There is a critical shortage of housing inventory. An excessive amount of red tape helped cause that shortage. Now, the City of Chula Vista is considering additional regulations on Housing Providers.

The proposed "Residential Landlord and Tenant Provisions" will impose the following:

• Regulations that make substantial remodels, owner move-ins, and withdrawal from the rental market more difficult by adding stricter noticing requirements and relocation assistance requirements.
• The creation of laws that allows for civil action and damages of $1,000-5,000 per violation per day.
• The criminalization of any violation of the ordinance and the creation of fines in the thousands of dollars.

Mayor Mary Salas requested the creation of this ordinance in response to calls from tenant and rent control advocates. Unfortunately, the unintended consequences of this ordinance would end up harming tenants as well.

The unintended consequences of this ordinance will include the following:

• The added difficulties of being a housing provider in Chula Vista will discourage the creation of much needed additional housing. This will hurt all of us, including those who would have a much harder time finding a place to rent. 
• The added difficulties of undertaking substantial renovations would deter owners from upgrading unsightly buildings. This hurts the tenants who would live there and the livability of the surrounding communities. 
• Provisions in the ordinance meant to prevent harassment of tenants would actually deter property owners from dealing with tenants who cause nuisances. This would hurt the tenants and all neighbors who live nearby and would have to deal with the nuisances.

It is well established that when you add regulation to something, you get less of it. We need more housing, not less. The State of California has recently enacted protections for tenants by enacting AB 1482. If there are problems for tenants, the City could focus on finding better ways to enforce existing laws, rather than adding more regulations that will negatively impact our already scarce housing supply.

Please send an eComment to the City stating your opposition to this misguided ordinance by clicking on the button below, and then clicking on the "Leave Comment" button:

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Not sure which Councilmember represents your neighborhood?  See below.

Questions remain about the City of San Diego’s pending ‘No-Fault Eviction' Moratorium.

On April 4th, after almost six hours of public testimony which included comments from PSAR volunteers and members, the city council passed the ‘No-Fault Eviction' Moratorium ordinance. The ordinance must come back for a second reading a month after the first reading and will go into effect 30 days after final approval.

Thanks to the efforts of PSAR and our colleagues, the original ordinance was amended to include an end date or sunset on September 30, 2022 (or 60 days after the end of the local emergency) whichever is sooner.  Realtors are wondering about how this ordinance will impact property owners who want to sell.

• No termination of tenancy is allowed for a substantial remodel unless mandated by the government or court order.
• Owners who wish to move into their homes or move in family members will have to serve a 90-day notice to terminate the tenancy. An immediate family member is limited to a parent, child, grandparent, and grandchild.

Property owners who wish to terminate a tenancy in order to withdraw units from the rental market, this includes selling a home, must provide a 6-month notice.

The ordinance is likely to receive final approval next month and it will cause unintended consequences. Additionally, some of the language is vague and confusing. Once the ordinance is finalized, PSAR will schedule legal counsel to brief our members on its impact. PSAR will continue to review the ordinance and is prepared to challenge it again at the second reading.

Before working with a client to terminate a tenancy, it is important to speak with your broker and legal counsel. This ordinance will put many owners in difficult positions.

A copy of the proposed ordinance may be found here.

This web page item #200 has links to the PowerPoint and backup information for a deeper dive.

The City of San Diego No Longer Requires a WATER CONSERVATION CERTIFICATE At the Point of Sale

The City of San Diego no longer requires property owners to file a Water Conservation Certificate when selling their property. The City Council approved the change to the Municipal Code which went into effect on February 27, 2022.

In 1992, the City of San Diego developed several permanent water conservation provisions which were more stringent than industry standards at the time. The provisions were added to the Municipal Code and required property owners to remove non-conserving water devices and install ultra low-flow toilets and other low-flow fixtures in all new construction or permitted remodels. The City also required property owners to submit compliance disclosure information upon the sale of a property. The City determined that review and enforcement of a Water Conservation Certificate are no longer necessary nor legally required.

