‘Homeownership For All’ is Realtors’ virtual Legislative Day theme

Every year, California Realtors travel to Sacramento for Legislative Day to meet with their state legislators and discuss issues that affect the real estate industry. This year, for the first time the California Association of Realtors is holding two Legislative Days, one virtual and another in person in Sacramento. C.A.R.’S virtual Legislative Day was held last week. The event opened with greetings from 2022 C.A.R. President Otto Catrina, new C.A.R. CEO John Sebree, and other C.A.R. officials, all of whom emphasized this year’s theme, “Homeownership For All,” and that Realtors are “Stronger Together.” Keynote speaker California Lt. Governor Eleni Kounalakis shared Governor Newsom’s efforts to increase the housing stock through legislation and funding.

Sebree stressed the importance of Realtor advocacy, which he sees as a public service because Realtors seek to protect homeowners and private property rights. Sebree noted 1,000 homes sold creates 500 new jobs, which strengthens the economy. He indicated C.A.R. does not align itself with either political party; instead, Realtors advocate for homeownership for all.

“The ‘Realtor Party’ is an example of civility in an otherwise not so civil world of politics,” said Sebree.

Silicon Valley Realtors then met virtually with Assembly Members Evan Low and Marc Berman and state Senator Dave Cortese and sought their support on two hot issues - vote YES on C.a.r.supported bill AB 2170 (Grayson), which limits bulk sales of foreclosed homes, and OPPOSE AB 2469 (Wicks), which seeks to impose a statewide rent registry. Both bills are in the Assembly and have not yet been assigned to a committee.

Current law allows GSES Fannie Mae and Fredie Mac to sell REOS in bulk to institutional investors. This leaves fewer homeownership opportunities for other buyers, including first-time homebuyers. Realtors said AB 2170 will provide owner occupants and public entities to get a “first look” for a 30-day period, require all lenders to receive all offers during this period and respond to “first look” offers before investor purchasers. It also would prohibit GSES from conducting bulk sales in California.

Realtors oppose AB 2469 because the bill creates a statewide rental registry and forces all rental owners to submit data of every unit they own. Those who do not submit information will not be allowed to raise rent, evict a tenant, even for criminal activity.

This bill would impact all landlords – small and large, and is cumbersome because they would have to list all payments they collect, including utilities. The bill also requires rental owners to list the number of tenants at a unit where a tenancy was terminated and the reason for terminations. The Realtors said the bill does nothing to create more housing that the state desperately needs and just wastes tax dollars.

The legislators said they would study each bill closely and praised Realtors for their work. “You are our eyes and our ears. You are the boots on the ground. I welcome your input and your insight,” said Low.

Low said he is frustrated that the younger generation is priced out of living in Silicon Valley. Low stressed that while he respects the position of cities wanting to retain a small-town feel, “this is a crisis at the expense of the younger generation.”

Cortese said his work has focused on housing financing, tax credit increases, and first-time homebuyer assistance. He expressed concern about AB 2469 and remarked a state rental registry could conflict with privacy rights, including the California Public Records Act.

Berman said his goal is to develop housing and increase homeownership. “My hope is to create more housing of all types at all different affordability levels.”

In-person Legislative Day in Sacramento will be held on April 27. Realtors are the largest group that travels to the State Capitol to speak with their representatives.