=<\/p>\n
\ub77c\uad6c\ub098 \uc6b0\uc988 \ube4c\ub9ac\uc9c0<\/p>\n
MAY 3, 2023 SPRING REAL ESTATE FORUM<\/p>\n
QUESTIONS SUBMITTED BY REALTORS<\/p>\n
GENERAL\/OTHER<\/p>\n
For Sale\/For Lease sign policy: We are seeing many more noncompliant realtor signs in the<\/p>\n
Village. Many Laguna Woods Village realtors went to great expense to redo all their signs<\/p>\n
when the updated orange signs became a requirement. It does not appear to be enforced<\/p>\n
anymore based on the number of noncompliant signs being used throughout the Village.<\/p>\n
Real estate sign policies are being enforced; however, it may be a challenge to catch all signs<\/p>\n
that are not compliant. If you see a nonstandard sign, please notify Security at 949-580-1400<\/p>\n
Issues with realtors who live in the Village telling residents that only they can serve them.<\/p>\n
This is incorrect. However, all potential clients\/sellers\/buyers must educate themselves about<\/p>\n
the resale process and avoid misinformation.<\/p>\n
Can we get accountability for owners who become landlords to not be slumlords?<\/p>\n
No association rules apply here. Tenants should not enter into contracts if the premises and\/or<\/p>\n
the terms and conditions of the written agreement are unacceptable.<\/p>\n
I know the number of leased homes in Laguna Woods Village can’t exceed 30%. Can the<\/p>\n
Resales Division provide timely updates of the current percent leased?<\/p>\n
Staff is exploring the possibility of posting the lease activity percentages to the community<\/p>\n
website weekly.<\/p>\n
Can we have some sort of system for realtors to be able to call in just a few people each<\/p>\n
weekend for open houses? It is not always easy to go back and forth to the gate, especially for<\/p>\n
furnished homes. If clients mention at the gate they are going to an \u201copen house,\u201d the gate<\/p>\n
guard will sometimes still make us come to get them even if the owner has called them in.<\/p>\n
A new process is being implemented that will enable potential buyers to notify the gate<\/p>\n
attendant that he\/she\/they want(s) to visit an open house. The potential buyer should have the<\/p>\n
property address and the agent\/brokerage name, and present a valid driver’s license. The<\/p>\n
potential buyer will be given a short form to complete and will be granted access.<\/p>\n
Are roommates allowed?<\/p>\n
United Laguna Woods Mutual and Third Laguna Hills Mutual allow co-occupancy with an<\/p>\n
owner\/member so long as no landlord-tenant relationship existed. Now, with the passage of<\/p>\n
Civil Code \u00a7 4739, United and Third are reviewing revised policies and applications that permit<\/p>\n
an owner who resides in his\/her\/their unit to collect rent from a co-occupant. We anticipate<\/p>\n
Third Mutual will implement a policy on or about July 18. United Mutual should have its policy in<\/p>\n
place later in the year.
