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MARIN REAL ESTATE BLOG

 

Aug 26

Sewer Laterals, AB-1537 Update and the MAR Flood Insurance Summit Meeting – MAR Monday Memo

By Legislation, Marin Association of Realtors, Marin Community News, Marin Real Estate News, Regulations, Ross Valley Sanitary

Good day MAR members!

Queue up KC and the Sunshine Band…”Shake shake shake…”

We were all reminded yesterday morning that we indeed do live in earthquake country.  “Honey…honey…honey…”  “Yes, I know, it’s an earthquake…!”  Having grown up in earthquake country, I instinctively leapt out of bed and stood in the doorway.  Heather stayed in bed.  The dog didn’t even lift her head off her bed…so I guess she grew up in earthquake country as well…”no biggie”.

In a strange way, these events make me feel alive…that the ground we walk on is alive right along with us.

I wasn’t around for the 5.0 Bolinas quake in 1999, I was working in the City in a high-rise and didn’t even feel it.  My neighbors in Cascade Canyon told me it shook quite a bit!  The last earthquake that rolled like this one, for me, was in June of 1992, with the 7.2 Landers earthquake, followed shortly after by the 6.5 Big Bear quake the same morning.  I slept through the Landers quake which was at 5AM, but clearly remember the 8AM Big Bear quake…which had me in the front doorway of my duplex unit in Hermosa Beach, watching street signs and telephone poles shake.  That one rolled for a long time, just like this one.

This is another good reminder to stock up on emergency supplies, and also to indulge our clients in their seismic retrofit discussions.  We dodged the “big one” again this time, but it’s always lurking in the shadows.  Be prepared!

Also this past week, it was with great sadness that on Friday I had to announce the passing of long-time MAR member and leader Karen Dahlin.  As the emails poured in, so many of you shared your memories of Karen, and how she had been so influential as a mentor and leader in our community.  Hers was a full life, giving back to her community and to her colleagues.  A lifetime of service.  A memorial service is planned for this Thursday, August 28th, at Keaton’s Redwood Chapel of Marin in Novato at 10:00am.  Again, MAR offers its sincere condolences to Karen’s family and loved ones.

THE NEW FALL SEASON

One last summer holiday this weekend for Labor Day!  I’m headed up to Portland for a “re-creation” of a party my fraternity used to throw annually…30 years ago.  The Gangster Party.  Did I go to school in Portland, you might ask?  Well, no, it’s just that one of our fraternity brothers offered to host the party at a brewery he owns in Vancouver WA, and no one could think of a reason to not take him up on it.  Still working on my costume; 30 years ago, “gangster” meant Al Capone/Untouchables prohibition-era gangster gear.  Now we’ve got Al Pachino “Scarface” gangsters, Tupak and Dr Dre LA “gangsta rap” gangsters, Robert Duvall/Sean Penn “Colors” East LA gangsters.  The list goes on and on.  Enjoy the last bit of summer, with MAR’s busy Indian Summer home selling season right around the corner.

SEPTEMBER 9TH MAR GENERAL MEMBERSHIP MEETING

Once again, don’t forget that two weeks from tomorrow, on Tuesday September 9th, MAR will be hosting its next General Membership meeting at Embassy Suites.  Networking starts at 11:30, and the main program starts at noon.  Professor Robert Eyler will be our keynote speaker, giving an update on the North Bay and Marin economy and a forecast for the coming year.  It’s always a useful and informative presentation, with info that you can use in your business today.  We will also be having our annual election for the 2015 MAR leadership team and Board of Directors.  Click HERE to register. I hope to see you there, and remember that these meetings tend to sell out early so sign up today!

ROSS VALLEY SEWER LATERAL POINT OF SALE UPDATE

MAR’s leadership has been pressing the Ross Valley Sanitary District for clarity and process in the wake of RVSD’s planned rollout of its sewer lateral point-of-sale inspection requirement.  There are some very substantial grey areas, ambiguity and outright flaws in the ordinance.  Originally scheduled for rollout on July 1, MAR was successful at pushing it back to September 1.  Earlier this month, after we applied a lot of pressure for answers, RVSD General Manager Greg Norby assured us that he would recommend pushing the implementation back to the beginning…or even the end… of October.  We kept up the pressure for answers, and continued to point out flaws in the process that needed addressing.  Last week, Mr. Norby announced that he was going to recommend pushing back the implementation plan to January 1, 2015.  This date needs to be voted on by the board this week, but it appears we now have a few more months to get this straightened out, and to advocate for some fundamental changes to flaws in the ordinance.

Meanwhile, it was announced last week that at the behest of Assemblyman Marc Levine, the State of California will be conducting an audit of RVSD’s finances.  So I guess they have their hands full.  Stay tuned!

