Arcadia
REALTOR速
The Official Publication of the Arcadia Association of REALTORS速
PROUDLY SERVING THE REALTORS速 OF ARCADIA, BRADBURY, DUARTE, MONROVIA AND SIERRA MADRE
AMERICAN CANCER SOCIETY
RELAY FOR LIFE See page 8
SEPTEMBER 2014
WWW.THEAAR.COM
VOL. 18, NO. 9
Arcadia
REALTOR®
REGULAR FEATURES 4 Events Calendar
4 From the CEO’s Desk Andrew Cooper, Chief Executive Officer
5 Attorney Comments Dave Freeman, AAR Legal Counsel
6 Market Matters
9 Affiliate Corner
“Home Warranty Plans Provide Peace of Mind” Stephanie LaPorte, Old Republic Home Protection
Arcadia Association of REALTORS® 601 South First Avenue Arcadia, California 91006 626.446.2115 626.446.4072 FAX www.TheAAR.com
2014 ASSOCIATION OFFICERS
Mike Vachani {President} Joe Pacilio {President-Elect} Roy Blume {Vice-President} Sylvia Ramos {Secretary/Treasurer}
2014 ASSOCIATION DIRECTORS
Micah Adams Ryan Asao Andy Bencosme Kelvin Chang Margaret Garemore John Lee Mark Ramos Dave Scarminach Irene Yamagata -Bermudez
2014 C.A.R. DIRECTORS
Ryan Asao Andy Bencosme Margaret Garemore Joe Pacilio Randall Traw Mike Vachani Kelvin Wong
10 Through the Lens
A Look at What’s Happening Around the AAR
ARCADIA ASSOCIATION STAFF Robin Allen Ext. 307 Director of Finance / Office Manager Robin@TheAAR.com Michael Beltran Ext. 302 IT Director / Webmaster Michael@TheAAR.com
09.14
{ Arcadia REALTOR® | September | Two Thousand and Fourteen | Volume Eighteen | Number Nine}
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September 2014
Brenda Faltes Ext. 304 Director of MLS Data Integrity, Supra & Social Media Brenda@TheAAR.com Jamie Hu Ext. 309 Administration Jamie.Hu@TheAAR.com Stephanie Maertens Ext. 303 Director of Education, Publications & MLS Caravan Stephanie@TheAAR.com Maria Roberts Ext. 305 Director of Membership & Professional Standards Maria@TheAAR.com Jane Shriver Ext. 301 Director of Association Services Jane@TheAAR.com Andrew Cooper Ext. 308 Chief Executive Officer Andrew@TheAAR.com
ON THE COVER 8
Arcadia Relay for Life 2014 A look at the recent American Cancer Society event to fundraise towards the fight against cancer
September is REALTOR® Safety Month Ensure that you stay safe when working with clients and those you don’t know.
ADDITIONAL CONTENT 3
“Avoid These Issues That Can Delay Your Escrow” By Janet Cerswell, Inter Valley Escrow
For more information on upcoming AAR classes and more, visit www.TheAAR.com and click “Upcoming Events”
“Avoid These Issues That Can Delay Your Escrow” By Janet Cerswell, Inter Valley Escrow I think we can take it for granted that everybody involved in a real estate transaction is hoping for a smooth, successful close of the escrow. So maybe we should look at some of the things that can delay an escrow closing by the scheduled date. Ordering preliminary title reports even before escrow opens, either through your title rep or escrow officer, can identify potential problems early, such as private party payoffs, judgments or liens. Did you know it can take up to 3 weeks (or more) to get an IRS tax lien demand? If you have a 10-day escrow, that can be a big problem! If your Seller has a private party loan, sometimes just locating the parties on the loan can be a challenge. Old Deeds of Trust from banks or lenders that are no longer in business can take some escrow detective work as well.
