Selling property can be extremely stressful for all parties involved. At Coachella Valley Escrow, we strive to provide helpful information and resources to buyers, sellers, and agents. One such helpful resource we would like to discuss is Real Estate Concierge Services. The Concierge, as a third party, takes on many forms for the buyer and seller. This blog will focus on Property Management for the seller.
Property Management ensures that the house looks as good as it possibly can, and that the property has been well-maintained while it’s on the market. It is important, especially during an Open House, that the home and property are in good condition and don’t appear to be neglected. A well maintained house can be the difference of a few hundred thousand dollars or more on the offer from a buyer.
We recently spoke with Laura Doughty of Monarch Estate Management about Concierge Services and how it can help REALTORs when listing a property. A resource once forgotten, Monarch Estate Management delivers services that enhance properties and enhance relationships with clients. Laura answered our questions below:
What do Concierge Services mean to the REALTOR?
You want to work with someone who knows the property well and who you can trust to deliver services to ensure the property looks as good as it possibly can. Clients will appreciate these services. With just one call, one person can gather the vendors and arrange everything on your behalf. Concierge Services coordinate remodel projects, schedule your vendors and facilitate all parties involved. You have a long-standing friend in concierge services for the new buyer. Once the buyer is in the house, we continue that relationship and keep the lines of communication open with the REALTOR. There is an investment from each party in the house and we are there to make sure the investment grows and gets better for everyone.
How does Concierge Services affect Escrow?
Actually, given instructions, this type of service can be paid through escrow. Providing services through escrow gives a smooth, consistent transaction for all parties. From being a part-time personal assistant for the buyer to coordinating inspections and delivering valuable paperwork in a timely manner, it can easily be included in the listing offering as a service. It most definitely sets a listing apart when being able to promote this level of lifestyle concierge assistance.
What if a property is in escrow for a long time, been on the market a while, or a sitting REO?
It’s all about consistency. You have the assurance of someone overseeing the house and making sure everything stays in order. If anything comes up last minute or unexpectedly, we have the tools to address any situation with our staff and long-time relationships with our vendors.
Concierge Services go hand in hand with leases as well. Providing this extra touch would make any agent memorable. Concierge Services also handle client needs from basics like grocery shopping, housekeeping and dry cleaning to last minute concert tickets, party planning, or fixing the BBQ grill! Every property has things that can go wrong, and these services have the resources to fix any problems that may arise.
Malibu Management is a Property Management Company in Malibu that has been in business since 1998. If you have any questions about their services please feel free to contact them at 310-317-6794 or at info@monarchestatesandhomes.com.
Concierge Services Serving the Coachella Valley:
MCK Executive Services
Wrosch Real Estate
One of the common documents a borrower may encounter in escrow is the “Notice of Right to Cancel.” This document is also referred to as the “rescission document” or the “3-day Notice of Cancellation.” This notice will be found in the loan document package, and it states that the borrower can cancel or rescind their loan transaction within three business days after signing the loan documents. Confusion arises for borrowers as to when the right to cancel applies, and if so, exactly what day the borrower can rescind their approval of the loan transaction.
When does the right to cancel apply?
The right to cancel applies to refinances or “home equity lines of credit” extended on a borrower’s “primary residence.” The right to cancel does not apply to borrowers who are purchasing a home, borrowers who are refinancing their second home, or on investment or rental properties.
Understanding the important dates on the document.
There are two important dates on the document. The first is the date of signing. The second is the rescission date, or final date to cancel. When the lender prepares final loan documents for an anticipated signing, he may indicate these dates by printing them in advance for the borrower on the Notice of Right to Cancel. However, many lenders prefer to leave the dates blank on the document because the exact date of signing may not be known. In this case, the lender may print instructions on the document for determining the correct dates, or the lender may insert an instruction sheet into the loan package with the Notice of Right to Cancel. If the dates are already printed on the document in advance, but are incorrect, the instructions will provide information on how to properly correct, or how to properly interpret the dates to determine the rescission date.
Determining the rescission date.
The borrower has the right to cancel until midnight on the third day after signing. To determine the correct rescission date after signing, the borrower or his qualified escrow and loan document-signing agent (Notary Public) will count three days beginning with the first day following the signing date (the transaction date is not counted). Sundays and legal federal holidays are not counted, and are therefore skipped. Saturdays are counted because banks conduct lending business on this day. To help with the determination of the correct rescission date, free “rescission calendars” are available and can be found via the Internet.
