New Laws and Regulations for 2022 – Part 2B (Real Estate Updates)
New Laws and Regulations for 2022 – Part 2B (Real Estate Updates)
By: D. Keith Dunnagan, Esq. and Trey Van Dyke (2L)
February 1, 2022
A couple of weeks ago we introduced our looking forward series and we’ve touched on a few things to look for in 2022. Today, we continue this series by looking at new laws and regulations that will be affecting real estate industry professionals and real estate consumers. We’ll group the laws into categories for easy reference back to this article, if necessary, but some of the laws could easily fit into multiple categories. These categories are Consumer Protection/Relief, DRE and Licensing, Housing Development, Landlord/Tenant, and Estate-Related.
DRE and Licensing
BRE to DRE Language Finalization: SB 800.
This law changes all references in Real Estate Laws from the former name, “bureau” to the current and correct name, “department.” The law also includes expedited licensing for members of the US Armed Forces, and exemption on CE requirements for licensees in good standing for 30 years that are 70 years of age or older.
Implicit Bias Training for Real Estate Licensees: SB 263.
Mandates implicit bias training courses for new salesperson and broker applicants. Also requires a 9-hour course for license renewals occurring on or after January 1, 2023.
Use of Prior Surname in Real Estate Business Allowed if Filed with DRE: AB 44.
This law allows a person who has legally changed their name to continue to use the prior name in conducting a real estate business. Both names must be filed with DRE.
Landlord/Tenant
Address Abuses of the Emotional Support Animal Laws: AB 468.
As we introduced in the kickoff to this series, this law imposes restrictions on how health care practitioners may provide documentation relating to emotional support animals. It also requires that a person that provides an emotional support dog to give notice that the dog does not have the special training required to be a guide, signal, or service dog; and requires a person providing a certificate, tag, vest, leash or harness for an emotional support dog to give notice to the buyer that the material does not entitle an emotional support dog to the rights and privileges afforded to a guide, signal, or service dog. Note that the law does not change the underlying federal or state laws regarding reasonable accommodations regarding housing. The restrictions it imposes are on health care professionals and the documentation that they provide to establish the need for an emotional support animal and vendors of support animals and associated equipment.
Government Inspections for Lead Hazard Complaints: AB 838.
Beginning July 1, 2022, a city or county that receives a complaint of a substandard building or lead hazard violation from a tenant, resident, or occupant, or an agent thereof, must inspect the building and document a violation or substandard condition. Substandard here is defined under §17920.3 of the Health and Safety Code and is typically synonymous with uninhabitability standards. An inspection is NOT required if a complaint does not allege a substandard condition, or a complaint was submitted by a complainer who, within the last six months caused an inspection that resulted in a finding of a frivolous or unfounded complaint.
Higher Fines for Short-Term Rentals Threatening Health and Safety: SB 60.
To deal with instances of violence and bad actors abusing short-term rentals, this law creates a new fine violation structure specifically when short-term rentals are threats to public health and safety, in addition to existing criminal sanctions. Violation of a short-term rental ordinance is punishable according to the fine structure (of up to $5,000); however, it does not apply to a first time offense of failure to register or pay a business license fee.
Mobile Homes included in Prior Rent Cap Laws: AB 978.
Previously excluded from rent cap legislation, the owners of mobile home rentals owned by a mobile home park will now be subject to the statewide rent cap and just cause eviction rules under the Tenant Protection Act (AB 1482).
Estate Related
Courts Must Allow Appraisal and Option to Buy for Partition Actions Among Heirs: AB 633.
As part of a partition action involving heirs property, the court must first mandate an appraisal and grant co-tenants an option to buy. If a sale is ordered, it must be through the open-market by a broker as opposed to an auction. We previously addressed this change in a more expansive article found here.
Extension of Revocable Transfer On Death (RTOD) Deed Law to Avoid Probate: SB 315.
This law extends until 2032 the RTOD deed law which allows a homeowner to transfer to a named beneficiary 1-4 unit residential property upon the owner’s death without a probate proceeding. Two witnesses are now required to sign the deed. Stock cooperatives are excluded from the types of property that may be transferred via RTOD deed but agricultural land up to four residential units is now included.
