OC REALTOR® - July/August 2023

Introducing Your New Directors for 2024–2026

Become better acquainted with the five members of the Orange County REALTORS® Board of Directors who were elected in May. Discover what they have to say about the challenges facing real estate today—including inventory, interest rates, and insurance—what their collective vision might be, and how they plan to promote the interests of individual members while advancing the goals of our Association.

on pages 15–17

T i t l e D i s p u t e s

Transforming Our Future

Challenges in real estate include high interest rates, low housing inventory, and uncertainty about the availability and affordability of homeowners insurance. This issue of OC REALTOR® introduces the five recently elected Directors of Orange County REALTORS®, describes some of the ways in which they hope to address these challenges, and offers suggestions about what you can do to streamline your own workday so that you spend less time on routine clerical tasks, attract more business, and connect with prospective clients in new and creative ways.

PRESIDENT'S MESSAGE

Scattering to All Fields

President Scott White describes how being united enables REALTORS ® to champion causes, achieve goals, and be a force for good.

FEATURES

BOARD ELECTION

Introducing Your New Directors for 2024–2026

Sherri Butterfield helps you become better acquainted with Caleb Gonzalez, Van Gordon, Laurie Johnson, Ed Molina, and Lynne Suzanski.

MARKETING How Pet-Friendly Pros Are Targeting Animal Lovers

Melissa Dittmann Tracey, a contributing editor for REALTOR® Magazine, describes how savvy real estate professionals use their pets to introduce themselves and market their listings.

LEADERSHIP ACADEMY Alumni: Where Are They Now?

Sabrina Blair asks three graduates of the Orange County REALTORS® Leadership Academy what they enjoyed about the Academy, where their leadership journey has taken them, and whether they would recommend the Academy to others.

RISK MANAGEMENT Take the Time to Review and Explain

The DRE encourages real estate professionals to explain disclosures and other documents, especially when they have been transmitted and signed electronically.

ANNIVERSARIES Happy Anniversary to Our Members

Orange County REALTORS® recognizes and congratulates REALTORS® who are marking twenty, thirty, forty, and fifty years of membership in our Association and its predecessor boards.

EDUCATION C2EX: Commit Yourself to Excellence!

Sabrina Blair explains what the NAR C2EX certification is, what it covers, and how you can benefit from earning it.

THE ORANGE COUNTY HOUSING UPDATE A Restricted Inventory

Steven Thomas says the “hunkering down” trend that began in 2022 has deepened in 2023 because of high mortgage rates.

HEALTH & SAFETY You Can Prevent Drowning

Sherri Butterfield says that drowning is frequent, silent, and tragic, and lists four important steps you can take to prevent it.

AI Use in Real Estate Comes With Copyright Concerns

NAR Senior Speech Writer Christina Hoffman mentions instances in which the use of artificial intelligence has resulted in lawsuits and describes the precautions you should take.

AI Misconceptions and Possibilities

Michelle McCann corrects some misconceptions about what artificial intelligence will do and then describes some of the ways in which it can be helpful in creating tours, powering smart contracts, and streamlining home design.

Five Tools to Save Time with AI

Sydney Smythe describes five artificial intelligence tools that you can use to create email responses, open-house flyers, listing descriptions, a virtual home tour with interactive floor plan, and a listing presentation.

10 Names in the News

22 Education Central: Upcoming Classes by Track

ORANGE COUNTY REALTOR® MAGAZINE

25552 La Paz Road Laguna Hills, CA 92653 949-586-6800

10540 Talbert Avenue, Ste. 225 West Fountain Valley, CA 92708 714-375-9313

2023 OFFICERS

Scott White President

Jeff Jackson President-Elect

Charleen Nagata Newhouse Treasurer

Adam Rodell Immediate Past President

Dave Stefanides Chief Executive Officer

2023 BOARD OF DIRECTORS

Chandy Andre

Erin Barry

Kevin Budde

Danielle Corliss

Matt Cortez

Tony Faulkner

Michele Harrington

Len Herman

Kevin Kaltenbach

Paul LePage

Chip McAllister

2023 OCAR Cares Golf Tournament

Includes event photos and the names of winners and sponsors!

