Marvin de la Vega

Consult with your Broker or local board on this one, I'm sure it's different where you are.

One thing is for sure, TERMITES ARE FAT, DUMB AND HAPPY IN CALIFORNIA! Here's how it commonly works down here. In the purchase contract the buyer can ask the seller for certain types of strategies in dealing with these pets (and wood destroying organisms). A common way to deal is the seller pays for what I call the big ticket items - the active infestation or wood damage (wood replacement, fumigation, spot treatment among others are necessary) and the buyer pays for the little ticket items (items not addressed as active infestation like stains, termite pellet removal). All is negotiable so again, consult a higher power. In certain cases my buyers often ask the seller to pay for ALL termite issues.

Once the report is out, be familiar with what the damage is and how it's fixed. This will obviously make you smarter down the road. Know the definitions of dry rot, subterranean termites and drywood termites. Heck, just ask your favorite termite inspector for a quick lesson. Know the procedure if any repair or fumigation is necessary. Is the buyer required to acknowledge the work? Know especially if there is any prep work necessary prior to the termite killers arrival. Ask what their time frame for starting and stopping work is. Know ahead of time exactly how they will conclude their work - clean up and issuing of a clearance.

Here's the part we as agents need to pay attention to. Termite control companies kill termites. No kidding, Sherlock (my wife and kids read this, rated G). They also might make a mess in the yards and if the seller didn't prepare the plants next to the house for fumigation so they might either be moved or cut by the termite killers. Also, termite control companies are not painters or fine woodworkers, so if certain pieces of wood are damaged and need replacement ask how the wood will be finished. Some companies are more professional than others and will not only prime the wood but color match the paint - in my opinion this is above and beyond the call of duty. Lastly, How tidy is the company? Do they clean up any debris, tidy up the planter boxes they trampled or do they re-install the fences they had to take down in order to fumigate?

Protect your buyers and sellers - get smart on termite protocol and ask the termite company a ton of questions before they are dispatched.

As always, Rainmakers out there I look forward to your $0.02.

Have a great week!

Marvin de la Vega

Back from vacation, I'm ready to close a listing (I'm representing the seller) in the last three days of the escrow period and I get this call from the buyer's agent. "My buyer has been laid off from work and needs to cancel this transaction. Oh and by the way, she wants her deposit back."

Welcome home...

The tough part for the buyer is she didn't know she had lost her job until her lender received the Verification of Employment stating she had no future employment with the company. She was a single mom, working as a nurse's assistant for many years with the same company. Meanwhile, she had already fully committed to her purchase and removed all contingencies. Her deposit was fair game to request release of it to the seller. So the predicament was, should the seller take the buyer's deposit?

I spoke with my client (seller) after verifying the buyer's misfortune. We both agreed that in the San Diego market and economic climate, giving the deposit back felt like the right thing to do so, she did.

We already have another offer in negotiation with a new buyer, life is good. The only thing lost was time. We are experiencing multiple offers and overbids (on low prices) so it still has all the makings of a happy ending for my client.

But I'm curious, what would you have done?

Although it was sunny and cold, I'm glad to be home from camping on the beach...salvaged another deal and happily remembering Raphael's first day in the sand.

Have a great week!

Marvin de la Vega

We've all been through this before, we all have writer's block from time to time. Sometimes we're not feeling it or are so consumed with "stuff" that the creative juices aren't flowing. So what do the tough folks do when the going gets this way? Well, this one is packing up the ol' truck and the 24' fully loaded Taj Mahal with a license plate (travel trailer) and going surfing!