When title to the property is held in a trust, the title company will require a complete copy of the trust to confirm that the Seller has the right (according to the trust) to sell the property. Another item that can delay closings are city reports. Most of the cities that have these requirements won’t allow these inspections to be waived, and if an inspection does disclose some issues, that could require are-inspection, causing further delays. If your Seller’s property is a condo or a PUD, then HOA documents need to be ordered for the Buyer to approve, most of the time requiring upfront fees from the Seller, and this can take time too. These are just some examples. It only takes a little preplanning and working with your escrow officer to ensure an escrow closing with happy Sellers, Buyers and Agents! Arcadia REALTOR® Magazine
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October Events
FROM THE CEO’S DESK What Do David Bowie, Apple Computers and Madonna Have In Common?
W 1
8:30 a.m. - MLS Caravan 9:30 a.m. - Events 4 Charity Auxiliary Mtg.
Th 2
9:00 a.m. - 3:30 p.m. - “Destination Los Angeles” 9:30 a.m. - Commercial / Investment Committee Mtg. 11:00 a.m. - Commercial Education & Networking Session 1:00 p.m. - 5:00 p.m. - “Real Estate Contract Trainings”
F 3
12:00 p.m. - 1:30 p.m. - AAR Speech Masters
M 6
9:00 a.m. - 11:00 a.m. - “The Importance of Year-End Tax Planning”
T 7
10:00 a.m. - 12:00 p.m. - zipForm Plus Training 11:00 a.m. - Global Real Estate Committee Mtg.
W 8
8:30 a.m. - MLS Caravan 8:45 a.m. - Affiliate Committee Mtg. 9:30 a.m. - MLS Committee Mtg.
Th 9
10:00 a.m. - 11:00 a.m. - “Methodist Hospital Community Benefits” 1:00 p.m. - 5:00 p.m. - “Real Estate Contract Trainings”
T 14
10:00 a.m. - 3:00 p.m. - CRMLS Training 11:00 a.m. - Tech / YPN Committee Mtg.
W 15
8:30 a.m. - MLS Caravan 9:30 a.m. - Equal / Housing Opportunity & Public Relations Committee Mtg. 1:30 p.m. - Local Governmental Relations Committee Mtg.
Th 16
11:00 a.m. - 12:00 p.m. - Lunch & Learn Series Course: “Property Insurance 101” 1:00 p.m. - 5:00 p.m. - “Real Estate Contract Trainings”
F 17
12:00 p.m. - 1:30 p.m. - AAR Speech Masters
4. Buy: Acquiring assets to reach the next level.
M 20
9:00 a.m. - 4:00 p.m. - “Commercial CIEA 101 and 102”
T 21 W 22
9:00 a.m. - 4:00 p.m. - “Commercial CIEA 103 and 104” 2:00 p.m. - Education Committee Mtg.
5. Think: All actions are proactive as intellectual and financial resources focus on knowing the next best step, instead of guessing.
Th 23
1:00 p.m. - 5:00 p.m. - “Real Estate Contract Trainings”
M 27
10:00 a.m. - 11:00 a.m. - “Foreign National Loans”
T 28
9:00 a.m. - 12:00 p.m. - “45-Hour Continuing Education Review & Exams” 1:30 p.m. - Budget and Finance Committee Mtg.
W 29
8:30 a.m. - MLS Caravan
Th 30
8:30 a.m. - Board of Directors Mtg. 6:00 p.m. - 8:00 p.m. - “YPN Appy Hour”
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8:30 a.m. - MLS Caravan
September 2014
To extend their respective musical careers, David Bowie and Madonna reinvented their personas and musical styles many times. Before Apple became the behemoth they are today they nearly went bankrupt, and by sheer necessity they created a new business platform. As REALTORS® and small business owners there is a critical need for us to reinvent ourselves at least once in our business lives as well. There may be a moment, an inspiration, an event, a conversation or a pink slip that will cause us to start the reinvention process. If there’s anything that the last 5 years or so have taught us in our ever-changing industry, it’s that we must keep reinventing our business to adapt to new trends and the needs of our respective clients. In his book, Creative Approaches for the Cost Effective Organization, Steven Martin says there are five generations of corporate growth. The principals relate to us as independent contractors as well: 1. Work: The entrepreneurial stage. 2. Sell: Focus on sales growth and market share. 3. Cut: Focus on efficiencies to drive the bottom line.