The attorneys at BPE Law have a long history working with landlords, property managers and real estate investors on their real estate needs. If you or someone you know has questions related to their real estate holdings, BPE’s attorneys are here to help you navigate the complex web of statutes and regulations related real estate.
The information presented in this Article is not to be taken as legal advice. Every person’s situation is different. If you are facing a legal issue of any kind, get competent legal advice in your State immediately so that you can determine your best options.
Recent and Popular Articles From Our Blog:
2020 Blogs:
- April 28 – A New Reality – Temporary or Permanent – Virtual Showings and Disclosures
- May 22 – Servant Leadership
- June 8 – Paycheck Protection Program Flexibility Act is Enacted
- June 10 – Impact to Credit Score After Filing Chapter 7 Bankruptcy
- June 26 – SBA Rolls Out Updated PPP Loan Forgiveness Application
- July 2 – Understanding the Home Equity Sales Contract Act 2020
- July 14 – Governor Rolls Back Re-Opening
- August 4 – August 2020 COVID-19 Update
- August 18 – Status Of Selected California State Operations re: COVID-19
- September 1 – COVID Update on Foreclosures and Evictions
- September 3 – State Passes AB 3088
- September 15 – Update on PPP Forgiveness and Impacts
- November 10 – Changes to the Fair Housing and Discrimination Advisory CAR Form
- November 24 – In a Season of Difficulty – We Choose Gratitude
- December 15 – Cal/OSHA Issues New COVID Prevention Rule
2021 Blogs:
- January 5 – Introduction to New Laws 2021
- January 26- Rain and the Prevalence of Failure to Disclose Claims
- February 2 – California Enacts COVID Tenant Relief Act (SB 91)
- March 9 – Understanding the Trust Exception to Real Estate Disclosures
- April 20 – Cash for Keys and SB 91
- May 4 – Help! Tenant Won’t Cooperate with Sale of Home
- May 11 – California Passes AB 80
- June 15 – Pinhole Leaks in Copper Pipes in Folsom
New Laws and Regulations for 2022 – Part 2B (Real Estate Updates)
By: D. Keith Dunnagan, Esq. and Trey Van Dyke (2L)
February 1, 2022
A couple of weeks ago we introduced our looking forward series and we’ve touched on a few things to look for in 2022. Today, we continue this series by looking at new laws and regulations that will be affecting real estate industry professionals and real estate consumers. We’ll group the laws into categories for easy reference back to this article, if necessary, but some of the laws could easily fit into multiple categories. These categories are Consumer Protection/Relief, DRE and Licensing, Housing Development, Landlord/Tenant, and Estate-Related.
DRE and Licensing
BRE to DRE Language Finalization: SB 800.
This law changes all references in Real Estate Laws from the former name, “bureau” to the current and correct name, “department.” The law also includes expedited licensing for members of the US Armed Forces, and exemption on CE requirements for licensees in good standing for 30 years that are 70 years of age or older.
Implicit Bias Training for Real Estate Licensees: SB 263.
Mandates implicit bias training courses for new salesperson and broker applicants. Also requires a 9-hour course for license renewals occurring on or after January 1, 2023.
Use of Prior Surname in Real Estate Business Allowed if Filed with DRE: AB 44.
This law allows a person who has legally changed their name to continue to use the prior name in conducting a real estate business. Both names must be filed with DRE.
Landlord/Tenant
Address Abuses of the Emotional Support Animal Laws: AB 468.
As we introduced in the kickoff to this series, this law imposes restrictions on how health care practitioners may provide documentation relating to emotional support animals. It also requires that a person that provides an emotional support dog to give notice that the dog does not have the special training required to be a guide, signal, or service dog; and requires a person providing a certificate, tag, vest, leash or harness for an emotional support dog to give notice to the buyer that the material does not entitle an emotional support dog to the rights and privileges afforded to a guide, signal, or service dog. Note that the law does not change the underlying federal or state laws regarding reasonable accommodations regarding housing. The restrictions it imposes are on health care professionals and the documentation that they provide to establish the need for an emotional support animal and vendors of support animals and associated equipment.
