All Forum Posts by: Bryan Zuetel

@James Stinnett, local Los Angeles exchange accommodater, Exchange Resources, Phil Atwan, info here.  

@Jay G., there are two sources for requirements regarding the Transfer Disclosure Statement: statute and contract.  Under Civil Code 1102.3, the seller is required to deliver the TDS "as soon as practicable before transfer of title" and provides the buyer with a set number of days (based on delivery method) to cancel the transaction.  The C.A.R. Purchase Agreement by default requires the delivery of certain disclosures, including the TDS, within 7 days of the Acceptance Date and provides a 17 day period for review and acceptance of disclosures.  So, the buyer should have the time from day 7 to day 17 to conduct inspections with the disclosures in hand.

@Ross Yeager, Yes, look into delayed financing. Some of the issues with limits based on LTV and not allowing you to pull out money from the rehab will depend on your lender. Some lenders may not care or may have more generous guidelines. Search for local lenders in the area of the investment and get more info on their limits and guidelines.

@Melissa Taylor, you can expect the auction to likely drive up the price to around the market price.  As some have mentioned, yes, during a sale transaction, you have an affirmative obligation in California to disclose whether there has been a death on the property in the last 3 years.  Certain cultures and people will not consider a home that has had a death in it.  Other people will not care.  

@Nancy Lucca, If you're a nurse at a hospital in an area where nurses would like to live, I would suggest that you buy a condo or house with extra bedrooms and rent out the rooms to fellow nurses.  There will always be a demand by nurses for housing close to that hospital or facility.  For example, I am working with a nurse at Hoag Hospital in Newport Beach to find a condo in the area that she can live in and rent out a bedroom to another nurse.  It will certainly beat paying that monthly rent payment in Orange County.

@Peter Z., requiring a tenant to maintain renter's insurance in a reasonable amount is generally legal in California.  If you want to ensure that the tenant maintains a policy year over year, you would do best to have a new lease agreement each year with the same insurance requirement.  Consider including a requirement like this: Tenant shall obtain a renters insurance policy that includes that the carrier must provide 30 days’ notice of cancellation, non-renewal, or material change in coverage, to the Owner.

Yes, require each tenant and occupant over 18 to carry an insurance policy.  Some insurers might be willing to put all tenants/occupants on the same policy.

@Chayson Descisciolo, welcome.  I'm a real estate attorney and broker based in Orange County, but I only invest out of state.  Did you finish the Long Distance Real Estate Investing book by David Greene?  I found that very helpful.  After that, you need to decide on your top markets and start making connections and relationships.

As another alternative, you could sell the house, take your $500,000 excluded capital gains as your primary residence, pay your capital gains taxes (both federal and state), and buy your new property utilizing a small purchase loan or even reverse purchase mortgage to make up the difference?  A reverse purchase mortgage would accomplish your goal of not having a monthly payment.  But, yes, you're going to have substantial taxes if you sell.

@Susan O., you increased her automatic payments without a signed authorization for the higher automatic payment amount?  It appears that you followed the California law as written for the rent increase by mailing the notice with first class mail.  But, the unauthorized increase in her auto payments is concerning.

@Kevin Brenner, thanks for the insurance info.  This property has copper wiring and newer fuses and panels, so hopefully that will help with the premium quote.  The quad is located in the Victorian District just over the border from the Historic District.