There is no corresponding natural law (or “magic bullet”) to help keep our personal reinvention matched up with, and parallel to, that of our business. Consequently, keeping our personal intellectual growth in sync with our business requires constant attention and honest self-analysis. But take heart, personal reinvention doesn’t mean you go from being a luggage handler to being the captain of the plane. It means that instead of being intimidated by technological advancements you actually become a visionary expert (Continued on Page 5)
Attorney Comments September 2014
By Dave Freeman, Association Counsel MEDIATION: As you are aware, mediation is required by the terms of all CAR documents, should a dispute arise, prior to filing a lawsuit. However some disputes don’t arise from these documents, or some parties and their attorneys don’t push mediation. Some don’t encourage mediation at the earliest stages. Do yourself and your clients a favor by strongly encouraging mediation at the earliest possible stage, with a good, strong, experienced mediator. It can save a great deal of time and money, possibly keeping you and your clients out of a lawsuit. Inform your clients what will happen at the mediation. Prepare them to be flexible for business’ sake, and not to stand on stubborn principle. These emotions, even if right, end up costing you and your client’s time and a great deal of money, if the matter is not settled. Also, make sure you and your clients bring all necessary paperwork and evidence that may be convincing to the other side. I recently spent all day at a mediation, where one side was quite angry, brought no
documents to demonstrate her facts, had no offer or counter in mind and spoiled a mediation that definitely should have ended the matter, benefitting her! CLIENT CONTROL. EVICTION FOLLOWING FORECLOSURE: Foreclosing parties or those who purchase a property at foreclosure want possession of the property as soon as possible. Recent amendments have added some burdens here. If a tenant occupies the property under a month to month tenancy, they must be given 90 days to vacate. If the tenant has a legitimate lease (could be months or years), the new owner must recognize the lease, if it is legitimate. If the tenant is a relative of the defaulting party, if the rent is unreasonably low or long, or other questionable deficiencies, the tenant could be evicted. If the occupant is the prior owner, no such 90 day waiting period is required. As with other evictions, the notice to quit must be served. It can be by, “Post and Mail,” but legitimate attempts must be made
at personal service first, similar to a 3 Day Notice to Pay Rent or Quit. DEFAULT JUDGMENTS: Don’t let clients fall prey to Default Judgments, without encouraging them to consult with an attorney. Some clients will say they have nothing to collect, no assets, so why worry. Similar to bankruptcies and foreclosures that seem devastating at the time, default judgments last a long time, decades, and can ruin future investments and credit opportunities at a time when your clients’ lives may have turned around. Further, the recorded judgment will show up against the clients’ names when they try to sell or purchase a property, even if that property had nothing to do with the judgment. Lastly, and equally important, if you don’t contest the lawsuit, the plaintiff can tell the judge whatever they want, and it becomes evidence, uncontroverted. The judge must base the amount of the judgment on the evidence presented, if not outlandish or out of the realm of reality. It may be a much larger judgment than is fair!
on how to leverage new capabilities. Sometimes, circumstances require you to reinvent yourself whether you’re ready or not. Look around you and see how your fellow real estate colleagues have drastically changed their respective business models over the past 5 years. In closing, please remember this: Only REALTORS® and other business owners who embrace change can run and grow successful businesses. Reinvent yourself like David Bowie & Madonna or be a one-hit wonder - liked but long forgotten.
Andrew Cooper Chief Executive Officer
Arcadia REALTOR® Magazine
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Market
Matters
Market Statistics for the San Gabriel Valley Single Family Homes
City
Condominiums
Price % Sales of Chg from Single Family Price Median August Homes SFR ($1,000) 2013
Price Median Condo ($1,000)
Sales Count Condos
Alhambra
91801
9
$475
-17.8%
11
Alhambra
91803
12
$515
11.8%
Altadena
91001
40
$620
-1.2%
Arcadia
91006
32
$954
Arcadia
91007
16
Azusa
91702
Duarte
SFR Only
Price & Chg from Median August Home Price/ 2013 Sq. Ft.
