In that column, the person waited for an inheritance to help buy a house. You have several columns of that nature. The theme is that an older family member tells the younger recipient of a sizable down payment on a home to wait until home prices go down. I, too, am in a similar position. Waiting seems illogical.

As your examples demonstrate, home prices keep rising. In fact, what if a 10% home-price rollback does not help? In your examples, home prices in the Bay Area and California usually rise monthly and yearly. I do not want to wait. My parents presented me with a downpayment. Unfortunately, it is “When home prices go down.”

How can I urgently persuade my parents to give me the down payment now?

Answer: Your trusted local real estate agent can help. The real estate agent will have a preferred loan officer. These two professionals are well-versed in the real estate market and belong to or subscribe to different real estate websites. Full stop.

The historical home-price statistics can be presented in a variety of formats. The information will be accurate. Plus, the home sale prices, when visualized, paint a clear picture of the market trends. Your parents will see your point. If home prices roll so far back to make a difference, the economy might be in trouble, and your job may be, too.

Here is an update thanks to the economic team at the California Association of Realtors:

The median sold price of California’s existing single-family homesApril 2024 $904,210April 2023 $811,510Price change year-to-year +11.4%

The California median sold price of condominiums/townhomesApril 2024 $688,000April 2023 $634,000Price change year-to-year +8.5%

The California Association of Realtors also breaks down the states into regions. The statistics are telling. Note the strength of the median sold home price in these areas:

San Francisco Bay Area single-family homesApril 2024 $1,444,000April 2023 $1,250,000Price change year-to-year +15.5%

Central Valley single-family homesApril 2024 $493,500April 2023 $463,000Price change year-to-year +6.6%

Central Coast single-family homesApril 2024 $1,077,500April 2023 $1,020,000Price change year-to-year +5.6%

Far North single-family homesApril 2024 $364,900April 2023 $385,000Price change year-to-year -5.2%

Inland Empire single-family homesApril 2024 $607,000April 2023 $565,000Price change year-to-year +7.4%

Los Angeles Metro Area single-family homesApril 2024 $840,000April 2023 $740,000Price change year-to-year +13.5%

Southern California single-family homesApril 2024 $880,000April 2023 $785,000Price change year-to-year +12.1%

It is time to find that real estate agent and loan officer in your area. If not, I am here to help if you need more information. In the meantime, you and your parents can also see real-time home statistics via the webpage link in my signature information below.

Good luck!

For Housing Market Data in your area, visit my webpage for trends here. Do you have questions about home buying or selling? Full-service Realtor Pat Kapowich is a Certified Trust and Probate Specialist, Certified Real Estate Brokerage Manager and career-long consumer protection advocate.

He is based in his hometown of Sunnyvale, California. Office: 408-245-7700; Broker# 00979413 Pat@SiliconValleyBroker.com

The home inspection report confirms an original electrical system, including the central and sub-electrical panels. It is the type of panel with screw-in tubes.  

That is not all.  

The home has longtime tenants who use it as a storage facility. The husband is a hoarder. Together, their five cars take up all the designated parking spaces in back. 

We do not mind upgrading the electrical system, but how? We would have to replace the electrical soon after taking ownership, and with this current tenant occupied, how can we proceed? 

Answer: In the 1960s, homeowners and their electricians frequently replaced fuse boxes from the 1940s with problematic electrical panel brands, such as Zinsco, Federal Pacific, Sylvania, et cetera. These problematic electrical panel brands are similar to what I likened to Ralph Nadar’s consumer-protection campaign and subsequent book “Unsafe at Any Speed: The Designed-In Dangers of the American Automobile.”

Upgrading the electrical would include removing and replacing the fuse boxes with electrical panels and updating knob-and-tube wiring with grounded modern-day electrical wires.

Acquiring hazard insurance will require a licensed electrician to remove and replace the 1940s electrical within the first 30, 60 or 90 days of your ownership.

You could work with your insurance broker, the seller(s) and their real estate agents to extend the escrow to accommodate the updates. For instance:

1. The sellers give a 60-day notice to the longtime tenants.
2. The sellers extend the closing of escrow by at least 60 days.
3. Ensure in writing that the sellers will make sure the property is vacant before closing the sale.
4. An empty building gives workers and building inspectors free access.
5. An empty parking area will accommodate the vehicles of the electrical workers.
6. Get the approved electrical permit for the electrical upgrade underway; the department might approve the permit by your ownership date.
7. Complete the hiring and scheduling of an electrician contractor.
8. Be ready to start work once you do take ownership.