\n7. How is the fee calculated for lost stock certificates in United?<\/p>\n
The acquisition of a lost instrument bond is handled by a third-party insurance\/bond company.<\/p>\n
Historically, the premium for a lost instrument bond has never been more than 1.8% of the<\/p>\n
current market value.<\/p>\n
Do you have a complete explanation of how taxes are calculated in United upon a sale,<\/p>\n
specifically how is the supplemental tax portion handled?<\/p>\n
Staff anticipates inviting a panelist to speak at the October real estate forum on this matter.<\/p>\n
When can we begin to have regularly scheduled real estate forums?<\/p>\n
We began real estate forums in 2023 and will continue with these events in 2024.<\/p>\n
10<\/p>\n
Is it possible to notify the local escrow offices of important HOA membership changes as they<\/p>\n
occur?<\/p>\n
Yes; staff is working harder to improve communications and may revisit posting regular bulletins<\/p>\n
on the community website.<\/p>\n
11<\/p>\n
Financial qualifications\/assets: If you own a $500,000 home outside the community, and owe<\/p>\n
$200,000, why is the available equity only $100,000 and not $300,000 to purchase a unit in the<\/p>\n
community?<\/p>\n
There may be a misunderstanding here. Staff would calculate $300,000 equity in your scenario.<\/p>\n
In order to avoid any future misunderstanding, please email resalesrequirements@vmsinc.org<\/p>\n
for additional details.<\/p>\n
12<\/p>\n
VMS charges an additional $2\/person from clubs serving dinners at their meetings.<\/p>\n
This is a facility fee for the caterer, who is using kitchen facilities and equipment to prepare a<\/p>\n
meal for the club or private party. The facility fee is charged for the use of GRF\u2019s facilities,<\/p>\n
equipment and utilities. Caterers sign an agreement acknowledging this fee.<\/p>\n
13<\/p>\n
Why are stepping stones required to be removed?<\/p>\n
The mutuals have adopted landscaping policies that require stepping stone installation to be<\/p>\n
approved by the mutuals\u2019 boards of directors through a variance request prior to installation. No<\/p>\n
unauthorized\/hazardous walkways or other avenues of pedestrian traffic may be installed,<\/p>\n
either through the placement of stepping stones or otherwise, that may interfere with<\/p>\n
community landscaping maintenance operations or may pose a threat to the health, safety or<\/p>\n
well-being of residents, guests or employees. The existence of stepping stones under these<\/p>\n
conditions is prohibited, and they will be removed. A member wishing to install stepping stones<\/p>\n
must fill out the required landscape request form and submit it to Resident Services<\/p>\n
(residentservices@vmsing.org; 949-597-4600).<\/p>\n
14<\/p>\n
Let’s correct unnecessary waste, as we find it not practical.<\/p>\n
VMS strives to continually enhance processes, including reducing and eliminating waste<\/p>\n
wherever possible.
\n15. Board questions\/garage door fronts: | understand there was a massive garage door change<\/p>\n
out many, many years ago (before | moved here … 2023). All of a sudden they are asking for<\/p>\n
ATF (after the fact) permits for the door changeout at time of sale. Somebody should check<\/p>\n
those records from eons ago.<\/p>\n
Garage doors are addressed on a case-by-case basis. If the door is verified that it qualifies as<\/p>\n
\u201cgrandfathered,\u201d then it will be grandfathered. If it is verified that the seller and listing agent<\/p>\n
tried to circumvent the Manor Alterations approval procedure, both the seller and listing agent<\/p>\n
will be liable for a fee after the fact.<\/p>\n
16<\/p>\n
What does “At the board’s discretion” actually mean?<\/p>\n
Per the definition of discretionary\/discretion, it means \u201cthe right to decide something based on<\/p>\n
one\u2019s own judgment.\u201d In this case, it\u2019s the board’s judgement.<\/p>\n
GRF TRUST FACILITIES FEE<\/p>\n
1. Please break down the current $7,500 fee. What is it used for? Is it just a moneymaker for<\/p>\n
GRF?<\/p>\n
The trust facilities fee is used for GRF operating requirements to maintain the amenities that<\/p>\n
make Laguna Woods Village unique.<\/p>\n
Please review the $7,500 GRF fee rules when a buyer is making a second purchase or selling<\/p>\n
one property and buying another replacement. There is conflicting information about when<\/p>\n
this fee can be waived for an existing owner.<\/p>\n
If a buyer is purchasing a second property, the GRF fee is due and payable. However, this fee is<\/p>\n
waived for those who are purchasing a replacement property if the sale and new purchase are<\/p>\n
coordinated and the first property has been owned for at least two years.<\/p>\n
We have confused sellers regarding whether the GRF facility fee is payable again if they sell<\/p>\n
and purchase a new home. Several buyers may not have purchased their dream home during<\/p>\n
COVID and may be selling and repurchasing. The resolution seems to say it is waived if two<\/p>\n
years of residency are established, but we are now being told that is not true.<\/p>\n
If a buyer is purchasing a second property, the GRF fee is due and payable. However, this fee is<\/p>\n
waived for those who are purchasing a replacement property if the sale and new purchase are<\/p>\n
coordinated and the first property has been owned for at least two years.<\/p>\n
INSURANCE\/LOANS<\/p>\n
Due to the recent disclosure that the condos in Laguna Woods Village are underinsured by<\/p>\n
about $1 billion. What is being done to remedy that, and how will it impact the HOA? fees?<\/p>\n
The insurance industry, like the real estate industry, has cycles. The boards of each corporation<\/p>\n
are researching options, seeking expert opinions as to the maximum probable loss coverage<\/p>\n
and are considering purchasing insurance together to benefit from economies of scale. The<\/p>\n
issue is not unique to Laguna Woods Village and is adversely affecting real estate sales across<\/p>\n
the nation.