$414
7.5%
$416
1
$483
46.1%
$416
3
$1,100
n/a
$430
-19.7%
8
$775
2.4%
$627
$1,372
10.2%
10
$612
28.0%
$585
30
$350
7.7%
10
$273
12.6%
$272
91010
21
$410
-1.2%
3
$360
48.8%
$326
El Monte
91731
6
$373
6.4%
n/a
n/a
n/a
$363
El Monte
91732
15
$364
8.2%
6
$329
-21.9%
$311
El Monte - South
91733
9
$450
29.5%
1
$350
-13.3%
$304
Glendora
91740
18
$435
14.5%
2
$278
n/a
$322
Glendora
91741
25
$592
6.5%
4
$399
-10.7%
$360
La Ca単ada Flintridge
91011
28
$1,298
8.7%
1
$475
n/a
$576
La Verne
91750
15
$595
29.3%
6
$301
-30.7%
$342
Monrovia
91016
26
$652
8.8%
4
$442
-3.2%
$405
Pasadena
91101
n/a
n/a
n/a
14
$415
-9.8%
n/a
Pasadena
91103
16
$589
18.4%
6
$505
12.0%
$375
Pasadena
91104
23
$652
-5.0%
2
$460
10.7%
$466
Pasadena
91105
16
$1,700
65.9%
7
$710
-6.2%
$645
Pasadena
91106
7
$1,980
56.7%
25
$536
13.1%
$644
Pasadena
91107
38
$775
4.3%
9
$328
-17.0%
$538
12
$445
8.5%
3
$420
23.0%
$343
$322
San Gabriel
91775
14
$743
7.7%
1
n/a
n/a
$484
San Gabriel
91776
18
$583
1.3%
4
$381
-4.0%
$477
San Marino
91108
20
$1,854
22.0%
n/a
n/a
n/a
$822
Sierra Madre
91024
19
$867
23.5%
2
$421
-15.7%
$518
Temple City
91780
27
$688
6.1%
5
$512
-9.9%
$447
91770
6
Zip Code
August 2014
Source: DQNews.com
September 2014
Arcadia REALTOR速 Magazine
7
ARCADIA RELAY FOR LIFE 2014 At Relay For Life events, communities across the globe come together to honor cancer survivors, remember loved ones lost, and fight back against a disease that has already taken too much. The funds raised make a difference in the fight against cancer on a daily basis. Relay For Life teams camp out overnight and take turns walking or running for 24 hours because cancer never sleeps.
Saturday & Sunday, August 2 - 3
This year the Arcadia Association of REALTORS® team participated in the event that took place at the Santa Anita Race Track the weekend of August 2-3. Team Captains David Chang from Chase, Julio Mora from Bank of Manhattan and Leslie Villavicencio from Silva+Villa Home Loans led the “Community * Hope * Cure” team to become the top fundraising group for 2014. Thanks to more than 125 AAR donors and team members, the AAR team raised over $11,000. Special recognition goes out to the top individual fundraisers: Diana Rafeedie-Nofal who raised $3,385; Kenny Wong who raised $2,515 and Diane Chhuo who raised $1,170. The Arcadia Association of REALTORS® extends our heartfelt appreciation for all those who donated to this cause, volunteered at the booth, participated in the event and/or ran laps, donated items/prizes, and selflessly gave of their time. Thank you for your contributions and for taking a stand against cancer.