Each petal on the shamrock brings a wish your way -
For good health, good luck, and much happiness
Today and every day. ~ Author Unknown
We are lucky to have such a loyal following on the Coachella Valley Escrow blog. We thank you for your continued readership and the feedback you provide. Happy St. Patrick’s Day from all of us at CV Escrow!
Several new laws affecting the real estate industry became effective this year. In a previous post, we discussed SB 1149: Foreclosure Protection for Tenants, where a landlord is prohibited from harming a tenant’s credit score by revealing unlawful detainer records, unless the landlord prevails in court, and AB 1809: Energy Efficiency Audit in Home Inspection Report, where a home inspection and inspection report may include a Home Energy Rating System (HERS) home energy efficiency audit if requested by a client.
In this series of posts, we will highlight and give an overview of the other laws that also went into affect in January.
Adverse Possession Claim Requires Timely Payments
For a claim of adverse possession, existing law requires proof that taxes have been paid on the property for a five-year period. Effective January 1, 2011, Assembly Bill 1684 will further require that all state, county, or municipal taxes have been certifiably paid in a timely manner for the five-year period the property has been occupied and claimed. Read More
MLO Requirements
Effective January 1, 2011, Senate Bill 1137 requires those who act as a mortgage loan originator (MLO) to hold a MLO license endorsement issued by the Department of Real Estate (DRE) in order to be employed or compensated by a real estate broker. Those who act or advertise themselves as an MLO without a DRE MLO endorsement is guilty of a crime punishable by a $20,000 fine, six months imprisonment, or both. Corporations acting as an MLO without the endorsement by the DRE are punishable by a fine of $60,000. Read More
Several new laws affecting the real estate industry became effective this year. In a previous post, we discussed SB 931: Short Sale Deficiency Protection for Sellers, in which lenders who have agreed to a short sale will not have the ability to obtain a deficiency judgment against the seller after the short sale is completed (applying only to first mortgage loans).
In this series of posts, we will highlight and give an overview of the other laws that also went into effect in January.
Foreclosure Protection for Tenants:
Senate Bill 1149 states that tenants that remain in a property after is has been foreclosed must be provided a notice of their statutory rights for one year, and must be explained in a separate cover sheet or included in a 90-day termination notice. This law also prohibits a landlord from harming a tenant’s credit score by revealing unlawful detainer records, unless the landlord prevails in court. Read More
Energy Efficiency Audit in Home Inspection Report
Effective January 1, 2011, a home inspection and inspection report may include a Home Energy Rating System (HERS) home energy efficiency audit if requested by a client. The inspection may be performed by a home inspector who meets the HERS regulations requirements. REALTORS are encouraged to provide the HERS booklet that explains the statewide HERS program to residential buyers. Read More
CV Escrow is pleased to announce the opening of our new office in Rancho Mirage, California. Since opening our doors in October 2005, CV Escrow has expanded throughout the Coachella Valley, and remains committed to providing outstanding escrow services as we open our fourth location.
CV Escrow’s David Lehmann will be heading the escrow division in Rancho Mirage. David brings more than 20 years of experience to the desert community along with an exceptional level of customer service. His background in a wide variety of escrows has contributed to a wealth of knowledge and understanding that has earned a loyal client list including banks, Realtors, sales agents, and brokers. “I love the dynamics of working with buyers and sellers”, David noted, “Our team here at CV Escrow all work together to ensure the best possible customer experience.”
To learn more about how David can help you, please feel welcome to stop by. He can be reached at:
CV Escrow, Rancho Mirage Office
71-691 Highway 11
Rancho Mirage, CA 92270
Phone: 760-564-0281
Fax: 760-340-9036
dlehmann@coachellavalleyescrow.com
For more information about CV Escrow, please visit www.coachellavalleyescrow.com, and www.facebook.com/cvescrow.
When purchasing a home, lenders will require home buyers to purchase Private Mortgage Insurance on FHA loans because their down payment is less than 20% of the value of their new home. This insurance allows borrowers with less cash to purchase a home with smaller down payments, and it also protects lenders if a borrower were to default on a loan. Borrowers will pay a monthly fee for their Private Mortgage Insurance in addition to each month’s mortgage payment.