\nIf you have any recent information about how the communities are dealing with the \u201clack of<\/p>\n
coverage\u201d issue with Fannie Mae, it would be appreciated.<\/p>\n
Nonwarrantable loans are being made to complete condominium purchases. The insurance<\/p>\n
industry, like the real estate industry, has cycles. The issue is not unique to Laguna Woods<\/p>\n
Village and is adversely affecting real estate sales across the nation.<\/p>\n
Could you speak about the insurance coverage for the condos and co-ops?<\/p>\n
VMS Risk Manager Dan Yost made a presentation at the Spring Real Estate Forum about the<\/p>\n
property insurance coverage for the community and the need for residents to secure additional<\/p>\n
coverage for the interior of their unit.<\/p>\n
Are VA loans available in Third Mutual?<\/p>\n
Yes, to the best of our knowledge VA loans are still available in Third Mutual.<\/p>\n
What type of loans are available in Third Mutual?<\/p>\n
Nonwarrantable loans are available as well as private investor reverse mortgages.<\/p>\n
Is there any progress in loans for stock cooperatives?<\/p>\n
An ad hoc committee is researching and preparing a private lender policy. We are hoping to<\/p>\n
provide an update at the July 19 forum.<\/p>\n
Do the boards realize that the long-term effects of \u201cno loans\u201d available for either stock<\/p>\n
cooperatives or condominiums will impact the long-term prospects of existing home owners<\/p>\n
staying in their current homes?<\/p>\n
Yes; there are consequences for circumstances that are beyond the boards\u2019 control. This is a<\/p>\n
national\/statewide problem.<\/p>\n
When insurance is renewed, will the cost increase?<\/p>\n
Yes.<\/p>\n
RESALE PROCESS<\/p>\n
ALTERATIONS<\/p>\n
1. Getting repairs done to co-ops prior to close of escrow.<\/p>\n
Any alterations made by a current or previous member(s) must be repaired, approved or<\/p>\n
removed prior to the close of escrow at the member’s expense. Once a member decides to sell<\/p>\n
the unit, they must order a resale inspection as soon as possible to give themself time to make<\/p>\n
any required corrections. Any emergency service will be repaired prior to the close of escrow.<\/p>\n
Any repairs identified as the mutual\u2019s responsibility will have a ticket opened and repairs will be<\/p>\n
performed post escrow. However, sellers may accomplish repairs prior to opening escrow.<\/p>\n
During the escrow period, sellers are repeatedly getting notices of HOA involvement. To me,<\/p>\n
that’s a waste of employee time. If an item has been corrected, then the owner\/agent should<\/p>\n
be notified, not during the process or corrections.<\/p>\n
Thank you for your input.
