June 8’s municipal ballot will have one proposition that will effect both landlords and renters. Proposition F (Renters’ Financial Hardship Applications) would allow renters to file a petition claiming financial hardship at any time with respect to any rent increase.

Payment of the rent increase would be stayed for a period of 60 days from the date of filing or until a hearing is held and a decision issued by an Administrative Law Judge.

From my understanding, how it will be determined whether a renter’s claim of financial hardship is to be granted, the Rent Board and the Administrative Law Judge would base their decision on:

• Whether a tenant in a household is either unemployed or has had wages reduced by 20 percent or more compared to 12 months prior, or whose sole income consists of government benefits such as Social Security, SSI, SDI or similar benefits and has not received a cost of living increase in the past 12 months;
• Whether the rent including the increase comprises or will comprise 33 percent or more of the tenant’s gross income;
• Renter’s assets also are to be considered in making the determination.

Upon a finding that the tenant has financial hardship, the Administrative Law Judge will order that the rent increase will not be in effect for a specific period of time based on the tenant’s circumstances and schedule a review at the end of that period.

If the rent increase is later allowed, it will take effect as of the date the tenant’s income or assets changed to permit the increase.

Of course, this hasn’t gone into effect as it is part of the ballot in June – so if you’re a renter or a landlord, it probably is important to remind yourself about this and go to the ballet to have your vote counted.

San Francisco homeowners have a new way of paying for solar panels, energy-efficient appliances and low-flow toilets.

A new city-run program, GreenFinanceSF, will give San Franciscans the money to pay for such projects up front and let them pay it back through installments on their property tax bills. Berkeley pioneered the idea in 2007, and since then, hundreds of cities, counties and states have adopted their own versions.

For more information, give me a call (415-680-8031) or email

Just in – Governor Schwarzenegger has signed AB 183 (the Home Buyers Tax Credit legislation) into law. $200 Million in tax credit for Californians, with half of it for qualified first-time home buyers who purchase existing homes; and the other half for purchasers of new construction homes.

Important dates to know, eligible taxpayers who close escrow on qualified principal residences between May 1, 2010 and December, 31, 2010, or who close escrow on a qualified principal residence on and after December 31, 2010 and before August 1, 2011, pursuant to an enforceable contract executed on or before December 31, 2010, will be able to take the allowed tax credit.

Under the bill, purchasers will be required to live in the home as their principal residence for at least two years or forfeit the credit (i.e. repay it to the state…doubt you want to do that, so keep that timetable in mind). Buyers also must be at least 18 years old and be unrelated to the seller.

By the way, if you have forgotten, first-time buyers are defined as those who have not owned a home in the past three years, so if you have been renting the past three years and want to get back in as we’re seeing more activity in the San Francisco market, now maybe a good time for you to do so.

This is a limited time tax credit upwards of $18,000. As always, you should consult with your tax advisor on how this new tax credit will or can effect you before jumping into anything.

Give me a call (415-680-8031) to find out.

The FBI just recently arrested 18 people in the Bay Area last week on the suspicion of involvement in mortgage fraud schemes that led to the loss of more than $10 million.

All the individuals were are currently in the mortgage and real estate business, with three being former bank employees, eight real estate brokers and at least one mortgage broker.

$10 million dollars within a four year time span between 2005-2009, right at the height of the real estate market towards the down-turn that occurred with the banking crash of 2007.

Source: KTVU

The  Board of Supervisors unanimously passed the “Retrofit Now!” legislation introduced by Mayor Newsom to support property owners throughout the City who act immediately to voluntarily retrofit and strengthen wood-framed, soft story homes and multi-unit buildings to help protect them from collapse in a major earthquake.

Given that we live in Earthquake country, sounds like a good idea to me. With so many of our homes in San Francisco being built in the early 1920s-1940s, retrofitting them to protect yourself in the event of an earthquake will pay divednece in the event of one.

It’s been 21 years since the last major quake, and if you were here as I was, you know that it’s been a while since that last one and another one is probably coming sooner than later.

The new legislation, which takes effect on April 19, 2010:

• Waives Building and Planning Department Plan Review fees—saving hundreds or even thousands of dollars per project.
• Expedites the processing, review and approval of permits for voluntary seismic retrofit upgrades of soft-story, wood-frame buildings—buildings identified as likely to collapse during the next major earthquake in a January 2009 study by the Community Action Plan for Seismic Safety (CAPSS); and
• Enables those who retrofit voluntarily now, and who meet the building performance standard established by the Building Department for these voluntary retrofits, to be exempt for 15 years from any requirements that may be adopted in the near future as mandatory retrofitting legislation is enacted.