Art's Real Estate Blog

"Mobile Home" and Manufactured Home" have been used interchangeably in various CA statues.  So the legislature has decided to give them separate definitions.

MANUFACTURED HOME now generally means (with a few exceptions state in the CA Health & Safety Code Section 18007) a structure that was constructed on or after June 15, 1976, is transportable in one or more sections, is eight body feet or more in width, or 40 body feet or more in length, in the traveling mode, or when erected on-site, is 320 or more square feet, is built on a permanent chassis and designed to be used as a single-family swelling with or without a foundation when connected to the required utilities, and includes the plumbing, heating, air conditioning, and electrical systems.

MOBILE HOME is now defined as a structure that was constructed prior to June 15, 1976, with the rest of the definition of a manufactured home.

June 15, 1976 is the start date that all housing built had to be in compliance with the standards of the US Department of Housing and Urban Development. 

Here is a great link to information on wildfires by the Burn Institute. 

http://www.burninstitute.org/fbp/programs/wildfire.html

Mello-Roos taxes are assessed to special tax districts, known as Mello-Roos Districts or Community Facilities Districts, for the purpose of financing public services and/or facilities including streets, police protection, fire protection, elementary schools, parks, libraries, museums, and cultural facilities.

California State Senator Henry Mello and Assemblyman Mike Roos spearheaded the successful passage of the Mello-Roos Community Facilities District Act in 1982. The Act passed in response to Proposition 13 (enacted in 1978), which limited the ability of local governments and developers to finance new projects.

Mello Roos District
The Mello-Roos act authorized any county, city, special district, school district or joint powers of authority to create a Mello Roos District with approval of a two-thirds margin of qualified voters in the district.

Property Owners
The Mello Roos District can issue bonds to pay for public improvements. The district's property owners are responsible for payment of a "special tax" to repay these bonds. The act allows for considerable flexibility on how the special tax is calculated. The calculation often takes into account property characteristics such as square footage of the home and parcel size. Typically, the tax is included with your general property tax bill.

Time Limit
The special Mello-Roos tax stays in effect as long as needed to repay the principal and interest on the special bond along with any reasonable administrative costs. The tax may not stay in effect for a period longer than 40 years.

Property Sale
An increased value of the property does not affect the amount of the tax when property is sold.

• Can you drink the water? Most lenders require a water potability test before closing a loan on a property.  The buyer should consider a professional inspection and possibly more testing for potential contaminates. 
• How much water does the well produce? Typically during the potability test the flow rate is checked.  Over a period of time how much water in gallons per minute is coming from the well.

• What official reports are available? Is there a "well log" or "drilling report" from the county health department or environmental services office?  Information like construction date, contractor's name, drilling method and materials used, depth of the well, geological formations encountered, gallons per minute drawn, and distances from structures or septic fields when the well was built. These logs will also include any servicing or repair work done.

• Take time to visually inspection the well.  Ideally, the well should be higher than surrounding ground, but this is not always the case. Look for pooled surface water around the well, which can indicate drainage problems.

• Inspect the surrounding area. Are there potential sources of contamination — barnyards, septic systems, or ponds uphill from the well? Old underground gas tanks may also posses a problem.

What is the MLS, and how does it work for you? The MLS is a database of properties currently on the market in the area. Brokers participating in the MLS (which includes virtually all Brokers in the area) list all the homes they have for sale and agree to share in the sales commission of the properties. This means that if I list your property on the MLS for you, but another agent finds a buyer for your house, that other broker or agent is entitled to part of the commission. The big advantage to you, as the seller, is that every single broker and agent participating in the MLS has an incentive to sell your home. This effectively puts every agent in the area to work selling your home! The first place a buyers agent looks is always the MLS. There is simply no better way to gain instant and widespread exposure for your home than listing it on the MLS.

So, the first thing I'll do as your agent is get your home listed on the MLS! When another agent is searching for a home to meet the needs of a buyer, the agent will search the MLS based on the buyers criteria for price range and features. So I'll enter all the important information about your home, such as the size, number of bedrooms and bathrooms, and any special features. I'll also take photos of your house and include them with your MLS listing. Agents and buyers alike are always more likely to look at listings with photos.

What can we expect:

• The market for green homes is expected to rise from $2 billion to up to $20 billion over the next five years.

• Existing homes are becoming increasingly green, home owners are using green products for up to 40 percent of their remodeling work.

• Word of mouth is the primary way most find out about green homes, followed by television and the Internet.

• Satisfied with their Green home, owners are happy to recommend them to others.

• Health, reduced energy use, and other home operating costs are the major reasons for buying green homes.

