Arcadia REALTOR Magazine - January/February 2015

REALTOR®

OFFICIAL PUBLICATION OF THE ARCADIA ASSOCIATION OF REALTORS®

PROUDLY SERVING THE REALTORS® OF ARCADIA, BRADBURY, DUARTE, MONROVIA & SIERRA MADRE

2015 Annual Installation of Officers & Directors 1

See page 10

ARCADIA REALTOR® · JANUARY/FEBRUARY 2015 JANUARY/FEBRUARY 2015 · ARCADIA REALTOR®

FROM THE CEO’S DESK

REALTOR® 2015 ASSOCIATION OFFICERS Joseph Pacilio 2015 PRESIDENT Roy Blume PRESIDENT-ELECT Kelvin Chang VICE-PRESIDENT Sylvia Ramos SECRETARY/TREASURER BOARD OF DIRECTORS Ryan Asao Andy Bencosme Julie Bencosme Margaret Garemore Fred Madjar Mark Ramos David Scarminach Irene Truong Mike Vachani

C.A.R. DIRECTORS Ryan Asao Andy Bencosme Roy Blume Margaret Garemore Joseph Pacilio Sylvia Ramos Randall Traw Mike Vachani Kelvin Wong

ASSOCIATION STAFF

Robin Allen Ext. 307 Director of Finance / Office Manager Robin@TheAAR.com Michael Beltran Ext. 302 IT Director / Webmaster Michael@TheAAR.com Patricia Burns Ext. 303 Director of Communications & Education Patricia@TheAAR.com Brenda Faltes Ext. 304 Director of Membership & Professional Standards Brenda@TheAAR.com Jamie Hu Ext. 309 Director of MLS Data Violations Jamie.Hu@TheAAR.com Jane Shriver Ext. 301 Director of Association Services Jane@TheAAR.com Laura Thai Ext. 304 Director of Broker Compliance & Member Outreach Laura@TheAAR.com

Dear Arcadia Association of REALTORS® Members and Affiliates,

As we move further into this new year of 2015, your Board of Directors and I would like to take a moment to extend our sincere gratitude to each of you for your ongoing commitment to our industry and for either renewing your membership, joining for the first time or transferring your membership to the Arcadia Association of REALTORS®.

You are a member of one of the fastest growing REALTOR® association in the entire United States and we wouldn’t be able to make this claim without you, so thanks again!

2014 was a yet another year of our industry making a huge comeback along with so many positive things happening in our marketplace. You should take pride in knowing that through your efforts, countless clients and customers have found successful solutions to their real estate needs. Undoubtedly, they will be loyal to you in the years ahead, and for that outcome, we thank you.

For 2015, the commitment from the Arcadia Association of REALTORS® has never been stronger. Our focus this year will be on helping your business grow by providing you with access to leading industry related tools, even more education and outstanding member support.

Stay tuned for exciting technology advancements for all our members this year!

On behalf of the entire staff and Board of Directors at the Arcadia Association of REALTORS®, we wish you the best of success for a profitable and healthy remainder of the year!

Andrew Cooper Ext. 308 Chief Executive Officer Andrew@TheAAR.com

ARCADIA ASSOCIATION OF REALTORS® 601 South First Avenue Arcadia, California 91006 626.446.2115 626.446.4072 FAX www.TheAAR.com 2

ARCADIA REALTOR® · JANUARY/FEBRUARY 2015

Andrew Cooper Chief Executive Officer

JANUARY/FEBRUARY 2015 | VOLUME 19 | NUMBER 1

Contents 10

11

On the Cover

Regular Features 2

From the CEO’s Desk

4

Market Matters

5

Attorney Comments

6

Through the Lens

9

Affiliate Corner

13

10 2015 Annual Installation of Officers & Directors A recap of the recent “A Bit O’ Broadway” themed 2015 Installation

Additional Content

Andrew Cooper, Chief Executive Officer

11 Lifetime Achievement Award Congratulations to our Lifetime Achievement Award winner, John Barker

Market Statistics for the San Gabriel Valley

11 2014 REALTOR® of the Year & Affiliate of the Year Awards Congratulations to our 2014 REALTOR® of the Year Award winner, Ryan Asao and to our 2014 Affiliate of the Year Award winner, Stephanie LaPorte

Dave Freeman, AAR Legal Counsel

A Look at What’s Happening Around the AAR

11 2014 Community Service Awards Congratulations to our 2014 Community Service Award winners, Donna Baker & Jacquie Pergola

“Support A Hero By Helping A Vet Buy A Home!”