AB1537 HOUSING DENSITY UPDATE

Speaking of Assemblyman Marc Levine, last week his bill AB1537 was approved by the legislature and now sits on Governor Jerry Brown’s desk for signature.  In a nutshell the bill reduces the default density for new building projects in Marin from 30 units per acre to 20 units per acre, and correctly defines Marin as “suburban” rather than “metropolitan”.  MAR has strongly supported this bill throughout the process.  We got behind it early, and the MAR Board of Directors voted our support before most other groups here in Marin.  MAR CEO Andy Fegley and I have both testified before committees in the state Assembly and Senate regarding MAR’s support.  Now it’s up to the governor, and let’s all hope he signs the bill this week.

THE MAR ‘FLOOD INSURACE SUMMIT’ MEETING

 As I mentioned last week, at the end of September, MAR along with JCP Natural Hazards Disclosures will be hosting a session on the ever-evolving subject of flood insurance and flood zones.  Did you know that FEMA is poised to raise the “base flood elevation” throughout the county by one foot next year?  A whole bunch of houses that are not currently in the flood zone will be in it after this change.  We will be having a panel discussion with FEMA reps and insurance folks ready to provide clarity and answers.  Many of you have shared your comments and frustrations about this crazy and dynamic part of our business, and I shared in some of that pain with one of my listings this summer.  So mark your calendars for 9/30, and we will have more details soon.  We’ve secured a big room at the Marin Country Club, so there should be room for everyone.

TWO MORE MEETINGS TO CONSIDER

I’d also like to lend MAR’s support to two of our fellow organizations and their meetings this month.

First of all, the Marin Womens Council of REALTORS® (WCR) will be hosting a lunch meeting next Tuesday, September 2nd, at the Club at McInnis.  Guv Hutchinson of CAR’s legal group will be there to discuss recent legal updates and the new purchase agreement.   Click HERE for more info.

Also, MAR member Jean Ludwick has asked me to share the info for the next meeting of the Council of Real Estate Brokerage Managers (CRB) meeting.  It’s going to be on Tuesday September 16th at noon in Napa.  The keynote speaker will be Brad Anderson, National Outreach Manager and Director of Zillow Academy.  The topic will be “Getting the Biggest Bang for your Buck using Social Media”.  Best of all, it’s FREE for CRB members, and Jean has assured me that all are welcome.  Click HERE for more info.

That’s it for now!

I wish you a safe and prosperous week.

Blaine

Blaine Morris

2014 MAR President 

 

Aug 18

Upcoming Residential Purchase Agreement and New Fannie Mae/Freddie Mac Rules for Condos in Flood Zones

By California Association of Realtors, Marin Association of Realtors, Marin Real Estate News

Good day MAR members!

Another week of summer gently slides by, and just like that some of the kids are starting school this week! I was starting to get used to the lack of traffic, so I’m trying to brace myself for the crush of the next few weeks. Hopefully they will get all the road construction finished in time for school starting…otherwise we might be faced with a double whammy. So, please be patient and take your time out there MAR members…you’ll get to your meeting, it just might take you a little longer than it has been taking.

Another shorter summer-version memo this week, for quick reading as you scramble to finish up vacations and get the kids set for school…

Once again, we are reminded at the fragility of our time on this planet. In the years to come, many of us will remember where we were when we heard the news of Robin Williams’ passing. I know I will. We all considered Robin a fellow Marinite…a kindred spirit. He was young enough when he moved to Marin that it was not his choice to move here…but he DID make the choice to stay here, and moved back in recent years to his home county. Woodacre, Redwood High, College of Marin, Tiburon…Marin IS home.

Seeing Robin around town was not a celebrity sighting, Hollywood-style. It was simply seeing a familiar face. I had the pleasure of sitting next to Robin several years ago, as both of us were attending a local comedy show that was being presented by a mutual friend. We didn’t speak beyond pleasantries…but it was great to see him out enjoying and supporting other kindred spirits working their craft. Just a normal Marin guy.

As the emotion and stories have flooded all of us this week, one of the things that I’ve noticed is how he generously supported others in his artistic and comedy community. He gave service to his community. Let’s remember that folks. People are talking about his enormous talent, obviously. But after we all agreed on the huge artistic contributions, the story continues to come back to generosity and service. Our mutual friend even wrote about it, how Robin generously helped him get his business off the ground years ago. When all is said and done, the world will remember his talent and body of work. His family, friends and our community will remember the man, how he gave back, and how he made those around him feel.

