While there are many natural hazards that are commonly discussed in the San Jose area, such as earthquake faults, flood planes, and liquefaction zones, there’s one which comes up frequently on the east coast but is largely ignored here in the Valley of Heart’s Delight.
First, though, what is radon?
Per the EPA website, “Radon (chemical symbol Rn) is an odorless, colorless, radioactive gas. It comes from the natural decay of uranium and radium found in nearly all rocks and soils. Radon can move up from the ground into buildings through openings in floors or walls that are in contact with the ground.”
If the idea that a radioactive carcinogenic gas can enter your home or workplace completely unnoticed spooks you, that’s understandable. Thankfully, it is uncommon to find radon at high enough concentrations for concern in Silicon Valley. It’s helpful in that regard that it’s a region with few smokers and few basements, both of which can increase the risk.
That being said, radon can be found all over the world, and similarly, homes high in radon can be found anywhere, though they are more or less common depending on where you are. (more…)
The sign off and the closing happen at the end of the sale pending period. But are they the same thing? And do they happen on the same day? In our area, they are not the same thing and normally they would not happen on the same day.
Sign off
The sign off is an appointment in which home buyers and sellers sign the final papers which will lead to closing a few days later. Usually the appointment takes place at the title company which is also handling the escrow – that is the norm in northern California. Sometimes either buyers or sellers cannot be available during regular business hours. In that case, they have an option of paying for a mobile notary to do the signing at their home or some other convenient location.
(In some states, the closing happens when all parties sign, and both sellers and buyers meet at the same time for the official paperwork. Not so here in Silicon Valley, though.)
The closing, or close of escrow, takes place when the deed is recorded with the county at the County Recorder’s Office. The title company records all of the deeds scheduled to close that day for that firm electronically.
Once a particular property has been recorded, we say “it is on record”. Someone from the title company will call or email the clients or the real estate agents (or both) to confirm that it’s on record. For short, they often say “we have confirmation” – meaning that they’ve been told that the deed was recorded. The property transfer happens when the deed is recorded – not when the papers are signed.
In the western U.S., real estate sales are usually done this way. In the eastern U.S., though, the closing and sign off are the same day, with buyers and sellers all at the same table, and the sale concludes when the paperwork is all signed.
The sign off is where home buyers or sellers normally meet with a notary and sign the closing documents. This is not necessary for a buyer with a cash offer, but it is required when there’s financing. Who attends this appointment, and when is it?
Sign off – quick summary
Normally this takes place 2-3 days before the close of escrow.
Sellers and buyers are not all at the same table. That can happen in other states, but it’s a different set of customs.
Present at minimum are the buyers or sellers, and the escrow officer who has a notary license or another notary.
Often the buyer agents are there for the buyer sign off, or the listing agents for the seller sign off, but this is not required.
In some cases, the lender may also join the buyers at their appointment to explain any questions about the mortgage.
Principals will be asked to show their ID, sign a notary book, and provide a thumbprint in the notary book.
It’s really not ideal to bring children to a sign off, but sometimes it cannot be helped, and many title companies have coloring books or some other amusement (but don’t count on it, in these post-COVID years, they may not be as available, so ask if you think you’ll want that)
How long will it take? For sellers it’s often quick, around 30 minutes. For buyers with 1 loan, many times it is about an hour to sign. For buyers with 2 loans (first and second mortgage), it will take longer. It can take much, much longer if you read every word! If the loan docs get to title with time to spare, you may be able to review them in advance.
There are some variations on how things may play out. If regular work hours are not possible, the title company can arrange for a mobile notary to go the buyers’ or sellers’ home or elsewhere, such as a coffee shop, to do the signing. (more…)
It can be a little nerve-wracking to buy and sell homes at once. How do you buy and sell homes at once – without losing your mind?
Talk to a lender first
It is a very good idea to talk to a great lender upfront and to be pre-approved. That way, you’ll be more certain of what you can truly afford, and no matter which order you plan to do the two house juggle, you’ll be ready.
The main options when you want to buy and sell homes at once
These are the most commonly used strategies to buy and sell homes at once:
If you have equity, pulling money out of the current house may be an option, or perhaps you can use a bridge loan, you may be able to buy the next home first.
In that case, you can move to the new home, then stage and sell the current one. For most people, this is less stressful.
Or will you only purchase after you have cash in hand?
With this approach, you could move out and stay in a rental, stage and sell the home and then buy the next residence with cash in hand.
Or you could live in the home while it is marketed, sold, and closed.
You may be able to stay on after the close of escrow as a renter in your home for up to 60 days. That is often enough time to buy and close on the replacement property.
You might be able to have a longer close of escrow and be able to purchase the home “subject to the successful close of escrow” of the current place. This is not the most viable way to buy in our current, inventory starved market, though.