California approved Senate Bill 407 in 2009 and requires owners of residential single-family, multi-family properties, and commercial properties to replace all non-compliant plumbing fixtures with water-conserving plumbing fixtures. SB 407 requires the disclosure of non-compliant fixtures between the seller and buyer at the time of property transfer. This requirement can typically be disclosed on a Real Estate Transfer Disclosure Statement (TDS.)

Learn more about water conservation laws and disclosure obligations at CAR in the risk management section under legal Q&As and disclosures here. (Log-in required.)

For more information, visit the City’s website.

The Board of Supervisors will meet on Wednesday, February 9th at 9 am to discuss the implementation of a Vehicle Miles Traveled (VMT) Policy which could end hopes that San Diego will meet the housing needs of its residents.  

Please urge the Board of Supervisors to keep housing a top priority in San Diego County.  

You can submit written comments by clicking here: submit comments.

This proposal is item 7 on the Agenda, if you would be willing to testify on this, you can sign up here:  Sign up to speak

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Recently, PSAR sent a three-page letter to the San Diego County Board of Supervisors expressing our opposition to the Vehicle Miles Traveled (VMT) proposal.  See a copy of the letter by following this link.

VMT is a proposal that would slap new fees on housing development in car-centric communities. The fees would be calculated based on the additional “vehicle miles traveled.” Housing developments in rural or suburban areas would face fees that would disincentivize their construction.  Any homes that do get built would need to factor in those additional fees, pushing the dream of homeownership further beyond the reach of most aspiring buyers.  

Under the proposed VMT, to get approval for a project, a housing developer would have to show that their project would generate fewer vehicle miles traveled than the area’s average. 

PSAR’s letter to the Board of Supervisors states: “Homeownership is the bedrock of building strong communities and intergenerational wealth. REALTORS® know firsthand that buyers are moving to Riverside, Imperial Valley, and Mexico to own a property and build a future. They subsequently commute for hours on San Diego freeways, defeating the intent of the VMT policies.

“There are numerous economic and regulatory barriers that discourage developers from building both attached and detached “for-purchase” housing for all levels of income. If the County is forced to adopt a Vehicle Miles Traveled (VMT) planning tool that is being considered with a regional planning focus, the cost of new housing in the unincorporated portions of our region will be increased significantly, adding to the current housing shortfall.

“This policy will severely restrict future generations from realizing the dream of homeownership and a better quality of life for themselves and generations to come.”

The letter also states that PSAR is supporting six recommendations from the Building Industry Association (BIA) of San Diego County. BIA’s recommendations include an Infill Area Option, VMT Mitigation Program Options, and a programmatic Environmental Impact Report (EIR) to analyze VMT impacts.

PSAR is opposing VMT implementation because of the potential impacts on historically disadvantaged communities who would find it harder to realize the dream of homeownership.

PSAR’s letter states: “Homeownership is an essential steppingstone for families to build wealth. By adding requirements that will make homeownership opportunities more expensive for working families to purchase, we will be removing a crucial steppingstone for those who have not already had an opportunity to purchase a home. We would essentially be closing the door behind those who have already been fortunate enough to purchase a home.

“Society has been making a lot of strides towards providing historically disadvantaged communities with opportunities that had previously been denied to them. We should not be halting that progress by limiting access to homeownership opportunities. The book `The Color of Law’ by Richard Rothstein provides a very detailed analysis of how unequal access to homeownership due to government policies directly resulted in economic harm that continues to hold back communities of color to this day. Considering the fact that communities of color in San Diego are still suffering from the multigenerational impacts of redlining and segregation, we should not be implementing policies that cement these impacts by stopping the creation of new opportunities for homeownership or confining new housing opportunities for lower-income residents to certain areas.”

At their Jan. 26 meeting, the Board of Supervisors received a report from county planners that laid out ways to implement VMT. The board directed the planners to return on Feb. 9 with additional details on VMT options.