Celebrate. Remember. Fight Back. 8
September 2014
Affiliate Corner
“Home Warranty Plans Provide Peace of Mind” By Stephanie LaPorte, Old Republic Home Protection If you are a REALTOR®, you know the stress and anxiety the breakdown of a major home system or appliance can create for a new home buyer, or even a home seller. Is there a way to relieve that stress and help make homeownership more enjoyable? You will be happy to know the answer is “YES!” With a Home Warranty Plan, it is possible! A Home Warranty Plan is a service contract that covers home systems and appliances for a specified term (usually one full year after closing). Should a covered system or appliance become inoperable due to normal wear and use, a qualified Independent Service Provider will be dispatched to repair or replace the system or appliance for a reasonable trade call fee. Help is only a phone call away, 24 hours a day, 365 days a year! The homeowner calls the home warranty company - NOT YOU! A Home Warranty Plan offers comprehensive coverage for major home systems, including heating, plumbing, and electrical systems, and home appliances, including
the oven, range, dishwasher, garbage disposal, and builtin microwave. Optional coverage is also available for items such as air conditioning, pool and spa, and kitchen refrigerator, and allows you to customize the plan to further meet the specific needs of the home. Although the plan covers a multitude of items found in most homes, there are limitations. For example, the plan is not intended to cover cleaning or general maintenance, cosmetic defects that don’t affect the function of the unit, secondary damage, or service involving hazardous or toxic materials, such as asbestos. Please read the plan for full terms and conditions. In most cases, the total cost of a one-year Home Warranty Plan is less than what most people spend for just one month of premiums on their homeowners, health, or auto insurance. A Home Warranty Plan is cost-effective coverage at its best. When you consider the coverage provided, coupled with an industry average of 1.4 service requests per home per year, home warranties truly offer budget protection, risk reduction, and peace of mind for both the consumer and the REALTOR®.
MORE IMAGES FROM RELAY FOR LIFE (Continued on Page 11)
Arcadia REALTOR® Magazine
9
through the lens
A Look at What’s Happening Around the AAR
SGVEP Leg
islative Bre
akfast with
Judy Chu
YPN Presents: Appy Hour
Lunch & Learn: “How to Hold an Effective Open House by Design” 10
September 2014
When we
walk together, we are bigger than cancer.
Community. Hope. Cure Arcadia REALTOR速 Magazine
11
Arcadia Association of REALTORS® 601 South First Avenue Arcadia, California 91006 The Arcadia Association of REALTORS® presents
“45-Hour Continuing Education Review & Exams” Course Instructor - Joel Carlson, CREC, DREI CalBRE Course Sponsor #2473; 45 Hours CalBRE Credit
Tuesday, October 28, 2014
Arcadia Association of REALTORS® 601 S. First Ave., Arcadia, CA 91006
Time: 9:00 a.m. to 12:00 p.m. Check-in begins: 8:30 a.m.
REALTOR® Members: $80 Non-REALTOR® Members: $90 No Walk-In Registrations Permitted
Continental breakfast sponsored by Laura Pozzi, Cutco Closing Gifts
Registration Deadline: Friday, October 24, 2014 (Study materials must be picked up at the Association Building prior to the seminar or shipped at an extra fee of $5.) The class includes an optional review of materials to prepare you for your open book Multiple Choice exams! CalBRE regulation states that no licensee will be allowed to TEST for more than 15 hours of credit in one day. Therefore, licensees needing all 45 hours of credit will test over 3 days. We have set up a special ONLINE testing area for licensees to take the additional exams. Details will be given during the seminar.
Registration Required: Your Reservation will Reserve Your Seat Register online at www.TheAAR.com by clicking the event name under “Upcoming Events.” For questions, call the AAR at (626) 446-2115. www.TheAAR.com ~ 601 S. First Ave. Arcadia, CA 91006 ~ 626-446-2115 ~ Fx. 626-446-4072
Dedicated to Providing High Quality Legal Services ®
• Estate Planning • Trust Administration • Probate • Business Law • Commercial Transactions • Corporation, LLC & Partnership Formations • Business Contracts
Call today for a free consultation
Romy S. Rahmanian, Attorney
(626) 869-8787 33 East Huntington Drive • Arcadia, CA 91006 romy@rahmanianlaw.com • www.RahmanianLaw.com
12
C. Anthony Phillips, CPA President
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