It’s also good that as a community we are discussing mental health. I am hopeful that there is some good that can come out of this tragedy. We need to prop up those around us that need it, even if they don’t tell us so. Lend a helping hand, offer some encouragement, encourage people to get help when it’s needed. And always let those around you know how much you love them.

RIP Robin Williams.

NEXT MAR GENERAL MEMBERSHIP MEETING

It’s been a while since our last meeting, and in the spirit of our New Fall Season, let’s kick it off together on Tuesday, September 9th at Noon [check-in and networking begins at 11:30am]. Our featured speaker is Professor Robert Eyler, one of the leading economic minds in the North Bay, and the head of the Marin Economic Forum. His updates are always useful, and you will get local and up-to-date economic data that you can put to work with your clients immediately!

This meeting will also serve as the election for MAR’s 2015 leadership and Board of Directors.

You can click here to register on line, or click here for a flyer registration form. Our General Membership Meetings continue to sell out, so please make your reservation today so you won’t miss out. Hope to see you there!

THE NEW RESIDENTIAL PURCHASE AGREEMENT

Since early February, I’ve written several times about the new, improved and vastly re-written standard Residential Purchase Agreement from CAR. Lots and lots of changes. Folks, it’s just about here. It’s set to be rolled out in November.

CAR is sponsoring classes to educate the membership on the new RPA, and we’ve sold out the one we’ve scheduled at MAR. We are working to get back on the calendar. Many of you at the larger brokerages will be having training within your company. I’m pressing to get more classes on the calendar here at MAR to support our member community. Stay tuned.

NEW FANNIE MAE AND FREDDIE MAC RULES FOR CONDOS IN FLOOD ZONES

One last thing I want to share this week is a new-this-year Fannie Mae and Freddie Mac rule as it relates to condos in flood zones. I learned it the hard way. In the past, it’s not been unusual for condo complexes, where there are some units in flood zones, to have the individual units in the flood zone pay for their own flood insurance. You can still do that, but this year it’s become very difficult to obtain conventional financing that will be guaranteed by Freddie and Fannie unless the whole complex has a master flood policy. Like almost impossible. There are some portfolio lenders who will make an exception, but for the vast majority of loan products out there this new requirement has made conventional financing very difficult until the HOA gets a master flood policy for the entire complex.

It’s another way that Superstorm Sandy keeps on giving. If you’re listing a condo in a flood zone…or if you’re writing on a condo in a flood zone…make sure the association has a master flood policy. If they don’t have one, talk early to your lender to secure financing that will accommodate for the lack of the Fannie/Freddie requirement.

The flood zone and insurance requirements are changing all the time. Monthly. Weekly. Daily. These changes are very frustrating, and every week I hear from another member who is having difficulty with flood insurance. With this in mind, late next month MAR will be sponsoring a “flood summit” meeting (better title to come, I promise), with lenders, insurers, and hopefully FEMA itself in attendance. Date, time, and agenda are still coming together, but I am keen to educate the membership on this frustrating and constantly-changing corner of our industry.

That’s it for now!

I wish you a safe and prosperous week.

Blaine

Blaine Morris

2014 MAR President

Aug 12

Ross Valley Sanitary Continues to Work on Clarifying Admin Process for New Inspection Ordinance

By Marin Association of Realtors, Marin Real Estate News, Ross Valley Sanitary

Good day MAR members!

Here in the dog days of summer, not much to do except fret about the Ross Valley Sanitary District! For those of you more interested in “above ground” matters, enjoy the warm days and great weather. I’m trying not to get too bummed about the Giants’ latest struggles while I wait for the NFL and college football seasons to start. Those stories offer a simpler and inherently more pleasant subject matter.

Oh, but the sewers!! I promise at the end of this memo you will find some good news, so please read on.

Last Thursday morning, MAR CEO Andy Fegley, President-Elect Matt Hughes, and I were back at the Ross Valley Sanitary District offices at another “working group” meeting. District staff was happy to share with us their progress on creating a clear administrative process for the new ordinance. However, we quickly realized that the practical matter of how this ordinance will affect the sale of a home was still untouched.

It all comes down to the matter of items 10.1 and 10.2 of the ordinance, which state that the timeframe of repair is at the discretion of the district’s engineer. The district’s engineer was at the meeting, so Andy asked him what is going to trigger the need for an immediate repair. He couldn’t tell us. We asked if there was sewage flowing down a hillside, would an immediate repair be necessary, and he said yes. Beyond that, he couldn’t tell us when a repair would need to be completed. We spent the remainder of our meeting making a clear argument for removing the need for repair from the escrow process.