Please urge the Board of Supervisors to keep housing a top priority in San Diego County.  

You can submit written comments by clicking here: submit comments.

This proposal is item 7 on the Agenda, if you would be willing to testify on this, you can sign up here:  Sign up to speak

PSAR is proud to announce that 15 PSAR members have been approved by the PSAR board of directors for recognition by the California Association of REALTORS^® (C.A.R.) as honorary members for life.

The 15 members include:

Congratulations to each esteemed member for your long-term commitment to professionalism and excellence in the real estate industry.

This latest 2021 group of new C.A.R. life members will receive a waiver of C.A.R. dues beginning in 2022. They will continue to receive a dues waiver for as long as they remain eligible for REALTOR^® membership or until retirement from the field.

Requirements to be honored as a C.A.R. life member include remaining as a C.A.R. member in good standing for a minimum of 25 years and attaining the age of 75.

Acceptance as honorary members for life also requires approval of the C.A.R. Membership Committee and the C.A.R. Board of Directors at one of its three annual membership meetings. Applications for the honorary member-for-life designation must be received in advance of the meetings in order for the dues waiver to be effective the following year. Applications will not be processed without the signature of the member’s local association executive.

Applications are available on the C.A.R.website and using THIS FORM

For additional information, send an email to hmfl@car.org.

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The U.S. Department of Housing and Urban Development (HUD) awarded $47.4 million to fair housing non-profit organizations around the country.  At least two of the organizations are based in San Diego. In September these testing organizations received  $653,000 for the Private Enforcement Initiative (PEI).  According to HUD, these organizations will conduct intake and testing.  They will investigate and litigate fair housing complaints under the Fair Housing Act. According to the Department of Justice website:

"Testing refers to the use of individuals who – without any bona fide intent to rent or purchase housing, purchase a mortgage or vehicle loan, or patronize a place of public accommodation – pose as prospective renters, borrowers, or patrons for the purpose of gathering information. This information may indicate whether a provider is complying with federal civil rights laws. The primary focus of the Section's Fair Housing Testing Program has been to identify unlawful housing discrimination based on race, national origin, disability, or familial status in violation of the Fair Housing Act. The Section also has responsibilities to enforce Title II of the Civil Rights Act of 1964, the nation's public accommodations law; the Equal Credit Opportunity Act, which prohibits discrimination in credit; and the Servicemembers Civil Relief Act, which provides protections for military members as they enter active duty. The Fair Housing Testing Program also conducts testing under these statutes, as well as under the Americans with Disabilities Act, which is enforced by the Disability Rights Section of the Civil Rights Division."

Agents must also understand that California has additional protected classes including Ancestory, CREED, Gender Identity, Medical Condition, Source of Income/Occupation, and "Other Arbitrary Discrimination."  The definition of a "Protected Class" is all-inclusive in California.  Agents need to be aware of their unconscious biases and be careful to treat everyone equally.

In March of 2021 HUD Published the 2021 civil penalty amounts for fair housing violations. Civil penalties may reach a maximum of $54,157 and respondents who had violated the Act two or more times in the previous 7 years could be fined a maximum of $108,315.

PSAR, NAR, and C.A.R. have been diligent and have provided fair housing resources for Realtors for many years. During the past two years following the Newsday Investigation called "Long Island Divided" the Associations doubled down the efforts.  PSAR has hosted or promoted at least eight opportunities this year for agents to better understand fair housing.  NAR also prepared a "gamified" training to help agents understand the law.  The game is called Fairhaven.  More information may be found here.

Testers may be reaching anonymously to agents and property managers in the field.  The best practice is to understand and obey the law.  PSAR agents are the most professional in California and the Nation. PSAR's staff and volunteer leaders are available to help our members with resources and training. This law is important and there is no room for error.

Watch this video to see how real estate agents treated undercover clients on Long Island.

CRMLS launched a new IDX transparency initiative on September 1st, 2021.

