. We guide our clients through the nitty-gritty of home inspections and innumerable other details, and we support our clients through what can be a stressful time. We come to this job because we love putting people in homes. We stay in this job because we love working with our clients, who become our friends and neighbors.

As we’ve done for decades, through up markets and down markets, through periods of industry change, we will stand by our clients, serve our communities, and continue to do what we do best — work to create a future that enables homeownership for all who want it.

Sincerely,
Melanie Barker
2024 President
California Association of REALTORS®

 

Julia Huntsman, REALTOR, Broker | http://www.abodes.realestate | 562-896-2609 | California Lic. #01188996

Choosing the Best White Color

Photo credit - C2 Paint

Have you noticed that everywhere you look in the neighborhood there's a house with white exterior paint  combined with black trim?  It's supposedly being going on for about 2 years, but now it's quite noticeable almost in every neighborhood.  The interesting  thing about colors is they seem to go with  certain architectural styles, for a long time pink stucco on older California Spanish Mediterranean was very common, and smaller bungalow houses were perhaps off-white, or painted an older traditional color as dictated by the local historic district guidelines. 

But now, regardless of architectural style, neighborhoods that don't have restrictions are popping with white, sometimes very very white, exterior--with black trim.  It doesn't always work, but colors go in trends, sometimes trends with a sharp popularity curve. 

MoodBoard - C2 Paint

And it's the same with interior colors.... did you ever go into a home where every room was a different pastel color? I saw one in another county recently, it's been on the market for ages, it didn't sell then re-listed with another agent, and still sat on the market. Too many colors disrupt the flow. And, colors are personal, and for that very reason, when a home is on the market, the seller needs to focus on creating as much wide appeal as possible so the viewer can focus on the property, not on the seller's taste.

How to choose the best white color? White tones range from very cool to very warm, some with a grayish undertone, or a blue one, stretching into warmer colors with taupe, cream or orangey undertones. 

The light will bring out those undertones, more light allows cooler undertones while less light needs warm undertones.

Warmer colors have a more welcoming feel in large spaces, cooler colors might be considered more energizing.  Both types blend best with other color groupings that match the warm or cool tones of the chosen white. 

Space and light are important to work with when choosing colors!  Trends may dictate to a certain extent the color choices, but you can't go wrong with more neutral pallets.

Julia Huntsman, REALTOR, Broker  http://www.abodes.realestate | 562-896-2609 | California Lic. #0118899