Lastly, make sure the insurance company only wants the electrical upgraded. Nowadays, securing insurance for a home is as tricky as buying one.

For Housing Market Data in your area, visit Pat’s webpage for trends here. Do you have questions about home selling or buying? Full-service Realtor Pat Kapowich is a Certified Trust and Probate Specialist, Certified Real Estate Brokerage Manager, and career-long consumer protection advocate.

Realtor Pat Kapowich, Kapowich Real Estate is based in his hometown of Sunnyvale, California.Office: 408-245-7700; Broker# 00979413

Today, our buyer’s agent made an urgent call. We are facing a significant issue with the house we are buying. A neighbor has alerted the authorities, revealing that the actual successor trustee of the incapacitated seller lives out of state. The elder son is the legitimate successor trustee, while the younger adult sibling posing as such is a clear case of fraud. We are currently under a purchase contract with the fraudster adult sibling.

This must have happened to other unsuspecting homebuyers. If so, what now? Where do we go from here?

Answer: Find out which neighbor called the authorities. That neighbor must know the adult son’s identity. Your buyer’s agent or the seller’s agent must make contact ASAP.

The adult son, the true successor trustee, may offer to sell you the family home for the same price, terms and conditions. As ready, willing and able homebuyers, the real successor trustee will come to town and take charge of his parent’s affairs. That could work in your favor. Be prepared for any scenario.

Scott Heisey, a Northern California title operations manager for Stewart Title of California, Inc., is making the rounds as a sought-out speaker on escrow and title red flags. Catching questionable acts by family members and others during a home sale or refinance is his specialty.

Title officer Heisey jests regarding older adults, “We’re making new ones every day.” He adds, “But it’s really true because that demographic is, instead of contracting, it’s expanding because people are living longer. And so it’s an interesting thing. It’s because they’re living longer. We’re seeing more financial abuse against them.”

Studies across America show that family members are the most common perpetrators of financial elder abuse. Full stop. For example, the USC Keck School of Medicine cited its study in a 2019 press release by Wendy Wolfson titled “Study: Financial abuse of older adults by family members more common than scams by strangers.” Click here to learn more.

You can inform yourself by viewing my YouTube interview about home-sale issue spotting that is titled: “Navigating Home Sale Hurdles: Expert Insights From Scott Heisey, Stewart Title VP.”

For Housing Market Data in your area, visit my webpage for trends here. Do you have questions about home selling or buying? Full-service Realtor Pat Kapowich is a Certified Trust and Probate Specialist, Certified Real Estate Brokerage Manager, and career-long consumer protection advocate.

Realtor Pat Kapowich, Kapowich Real Estate is based in his hometown of Sunnyvale, California.

Office: 408-245-7700; Broker# 00979413 Pat@SiliconValleyBroker.com

In the meantime, he failed to make mortgage payments. Last week, a Notice of Trustee’s Sale was nailed to his front door.

We are not able to help our son financially. A family friend suggested bankruptcy. That might take time — time that he does not have before the sale date.

What can we do in our situation at this late stage?

Answer: Your family friend is correct. He needs to consult with an attorney who has bankruptcy expertise, full stop, and as soon as possible. I have interviewed an attorney several times. I understand the court systems have adapted to streamlining online filings since the COVID-19 lockdown.

Here is a quote from one interview with Silicon Valley attorney Vinod Nichani of the Nichani Law Firm: “In the most simplest sense of terms a bankruptcy is filed to stop collection actions by a creditor.”

Nichani goes on to say “the house was about to be foreclosed on and the bankruptcy was filed to protect it because when a bankruptcy is filed, it creates this protection called the automatic stay so it automatically goes into place and a stay, staying all the collection actions happens so this house is protected but that doesn’t mean they’re protected forever.”

Distressed occupants occupy distressed properties. Around-the-clock stress and countless sleepless nights take their toll, causing the ramifications of brain fog that cloud critical thinking. Your son needs a traditional home sale. It will yield the highest price. A foreclosure sale will not.

First, your son needs to stop the foreclosure process. Second, he must sell the home with 360-degree marketing from a full-service real estate brokerage, which will ensure maximum net proceeds. Lastly, if he completes Step One and Step Two, he might have tens of thousands of dollars to start anew.

Have your son view this interview with attorney Nichani. It will help him sleep better at night, knowing light is at the end of a long, dark tunnel.

For Housing Market Data in your area, visit my webpage for trends here. Do you have questions about home selling or buying? Full-service Realtor Pat Kapowich is a Certified Trust and Probate Specialist, Certified Real Estate Brokerage Manager, and career-long consumer protection advocate.