On the Cover: Transforming Our Future

The cover design by Print and Marketing Specialist Ivan Salmeron features AI-generated photos, courtesy of the ToonMe app, of the five recently elected Orange County REALTORS® Directors for 2024–2026: Ed Molina, Van Gordon, Caleb Gonzalez, Lynne Suzanski, and Laurie Johnson.

Steve Mino

Ed Molina

Eileen Oldroyd

Pam Pedego

Vinil Ramchandran

Mary Rampone

Lacy Robertson

Lisa Schulz

Heidi Stoops

Lynne Suzanski

MAGAZINE

Sabrina Blair Director of Communications sabrina@ocrealtors.org

STAFF

Michelle McCann Marketing Manager mmccann@ocrealtors.org

Online Magazine

The Board of Directors Election Begins on May 15

Follow us on social media

Eight candidates are running to fill five three-year positions on the 2024–2026 Orange County REALTORS® Board of Directors. Voting begins on Monday, May 15, at 8:00 a m., and concludes on Tuesday, May 30, at 5:00 p m. All REALTOR® members of the Association are eligible to vote. Each member may vote for up to five candidates but may not vote more than once for the same candidate. Photos of the candidates, their candidate statements, and their lists of qualifications appear in this issue of OC REALTOR® with a detailed explanation of the online voting process. on pages 18–21

To celebrate our 75th anniversary, we’ve hidden a small diamond icon somewhere in the current print issue. If you locate it and enter our Find the Diamond contest, you will be entered to win (2) two tickets to our 75th Anniversary Gala. To enter, visit www.ocrealtors.org/find-the-diamond

Love OC REALTOR®? Did you know that you can read it online, anytime? Read past issues at www.ocrealtors.org/magazine

Mission Statement

The mission of Orange County REALTORS® is to promote the REALTOR® Code of Ethics; to provide education, services, and resources to our members; and to advocate the protection of real property rights.

Notice to All Members

It is the long-established policy of this Association, California Association of REALTORS®, and the National Association of REALTORS® to adhere to both the letter and spirit of the federal and state antitrust laws. For their own protection, members should be aware of the antitrust laws as they affect their specific business activities. Any illegal activity under the state and federal antitrust laws is not in compliance with Association policy, nor is it in the interests of the Association or its members. Participation in Association activities must occur only in harmony with these very important laws. Federal law prohibits discrimination based on race, color, sex, religion, or national origin in connection with the sale or rental of residential real estate, in advertising the sale or rental of housing, in the financing of housing, and in the provision of real estate brokerage services. The OC REALTOR® editor reserves the right to review and edit all submissions. Orange County REALTORS® makes no warranties and assumes no responsibility for the accuracy of the information contained herein. The opinions expressed in articles are not necessarily the opinions of Orange County REALTORS®. Orange County REALTORS® does not necessarily endorse the companies, products, or services advertised in this magazine unless specifically stated.

OC REALTOR® (USPS 025-445, ISSN 1945-2179) Volume 14, Issue 4, is published by Orange County REALTORS®, 25552 La Paz Road, Laguna Hills, CA 92653. Periodicals postage paid at Laguna Beach, CA, and additional mailing offices. POSTMASTER: Send address changes to Orange County REALTORS®, 25552 La Paz Road, Laguna Hills, CA 92653-5127. Annual membership dues include $6.09 for a one-year (6 issues) subscription to OC REALTOR® magazine. OC REALTOR® cannot be responsible for unsolicited materials.

Publisher: Orange County REALTORS®

Printer: The Monaco Group

Ivan Salmeron Print & Marketing Specialist ivan@ocrealtors.org

Sherri Butterfield Communications Specialist sherri@ocrealtors.org

Breanna Reed Accounting Administrator breanna@ocrealtors.org

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to All Fields

When we are united, we can use the strength of 1.6 million REALTORS® nationwide to champion the all-important causes of homeownership and private property rights and help our legislators understand that REALTORS® are a force for good!