Scott Shimamoto, Franklin Loan Center

13 Join a Committee!

One hour a month could mean a lifetime of business!

JANUARY/FEBRUARY 2015 · ARCADIA REALTOR®

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Market Matters Market Statistics for the San Gabriel Valley - November 2014 Single Family Homes

City

Arcadia Arcadia Duarte El Monte El Monte Glendora Glendora Monrovia San Gabriel San Gabriel San Marino Sierra Madre Temple City

Zip Code

91006 91007 91010 91731 91732 91740 91741 91016 91775 91776 91108 91024 91780

Condominiums

Sales of Price Price % Sales Single Family Median SFR Chg from Count Homes ($1,000) Nov. 2013 Condos

12 12 15 3 10 11 14 18 14 15 5 10 24

$985 $1,410 $380 $475 $351 $435 $605 $563 $739 $565 $1,850 $663 $701

-16.9% -10.2% 4.5% 39.3% -5.3% 6.1% -18.0% 3.6% 8.3% 17.6% 0.5% -15.6% 25.2%

SFR Only

Price Median Price & Median Condo Chg from Home Price/ ($1,000) Nov. 2013 Sq. Ft.

2 6 3 2 4 4 2 8 0 2 0 2 0

$749 $530 $297 $393 $441 $270 $403 $449 n/a $431 n/a $505 n/a

-7.8% -6.9% 25.1% 1.9% 33.1% -16.3% -1.8% 9.7% n/a -20.9% n/a 11.0% n/a

$550 $678 $341 $325 $301 $353 $351 $386 $404 $385 $844 $460 $399

Market Statistics for the San Gabriel Valley - December 2014 Single Family Homes

City

Arcadia Arcadia Duarte El Monte El Monte Glendora Glendora Monrovia San Gabriel San Gabriel San Marino Sierra Madre Temple City 4

Zip Code

91006 91007 91010 91731 91732 91740 91741 91016 91775 91776 91108 91024 91780

Condominiums

Sales of Price Price % Sales Single Family Median SFR Chg from Count Homes ($1,000) Dec. 2013 Condos

32 24 12 6 8 17 21 19 21 12 13 7 15

$1,054 $1,260 $443 $327 $413 $460 $582 $635 $818 $613 $2,050 $1,138 $645

ARCADIA REALTOR庐 路 JANUARY/FEBRUARY 2015

-26.9% -3.1% 24.8% -9.7% 16.2% 10.2% 6.3% 31.6% 8.1% 21.1% 3.1% 76.1% -1.0%

6 17 9 2 5 3 6 11 1 3 n/a 3 2

SFR Only

Price Median Price & Median Condo Chg from Home Price/ ($1,000) Dec. 2013 Sq. Ft.

$738 $518 $335 $380 $360 $315 $479 $500 $418 $593 n/a $545 $595

18.5% 3.6% 50.9% 26.7% 0.7% -11.0% 33.3% 11.1% 39.3% 49.0% n/a n/a 50.3%

$582 $695 $311 $255 $309 $360 $345 $422 $445 $405 $887 $531 $431

Source: DQNews.com

Attorney Comments

By Dave Freeman, Association Counsel

Property Tax Postponement For Senior Citizens

Although Prop. 13 has saved many California homeowners from losing their properties to everincreasing property taxes, some folks still were in the danger zone due to fixed incomes, increasing prices of goods and gradually increasing taxes.

California has the highest or nearly highest income tax, sales tax, and gas tax in the country.

For this reason, some time ago a program was passed into law, called Property Tax Postponement.

This allowed people 62 years of age, who make less than $35,000 per year and have equity in their homes of 40% of the value of the property to apply for postponement of their property taxes until they sell the home. They must re-apply annually and the state puts a lien on the home.

The taxes are paid plus interest at the time of sale. A reasonable solution.

HOWEVER, the law expired in 2009. Through great lobbying efforts, Assembly Bill 2231 was successfully pushed through both the California Senate and Assembly, and now has been signed by the governor.

This program may not be for everyone, but for those in dire need, it is a much needed home-saver.

Wrongful Suit Costs Buyer

A buyer sued the listing agent and the seller for failure to disclose defective subflooring. During the escrow, the agent had supplied the buyer with photographs and reports disclosing the problem, and did not represent the buyer.

Nevertheless, the buyer proceeded with a full superior case lawsuit.