There are two ways to pay for the Private Mortgage Insurance Premium (MIP): (1) out of pocket, or (2) financed by the lender. When the borrower is presented with the estimated settlement statement at the close of escrow, the MIP premium is always reflected in a line item as a debit (“charge”) to the buyer, regardless if it has been financed by the lender or not. This is to ensure that the proper amounts of the financed funds are allocated correctly toward the purchase price and the MIP premium. See examples below:
1. Estimate Closing Cost with MIP paid out-of pocket:
2. Estimated Closing Costs with MIP financed by lender:
It is important to remember that the MIP premium will always be reflected as a line item “debit” even if it is being financed by the lender. The “Funds required” line item will reflect the actual amount needed from the buyer prior to the close of escrow.
In every purchase/sale of Real Estate, a Preliminary Change of Ownership Report (PCOR) must be filed. The PCOR must be filed for other types of transfers as well, but in this blog we will consider only purchase/sale transactions. After opening escrow, a buyer can expect to find the PCOR in the opening document package.
What is the PCOR?
Ordinarily, at the time of transfer when sales of property are recorded via the grant deed with the county recorder, the grantee (buyer) fills out and files a PCOR. It is a two-page questionnaire requesting information on the property, principals involved in the transfer, type of transfer, purchase price, and terms of sale.
The PCOR normally satisfies the change of ownership reporting requirements unless the form is returned incomplete. The PCOR is to be completed, signed and certified by the buyer, as the buyer is signing the document under penalty of perjury. It is then filed in the county recorder’s office for the county where the property is located. The county assessor may also request other information about a deed or other matters related to the transfer after reviewing the PCOR. The PCOR is confidential and is not available for public inspection.
What is the purpose of the PCOR?
Each county assessor’s office reviews all recorded deeds for that county to determine which properties require reappraisal under the law. Once the county assessor has determined that a change of ownership has occurred, Proposition 13 requires the county assessor to reassess the property to its fair market value as of the date of ownership change. The PCOR is important to this process and it must be filed at the time of recording, otherwise an additional $20 recording fee will be assessed.
If the PCOR is not filed at the time of recording, the county assessor will send a Change of Ownership Statement (COS) to the transferee (buyer). If the COS is not filed by the transferee within 45 days of the county assessor’s request, then penalties can ultimately range from $100 to $2,500.
Understanding how to complete the PCOR
The section at the top of the first page of the document is used to identify the buyer (transferee) and seller (transferor), and the property being transferred. The information may be typed in the areas provided. Enter this information as it appears correctly on the grant deed. Be sure to enter the 10-digit Assessor’s Parcel Number (APN), which can be found in the title report provided by the escrow officer, and is also usually also found on the buyer’s purchase contract for the property. Also enter the mailing address to which property tax notices are to be sent.
Part I of the PCOR is used to provide transfer information, and it can be confusing. The assessor uses the information in this section to determine if the transfer may be excluded from reassessment. If a buyer has questions about Part I, the county assessor’s office can be contacted for assistance, or the buyer’s real estate agent or escrow officer may be consulted. Parts II, III, and IV of the document will help the county assessor better understand the nature of the transfer and the purchase price.
Finally, the buyer’s name must be printed at the end of the form, and the buyer must sign it to certify that the information provided is true and correct.
From all of us at Coachella Valley Escrow, we wish you health, comfort, and prosperity this holiday season.
May your home be filled with the joy of family and friends.
Merry Christmas!!
Tuesdays, here at the Coachella Valley Escrow website, we post Technology Tips designed to help you, the REALTOR®, grow your business, keep up to date on the latest technologies, and move you forward into the new era of real estate.
Facebook. You’ve heard all about it. You may even have a profile, but you’re still not sure how you should use it to help market and promote your business…
Now is the time to focus on making Facebook marketing a part of your New Year’s Resolution. We’ve found an excellent website that is offering Facebook marketing tips for Realtors every day in the month of December! Just in time to get your Facebook marketing strategy geared up for the New Year.
Pixel Coaching will teach you everything you need to know about how to use Facebook as a Real Estate business development tool.
Topics covered so far have included:
- Privacy: How to protect/filter your posts
- Engagement: How to encourage interaction with your Facebook Page
- Pages: Creating a unique landing “tab”
- “Poking”: How to use this tool appropriately
- Lists: Organizing your business contacts
Facebook is one of the best ways to build your social network and establish yourself as a working Realtor who is keeping up with the latest trends and opportunities in the real estate industry. Click the “Like” button on Pixel Coaching’s Facebook Page to receive tips every day in December, and make sure to “Like” our Page too, while you’re at it!