Another option is to move out, rent a temporary residence, sell, and then buy. Depending on the rental, your own belongings could furnish it, or you could have your things in storage.
Possible option 1 – buying first & moving out to sell
If possible, many people doing these two major transactions at once prefer to purchase first. the advantages include not having to move twice and not having to live in a home that is being shown, inspected, and requiring a pristine condition at all times. For people working from home and families with young kids, this is often the way to go, as it is too disruptive to live there during the marketing and sale process. (more…)
Easements are referenced in home selling, particularly in the preliminary title report and the seller’s disclosures.
But what are they, exactly?
An easement gives a person or an entity the right to use or enter another’s property for a limited and specific reason. Easements are often granted, sometimes in exchange for something valuable (possibly cash). But there are other ways for easements to be created, too. We’ll review them at the end of this article.
Sometimes, in older shopping centers, you may see a plaque or tile in the walkway stating that the owner gives permission. In the sign to the right, which is difficult to read, it says “Permission to pass is hereby granted at the option of the property owner.”
At other times, you’ll see signage indicating the exact opposite of a right to pass, announcing that a road or path is private and that it is not a right of way.
Often you do not see them at all, as with underground utility company’s right to access the lines.
Common easements
Utility easements are a good example of an entity with these rights. For example, nearly all homes in Silicon Valley get power from P, G, and E. At times there are underground utilities and at times there are above ground power lines, but either way, those lines belong to P,G, and E and that utility company has a right to access, service, and protect them. They may trim trees or bushes that risk interfering with the lines and causing a fire, for instance. (more…)
Homeowners insurance is once again in the news, and home owners (as well as those actively wanting to buy or sell a home) need to know how this may impact real estate transactions. This type of coverage is also called Fire Insurance, though it does cover losses beyond just those caused by fire.
Several major insurance carriers have either stopped writing new homeowners insurance policies in California or are severely limiting the number of policies that they’ll write.
For property owners in the Very High Fire Hazard Severity Zone, this limitation of conventional coverage is causing insurance premiums to skyrocket, especially if the insurer or last resort has to be used, the California Fair Plan. We’ve heard of insurance costs going up 10 times the previous rate or more in some cases!
There are some other options, listed below, that may provide some possible relief.
Insurance companies use their own maps, which are not published and in some cases have more expanded zones that they consider too risky for coverage.
Buying a home in an area with a higher fire risk? Find out about the insurability of the property BEFORE writing the offer.
My insurance agent recently told me that as a rule of thumb, “homes that are within 1000 feet of natural hillside brush or trees on any side of the home will have trouble getting insurance with many carriers.”
Major Homeowners Insurance Carriers Pull Back
Allstate, State Farm, and now Farmers have all pulled back from writing new policies in the Golden State, either completely or partially, due to the fires of recent years and the financial liability that they have caused those companies.
We’re not really in new territory here. Over the last 35 years, we’ve had several cycles of difficulty with obtaining homeowners insurance. In California. In years gone by it was challenging to get it after the Loma Prieta and Northridge earthquakes in 1989 and 1994, respectively. When a spate of mold cases came up in California and Texas in the late 1990s and early 2000s there was also a pullback by insurance companies. (more…)
Why is inventory so low? As of today, October 26, 2023, there are 796 single family homes for sale in Santa Clara County (population appx 2 million people). A year ago it was about 1165 and the end of October. Where have all the listings gone? And when will it get better for home buyers? (You can check Santa Clara County inventory and other real estate stats on this blog.)
Why is inventory so low: historical perspective, how low IS it?
Here’s a look at our houses for sale from Jan 1999 to today. Please note that the MLS has a problem with its data sharing feeds, and if I pull this same info in a month, some of the numbers (not just this month) will likely change.
Inventory Averages:
Inventory Oct 1999 through October 2022 (only Octobers, 24 months) = 2640. Inventory was bloated during the Great Recession, so that’s not representative of “normal”.
If we consider just 2013 – Oct 2022 (10 Octobers), which I think is much more typical, the average inventory is 1403.5
The current inventory level is 57% of the last 10 years and 30% of the last 24 years (not including 2023 in the averages).
The lack of inventory is causing a lack of sales, layoffs in various real estate related industries, and pretty much economically challenging for Realtors, lenders, title and escrow people, inspectors, stagers, photographers, and anyone else involved in the buying and selling of homes.
We have a supply and demand imbalance, with demand outpacing supply but available homes for sale low.
Why is inventory so low? What is causing the shortage?
Next, let’s consider the root causes of the problem, and which ones may not be ongoing. (more…)
Listing syndication matters to buyers and sellers, even if they don’t know it!
What is listing syndication?
Listing syndication refers to the distribution of listings of homes for sale to other websites from the multiple listing service or MLS. The information about the home is input into the MLS for members online, and also for those visiting the MLS directly as guests or those receiving email updates from that system. When it’s sent further, say to Realtor.com for example, that’s syndication.