Realtor Pat Kapowich, Kapowich Real Estate is based in his hometown of Sunnyvale, California.Office: 408-245-7700; Broker# 00979413 Pat@SiliconValleyBroker.com

Then things took a turn for the worse. My father-in-law got involved. He lives out of state, but the property is in the San Francisco Bay Area.

He requested and received a draft of our purchase offer. Since he contributed $20,000 to buy our home, I remained quiet. My father-in-law’s advice was counterproductive — worse, it was counterintuitive.

My father-in-law has owned many homes. All of which were bought out of state. When he bought his properties, he used a 1 percent earnest money deposit (EMD). However, the San Francisco Bay Area custom is a 3 percent EMD.

My father-in-law insists on two weeks of inspection, loan and appraisal contingency periods. In the San Francisco Bay Area, contingency periods are measured in days or waived.

Regarding price, my father-in-law made it known that he never pays over the list price. At that point, our buyer’s agent got involved.

My father-in-law and our buyer’s agent spoke by phone. The results were devastating. We lowered our offer to $5,000 over the listing price, lengthened all contingencies to two weeks and lowered the customary 3 percent EMD to 1 percent.

Yesterday, we submitted our purchase offer by noon. Hours later, after receiving 12 offers, the seller’s agent called our buyer’s agent. The seller’s agent’s opening remarks were, “Let’s be real.” And “You are not even in the ballpark.” According to our buyer’s agent, he asked the seller’s agent if our offer was “In the middle or bottom of the pack.” The seller’s agent replied, “The bottom.”

What do other first-time homebuyers do in this situation?

Answer: It is safe to say your father-in-law ignored everything your buyer’s agent had to say. That is a problem.

The counterintuitive is right: Your father-in-law constructs an offer that one would see in a buyer’s market or a rural area. Full stop. The San Francisco Bay Area has been in a seller’s market for years.

You can return the $20,000, aka gift money. You could buy a home without his input. Or focus on properties that will only attract one offer.

Removing obstacles is the key to a successful home sale. You must change the narrative. Your father-in-law is the antagonist. The sooner he is written out of the story, the faster you and your spouse can narrate a homebuying script without a subplot.

For Housing Market Data in your area, visit my webpage for trends here. Do you have questions about home buying or selling? Full-service Realtor Pat Kapowich is a Certified Trust and Probate Specialist, Certified Real Estate Brokerage Manager and career-long consumer protection advocate.

He is based in his hometown of Sunnyvale, California.Office: 408-245-7700; Broker# 00979413 Pat@SiliconValleyBroker.com

We must act now to find him safer surroundings. He is house-rich and cash-poor. His large house will command a $6,000 monthly rent. Plus, he has a military retirement income.  

It is important to note that one of his adult children will move into the home when he passes. So, selling the home is not an option.  

What options are available to families in our situation? 

Answer: The accessory dwelling unit (ADU) is a practical solution, a backyard home that can be built in place. Prefabricated ADUs are popular and can be easily installed with the help of a crane. This video may also provide more information.

A junior accessory dwelling unit (JADU) is attached to a home. Many have doorways with access to the primary residence. JADUs can vary in configuration. Primary bedroom suites, basements and lofts become JADUs. In your case, older adults need fewer stairs, not more.

In the meantime, check the active-adult apartment communities in your area. There might be one with a cafeteria.

Consider the invaluable assistance of a local senior care adviser. They have a wealth of knowledge and can guide you through this resizing process. As you gather information, remember to replace your father-in-law’s gas range or stovetop with an electric one.

Today’s goal is to keep him alive. Tomorrow’s goal is to reduce his isolation and increase his socialization.

For Housing Market Data in your area, visit my webpage for trends here. Do you have questions about home buying or selling? Full-service Realtor Pat Kapowich is a Certified Trust and Probate Specialist, Certified Real Estate Brokerage Manager and career-long consumer protection advocate. 

He is based in his hometown of Sunnyvale, California.Office: 408-245-7700; Broker# 00979413 Pat@SiliconValleyBroker.com

When we wrote our purchase offer agreement, we added two conditions: 

• The sellers are to remove all outbuildings within 10 days of acceptance.
• The sellers agree to remove all auto parts and debris from the grounds within 12 days of acceptance.

On Day 14, our buyer’s agent stopped by the property to confirm conditions had been met. This was an unofficial precursor visit to our official walk-through on Day 15.  

