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    Real Estate Legal Updates & Statewide Legislation Signed

    September 25, 2021

    By: Richard Haynes
    Manhattan Pacific Realty

    Work has been crazy busy over here at Manhattan Pacific Realty.

    As a result, I have been struggling to find time to research and write an in-depth blog this week. So, in advance, please forgive me for a shorter post than normal.

    This week, I am highlighting two big legal and legislative happenings that you should be aware of affecting all residential real estate in California. In future posts, I will do a deep dive into the most impactful changes.

    1. Statewide California Eviction Moratorium to End.
    2. Governor Newsom Signs Senate Bill 9 and Senate Bill 10.

    California Eviction Moratorium Ending

    The statewide eviction moratorium is set to end on September 30th, 2021. Although anything can happen with a special session designated by the Governor, according to legal pundits, the moratorium will likely end with the legislature not currently in session.

    In addition to the CDC not extending its national moratorium (due to a Supreme Court ruling saying they over-reached their power and advised not to extend again), eviction moratoriums will likely end from a nation and state level.

    Will tenants be thrown into the streets and landlords begin collecting rent again? No.

    There will be a long backlog at the courthouse and there are still a litany of rules landlords/tenants must follow for back rent prior to October 1, 2021. Everyone will have to navigate city eviction laws/moratoriums, along with state law still guiding parties to work on 25% collection from tenants, and landlord seeking reimbursement from the federal government.

    It’s a mess.

    Regardless if you are a tenant or a landlord, you should seek legal advice from a qualified real estate attorney that specializes in landlord/tenant law.

    I am not even going to begin to breakdown the laws as I see them, as there are just too many variables within each city and for each specific case.

    All that said, any lease signed after October 1, 2021, will, for the most part, go back to the way things used to be.

    Again, please consult with a qualified real estate attorney.

    SB 9 & SB 10 Signed by the Governor

    Two weeks ago, I wrote about new senate bills, SB 9 and SB 10, passed by our California legislators.

    There was little guidance on whether Governor Newsom would sign the bills due to the pending recall vote. After Newsom officially survived and kept his job, the bills were promptly signed.

    For a summary and links to the bills, take look at the previous blog here: New South Bay Listings with Large Lots to Utilize Potential CA Legislation

    All in all, these bills allow for subdivisions of R-1 lots throughout the state (with many caveats) and easier routes for cities to up-zone property to create more density around job centers.

    These bills will be impactful and are incredibly detailed. I will complete a deep dive in a future blog, but after brief studies, I do not think they will be super significant to our South Bay markets (Manhattan Beach, Hermosa Beach, Redondo Beach, and Palos Verdes) covered in this blog.

    What you do need to know is that they are now law.

    You can use these new laws in very specific scenarios throughout the South Bay in a few years, and if you are smart, they will be even more useful in areas outside of the South Bay if you plan to invest in other markets.

    More info to come soon!

    Coming Weeks + New Listings

    In the coming weeks, I have a lot to write about and share.

    With regards to the blog, there will be a lot of newsworthy items:

    1. The end of the 3rd quarter and local South Bay numbers to analyze.
    2. Deep dive into SB 9 and SB 10, its effect on the South Bay and beyond.
    3. The California Association of Realtors (C.A.R.) all important Affordability Index will be released in the next month or so (my latest podcast on this will be posted next week).

    And of course, I will be diving into local market specifics as always ranging from Palos Verdes to Manhattan Beach.

    On the listings front, I have a refreshed listing coming next week in Palos Verdes Estates and October will bring another PVE home that is a no brainer for buyers. Stay tuned for some great opportunities!


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