\n3. Can a program be created for buyers to take care of alterations after the sale?<\/p>\n
No. There is no way to guarantee the new member will honor the obligation of the alteration<\/p>\n
repairs.<\/p>\n
INSPECTIONS<\/p>\n
4<\/p>\n
Inspectors should include and submit photos with the first and final inspections with the<\/p>\n
report to the agent.<\/p>\n
All documented alterations are photographed and filed, and are available upon request by the<\/p>\n
member or the member’s listing agent.<\/p>\n
Can we get pictures of first inspection items that need to be corrected?<\/p>\n
All documented alterations are photographed and filed, and are available upon request by the<\/p>\n
member or the member’s listing agent. The corrections list features three areas: 1.)<\/p>\n
documented alterations with those noted that need to be repaired, 2.) emergency service<\/p>\n
events that need to be fixed before the close of escrow and 3.) standard service tickets for<\/p>\n
regularly scheduled maintenance occur post escrow.<\/p>\n
First inspections are coming in with water intrusion in process. | had four co-ops this month<\/p>\n
alone that had already been complete\u2014HOA is just not processing. Two of the sellers did not<\/p>\n
even know it was a problem. Escrow can\u2019t close until that department clears or sends the<\/p>\n
dollar amount. It shouldn’t take 45 days, let alone months, to get something cleared. Escrow<\/p>\n
says the HOA does not expedite clearance of water intrusion for escrows. Two departments<\/p>\n
are not communicating.<\/p>\n
Damage restoration events or possible pending charges are sent to the top of the queue as<\/p>\n
soon as the department is notified that the manor is in the resales process. Some of the events<\/p>\n
are more difficult than others and require some time to clear. Also, if an incident occurs during<\/p>\n
the resales process, it still heads to the top of the list for action. In these cases, we are bound<\/p>\n
by law to follow procedures for handling hazardous materials, which can cause delays. Both<\/p>\n
situations require cooperation with the seller and at times can pose significant challenges.<\/p>\n
Both Third Laguna Hills Mutual and United Laguna Woods Mutual have recently established<\/p>\n
teams to clear the backlog of damage restoration reimbursement cases. As these teams<\/p>\n
progress in their efforts, the frequency of these delays should decline.<\/p>\n
If a buyer is remodeling immediately, the replaced new screen is a waste of money. Can we<\/p>\n
have this issue (like nonstandard landscaping) if the buyer signs a document stating they will<\/p>\n
replace new windows after close of escrow?<\/p>\n
There is no guarantee the new member will replace windows and screens in a timely fashion.<\/p>\n
However, although Manor Alterations cannot refer a specific contractor, they can suggest<\/p>\n
multiple glass and screen-repair companies to the listing agent.
\n8. Can we get regular automatic updates for the progress of inspections?<\/p>\n
Staff performed beta testing to provide automated updates through the escrow process.<\/p>\n
Unfortunately, our current software system does not filter certain confidential information. At<\/p>\n
this time, our software capabilities prohibit us from fulfilling this request. However, the seller or<\/p>\n
the listing agent can contact the Manor Alterations Division (alterations@vmsinc.org; 949-597-<\/p>\n
4616) and\/or Resales Inspections (resalesinspections@vmsinc.org) for any updates.<\/p>\n
RESALE PACKAGE<\/p>\n
9<\/p>\n
Is there a flow chart of the process of when escrow submits a buyer\u2019s packet for board<\/p>\n
approval? If not, why not?<\/p>\n
Staff is in process of creating a flow chart.<\/p>\n
10<\/p>\n
Who actually reviews the resale package first after escrow submits it to check for missing<\/p>\n
documents?<\/p>\n
The membership counselor is the first to review the resale package for completeness and<\/p>\n
adherance to mutual policies when the application is being processed.<\/p>\n
11<\/p>\n
Who decides which board members review the buyer’s resale package?<\/p>\n
Three board members review completed resale packages, based on a rotating weekly schedule<\/p>\n
prepared by the board.<\/p>\n
12<\/p>\n
Who and how many times does someone touch the resale package?<\/p>\n
Five staff members in the Community Services Division, i.e., membership counselors, the<\/p>\n