By Scott White 2023 PRESIDENT, ORANGE COUNTY REALTORS®

Welcome to the second half of 2023! Yes, you read that correctly. As this issue of OC REALTOR® hits your mailbox, we are wrapping up Q2 of this year and heading into a new and unpredictable real estate market. While we prepare or refine our Q3-4 business plans, please allow me to recap a few events from our 2023 second quarter.

Photo by www.AdobeStock.com/ kasto

Illustrations by www.AdobeStock.com/

Icons-Studio,

Our Election Results

First, I would like to congratulate the five new Directors at Orange County REALTORS®. As a result of the election concluded on May 30, the new Directors for the 2024–2026 term are Caleb Gonzalez, Van Gordon, Laurie Johnson, Ed Molina, and Lynne Suzanski. Congratulations to each one of these great leaders!

If you recall, at the beginning of this year I wrote that our theme for 2023 is “Being Leaders of Leaders.” I wanted to put an emphasis on developing new leaders while utilizing the wisdom and experience of our seasoned Board veterans. With the addition and reelection of these Directors, we are looking to be (in my opinion) one of the best Boards of Directors in the nation. Your Directors will always be taking care of the business interests of our 15,000 members. Your benefits, education, and advocacy leaders and programs are well known and respected across the country as the best in our profession.

C.A.R. Legislative Day

In May, thirty-six members of Orange County REALTORS® who serve as California Association of REALTORS® (C.A.R.) Directors traveled to Sacramento for committee and director meetings. In the middle of the week, C.A.R. held its Legislative Day, on which more than two thousand REALTORS® from around the state converged on the Capitol to let our requests be known to our legislators. We were blessed by the presence of members and graduates from our past three Leadership Academies— forty-one people in total—who got to experience Legislative Day in person. Nine years ago, Legislative Day was the “light bulb” moment for me. On that day, I knew I wanted to be much more involved in Orange County REALTORS®, C.A.R., and NAR, to champion the causes of homeownership, private property rights, and REALTOR® advocacy. It was very gratifying to me to see many Leadership Academy members similarly experience “light bulb” moments as the 2023 Legislative Day experience ignited their excitement.

The NAR Midyear Meetings

At the end of the busy C.A.R. week, about seven of us who also serve as National Association of REALTORS® Directors had just enough time to fly home, change out our dirty clothes for clean, and jump onto a flight to Washington, D.C., for another week of meetings. During our NAR Board meeting, I was fortunate enough to be seated adjacent to past C.A.R. President Kevin Brown, a second-generation REALTOR® from Oakland, California, who was elected NAR’s 2024 First Vice President. Kevin’s election means that California will be sending one of its own to serve as President of the National Association of REALTORS® in 2026. Congratulations, Kevin!

While we were in Washington, we entertained federal legislators and their staff members at Nationals Park. NAR had rented the stadium, which provided us with an opportunity to spend time on the field in the dugouts and batting cages, to eat and drink stadium dogs and beverages, and to create goodwill with people who now better understand that REALTORS® are a force for good!

Also, while we were in Washington, the Federal Housing Finance Agency (FHFA) backed down from its May 1 fee changes, which would have forced borrowers with higher FICO scores to subsidize borrowers with lower FICO scores. Thank you to NAR’s Government Affairs Directors and lobbyists for using the strength of 1.6 million REALTORS® to effect positive change.

Now, go make the second half of 2023 something to be proud of professionally, personally, and as a leader of leaders.

IN THE

When the Orange County Trauma Intervention Program (TIP) hosted its 2023 Heroes with Heart Awards Gala at the Irvine Marriott on April 27, Orange County REALTORS® was one of the sponsors. This year’s event, which was co-chaired by Orange County Sheriff Don Barnes and Irvine Police Chief Michael Kent, recognized 20 first responders who went above the call of duty to provide compassionate support to those in crisis.