The agent’s attorney filed a “128.7” motion for dismissal and sanctions (money damages against the buyer). The court granted the dismissal of the suit against the agent and awarded $60,000 damages against the buyer for the agent’s attorney fees.

(The ruling was confirmed by the Appellate Court). Courts do not like to grant a dismissal at an early stage of litigation, but this is a motion I favor when there is a suit that initial facts show should not be filed.

Judgment Against Supervising Broker For Agent’s Fraud Is Dischargeable In Bankruptcy

(Not always) the agent sold

a grocery store in Long Beach to the buyer. There was a good deal of fraud proven in court, after the buyer lost a considerable amount of money, and the buyer was awarded $900,000 against the agent and the supervising broker.

The broker filed bankruptcy to avoid the debt staying with him for life. The buyer filed an action in the bankruptcy court to prevent the broker’s discharge of the judgment lien. The court ruled the judgment amount against the broker could be discharged in bankruptcy, because there was no showing that the broker knew or reasonably should have known of the fraud. Normal debts are dischargeable in bankruptcy; fraud judgments generally are not. However, here the broker did not participate in, nor was aware of the fraud, and therefore, even though he was found liable as the supervising broker, the debt of the broker could be discharged in his bankruptcy.

JANUARY/FEBRUARY 2015 · ARCADIA REALTOR®

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through the lens

A Look at What’s Happening Around the AAR

6

ARCADIA REALTOR® · JANUARY/FEBRUARY 2015

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ARCADIA REALTOR庐 路 JANUARY/FEBRUARY 2015 JANUARY/FEBRUARY 2015 路 ARCADIA REALTOR庐

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AFFILIATE Corner

“Support A Hero By Helping A Vet Buy A Home!”

As many of you know, my hobby and passion is performing standup comedy.

There is NOTHING more rewarding than talking to a room full of strangers and putting them in a good mood through laughter!

Lately, I’ve been fortunate to be able to use my comedic talent to give back to the heroes that make it possible for all of us to live in freedom and safety. I’m talking about our active duty military personnel and veterans who have finished their tours of duty. I’ve recently performed in some really fun events that benefited veterans. I’ve had the honor to share the stage with some big time celebrities in these shows like Jim Belushi, Dan Aykroyd, Rob Reiner, and Mellow Man Ace! OK shoot me.

I’m blatantly dropping names!

Maybe comedy is not your thing, but as real estate professionals, you can give back to veterans too. You can do this by helping Veterans achieve the American Dream by assisting them with purchasing their home! This is a winner for you and the Veteran!

I’m sure you know that there are special home loans out there that are designed for veterans. These are called Veteran’s Administration or VA loans. Why are these loans so good?

• They allow a veteran to purchase a home with NO

MONEY DOWN!

• They do not allow veteran’s to pay certain closing costs!

• There is NO monthly PMI!

• VA loans do have a “funding fee”, but that can be

financed into the loan!

• Rates are very competitive for these types of loans!

I know some of you “Real Estate Veterans” may be saying: “it sounds great on paper, but those VA loans are too much hassle to deal with and the listing agent will not accept an offer on a VA loan”.

This is not true anymore. I’ve closed several of these loans recently and as long as the loan officer does a good job up front of gathering all of the documentation needed to complete the transaction, these loans are no more

By Scott Shimamoto, Franklin Loan Center difficult to work with than FHA or conventional loans.

There is no need for a 60 or 90 day escrow on these types of loans. Assuming the preapproval was done properly, a 30 day escrow should be fine.

Where you can get into a pickle is if you don’t have all of the documentation that the military organizations need to provide to the lender. In case you haven’t figured it out yet, there is NO expediting the government! But like I said, if the loan officer does a good job up front, this is not a problem.

Really, the only twist on VA loans that you need to be aware of is if the property is a Condominium/ Townhouse/PUD.

If you are listing a Condominium/Townhouse/ PUD and want to open up your potential buyers pool, you should confirm that your complex is VA eligible, by contacting a qualified Loan Officer who can look it up for you.

If your complex is not VA approved, then you probably need to move on to a conventional loan or cash buyer. Getting a complex approved for a VA loan is very time consuming and expensive.

If you’re representing a buyer who wants to use a VA loan on a Condominium/Townhouse/PUD, it is MUCH more efficient to identify which cities the buyer is interested in so that you can target the complexes that are VA approved. I had a client that went online and started finding potential condos and then asked if each complex was approved. After a few inquiries, this turned into an awesome waste of everybody’s time and the buyer started getting frustrated. I strongly advised him to tell me which cities he was interested in so that I could provide him with a list of complexes that were eligible. Just to let you know, most of the cities in this area have anywhere from zero to about six complexes that are eligible. Needless to say, once I convinced the buyer to identify the cities, it saved us both tons of time!