What is IDX?  “Internet Data Exchange” is a means by which each MLS Participant (AKA Broker In the MLS) subscribing to the (IDX) program permits the limited electronic display of Participant’s listings appearing in Internet Data Exchange Database on each Participant’s (Other Broker's) IDX Internet websites and on applications for mobile devices that said participating Broker Participants and R.E. Subscribers control.

The newly updated rule Rule 12.16.5 listing credit:

All Listing Brokers grant permission for any Advertising Broker to display any listings submitted to the service by the Listing Broker only if the listing display or advertisement is clear so that a reasonable real estate consumer understands:

a) Who is the Listing Agent & Broker?
b) Who is the Advertising Broker?
c) How to contact that Listing Agent or Broker.

Note: These changes only affect how agent and broker IDX websites display your MLS data in public sites, not any other form of marketing. They are unrelated to communications between you and your clients.

What are the full implications of this rule? How do agents and brokers make sure your IDX feeds are compliant? Where did this rule come from, and why, and how does it benefit you?  To answer these questions and more,

CRMLS’s Vice President and General Counsel Edward Zorn - VP & General Counsel at California Regional MLS (CRMLS), will host a Webinar Wednesday, September 15th at 2:00 PM centered on the IDX Transparency Initiative.

Edward Zorn,  will also review frequently asked questions,  display examples of this new change, and take questions live.

Art Carter, CEO of CRMLS

Provides quick insight into the rule change on this 2:35 minute video.

More than 100 PSAR members learned more about property tax benefits available to clients of REALTORS^® from Proposition 19 during a Zoom meeting earlier this week with Taxpayer Advocate Jordan Marks of the San Diego County Accessor-Recorder-County Clerk (ARCC) Office.

Recorded Video of the Presentation

Attachments from the presentation:

• Jordan Marks Presentation Slides
• Assessor Homeowners Exemption Form
• Assessor Senior Exclusion Form
• Prop 58 Parent to Child Exclusion Form

Prop. 19, approved by California voters in the recent November general election, offers significant benefits to homeowners and sellers. The ballot measure was endorsed by the California Association of REALTORS^® (C.A.R.) and other business and community organizations because it will spur housing economic recovery.

Simply put, Prop. 19 expands the affordable housing tools by allowing senior homeowners over 55 years old, people with severe disabilities and victims of natural disasters or wildfires to keep their low tax base and move or rebuild anywhere statewide.

In addition, Prop. 19 addressed a tax loophole allowing families to pass their homes and affordable tax bases to their children, but no longer allowing them to be used for a commercial purpose.

However, Marks told PSAR members that it’s important to remember that some rules relating to Prop. 19 will change on Feb. 15 and April 1.

Before Feb. 15, in the case of transferring home ownership from parent to child or grandparent to grandchild, the law allows for unlimited transfer of assessed value on a primary resident with no requirement to live in the property and up to $1 million of assessed value on all non-primary residential properties.

After Feb. 15, the law changes with a limit of $1 million transfer of assessed value on a primary resident, plus a requirement to live in the property and no transfer of assessed value on any property not a primary resident.

Before April 1, for relocating homeowners over 55 years old, the current rules limit the senior exclusion from property tax reassessment to one time plus a requirement to live in the property.

After April 1, the senior exclusion from property tax assessment can be claimed for three times for any property in the state (but unlimited times for those whose homes were destroyed or substantially damaged by a wildfire or natural disaster). Filing for the exclusion must occur within two years from the date of the sale or purchase.

Landlords and tenants alike have been hit hard with economic challenges resulting from the Covid-19 pandemic. Fortunately, several local cities and nonprofits who administer federal government programs on behalf of cities, have made rental assistance resources available to both landlords and tenants who have suffered Coved-related economic losses. PSAR members active in their communities should be aware of these following landlord/tenant resources:-- In San Diego, With funding from the federal government, the San Diego Housing Commission (SDHC) helps more than 16,000 households with low income pay their rent in the City of San Diego. Through this rental assistance program, SDHC made payments totaling more than $166 million to more than 5,800 participating landlords on behalf of low-income families during Fiscal Year 2020 (July 1, 2019 – June 30, 2020).