In late April, OC REALTORS® Government Affairs Director Dirissy Doan took C.A.R. Key Contact Colleen Trujillo to visit Assemblywoman Kate Sanchez in her new Rancho Santa Margarita office. The purpose of their visit was to acquaint the Assemblywoman with current real estate concerns. Assemblywoman Sanchez represents the 71st District, which includes the cities of Mission Viejo, Rancho Santa Margarita, Temecula, Murrieta, and Wildomar, and the unincorporated areas of French Valley and Temecula Wine Country.

Orange County REALTORS® sends a special shoutout to the 2023 officers of the California Association of REALTORS (C.A.R.), including President Jennifer Branchini, President-elect Melanie Barker, Treasurer Heather Ozur, and Chief Executive Officer and State Secretary John M. Sebree.

In May, the Board of Directors for the National Association of REALTORS® (NAR) elected Kevin C. Brown of Oakland, California, as 2024 First Vice President. Brown, a second-generation real estate professional, is broker-owner of Better Homes Realty in Oakland and was California Association of REALTORS® President in 2014. In addition to Brown, the NAR 2024 Leadership Team includes President Tracy Kasper, President-elect Kevin Sears, Immediate Past President Kenny Parcell, Treasurer Greg Hrabcak, and CEO Bob Goldberg.

Ron Pascual, Eileen Oldroyd, Mary Rampone, and Patty Carpenter with Orange County Sheriff Don Barnes

Assemblywoman Kate Sanchez (on the left) with C.A.R. Key Contact Colleen Trujillo.

Congratulations to Kevin C. Brown on Being Elected 2024 First Vice President of NAR

A Special Shout-out to the 2023 C.A.R. Officers

OC REALTORS® Sponsors 2023 TIP Awards Gala

Delivering the REALTOR® Message Face to Face

Photo

Illustrations by www.adobestock.com/Sylverarts and Saibarakova llona

On April 29, friends, colleagues, and long-time supporters of Patricia “Pat” Carmody Bates held a surprise party to thank her for more than fifty years of dedicated public service. Born December 15, 1939, in Los Angeles, Pat moved in 1978 to what was then the unincorporated community of Laguna Niguel and was active in efforts to incorporate that community as a city.

After Laguna Niguel became a city, Pat became its first mayor in 1989. She was a member of the California State Assembly from 1998 to 2004, represented the Fifth District on the Orange County Board of Supervisors from 2007 to 2014, and was elected to the California State Senate in 2014, where she was chosen as minority leader in 2017.

While paying tribute to Pat, guests termed her “a voice of reason” and said that she was “always solution driven.” Now retired from politics, Pat has more time to spend with her husband, Architect John Bates, and their children and grandchildren.

Pictured with Pat Bates (third from left) at a surprise party in her honor are (from left to right) former Orange County Supervisor John Moorlach, former United States Representative Mimi Walters, and an unidentified guest.

Pictured with Pat and John Bates is a leprechaun who told Pat, “You have a heart of gold.”

Friends Honor Pat Bates For Fifty Years of Dedicated Service

OCR Members Attend C.A.R. Legislative Day 2023

Assemblymember Janet Nguyen (slightly left of center) welcomed Orange County REALTORS® to the state Capitol in Sacramento for Legislative Day. Sponsored by the California Association of REALTORS® (C.A.R.), this annual late-April event offers REALTORS® an opportunity to meet face-to-face with their state legislators and discuss real-estate–related issues. This year, the primary topics of discussion were California Dream for All, which C.A.R. was requesting be fully funded, and SB 466 (Wahab), an expansion of extreme rent control, which C.A.R. opposes.