That's right! I'm packing up the wife and kids, 3 boards, a fridge full of food and drink (including the makings for Smores using leftover chocolate bunny fragments), some firewood and heading out to camp (okay it's not really camping) right on the sand at one of my favorite surf spots north of San Diego near San Onofre CA. The military was kind enough to reserve a small strip of beach for military recreational use. There are picnic tables with patio covering, fire rings, showers, baths, laundry facilities (for those on extended stay, but what's to wash, shorts and t-shirts?), a jungle gym, trailers to rent and full hookups for those of us that like to bring our own. And then there's the surf spot, it's a fun, peeling right hand wave that follows the shoreline into a little bay. It's a rocky bottom and on a larger swell can technically be a challenging wave. I've carved many a turn and been chased by many sections of whitewash that never seemed to catch me. The military doesn't keep other surfers out of the water so it's a mellow spot that seems exempt from localism and "my wave" wavehogs and the overly agressive surfers that are intent on not enjoying themselves.

But not here! I plan on building sandcastles, shell hunting, staring at clouds, a few bonfires and of course, SURFING!! This time of year, especially midweek, hardly anyone is out so crowds will be minimal. Plus it's a military base so mayhem is non-existent, except for the occasional game of tag with a glee-squealing, grinning kid and a fresh from the water hug for my wife Barb.

I'll have plenty to do when I return. Thankfully my assistant is on the ball and fully capable of TCB while I'm away.

So what do you do (or what will you be doing) this year to clear your mind? What will help you recharge your batteries?

Have a great week!

Marvin de la Vega

Yesterday was a great day for me. It was a good reminder of why I'm in real estate and how I work for my clients. Here's what happened.

On a particularly busy day, I posted a technical entry where I learned more from the comments in the Rain than I bargained for, met with a buyer client for a home inspection, met with another selling client to respond to a home inspection (on paper) and showed 8 houses to yet another client - all three clients are military service members. I was smiling all day, thankful for having work available while I read about other agents having to leave the biz.

As I was rushing between appointments on the freeway I was driving behind a dude on a Harley. Typical rider - leather, patches, chrome, loud pipes, red, white and blue bandana under his half helmet with a "Vet" sticker on it. I ride too and didn't really notice I stayed behind him for quite a stretch but was admiring his bike, even though it had "ape hangers" - tall handle bars, imagine the picture.

We got off at the same exit in Chula Vista and I was still behind him. Here was the cool part. He looked in his rear view mirror and I'm sure he saw my Department of Defense (DOD) officer sticker on my windshield (I'm an inactive Naval Reservist soon to retire). While the bike was still under him he stood tall and popped off the sharpest, most crisp salute directed at me that I've ever seen coming from anyone in civilian attire let alone biker garb. I smiled in awe and humble patriotism. The light turned green and he took off before I could render a salute back to him even though I was in civvies and off base. I did catch a glimpse of his enlisted DOD sticker as he turned on the next street. This wasn't as much a proud moment for an officer receiving a salute from a junior enlisted man as much as it was a nonverbal confirmation of two military men's beliefs. This fella didn't have to acknowledge me in public and in traffic, yet he did.

I feel all that much more convicted in my past service to our country and even more so to my clients, many of which happen to be Navy service members like me. But all my clients get the same service, regardless of their chosen profession. I'm just thankful for how I got to this point and for where I serve as a military man, a citizen and REALTOR®.

It's not the fourth of July and it's not military appreciation day - but if you're so inclined, thank a service member today. I'm just thankful I can return the favor to everyone through my work.

Have a great day everyone! I know I will.

Marvin de la Vega

P.S. That's my daughter Gabrielle with me last 4th of July taking a 5 mph patriotic tour of the neighborhood.

Have you ever had a seller wonder what this was all about? Chances are if you're a Rainmaker you've coached your clients well, both buyers and sellers alike. On occasion my sellers are blindsided with some creative requests. Here's how I coach both buyers and sellers to prevent this from happening. Note: Buyers and sellers reading this, you might impress your agent, pay attention...

Understand the part of the contract where "as is" is mentioned. In California the purchase contract specifically states "the property is sold in its present physical condition". What this means is it comes with the faux wooden beams, wood paneling, 1957 mirrored Elvis tile and the garden-hose-green shag carpeting. This doesn't stop buyers from asking for everything under the sun (and carpet), however. But buyers should be aware the seller loved their home at one time and is selling for an agreed upon price. If priced right, sellers have objectively taken into consideration the condition, fit and finish of their home and programmed that into their price.