The house is located on a corner. The double-wide side-fence gate for car storage was wide open. The backyard and one side yard were visible to our buyer’s agent. The yards were still in disarray. There was a lone worker with a wheelbarrow. There is a dumpster located by the open gate. According to our buyer’s agent, this “worker” is “slowly loading” the dumpster with debris. 

The seller’s agent said not to worry. The seller’s agent told our buyer’s agent we can still close escrow on Friday. The seller’s agent is suggesting we take ownership on Friday, and the seller’s workers will arrive Sunday. It would be funny if not so alarming. 

What do others do in this situation? 

Answer: The California Association of Realtors has a form called the Extension of Time Amendment (C.A.R. Form E.T.A.). Homebuyers in your predicament extend the close of escrow (change of ownership) date. It is a prudent tactic.

When the seller’s agent does not extend deadlines for conditions, the buyer’s agent must.

C.A.R. Form E.T.A. the multipurpose form for function: 

• Paragraph 1. Extension of Escrow: The schedule of Close of Escrow is extended to _____________(Date). Paragraph 3. Other Extension(s). The time for ______________________________________________________is/are extended to_____________(Date).   

Homebuyers who are put in your position do not ask for extensions. They demand them.

For Housing Market Data in your area, visit my webpage for trends here. Do you have questions about home buying or selling? Full-service Realtor Pat Kapowich is a Certified Trust and Probate Specialist, Certified Real Estate Brokerage Manager and career-long consumer protection advocate.

He is based in his hometown of Sunnyvale, California.Office: 408-245-7700; Broker# 00979413 Pat@SiliconValleyBroker.com

Yesterday, family members rushed to the hospital. Last night, my grandfather passed away. My contentious uncle, my father’s oldest brother, caused a stir.

Friends and relatives filled my grandfather’s hospital room. My contentious uncle stayed in the waiting room. He told anyone who would listen that my father needed to sell his house and “Give everyone their share.”

In the 1970s, my contentious uncle moved out of my grandparents’ two-story home. In the early 1980s, my grandparents divorced and sold their house. In the early 1990s, my grandfather bought a foreclosed Silicon Valley two-bedroom, one-story home for $190,000. In 1998, my grandfather retired on a fixed income. The mortgage loan payment became a burden.

In 1999, my father bought my grandfather’s house for its market value of $310,000. According to the internet realty websites, the current value is $950,000.

My grandfather and his argumentative eldest son never saw eye to eye. They did not communicate. The troubled uncle never visited my grandfather, nor was he in the will, trust or property ownership.

At this time, we should be grieving the patriarch of the family. Instead, this troubled uncle is mounting a campaign of deception. My father is not sleeping, nor am I.

My wife thinks we should talk to a lawyer. That could take time. The funeral is this weekend.

Is there a fast way to learn about ownership claims against my father’s house?

Answer: Schedule a consultation with a real estate attorney. In the meantime, consult a local escrow officer. Ask if their firm’s title officer would insure the sale of the property.

In other words, the escrow and title officers would review the property’s legal history. It would take a day or two. You can relax once they state that they will insure a clean title. However, I suggest you keep the appointment with a real estate attorney.

“Clean title” is the term of art.

In California, a clean title indicates a property with no liens, encumbrances or claims, ensuring the seller has clear and legal rights to sell without issue.

It speaks volumes when the escrow and title officer declare they would gladly help sell your father’s home.

Here is why: Title insurance in California is an insurance policy that safeguards both the buyer and the lender against financial losses resulting from unexpected ownership issues related to a property.

It protects against: 

• Hidden liens
• Fraudulent ownership
• Errors in public records
• Heirship disputes

Financial elder abuse through real estate is a billion-dollar “industry.” A blood relative usually orchestrates it. We only hear about a fraction of those cases.

Conversely, adult children often help older adults in financial matters. It is rare to hear of those legitimate circumstances.

Any judge, jury, mediator or arbitrator will resist rewarding your contentious uncle’s campaign of deception.

For Housing Market Data in your area, visit my webpage for trends here. Do you have questions about home buying or selling? Full-service Realtor Pat Kapowich is a Certified Trust and Probate Specialist, Certified Real Estate Brokerage Manager and career-long consumer protection advocate.

He is based in his hometown of Sunnyvale, California.Office: 408-245-7700; Broker# 00979413 Pat@SiliconValleyBroker.com

The common term all objecting siblings use is: “He/she does not know what he/she is talking about.” That cannot be true.

Ironically, only one of the three objecting siblings has experienced a real estate transaction.

As the successor trustee of my parents’ estate, I am seeking a quick resolution on this matter. What should I do to achieve that?