We were asked by one of the inspectors why everyone wouldn’t just get their sewer line replaced before going to market? I had to gently explain that everyone doesn’t have an extra $7-10k sitting around in addition to whatever money they were going to spend on painting, flooring, landscaping, staging, etc. The notion of a “liquidity event” at close of escrow had to get drilled in over and over. I explained that $7-10k…or $25k or more… on “above ground” improvements will offer a vast return on investment…tens of thousands…sometimes hundreds of thousands…of dollars in extra sales price if it’s spent in the right places on the house…money that can then be spent on paying for the sewer repair. Money that’s available at the liquidity event. At and after close of escrow. This finally clicked with the district.

The following email came from Greg Norby, the RVSD General Manager, on Friday afternoon – HERE. Net-net, they’re backing off for now. Though the RVSD Board will need to vote on it at their next meeting…on August 27th…Norby is going to propose a 30-60 day postponement of the implementation of the ordinance to either the beginning or end of October. I’m going to strongly advocate for the latter date, as that will take us into November and the holiday season is one of the slower times in the Marin real estate marketplace. That’s a much better time to roll out a new ordinance…rather than September, which is the start of Marin’s second busiest season for real estate.

Also, they’re starting to get it as it relates to the need to have a simple process, and it appears Norby is going to advocate for a 1-page form that buyer and seller will sign, acknowledging the need for a repair and promising to get it done as quickly after escrow as possible…without holding up escrow.

Hang in there MAR, we are hoping for a fully-baked process in the coming months, not a half-baked, figure-it-out-as-you-go process three weeks from now.

That’s it for now!

I wish you a safe and prosperous week.

Blaine Morris
2014 MAR President

Aug 12

Ross Valley Sanitary Continues to Work on Clarifying Admin Process for New Inspection Ordinance

By Marin Association of Realtors, Marin Real Estate News, Ross Valley Sanitary

Good day MAR members!

Here in the dog days of summer, not much to do except fret about the Ross Valley Sanitary District! For those of you more interested in “above ground” matters, enjoy the warm days and great weather. I’m trying not to get too bummed about the Giants’ latest struggles while I wait for the NFL and college football seasons to start. Those stories offer a simpler and inherently more pleasant subject matter.

Oh, but the sewers!! I promise at the end of this memo you will find some good news, so please read on.

Last Thursday morning, MAR CEO Andy Fegley, President-Elect Matt Hughes, and I were back at the Ross Valley Sanitary District offices at another “working group” meeting. District staff was happy to share with us their progress on creating a clear administrative process for the new ordinance. However, we quickly realized that the practical matter of how this ordinance will affect the sale of a home was still untouched.

It all comes down to the matter of items 10.1 and 10.2 of the ordinance, which state that the timeframe of repair is at the discretion of the district’s engineer. The district’s engineer was at the meeting, so Andy asked him what is going to trigger the need for an immediate repair. He couldn’t tell us. We asked if there was sewage flowing down a hillside, would an immediate repair be necessary, and he said yes. Beyond that, he couldn’t tell us when a repair would need to be completed. We spent the remainder of our meeting making a clear argument for removing the need for repair from the escrow process.

We were asked by one of the inspectors why everyone wouldn’t just get their sewer line replaced before going to market? I had to gently explain that everyone doesn’t have an extra $7-10k sitting around in addition to whatever money they were going to spend on painting, flooring, landscaping, staging, etc. The notion of a “liquidity event” at close of escrow had to get drilled in over and over. I explained that $7-10k…or $25k or more… on “above ground” improvements will offer a vast return on investment…tens of thousands…sometimes hundreds of thousands…of dollars in extra sales price if it’s spent in the right places on the house…money that can then be spent on paying for the sewer repair. Money that’s available at the liquidity event. At and after close of escrow. This finally clicked with the district.

The following email came from Greg Norby, the RVSD General Manager, on Friday afternoon – HERE. Net-net, they’re backing off for now. Though the RVSD Board will need to vote on it at their next meeting…on August 27th…Norby is going to propose a 30-60 day postponement of the implementation of the ordinance to either the beginning or end of October. I’m going to strongly advocate for the latter date, as that will take us into November and the holiday season is one of the slower times in the Marin real estate marketplace. That’s a much better time to roll out a new ordinance…rather than September, which is the start of Marin’s second busiest season for real estate.

Also, they’re starting to get it as it relates to the need to have a simple process, and it appears Norby is going to advocate for a 1-page form that buyer and seller will sign, acknowledging the need for a repair and promising to get it done as quickly after escrow as possible…without holding up escrow.

Hang in there MAR, we are hoping for a fully-baked process in the coming months, not a half-baked, figure-it-out-as-you-go process three weeks from now.

That’s it for now!

I wish you a safe and prosperous week.

Blaine Morris
2014 MAR President

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