If repairs are requested, negotiate based upon the end goal - sale of the property. Buyers often ask for items to see what they can "get away with" or how much they can beat a seller down while giving up their most prized possession. Conversely, sellers often feel their house is perfect and "how dare anyone ask me to fix or change anything?". There can be deal breakers coming from either side; ask, negotiate and respond fairly. An offer was written in good faith that the buyer wants to own this home, right? The seller should take a deep breath when reading a request and consider the buyer's perspective.

What is fair game to ask for? As mentioned before, the buyer can ask for everything and anything, including removal of the moon and star collection on the mirrored ceiling. Here in CA, the seller literally does not have to respond. This in and of itself can be a deal breaker, kind of like me asking my wife Barbara if I can go on a week long motorcycle ride over Christmas with the fellas; she'd just stare at me like a statue of Abe Lincoln. Can a buyer ask for cosmetic repairs? Absolutely! In all my years of asking and answering requests for repairs, I've said the same thing, "the buyer can ask for anything but the seller really should give priority to health and safety related issues".

What are health and safety related issues? First and foremost, both sides should not take this lightly or too serious. A seller might have been living in a house for years in certain conditions that might have warranted building code updates in recent years or standards that needed changing. Does this mean the house is instantly uninhabitable? Absolutely not! Common sense prevails. Here are a few examples of (but not limited to) issues where remedies could be asked for: mold, fire hazards, leaks (water or gas), broken glass, roofs, foundations, lead based paint, asbestos and falling hazards (human or inanimate objects). Some of you 100k plus point clubbers could add to this I'm sure but you get the point. Again, there are many things a buyer could ask for, these just tend to be important and pertinent to a buyers definition of habitability.

How can a seller respond? Simple - no, yes or yes to some. "Not only no but heck no" can cause a buyer to take their ball and go home. If a buyer was coached properly, these could be items they feel will tremendously impact their living experience in their new (old) home. Ask wisely and consider the seller's reason for saying no - "Read paragraph 7A silly" (the as-is paragraph), "this is cosmetic", "I don't have the money to do it (short sale or foreclosure)", "the item was only recommended by your home inspector, not mandated by anyone", "I'm part mule", etc. Yes answers - self explanatory. Yes to some, also self explanatory, refer back to "no" for the items not agreed upon. Make sense?

What happens next? Actual repair paid for by seller often happens in CA, refer to your contract defaults for repair standards. Here's what I recommend as listing agent, it's a little easier with a happy ending for all. At the beginning of the transaction I prime the buyers agent to not only conduct a home inspection but to have licensed, reliable contractor(s) inspect and give the buyers an estimate for repairs they might want - all are part of buyer's due diligence. This will help the seller arrive at an easy response to a request for repairs. At this point the seller can do one of two things, agree to repairs during the transaction OR agree to NO repairs and give a credit to buyer at closing. Call it a discount on the house (or closing costs) that happens to be the price on the written estimate, and the buyer can fix these issues under their ownership. Everyone should be happy at this point, buyer got a break, seller can move out without fixing the house they are leaving behind. Note: Seller CANNOT give buyer cash in hand from proceeds of sale if financing is involved, this is mortgage fraud. However, there is such a thing as a Rehab loan; ask your favorite lender or a fellow Rainmaker for details.

Is there a better way? Quite possibly, each situation is different. This particular approach has served my clients well in Chula Vista and all over San Diego for several years and I haven't heard any complaints after closing. I would like to hear your thoughts and as always, I'm open to suggestion...

Marvin de la Vega

Disclaimer: Consult with your local agent, broker or real estate attorney for specific guidance in your locale. While meant to be an illustration of what can happen in CA, this is by no means the rule for all transactions. For further back pedaling and an all encompassing disclaimer, refer to my profile page. Md