In 2019, SDHC expanded its focus on landlord outreach and engagement with the creation of the Landlord Services Unit. This unit is composed of seven specialized staff who provide quality customer service to landlords and tenants participating in the Section 8 Housing Choice Voucher rental assistance program. For more details about SDHC rental assistance resources for properties located within the City of San Diego, contact SDHC, www.sdhc.org or call 619-578-7131.

The SDHC Landlord Services Unit manages the agencies Landlord Partnership Program (LPP), which provides financial and support incentives to landlords who rent to families who receive federal rental assistance through the Section 8 Housing Choice Voucher program within the San Diego city limits (92037 and ZIP codes that begin with “921”, except for 92118). Landlords who participate in the LPP may be eligible to receive up to $500 for each rental unit rented to a Section 8 household and up to $3,000 to help cover repair expenses in excess of normal wear and tear and rent due that exceeds the security deposit following tenant move-out. For more information about LPP, please visit https://www.sdhc.org/doing-business-with-us/landlords/landlord-partnership-program/

SDHC’s services to landlords include consistent and on-time rent payment, access to an online landlord portal, and enhanced customer service.

-- In National City, South Bay Community Services (SBCS) launched a tenant-based rental assistance program in National City. The City of National City has reached out to PSAR seeking assistance in contacting property managers and management companies who have tenants with past due rent.

SBCS is now accepting applications for a COVID-19 Tenant Based Rental Assistance Program funded by the City of National City. This program will assist low-income families in who have suffered a loss in income or are unable to pay their past due rent because of Covid-related financial issues. You can help by notifying tenants that this rental assistance is available. Applications can be found at https://southbaycommunityservices.org/national-city-rental-assistance/. Application assistance is available in person at the National City Family Resource Center (304 W. 18th Street, National City), at  rentalassistance@csbcs.org, or by phone: (619) 336-8360
-- In Chula Vista, the city is developing its long-term strategic plan for housing and determining housing dollars usage, according to the city website. Earlier this year, the  Chula Vista City Council enacted a temporary eviction moratorium in response to Covid-19. The city’s moratorium, which provided eviction protection for residents and commercial tenants, was superseded and replaced with AB 3088, known as “The Tenant, Homeowner and Small Landlord Relief and Stabilization Act of 2020.” The law signed by Gov. Newsom on Aug. 31, protects renters, homeowners and small landlords through January 2021.

Chula Vista used a portion of the $3.3 million it received from the CARES Act to lend financial support to South Bay Community Services (SBCS), who assists residents with rent payments. An additional CARES Act allotment arrived Nov. 1, allowing SBCS to accept additional applications for rental assistance from those suffering economically from Covid-19 effects.-- In El Cajon, several nonprofits who have contracts with the city are assisting El Cajon residents with rent payments. The nonprofits include Home Start (619-430-0032), Interfaith Shelter Network (619-702-5399) CSA San Diego County (619-444-5700). Earlier this year, the El Cajon City Council allocated $800,000 in special block grant funding to those impacted financially by the Covid pandemic.-- In La Mesa, Home Start is overseeing a Rental Assistance Program. Applicants may qualify for up to three months of past-due rent assistance for those who have experienced job loss and/or other Covid-related financial challenges. Earlier this year, the La Mesa City Council approved $1.8 million in Coronavirus Aid Relief and Economic Security Act funding to businesses and residents. A portion of that money, roughly $600,000, was allocated to rental assistance to help people avoid eviction and homelessness. 
-- In Lemon Grove, Home Start is supporting the city’s rental assistance efforts. The Lemon Grove City Council allocated $100,000 of $162,371 in Federal Coronavirus Aid, Relief, and Economic Security Act funds to Home Start to help individuals needing hotel vouchers, transportation, reunification efforts and emergency items such as food, blankets and diapers. Funds are also available to those who need rental and utility assistance.

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