Put more simply, listing syndication is distributing and displaying listings online.
Today most listings can be found on real estate web portals large and small, including real estate agents’ own websites (we have it, too). On real estate agent websites, that is accomplished through either an IDX feed (Internet Data Exchange) or VOW (Virtual Office Website). The main difference between IDX and VOW is that with the VOW more can be displayed, but it’s behind a login / password wall. The IDX feed shows information without having to register.
There are common or frequently asked questions read estate questions, or real estate FAQs, that arise for people buying or selling property here in Silicon Valley or the Central Coast, so I’ve assembled a list of real estate FAQs that I have written about here. Each link goes to an article on this website with more information.
Real estate FAQs relating to offers, contracts, etc.
Do you have a real estate FAQ that isn’t listed here? Please google the question with my last name, Pope-Handy, and there’s a good chance that I’ve addressed it here or on one of my other sites. Still no luck? Please shoot me an email and we can discuss it (and perhaps I’ll write about it).
If a buyer wants to view a property, does the listing agent have to show it to him or her outside of regular open houses? The answer might surprise you! Here’s a quick overview:
The listing agent and seller decide about showings that the listing agent is expected to do. Does the listing agent have to show it privately, or during open houses, or only on one weekend before offers are reviewed?
The listing agent will make showings possible for buyer’s agents with instructions on scheduling in the comments that members of the MLS can read.
In many cases, the real estate licensee working with the home seller will hold the property open for the public on the weekend and sometimes mid-week as well. It may or may not be the listing agent holding it open.
For safety reasons, many listing agents will not have private showings with buyers whom they don’t know and who aren’t clients of theirs. Realtors are harmed every year in the line of duty.
For agency reasons, a listing agent who plans to only represent the seller may not want to have an appointment with a buyer who plans to write the offer with someone else.
There are many other reasons why the listing agent will not personally show the home for sale outside of open house times, but may be able to arrange for the buyers to see it with another agent.
When does the listing agent have to show it?
The most important thing for buyers to understand is that the accessibility of the home for viewings depends upon the agreement, verbally or in writing, between the owner of the property and the agent/brokerage hired to market, negotiate, and sell the real estate as to whether or not the seller’s agent is obligated to show it privately.
It’s not an “on demand” situation where an interested buyer can insist on seeing the property as desired. To make an absurd point, no one would say “doesn’t the listing agent have to show it to me at 10 p.m.?” Without any thought, we know that’s unreasonable. (more…)
Helping nice folks to buy and sell homes in Silicon Valley
Mary Pope-Handy, Realtor ABR, CIPS, CRS, SRES
Christie's International Real Estate Sereno, Los Gatos, CA 95030 408 204-7673 Mary@PopeHandy.com License# 01153805
Clair Handy, Realtor
GREEN
Christie's International Real Estate Sereno 214 Los Gatos-Saratoga Rd Los Gatos, CA 95030 ClairHandy@sereno.com License# 02153633
Mary & Clair sell homes throughout Silicon Valley: Santa Clara County, San Mateo County, and Santa Cruz County. with a special focus on: San Jose, Los Gatos, Saratoga, Campbell, Almaden Valley, Cambrian Park.
The real estate search
Use this link to browse properties which are for sale, under contract (pending) or sold. Want to view only homes which are available now?
Mary Pope-Handy, Realtor ABR, AHWD, CIPS, CRS, SRES Christie's International Real Estate Sereno DRE License #01153805 408-204-7673 mary@popehandy.com “Helping nice folks to buy and sell homes in Silicon Valley since 1993”
Clair Handy, Realtor, GREEN Christie's International Real Estate Sereno DRE License #02153633 408-721-6160 clairhandy@sereno.com “Helping nice folks to buy and sell homes in Silicon Valley”
This is the Valley of Heart's Delight blog , covering Silicon Valley real estate - Santa Clara County, San Jose, Los Gatos, Cupertino, and nearby communities in the South Bay Area and lower Peninsula. Find info on neighborhoods, disclosure issues, buyer and seller tips, and housing market conditions in the west valley and most of the county.Please also see my other websites and real estate market statistics site, which are listed in the sidebar, above.
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Mary Pope-Handy, Realtor ABR, CIPS, CRS, SRES Sereno DRE License #01153805 408-204-7673 mary@popehandy.com
“Helping nice folks to buy and sell homes in Silicon Valley since 1993”
January is National Radon Action Month. If you are thinking that radon is just an “East coast thing”, think again! Let’s start with some quick links.
There are common or frequently asked questions read estate questions, or real estate FAQs, that arise for people buying or selling property here in Silicon Valley or the Central Coast, so I’ve assembled a list of real estate FAQs that I have written about here. Each link goes to an article on this website with more information.
