Proposed California Law Restricts Homeownership, National Diversity Coalition Says
SACRAMENTO, Calif. - August 4, 2022 - (Newswire.com)
The Senate Appropriations Committee will vote on Aug. 11 whether to approve AB 1837 (author Mia Bonta, co-author Nancy Skinner), a law that advocates say has the potential to convert almost all foreclosed residential homes in California into rental units. According to ATTOM data, there were 12,800 foreclosure starts across the state of California in the first half of 2022, up 219% from last year[1].
"This is likely an unintended consequence that the bill authors didn't see," says Andre Chapple, Board Member of the National Diversity Coalition and Chief Executive of the African American Empowerment Coalition. "Instead of elevating people out of poverty, the new bill traps them in it."Â
Background
AB 1837 revises the "Homes for Homeowners, Not Corporations" program (SB 1079), which became effective in 2021. The current law allows prospective homeowners and mission-oriented organizations a 'last look' to buy homes that go to foreclosure auction, which are usually purchased by corporations. The intention of the program is to recirculate homes to owner-occupants and first-time homebuyers.
But advocates say that the new bill does the opposite of promoting home ownership because it restricts the homes as 'affordable housing' for at least 30 years. New homeowners of these properties would still need to shell out down payments, take out mortgage loans and pay for all home repairs. But when they try to sell, owners would need to sell the home for roughly the same price that they bought it. Sellers could even end up "under water" (owing money at closing) to keep the property 'affordable' for the next homeowner if the economy goes into recession and average wages decrease. The average American moves 12 times in their lifetime, or roughly once every seven years[2].
According to Jack Miranda, Board Member of the National Diversity Coalition and Executive Director of the Jesse Miranda Center for Hispanic Leadership, "They may be called homeowners, but the law basically turns these properties into rentals without a landlord to replace the furnace when it breaks." He added, "We appreciate the intention to keep homes affordable, but we can't put the entire burden of fixing California's affordability crisis on the backs of our minority and low-income communities."
The new law has a loophole - prospective homeowners who can buy a home with cash are not subject to the affordability restriction. Foreclosure sales require buyers to pay with all cash. According to the Federal Reserve Board's latest Study of Consumer Finances, the average American only has $5,300 of savings in their bank accounts[3], while the average California home cost $865,000 in June 2022, according to the California Association of Realtors[4].
About National Diversity Coalition
National Diversity Coalition is a 501c3 nonprofit advocacy organization that represents almost 3 million diverse and minority constituents across the state of California from San Francisco Bay area, Central Valley, Greater Los Angeles, and San Diego.Â
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For more information, press only:
Prachi Kohli
650-952-0522
www.nationaldiversitycoalition.org
[3]https://www.federalreserve.gov/econres/scfindex.htm
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[4]https://www.car.org/en/marketdata/data/countysalesactivity/Â
Related Files
AB1837_Amended Version 6.23.2022.pdf
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Original Source: Proposed California Law Restricts Homeownership, National Diversity Coalition Says
Gulfshore Realty Merges With Premier Sotheby’s International Realty
Premier Sotheby's International Realty announced today that Gulfshore Realty, a highly respected boutique brokerage on Marco Island, has merged with the company. The principals and top-producing sales professionals of Gulfshore Realty, Kristine Bareis and Jeffery Gilman, have joined forces with its Marco Island office, located at 760 North Collier Boulevard, Suite 101.Â
As well-known accomplished area REALTORS® since 1978, Kristine Bareis and Jeffery Gilman have specialized in the Marco Island luxury real estate market with a particular expertise in the Cape Marco community. Both were involved in the sales, design, development and marketing of Cape Marco from inception to completion before opening Gulfshore Realty in 2001. Ranked among the top individual agents in production on the island, they have achieved some of the most significant real estate sales in the area and recently represented the highest-priced condominium sale on the beach through the second quarter of 2022. Attaining numerous accolades through the decades, Kristine and Jeffery have consistently been recognized as "Best in Client Satisfaction" by the Gulfshore Life magazine property buyers survey.
"It is an honor to welcome Kristine and Jeffery to our team," said Budge Huskey, president and chief executive officer of Premier Sotheby's International Realty. "Their commitment to customer service, extensive knowledge of the island and track record of success in the community will be a valuable asset to our company."
"We are thrilled to join forces with the area's leading luxury brokerage," said Kristine and Jeffery. "As we continue to ensure an elevated level of service for our customers, we look forward to sharing the marketing tools and global resources of this time-honored brand."
About Premier Sotheby's International Realty
Headquartered in Naples, Florida, Premier Sotheby's International Realty has over 1,400 sales professionals in 40 locations throughout Florida and North Carolina. Premier Sotheby's International Realty also benefits from an association with the storied Sotheby's auction house, established in 1744. The brokerage was founded by The Lutgert Companies, a prominent member of Southwest Florida's business community since 1964, and is a proud Peerage Realty Partner. For more information, visit premiersothebysrealty.com.
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Original Source: Gulfshore Realty Merges With Premier Sotheby's International Realty
Zephien Inc. Launches Top Agent Program Nationwide
DENVER - August 2, 2022 - (Newswire.com)
Zephien Inc., the real estate concierge service that helps home buyers and sellers find the top agent in their area, has announced that its new Top Agent program will expand nationwide. Zephien Inc. has been helping home sellers and home buyers find the best agent in their area to fit their specific real estate needs. The company screens hundreds of real estate agents on a multitude of factors, both qualitative and quantitative, to find the top-producing agents. Out of these top agents, Zephien interviews, analyzes, and selects the best performers of the group.Â
Not all real estate agents are equal. The wrong agent can cost tens of thousands of dollars in lost equity or a bad purchase offer. Home buyers and sellers need to be sure that the professional they choose to work with is at the top of their game. A lot of real estate agents are great at sounding like the best fit for the job, but most of them lack the actual experience or track record to back it up. Zephien's Top Agent program gives home buyers and sellers the peace of mind that the agent they are talking with is a seasoned professional with a proven track record of success and happy clients.Â
The Top Agent program by Zephien Inc. is unique due to its exclusivity and rigorous entry process. In each area covered, Zephien Inc. will only recommend a small handful of agents, typically no more than 15 per state. This is why home sellers love finding their Zephien Recommended Agent, because they can be assured they will be getting the best professional in their area for their real estate transaction.Â
Starting off out of Denver, Colorado, the Zephien Top Agent program has been helping Coloradans find their best agent across the state. Now, the program is going nationwide. From California to Florida, Zephien Inc. is undergoing a major expansion of its Top Agent program, screening thousands of real estate agents across the country and finding the best agents in each state to work with. Home buyers and home sellers across the country will soon have a great program to look at when choosing their next real estate professional.
See if Zephien's Top Agent program is coming to your neighborhood by visiting them online or calling (833) ZEP-HIEN ((833) 937-4436).
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Original Source: Zephien Inc. Launches Top Agent Program Nationwide
