Dear Michael; I have a new cat and did not realize that my lease stated “no pets allowed.” I received a three-day notice letter from my landlord to “cure or quit.” Does this mean I will have to move out?
Answer: Unfortunately, yes, unless you are willing to get rid of your cat. You are in breach of contract. Landlords are adamant about their pet policies. If they allow one person to bend the rules, it causes other tenants to ask why they are not allowed. I suggest you speak directly to your landlord. Let him/her know that you did not realize that you were in breach of contract.
If you are on a month-to-month tenancy, give your landlord a 30-day notice. Reiterate that you were not aware of the pet policy and that you expect your entire deposit back unless some damages occurred, which will probably be deducted from your deposit.
Dear Michael: We were supposed to close escrow last week. The lender for the buyer keeps putting off loan documents. We are anxious and want to close. Can we cancel the escrow if the delay is lengthy? Do we have any recourse against the buyer?
Answer: Every situation is different, so I will cover a common situation.
If both buyer and seller agree to complete the transaction, everyone works to complete the transaction and close escrow as quickly as possible even if this means being late.
If the delay is only going to be a few days, there should be nothing to sign and no additional paperwork. If the delay is going to be longer than a week, it is best to have the escrow company prepare an amendment extending the escrow.
As long as all parties still want to proceed, the solution is fairly simple. Close in a few days or close with the option to extend with an amendment to cover the additional time needed. Be aware that the escrow period you set when the contract was agreed upon between buyer and seller is not set in stone. It is merely a date upon which all parties are striving to complete the transaction. Delays are usually no one’s fault but, rather, simply the normal operating issues that can affect a transaction: The lender made changes to the loan, the appraiser was late or needed an appraisal review that took an extra week, the termite work was not completed in time, the home inspector found repairs that took longer to fix, etc.
As you can see, there are many reasons why an escrow could be delayed. The bottom line is that before you can submit a “notice to perform,” you need to know why the delays occurred, and then ascertain where to go from there. But you simply cannot cancel an escrow just because the buyer is late on the closing.
Dear Michael: I have a friend who is a Realtor and I would like to list my property with her. She quoted me a price that I feel is too low and another agent suggested a price more in line with my expectations. Who do I choose?
Answer: Before making any decision I suggest you consult at least three Realtors for the market value of your home. Most price comparisons should be in the same ballpark. It could be that your friend is being more honest with you about the value of your home. Other Realtors may have given you a higher listing price because they already knew you expected it and wanted to secure the listing by telling you what you want to hear. This is called “buying a listing.”
Or it could simply be that your friend is a good friend but not that great of a real estate agent. Mixing business and friendships is often risky to a friendship.
On the other hand, if your friend is truly competent and was providing wise advice, she may be the right agent for you. This is a decision you simply will need to make on your own. Good luck.
Dear Michael: The buyers for our home have asked us to pay for a home warranty. Is this customary?
Answer: Home warranties offer you protection for a specific period of time (e.g., one year with an option to renew at buyers cost) against potentially costly problems like unexpected repairs on appliances or home systems, which are not covered by homeowner’s insurance. Warranties are becoming more popular because they offer protection during the time immediately following the purchase of a home; a time when many people find themselves cash-strapped.
It is a good idea to buy a home warranty for the buyer. The cost for coverage on a three -bedroom house should not exceed $500 for one year and this will also reassure the buyer that items that do not function during ownership will be covered by the warranty company.
Michael Kayem is a Realtor with Re/max/Execs, serving Culver City and the Westside since 2001. Contact him at (310) 390-3337 or homes@agentmichael.com.