Government Inspections for Lead Hazard Complaints: AB 838.
Beginning July 1, 2022, a city or county that receives a complaint of a substandard building or lead hazard violation from a tenant, resident, or occupant, or an agent thereof, must inspect the building and document a violation or substandard condition. Substandard here is defined under §17920.3 of the Health and Safety Code and is typically synonymous with uninhabitability standards. An inspection is NOT required if a complaint does not allege a substandard condition, or a complaint was submitted by a complainer who, within the last six months caused an inspection that resulted in a finding of a frivolous or unfounded complaint.
Higher Fines for Short-Term Rentals Threatening Health and Safety: SB 60.
To deal with instances of violence and bad actors abusing short-term rentals, this law creates a new fine violation structure specifically when short-term rentals are threats to public health and safety, in addition to existing criminal sanctions. Violation of a short-term rental ordinance is punishable according to the fine structure (of up to $5,000); however, it does not apply to a first time offense of failure to register or pay a business license fee.
Mobile Homes included in Prior Rent Cap Laws: AB 978.
Previously excluded from rent cap legislation, the owners of mobile home rentals owned by a mobile home park will now be subject to the statewide rent cap and just cause eviction rules under the Tenant Protection Act (AB 1482).
Estate Related
Courts Must Allow Appraisal and Option to Buy for Partition Actions Among Heirs: AB 633.
As part of a partition action involving heirs property, the court must first mandate an appraisal and grant co-tenants an option to buy. If a sale is ordered, it must be through the open-market by a broker as opposed to an auction. We previously addressed this change in a more expansive article found here.
Extension of Revocable Transfer On Death (RTOD) Deed Law to Avoid Probate: SB 315.
This law extends until 2032 the RTOD deed law which allows a homeowner to transfer to a named beneficiary 1-4 unit residential property upon the owner’s death without a probate proceeding. Two witnesses are now required to sign the deed. Stock cooperatives are excluded from the types of property that may be transferred via RTOD deed but agricultural land up to four residential units is now included.
The attorneys at BPE Law have a long history working with landlords, property managers and real estate investors on their real estate needs. If you or someone you know has questions related to their real estate holdings, BPE’s attorneys are here to help you navigate the complex web of statutes and regulations related real estate.
The information presented in this Article is not to be taken as legal advice. Every person’s situation is different. If you are facing a legal issue of any kind, get competent legal advice in your State immediately so that you can determine your best options.
Recent and Popular Articles From Our Blog:
2020 Blogs:
- April 28 – A New Reality – Temporary or Permanent – Virtual Showings and Disclosures
- May 22 – Servant Leadership
- June 8 – Paycheck Protection Program Flexibility Act is Enacted
- June 10 – Impact to Credit Score After Filing Chapter 7 Bankruptcy
- June 26 – SBA Rolls Out Updated PPP Loan Forgiveness Application
- July 2 – Understanding the Home Equity Sales Contract Act 2020
- July 14 – Governor Rolls Back Re-Opening
- August 4 – August 2020 COVID-19 Update
- August 18 – Status Of Selected California State Operations re: COVID-19
- September 1 – COVID Update on Foreclosures and Evictions
- September 3 – State Passes AB 3088
- September 15 – Update on PPP Forgiveness and Impacts
- November 10 – Changes to the Fair Housing and Discrimination Advisory CAR Form
- November 24 – In a Season of Difficulty – We Choose Gratitude
- December 15 – Cal/OSHA Issues New COVID Prevention Rule
2021 Blogs:
- January 5 – Introduction to New Laws 2021
- January 26- Rain and the Prevalence of Failure to Disclose Claims
- February 2 – California Enacts COVID Tenant Relief Act (SB 91)
- March 9 – Understanding the Trust Exception to Real Estate Disclosures
- April 20 – Cash for Keys and SB 91
- May 4 – Help! Tenant Won’t Cooperate with Sale of Home
- May 11 – California Passes AB 80
- June 15 – Pinhole Leaks in Copper Pipes in Folsom