Knowledge is power, and here are a few changes that will affect the Real estate industry in California.
Most Recorders offices in CA will be closed the next 2 Mondays as the observed Holidays.
San Bernardino County is closed today. (only one in SoCal)
Effective January 1, 2012, the county will accept paper documents between 7:00 and 7:30 AM Monday thru Friday. We will be notified, at 1:30 that there are rejections and they can be picked up at 2:00. The rejections can be corrected and re-submitted by 3:00 for same day recording. The county will make every effort to return confirmation by 5:30 but they have the option to call and indicate that they were unable to get the documents recorded and they will be recorded the next day.
Here is a portion of the new laws going into effect next year. There are a few more that may impact the real estate industry and I will get them reviewed and out to everyone as soon as I can.
AB75- A witness acknowledgment will no longer be acceptable on a Power of Attorney.
SB4- Make the following changes to the Notice of Trustee Sale.
NOTICE TO POTENTIAL BIDDERS: If you are considering bidding
on this property lien, you should understand that there are risks involved in
bidding at a trustee auction. You will be bidding on a lien, not on the property
itself. Placing the highest bid at a trustee auction does not automatically
entitle you to free and clear ownership of the property. You should also be
aware that the lien being auctioned off may be a junior lien. If you are the
highest bidder at the auction, you are or may be responsible for paying off
all liens senior to the lien being auctioned off, before you can receive clear
title to the property. You are encouraged to investigate the existence, priority,
and size of outstanding liens that may exist on this property by contacting
the county recorder’s office or a title insurance company, either of which
may charge you a fee for this information. If you consult either of these
resources, you should be aware that the same lender may hold more than
one mortgage or deed of trust on the property.
NOTICE TO PROPERTY OWNER: The sale date shown on this notice
of sale may be postponed one or more times by the mortgagee, beneficiary,
trustee, or a court, pursuant to Section 2924g of the California Civil Code.
The law requires that information about trustee sale postponements be made
available to you and to the public, as a courtesy to those not present at the
sale. If you wish to learn whether your sale date has been postponed, and,
94 if applicable, the rescheduled time and date for the sale of this property,
you may call [telephone number for information regarding the trustee’s
sale] or visit this Internet Web site [Internet Web site address for information
regarding the sale of this property], using the file number assigned to this
case [case file number]. Information about postponements that are very
short in duration or that occur close in time to the scheduled sale may not
immediately be reflected in the telephone information or on the Internet
Web site. The best way to verify postponement information is to attend the
(B) A mortgagee, beneficiary, trustee, or authorized agent shall make a
good faith effort to provide up-to-date information regarding sale dates and
postponements to persons who wish this information. This information shall
be made available free of charge. It may be made available via an Internet
Web site, a telephone recording that is accessible 24 hours a day, seven
days a week, or through any other means that allows 24 hours a day, seven
days a week, no-cost access to updated information. A disruption of any of
these methods of providing sale date and postponement information to allow
for reasonable maintenance or due to a service outage shall not be deemed
to be a violation of the good faith standard.
SB 189- An agent will no longer be able to sign on a Notice of Completion and Notice of Cessation. These notices must be signed and verified by the owner. If the owner fails to record a Notice of Completion or the notice is invalid the time for recording a Mechanic’s lien is set out below.
8412. A direct contractor may not enforce a lien unless the contractor
records a claim of lien after the contractor completes the direct contract,
and before the earlier of the following times:
(a) Ninety days after completion of the work of improvement.
(b) Sixty days after the owner records a notice of completion or cessation.
8414. A claimant other than a direct contractor may not enforce a lien
unless the claimant records a claim of lien within the following times:
(a) After the claimant ceases to provide work.
(b) Before the earlier of the following times:
(1) Ninety days after completion of the work of improvement.
(2) Thirty days after the owner records a notice of completion or
SB 424- If a Design Professional Lien remains unpaid it may be converted to a Mechanic’s Lien.
8319. (a) A design professional may convert a recorded design
professional lien to a mechanics lien if all of the following requirements
(1) The design professional lien expires pursuant to paragraph (1) of
subdivision (b) of Section 8306.
(2) The design professional lien remains fully or partially unpaid.
(3) Within 30 days of the expiration of the design professional lien
pursuant to paragraph (1) of subdivision (b) of Section 8306, the design
professional records a mechanics lien for the amount of the unpaid design
(4) The recorded mechanics lien states that it is a converted design
professional lien but shall be recorded and enforced as a mechanics lien,
except the design professional need not provide a preliminary notice to
enforce this mechanics lien. This mechanics lien shall be effective as of the
date of recordation of this mechanics lien and shall be given priority pursuant
to the provisions of Section 8450.
(b) This section shall not apply if a design professional lien expires
pursuant to paragraph (2) of subdivision (b) of Section 8306
Ryan J. Orr
820 N Mountain Ave 100
Upland, Ca 91786