Dear Michael: We are in escrow on a condo, how can we find out if there are any pending special assessments?
Answer: When purchasing a condo escrow will order all documents pertaining to the HOA (home owner association). The meeting minute is where you will find all information on any proposed pending assessments. The seller must also disclose any knowledge of assessment that he or she is aware of. Make sure you read the minutes attentively, if they are outdated; ask the HOA Board or the management company for the most recent minutes. The buyer should approve all HOA documents. This is one of your contingencies. If you disapprove the HOA documents within your contingency period then you are within your right to cancel the purchase.
Dear Michael: We are two adults with three children living in a two-bedroom condo. We have good equity and would like to move up to a larger home in the same area. We want to stay where we are but unfortunately we cannot afford the prices of homes in our area.
Answer: This is a very tough decision to make but fortunately there are two very simple answers: You can either buy a new home and move out of the area or be overcrowded and stay where you are. With the higher price of a larger home and higher cost of property taxes, your home monthly payments could possibly reach a financial burden for you and your family. You are the only ones who can make this decision. You do not want to put yourself in a financial strain. If you decide to move, you will have to factor a longer commute to work and a change of school for the kids. If you stay put, you will stay happy with all your current amenities but perhaps overcrowded! Whatever your decision is, it is a difficult one. But can only be made by you and your family.
Dear Michael: I am relocating to the east coast for two years and want to rent out my home; I am worried about finding the right tenant. What steps should I take to find the right tenant?
Answer: You will be taking the responsibility of becoming a landlord. Most tenants are reliable and good but unfortunately one bad tenant can cause you much aggravation. To avoid a bad tenant you will need to thoroughly research your applicants before renting out your home. A few steps to consider in order to ensure a first-class tenant for your home: Check his/her FICO credit score; this can be done over the internet, if their score is lower then 650 find out why. I’ve had tenants who had lower scores given their lack of credit cards ownership. They ended up being great tenants. Call all previous landlords, this is a way for you to get some history about your prospective tenant and will also ensure confidence with your decision. Check employment: ask for pay stubs and employment verification letters. This will affirm that they are working and making sufficient income to afford paying your rent. A tenant who has good credit but cannot afford the rent will be a nuisance to you. Follow these steps and you should have no problem approving the right applicant.
Dear Michael: My husband and I are buying our first home and would like to know how we should hold Title?
Answer: There are three main ways to hold title in the state of California: Community Property is where with right of survivorship-husband and wife, both have equal management and control. Community property requires written consent of other spouse or conveyance by deed. Surviving spouse owns 100 percent of the title. Second is Joint Tenants; any number of persons, can be husband and wife alone or with others. No corporation, no partnerships, equal right of possession by all parties. The last surviving joint tenant owns entire property interest, which is devisable by will. Last is Tenants in Common where any number of person and/or corporations and partnerships. Equal right of possession is where each co-owner’s interest may be conveyed separately. Heirs or devisee become Tenants in Common with other owner. To find out more about which method you should hold title, please consult a real estate attorney.
Michael Kayem is a Realtor with Re/max Estate Properties serving Culver City and the Westside since 2001. You can contact Michael with your questions at 310-390-3337 or e-mail them to him at: homes@agentmichael.com.