administrative specialist, supervisor and manager, interact with the package. Details will be<\/p>\n
provided when the flow chart is complete.<\/p>\n
13<\/p>\n
Where is the buyer\u2019s resale package and financial information kept, once approved\/rejected?<\/p>\n
Resale packages are kept in a locked cabinet and, upon approval, are scanned into an encrypted<\/p>\n
internal archive. If rejected, the paperwork is retained for at least six months and is ultimately<\/p>\n
shredded.<\/p>\n
14<\/p>\n
Who has access to that (resale package) information?<\/p>\n
Community Services staff, i.e., membership counselors, the administrative specialist, supervisor<\/p>\n
and manager.<\/p>\n
15<\/p>\n
Have the board members who review the resale package been trained and understand their<\/p>\n
fiduciary duties toward buyer and seller? Are board members bonded?<\/p>\n
Yes; director training occurs annually. As required by California Civil Code \u00a7 5806, VMS<\/p>\n
purchases a fidelity\/crime policy annually. This is in addition to D&O insurance, which protects<\/p>\n
the corporation against loss by employees and\/or directors.<\/p>\n
16<\/p>\n
How does a buyer know if the board member reviewing their financial package is or is not<\/p>\n
their neighbor or live in the neighborhood? This should be considered when reviewing resale<\/p>\n
packages.<\/p>\n
The buyer does not know which board members review the resale package.<\/p>\n
6
\n17. Can a program be created to allow buyers\/sellers to track progress of the resale process?<\/p>\n
VMS is in process of developing an email notification system to inform escrow and realtors of<\/p>\n
resale package status. Staff hopes to have an announcement at the July 19 forum.<\/p>\n
18<\/p>\n
Who in the Resales Division can answer questions as they arise for special circumstances<\/p>\n
during a real estate transaction?<\/p>\n
Realtors may email resalesrequirements@vmsinc.org or call Community Services Manager<\/p>\n
Pamela Bashline at 949-268-2333.<\/p>\n
19<\/p>\n
If a buyer accepts nonstandard landscaping, will it be okay for HOA resale application<\/p>\n
process?<\/p>\n
Yes; however, any existing fruit trees in Third Mutual’s common area will be removed during<\/p>\n
the resale process.<\/p>\n
WASHER\/DRYERS<\/p>\n
Update us on the installation of washer\/dryers in the three-story buildings. | have been<\/p>\n
told this is now allowed? What is required for owners to install a w\/d? Is it for all units or<\/p>\n
only units on the first floor?<\/p>\n
This is not currently allowed in Third Mutual three-story buildings, even with a variance.<\/p>\n
However, it is currently under review.<\/p>\n
What is the proper procedure for installing washer\/dryers in three-story buildings.<\/p>\n
Currently, installing wasther\/dryers in three-story buildings is not an approved alteration or<\/p>\n
allowed at this time.<\/p>\n
WATER HEATERS<\/p>\n
For three-story buildings, is there a 10-year replacement policy due to old pipe lines?<\/p>\n
The selling member is required to replace the water heater if it is over 10 years old. The listing<\/p>\n
agent should look at the age of the water heater and instruct the member to submit a<\/p>\n
chargeable service request before ordering the first resale inspection.<\/p>\n
Single or garage-attached units are no danger to neighboring units, why should we need to<\/p>\n
replace water heater for those units?<\/p>\n
The selling member is required to replace the water heater if it is over 10 years old. Mutual<\/p>\n
members may address this question with the appropriate board of directors to request a<\/p>\n
change to the water heater standard.<\/p>\n
Board members need to sell their condos eventually. Do they agree with this unnecessary<\/p>\n
water heater practice, and sellers will have these expenses in the future?<\/p>\n
Every member must adhere to the mutual\u2019s water heater standard. The average cost of damage<\/p>\n
from a water heater leak is $2,500 to $25,000.<\/p>","protected":false},"author":2,"featured_media":0,"template":"","document_category":[1712],"document_type":[53],"class_list":["post-49456","document","type-document","status-publish","hentry","document_category-realtor-forum-qa","document_type-other"],"acf":{"document":47291,"resolutions":null,"legacy_id":"8378","pdf_extracted_text":""},"yoast_head":"\n