Real Estate 

e-Newsletter

by Cynthia S. Radom 

Award-winning Certified Seniors Specialist REALTOR® - Specializing in Listings and Trust Sales

Since 1994

Coldwell Banker Realty - Beverly Hills CA

October-December 2025 · Website: RealtorRadom.com · (310) 779-1715  CalRE #01184864

** Writer and Publisher since July 1999 **

Bad Apples

Sadly, elder abuse is not a new issue and exploitation can take many forms including physical, emotional, verbal and financial. Senior citizens continue to be targeted by unscrupulous people. News bulletins remind us to guard against scams, fake government agencies, strangers asking for personal information, callers claiming "your grandson is in jail overseas and needs bail money"; the tactics are endless. But financial abuse doesn’t always come from a stranger. Sometimes, it happens under the guise of a known professional.

In 2005, I encountered a case of elder financial abuse while handling the sale of a decedent’s home. The owner's son mentioned that years earlier his father sold a commercial property far below market value. Intrigued, I reviewed the MLS history and confirmed that his concerns were well-founded.

His father's listing agent, who was a licensed Broker, had purposely curtailed Buyer showings. When no offers were received the agent bought the property for his own portfolio at a price far below market value. This was a clear instance of elder financial abuse. When an attorney specializing in such matters presented the facts, the agent could not dispute the evidence. The property title was reassigned to the decedent’s Trust, and I sold the property at a higher, prevailing market value.

The takeaway: Not all real estate professionals uphold the standards of our industry. If you or someone you know suspects wrongdoing by a REALTOR®, speak up. Tell another agent, the California Department of Real Estate or the alleged agent's manager and request an inquiry. I’ve heard too many scam stories during my 30+ years working with longtime homeowners, but I’ve also seen justice served and happy endings made possible.

Stay tuned! LA lawmakers want the ULA tax eliminated from newly built multifamily and commercial properties to encourage builders.

Fix It or As-Is?

Before selling any property, an owner must decide whether to repair, replace, update, or sell as-is. Surveys and proven sales indicate that whatever out-of-pocket cost a Seller pays to enhance is not returned 100% in the purchase price.

As-Is Considerations

Every CA Residential Purchase Agreement states that the property is being sold as-is. So, here are other considerations:

- The Buyer may be a contractor who can fix issues at cost.

- The Buyer will compute costs for needed repairs and deduct from the purchase, if not priced as a fixer.

- The Buyer may waive inspections.

- The Buyer may raze the house.

- The Buyer may replace the new "enhancements," thereby wasting your cash for fixes, repairs, etc.

Consider the whole house. Do major items like plumbing, roof, electrical, kitchen and bathrooms need updating? One or two fixes or updates doesn't make a silk purse from a sow's ear.

Fix, Replace or Update

- Use a handyman to fix minor, inexpensive repairs or safety issues.

- Never second guess what the next owner may like by updating.

- Contractors get delayed, and the ideal selling period may be lost.

- The cash you spend to enhance may be wasted if the house is torn down.

- Planting flowers for a better curb appeal attracts bees, a deadly allergy for some Buyers.

- Is your time and energy worth overseeing a major project?

Yes, the house will "look" better with fresh flowers in the garden or recently painted walls, but the major expenditures will remain. A property sale aims to put more money in the Seller's pocket. So, wait until you get an offer and then negotiate with the Buyer. They may like having each room painted a different color. I once sold a home that was a complete kaleidoscope of color.

When to ReFi

ReFi, short for refinance, is the process of replacing an existing loan with a new mortgage that has more favorable terms. Whether a borrower has a fixed or an adjustable-rate mortgage (ARM) or a reverse mortgage, it is time to inquire about a refi when the current interest rate is lower than the existing one.

The old rule of thumb was, if you can lower your rate by 2%, you should refi. Today, that rule may still apply; however, many other considerations should be factored, such as:

- What is the current rate and payoff amount?

- Is the rate fixed, or will it adjust (increase) soon?

- What are the terms of the ARM loan?

- What is the current monthly payment vs. the refi amount?

- Do you have a home equity line of credit with a higher rate you can wrap into a new first trust deed with a rate that provides an effective blended rate that is lower overall?

- What are the costs associated with refinancing?

• Escrow fees
• Lender fees
• Title fees
• Appraisal fees

While the cost to refi can be wrapped into the new loan, a borrower can break even within a relatively short period with lower monthly payments. Call Ms. Nilu Askari with GRA financing (818) 693-6040. It's free to inquire about a refi.

Update: 1 Bev Hills

Former Robinsons-May site

After years of ownership changes, the eight-acre multi-use project is finally showing vertical progress. The site was originally purchased in 2005. A second buyer took over in 2007–2008, but their plans were hit with the global financial crisis. A third buyer acquired the property in 2010, followed by a fourth and current owner, the Wanda Group in 2014. The site was on the market again in 2024 and currently waiting to receive up to $550 million in bond financing.

