Dear Michael: As 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 minutes are where you will find all information on any 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 Make sure you read the minutes attentively, if they are outdated; ask the board or the management Co. for the most recent minutes. As the buyer, you must approve all the HOA documents in order to move forward with your purchase. If you are within your contingency period and you disapprove the HOA documents then you are within your right to cancel the purchase.
Dear Michael: We are 2 adults with 3 children living in a 2-bedroom condo. We have sizeable equity and would like to move up to a larger home in the same area. Unfortunately, we cannot afford the current prices of homes in our area.
Answer: This is a very difficult decision to make, there are two very simple answers. You can either buy a new home and move out of the area or remain overcrowded and stay put where you are. With the higher price of a larger home and an increase on your property taxes, your monthly payments could be a financial bind on you and your family. You are the only ones who can make this difficult decision.
Some sacrifice will have to be made: this may mean a longer commute to work, a change of school for the kids and making new friends. Whatever your decision is, it is a difficult one. I suggest you consult with your relatives.
Dear Michael: I am relocating to the east coast for 2 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. As a landlord myself, I would love to say that all tenants are good, and for the most part they are. In order to avoid having a bad tenant you will need to research before renting out your home. Consider these steps to ensure a good tenant for your home: Check credit score; this can be done over the internet, if the score is lower find out why. I once had a tenant who had a lower score because of lack of owned credit card, fortunately this tenant ended up being one of my best tenants. Call the previous landlords, this is a sure way to get some history about your prospective tenant and will also ensure confidence in your decision. Check employment, ask for pay stubs or tax returns. Make sure the tenant is working and making enough money to afford paying your rent. A tenant who cannot afford the rent will give you headaches and constantly be late. These few steps will help you avoid the worst scenario.
Dear Michael: My husband and I are buying our first home and would like to know how we should hold Title?
Answer: There are 3 common ways to hold title in the state of California: 1) “Community Property” 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% of the title. 2) “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. Last surviving Joint Tenant owns entire property interest which is devisable by will. 3) “Tenants in Common”- Any number of person and/or corporations and partnerships. Equal right of possession: where each co-owners 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