Answer: You are your parents’ successor trustee for a reason. Take control:

1. Take the median or average appraised value. Use the higher value of the two.
2. Make it known that it is your decision.
3. Set a deadline for siblings to agree.
4. If there is no agreement, sell the home on the open market.
5. Share the training levels required of appraisers since the Great Recession.

See attached:

In California, residential real estate appraisers must meet specific requirements and obtain proper licensing from the California Bureau of Real Estate Appraisers (BREA). There are different levels of appraiser licensing, each with its own set of qualifications:

Trainee Appraiser:

• Complete 75 hours of qualifying education
• Secure a Supervisory Appraiser
• Register with the BREA

Residential License:

• Complete 150 hours of qualifying education.
• Accumulate 1,000 hours of acceptable appraisal experience over a minimum of 6 months.
• Pass the Residential License Exam

Certified Residential License:

• Hold a bachelor’s degree or higher
• Complete 200 hours of qualifying education
• Accumulate 1,500 hours of acceptable appraisal experience over a minimum of 12 months
• Pass the Certified Residential License Exam

Certified General License:

• Hold a bachelor’s degree or higher
• Complete 300 hours of qualifying education
• Accumulate 3,000 hours of acceptable appraisal experience over a minimum of 18 months, with at least 1,500 hours in non-residential appraisal work
• Pass the Certified General License Exam

All applicants must also:

• Be at least 18 years old
• Have a valid Social Security Number or Individual Taxpayer Identification Number
• Undergo a background check
• Submit a completed application with the required fees

Appraisers must complete continuing education courses every four years and renew their licenses with the BREA to maintain their licenses.

After sharing this information, the siblings will comply. Nothing quiets an out-of-element critical amateur like proof of legitimacy.

For Housing Market Data in your area, visit my webpage for trends here. Do you have questions about home buying or selling? Full-service Realtor Pat Kapowich is a Certified Trust and Probate Specialist, Certified Real Estate Brokerage Manager and career-long consumer protection advocate.

He is based in his hometown of Sunnyvale, California.Office: 408-245-7700; Broker# 00979413 Pat@SiliconValleyBroker.com

Here is the challenge: The new house has a perfect solution — a huge, vacant detached garage with an attached workshop. It is ideal for temporarily storing our belongings for three days, bridging the gap between closing on both houses.

Unfortunately, the seller’s agent is throwing a wrench in the plan. Despite the vacant property and short timeframe, they have denied our request to store things in the garage. We have secured a hotel room nearby and confirmed both closings are a “go” with no contingencies.

We understand the seller’s agent might have concerns, but why is this such a big deal? Is there any wiggle room to persuade them or are we stuck with pricey storage costs?

Answer: First, the seller’s agent works for a supervising sales manager or brokerage owner. Second, clients make decisions. Third, agents provide recommendations.

Most real estate professionals are risk averse. Those who are not should be.

A stellar real estate attorney in Silicon Valley speaks to “All the moving parts of a real estate transaction.” His colleague, a top real estate attorney, created a risk-management consulting firm for real estate brokerages in the San Francisco Bay Area. He uses the term “The hundreds of moving parts of a real estate transaction.”

Unbeknownst to you, your storage request adds dozens of “moving parts” to a transaction. Full stop. A homebuyer with any access to a property before the close of escrow is discouraged. In these situations, the “horror stories” are numerous. Unfortunately, the success stories are not shared.

However, you are in luck. The California Association of Realtors created a form for this purpose. It is called the Buyer Pre-Occupancy Storage Addendum (C.A.R. Form POSA). It addresses risk-management points concerning the parties on the other side of your transaction.

For instance:

Paragraph 1. License: Buyer is granted a license (“License”) to store Personal Property as defined below on the Property prior to the Close of Escrow.

Paragraph 10. Risk of Loss: The storage of the Buyer’s Personal Property on the Property shall not be deemed as Buyer taking possession or title under the Uniform Vendor and Purchaser Risk Act (Civil Code 1662).

The form ends with a warning in capital letters to all parties about this unusual scenario.

Ask your buyer’s agent for this form. Together, fill it out. Present it to the seller’s agent ASAP. It might work. If not, do not take it personally. The sellers and their representatives are making strategic moves. It is all business.

For Housing Market Data in your area, visit my webpage for trends here. Do you have questions about home buying or selling? Full-service Realtor Pat Kapowich is a Certified Trust and Probate Specialist, Certified Real Estate Brokerage Manager and career-long consumer protection advocate.

He is based in his hometown of Sunnyvale, California.Office: 408-245-7700; Broker# 00979413 Pat@SiliconValleyBroker.com