So don’t be afraid of the VA loans! They are your friends!!! You can give back to your military heroes and open a new market niche for yourself!

JANUARY/FEBRUARY 2015 · ARCADIA REALTOR®

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2015 aNNUAL INSTALLATION A bit o’ broadway

The Arcadia Association of REALTORS® recently installed the new 2015 Officers and Directors at the 91st Annual Inaugural Celebration held on Friday, January 9th at the DoubleTree Hotel in Monrovia. More than 200 REALTORS®, Affiliates and guests attended the “A Bit-O’ Broadway” themed event.

MC of the night Scott Shimamoto.

Master of Ceremony for the evening was Scott Shimamoto with Franklin Loan Center. The Installation ceremony was officiated

by Mr. Terry Q. Earll, 1999 AAR President and broker of Century 21 Earll, LTD.

The Officers installed were: Joe Pacilio, President; Roy Blume, President-Elect; Kelvin Chang, Vice President and Sylvia Ramos, Secretary/Treasurer. The 2015 Directors are: Ryan Asao, Andy Bencosme, Julie Bencosme, Margaret Garemore, Fred Madjar, Mark Ramos, Dave Scarminach and Mike Vachani.

2015 President, Joe Pacilio gives his acceptance speech.

The Installation ceremony of 2015 President, Joe Pacilio and Officers and Directors was followed by the presentation of the coveted “REALTOR® of the Year” award presented to Ryan Asao, Podley Properties and the “Affiliate of the Year” award presented to Stephanie LaPorte, Old Republic Home Protection.

Outgoing President, Mike Vachani, received special honorariums and recognition from the City of Arcadia, City of Sierra Madre, Congresswoman Judy Chu, U.S. Representative for California’s 27th Congressional District; Assemblyman Ed Chau, California State Assemblyman representing the 49th District, and Jeffery Prang, Los Angeles County Assessor’s Office.

Presenter Jeffery Prang with Mike Vachani.

Acknowledgement of special guests included eight Arcadia Association Past Presidents along with Presidents and Association Executives from several neighboring Associations.

REALTOR® of the Year Award, Ryan Asao

Ryan Asao obtained his Real Estate License while he was still in school at California State Fullerton and decided it was better to invest time into real estate while the market was still “hot.” After joining the Arcadia Association of REALTORS®, Ryan joined the Tech Committee in 2003 and was selected to serve on the Board of Directors in 2008.

Presenter Andy Bencosme with winner Ryan Asao.

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Ryan has worked tirelessly for the Arcadia Association of REALTORS®, CAR® and NAR®. He has chaired or served on almost every committee at Arcadia Association of REALTORS®. He has been equally active at CAR® where he is currently serving on the CAR® Strategic Planning & Finance Committee as well as serving on NAR®’s Strategic Thinking Advisory. He has also been very involved with the National Association of Hispanic Real Estate Professionals as well as the Asian Real Estate Association of America. Everyone who knows Ryan knows that he is not just another REALTOR®, but a friend for life!

ARCADIA REALTOR® · JANUARY/FEBRUARY 2015

Lifetime Achievement Award, John Barker

Starting in 1975 at the age of 18, John had his first sale within 2 weeks of obtaining his real estate license. He owned and operated his own multi-million dollar producing franchised office which he sold to Coldwell Banker in 2001.

He served as President of the Arcadia Association of Realtors in 1995, Realtor of the Year honors in 1996, and served for many years as a director of the California Association of Realtors. In 2010 he became GM of Prudential California Realty in Sierra Madre; a year later purchasing the company with his business partner Reni Rose. He holds the designations of Certified Real Estate Brokerage Manager, Certified International Property Specialist, Certified Negotiation Specialist, Transnational Referral Certified, Generational Housing Specialist, Senior John Barker with Presenter, Dave Real Estate Specialist, and Relocation Specialist.

Scarminach.

Affiliate of the Year Award, Stephanie LaPorte

Stephanie LaPorte has shown this time and again. Her dedication in giving to the community in a multitude of ways; she handed out food for Thanksgiving at the Foothill Unity Center, was also on the committee for the Santa Anita YMCA Red Gala Event, and served Operation Gratitude, an organization that assembled care packages for service people overseas.