Crypto Purchase

Cryptocurrency is a virtual alternative to money, but volatile because it is not backed by any government. Yet, Buyers can use it to purchase real estate. While U.S. escrow and mortgage companies cannot convert crypto into U.S. dollars to comply as a source of funds, third-party exchange companies like BitPay can handle the conversion for a fee.

Bitcoin is the most recognized electronic cryptocurrency traded on numerous crypto exchanges. Converted into dollars, virtual currency can be a source of funds for Conforming, Jumbo and non-QM loan deposits to buy properties with the following requirements:

- The Buyer/borrower must own the Bitcoin

- Documented evidence that the virtual currency has been exchanged into dollars and held in a U.S. or State-regulated financial institution

- Funds are verified in dollars before the loan closes

- Virtual currency cannot be used as the 3% initial deposit (earnest money) on a property purchase contract. The earnest money deposit must be from the borrower's liquid assets.

Contact Nilu, GRA V.P. for all your loan questions (818) 693-6940.

All-cash Offers: When the use of cryptocurrency is stated in an all-cash purchase offer, there are several things to note:

- Escrow requires only U.S. funds wired after a third party has cleared the crypto exchange

- The process can take two weeks

- Since a Buyer is required to wire the 3% initial deposit to escrow within three business days after an accepted offer, the terms have to be revised

- The offer needs to identify the source of cryptocurrency

All crypto is cash going to a lender or to escrow and will go through the same vetting investigation as required by the U.S. anti-money laundering laws: Where, who, and how did a Buyer obtain the cryptocurrency? 

Agent Question

During a Seller's search for a listing agent, it’s wise to ask your prospective REALTOR® if they’ve ever been forced to resign from a former real estate Brokerage or been involved in a real estate-related lawsuit. Transparency on these matters can help you choose someone with a solid and trustworthy track record. Observe their reaction when answering.

The MLS

Excerpts from the RE Magazine

According to a survey, 76% of consumers don’t know about one of the most powerful tools in real estate, the multiple listing service, commonly known as the MLS. In simplest terms, the MLS is a localized marketplace connecting agent members working on behalf of property Sellers and Buyers. Listing agents submit a multi-page, detailed description and photos of a new property for sale to the local MLS giving access to all agent members. Specifications include the listing price, address, special and basic features, lot and structure square footage and the status update of a listing. Today, there are 532 residential MLSs across the country with millions of subscribers. That number doesn’t account for the millions of home Sellers and Buyers who rely upon and benefit from the MLS and its data.

The goal of connecting property Sellers with Buyers has remained unchanged since the MLSs' inception 140 years ago. The San Diego Real Estate Board created the first MLS in 1885. But the first description of a listing exchange didn’t appear until 1910 from the Illinois’ Cook County Real Estate Board. Today, the well-known real estate websites, i.e. Zillow, Redfin, Homes.com and Realtor.com are provided listing information by every MLS service. However, it is only the local MLS website that indicates all the listing details, first and foremost.

Browsing properties online was the first step in the house-hunting process for 43% of Buyers in 2024, according to NAR (National Assn. of REALTORS®) data. Most Buyers, 51%, found their homes through online searches, highlighting just how beneficial open access to MLS data has become for consumers. That’s especially true when combined with the expertise of real estate agents, whom Buyers ranked as the most useful sources of information in the home search process.

A Joyous Holiday Season

and A Happy, Healthy New Year!

***********************

A special thanks to my clients for making 2025 the highest production in 31 years as a REALTOR®!

Contact me for the sale of your property.

Application Fee

CA passed a new law in January, AB 2493, that deals with a tenant screening fee required by a housing provider (HP) a.k.a. landlord. An Application to Lease form is completed by the applicant, but the property owner needs to verify as much personal background information as legally permitted. How the prospective tenant pays bills, on-time or late; what is their third-party credit score or their past rental history rating; any criminal or sanction records; employment verification; past addresses, etc.

The validation is completed by a third-party online screening company, i.e. RentSpree. A fee is collected from the prospect, whether or not they are accepted as a tenant, that's set up through a link on the HP's account.

According to the new law, an HP must now follow one of two compliant paths to charge a fee:

1. First qualified: The HP provides written screening criteria (e.g. income or credit score minimums) with the Application or stated in the MLS remarks. The HP must adhere to this sequence:

A. Process applications in order as received and approve the first who meets the criteria.

B. Fees collected only when the review starts.

C. No refund if prospect is denied based on criteria.

2. Refund-all: An HP collects the screening fee up front. Any unselected applicant must receive a full refund within seven days of tenant approval or 30 days from app submission, whichever comes first.

A fee cap is adjusted annually based on the CPI and is currently $64.50 per applicant for out-of-pocket costs, third party screening or credit checks or cost for self-processing.

- A collected fee, but no processed screenings, the HP must refund

in-full or the unused portion.

- A copy of an obtained credit report must be given to the applicant within seven days of receipt.

- The HP is to provide the applicant an itemized receipt of all costs and processing time delivered in person, by mail or by email.

**IMPORTANT**

My Real Estate Newsletter will soon be delivered exclusively via e-mail. Please ensure that I have your preferred e-mail address by using this link:

Cynthia@RealtorRadom.com