• Lack of education and awareness is a bigger obstacle in the use of green products by a narrow margin over the additional first costs associated with building green.

In most markets buying a basically sound house and updating the cosmetics is profitable. Be careful what you buy or it may cost you more than you make.

Consider these 10 tips when purchasing a fixer-upper:

1. Purchase homes that are selling at least 30 percent below the market value of comparable nearby homes that are do not require fixing.

2. Look for a home with affordable cosmetic improvements such as fresh paint, new light fixtures, new carpets and flooring, and fresh landscaping.

3. Location, location, location with a low crime rate, good schools, and quiet streets. No fixing a poor location.

4. Find a fixer-upper that is close to your current residence so it is easy to visit everyday while the work is being done. Try and keep it under one hour.

5. Stay away from homes that need major unprofitable repairs. Avoid wiring, major plumbing, foundation repairs, major kitchen and bathroom renovation, room additions, and/or a new room. Rarely will you get your money back on these basics.

6. Large house is better than smaller. At least three bedrooms for buyer appeal.

7. Obtaining new bank financing after the work is completed and the home’s market value has increased.

8. Look for, low down-payment financing (i.e. taking over an existing mortgage, lease with option to buy, seller carry-back financing, or a combination).

9. Make sure occupants vacate immediately upon transfer of title.

10. Look for sellers who are motivated to sell and who want to get the sale done.

Home buyers are typically concerned about the structural and mechanical condition of the home (i.e. roof, heater and air conditioner, plumbing, electrical, etc). However there is more to consider that could require expensive repairs or affect the value of the property.

Additional questions buyers should be asking:

¯ Who has access to your property and for what purpose? Government or a private entity may have an easement to enter your property. You could wake up one morning to find a fishing club crossing you property to fish in what you believed was your own private swimming hole.

¯ Who are your future neighbors? What is the zoning for neighboring properties? Could those wonderful trees be removed and a noisy commercial mall replaces them? Email me at Art@JBres.com to find out how to talk to a zoning official about neighboring properties.

¯ Is there room for a septic system and if not is sewer available? Most properties in the Alpine and the East County  require a septic system. Is there enough room for the leach field and a reserve? Additionally, a perk test will be required. There are some sewers in San Diego’s East County, if the property is not already connected to the sewer system, how much will it cost to hook up.

¯ How about the utilities? Is the house really attached to that cable line? If not, it can be expensive to run them that extra few feet.

¯ Are you in a flood zone? Has the house ever experience flooding? It only takes high water pouring into your home once to destroy a life time of wonderful memories.

¯ Are there any fuel tanks underground that have been abandoned? Any leakage can be costly to remediate or remove. It could possible be mandatory to clean up these areas in the future, as environmentally requirement change.

¯ Have there been any chemical spills? What happened half a century ago can be an environmental catastrophe today. A free resource for information is the Department of Environmental Conservation and Federal Superfund site Web sites.

Arthur A. Armagost
Art@JBres.com
JB Real Estate Service
Specializing in Alpine and East San Diego County Real Estate

Also referred to as a listing agreement, the listing contract gives a licensed real estate professional authorization to act on your behalf in the sale of your home. Listing contracts come in all shapes and sizes, but there are characteristics which are common to all.  Among the elements of any valid listing contract are:

Writing - All real estate contracts must be in writing.

Employment - The listing contract is a personal services contract between you and the broker.  It contains all of the terms and conditions of employing the broker and authorizing the broker to represent you in marketing and selling your home.

Compensation - For any contract to be valid, there has to be compensation.  The listing contract will specify the amount and timing of payment to your broker.  Typically, payment is an agreed upon percentage of the sales price, payable at closing.  It is important to note that your obligation to pay your broker may not absolutely depend on a finalized sales transaction.  For example, if the broker finds a bona-fide buyer who is willing to pay your asking price and agree to the terms you have offered, but you get cold feet at the last moment and decide not to sell, the broker has done his job and is entitled to be paid under the terms of the listing contract.

Title - All listing contracts will ask who has title to the property.  Property can't be sold unless everyone that holds title interest in the property are part of the sale.

Termination date - You shouldn't sign any listing contract without a specific termination date.  The most common duration is 180 days.  If the contract has an indefinite duration such as until sold, or no duration specified at all, dont sign it.  The listing contract is a legally binding document and you don't want to get locked into one with no clearly defined termination date.  If the contract expires before your home sells and you still want to keep using the same broker, you can simply sign a new contract.

There can be and often are other elements to a listing contract.  As with any legal document, you should read the listing contract very carefully and be sure you understand exactly what you are agreeing to before signing.  If you have any questions about your listing contract it would be wise to consult a lawyer for clarification.