Stephanie LaPorte gives her acceptance speech.

Stephanie also gives back to the AAR and Charity Events. One of Stephanie’s greatest contributions to the AAR has been her participation in the AAR Annual Scott Burtz Charity Golf Tournament, fund which she chaired with a partner for 5 years.

Stephanie was Affiliate of the year in 2006.

Outstanding Community Service Award, Donna Baker & Jacquie Pergola

Donna Baker started real estate in 2001, since 2002, Donna has been the #1 agent in her office and one of the top agents in Monrovia.

Donna serves as Historic Preservation Commissioner in Monrovia, traveled to Thailand to work on the Jimmy Carter Work Project with Habitat for Humanity, and supports many community organizations and activities, with a major focus on young people. Last year, Donna was awarded the Woman of Distinction Award by Congresswoman, Judy Chu and received the coveted Iris Award as 2008 Citizen of the Year from the Monrovia Chamber of Commerce.

Presenter Irene Yamagata-Bermudez with

winners Donna Baker and Jacquie Pergola.

Jacquie Pergola has been a realtor for twenty four years. She has been a member of the Arcadia Association for over twenty years and has served on many committees. She has been highly active in Sierra Madre’s community and has served on the Fourth of July Committee, the Chamber of Commerce, and was a member of the Civic Club. Jacquie has worked tirelessly for the elderly community in Sierra Madre fundraising for a health fair and dial-a-ride. She is on the Board of Directors for the Creative Arts group in Sierra Madre. Jacquie Pergola and her husband Joe were voted citizens of the year for Sierra Madre in 2014.

JANUARY/FEBRUARY 2015 · ARCADIA REALTOR®

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YOUR ARCADIA ASSOCIATION OF REALTORS®

2015 OFFICERS & DIRECTORS

JOSEPH PACILIO 2015 President

RYAN ASAO Director

MARK RAMOS Director 12

ROY BLUME 2015 President-Elect

ANDY BENCOSME Director

KELVIN CHANG 2015 Vice President

JULIE BENCOSME Director

DAVID SCARMINACH Director

ARCADIA REALTOR® · JANUARY/FEBRUARY 2015

MARGARET GAREMORE Director

IRENE TRUONG Director

SYLVIA RAMOS 2015 Secretary/Treasurer

FRED MADJAR Director

MIKE VACHANI Director

HELP SHAPE THE FUTURE OF THE AAR!

JOIN A COMMITTEE Be a part of the AAR team and make new contacts, be involved in the decision making process and learn about current trends in the industry. The Association

wants your ideas and encourages you to get involved!

Equal Housing & y Communit Outreach

Global Real Estate

Call the Association TODAY to find your perfect committee!

(626) 446-2115

Young Profes sional s Netwo rk

s4 t n e v E ty i r a h C ary i l i x u A on ti a c Edu

Multiple Listing Service 13

al Commerci & t Investmen

Local Gover nmen tal Relati ons

ship r e b em

M

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Arcadia Association of REALTORS® 601 South First Avenue Arcadia, California 91006 The AAR Education Committee presents

“Maximizing Your Deductions While Minimizing Your Liability” Course Provider - Robert Hall & Associates

Tuesday, February 17, 2015 Time: 10:00 a.m. - 12:00 p.m.

Arcadia Association of REALTORS® 601 S. First Ave. Arcadia, CA 91006 Course Cost: FREE*

Refreshments sponsored by Jimmy Alam, Augusta Financial

Join us to learn:

- What are the top 5 deductions on a real estate tax return?

- What is the most audited deduction?

- Can I pay myself a reasonable salary?

- Does setting up an LLC decrease the potential for audit?

- Does Incorporating Allow for Additional Tax Deductions?

- Trust vs. INC vs. Insurance Policy - and much more!

Registration Required: Your Reservation will Reserve Your Seat!

Register online at www.TheAAR.com by clicking the event name under “Upcoming Events” www.TheAAR.com ~ 601 S. First Ave. Arcadia, CA 91006 ~ 626-446-2115 ~ Fx. 626-446-4072

• Estate Planning • Trust Administration • Probate • Business Law • Commercial Transactions • Corporation, LLC & Partnership Formations • Business Contracts

Call today for a free consultation

Romy S. Rahmanian, Attorney

(626) 869-8787 33 East Huntington Drive • Arcadia, CA 91006 romy@rahmanianlaw.com • www.RahmanianLaw.com

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