Government

Local Government Relations North Hosts City Manager Panel

On May 16, Orange County REALTORS® Local Government Relations North presented a City Manager Panel at its Fountain Valley office. Serving on the panel and sharing their views about municipal management were Fountain Valley City Manager Maggie Le, Garden Grove City Manager Lisa Kim

Newport Beach City Manager Grace Leung, and Westminster City Manager Christine Gordon

,

Front row (from left to right), Tina Vo, Westminster City Manager Christine Cordon, OC REALTORS® Government Affairs Director Dirissy Doan, Fountain Valley City Manager Maggie Le, Garden Grove City Manager Lisa Kim, Erin Barry, Local Government Relations North Vice Chair Heidi Twitchell, and Matt Cortez. Back row (from left to right) Larry Paul, Brian Genovese, Newport Beach City Manager Grace Leung, Michelle Scheutz (representing Assemblyman Tri Ta), Local

Relations North Chair Suzanne Gignoux, and Ron Pascual

On June 19, Orange County REALTORS® Local Government Relations South welcomed Orange County Fifth District Supervisor Katrina Foley to the Laguna Hills office. During her visit, Supervisor Foley gave a presentation in which she listed priorities for the Fifth District, including the following:

Reduce homelessness by investing in comprehensive health services and long-term housing for veterans, foster youth, and seniors.

Invest in sustainable infrastructure to increase regional mobility and housing options, while planning for climate resiliency to protect communities, open space, and beaches.

Revitalize the middle class and support small businesses by creating local jobs, building attainable housing, and expanding career technical education.

Support public safety, prevent crime, clean up and ensure safe neighborhoods.

Safeguard taxpayer dollars and improve access to County services.

The Fifth District is largely coastal and includes Aliso Viejo, Costa Mesa, Dana Point, Laguna Beach, Laguna Hills, Laguna Niguel, Laguna Woods, Newport Beach, San Clemente, and San Juan Capistrano.

REALTOR® Blue Takes over Washington, D.C.

United in their purpose, REALTORS® from the TriCounties Association of REALTORS®, Pacific West REALTORS®, and Orange County REALTORS® meet informally with U.S. Representative Young Kim (in the front row, at the center).

On June 21, Orange County REALTORS® Local Government Relations North welcomed FBI Special Agent Tim Jacoby to its Fountain Valley office. The title of Special Agent Jacoby’s presentation was “Evolving Fraud Schemes in Real Estate.”

New Book Tells How the Irvine Ranch Became a Master-Planned Community

C. Michael Stockstill and H. Pike Oliver are co-authors of a new book titled Transforming the Irvine Ranch: Joan Irvine, William Pereia, Ray Watson and The Big Plan in which they tell how 93,000 acres of Orange County agricultural and ranch land gradually became one of the largest master-planned communities in the United States. This book was published by Routledge Taylor & Francis Group.

Photo by Marion Butterfield

Orange County Supervisor Katrina Foley Visits Orange County REALTORS®

OC REALTORS® Local Government Relations South Chair Jim Thor welcomes Orange County Fifth District Supervisor Katrina Foley.

Local Government Relations North Chair Suzanne Gignoux (on the left) and Vice Chair Heidi Twitchell welcome FBI Special Agent Tim Jacoby

FBI Agent Describes Evolving Fraud Schemes

Villa Real Estate will formally cease operations and retire the company name as of July 1. This luxury real estate brokerage, which has generated at least $2.6 billion in sales over the past two years, has shuttered all three of its offices and released its 125 agents. Steve High, Villa co-founder and president, said that at least 64 of Villa’s agents had joined Coldwell Banker Realty’s Newport Beach office.

Villa was established in 2013 and, during its ten-year run, sold some of Orange County’s most expensive homes. For example, in 2021, Villa co-founder Evan Corkett represented the seller for 2585 Riviera Drive in Laguna Beach. The $70-million deal for this oceanfront mansion still ranks among the priciest home deals in Orange County.

State Farm Says That It Will No Longer Write New Property Insurance Policies in California

Citing rising construction costs and “rapidly growing catastrophe exposure,” State Farm announced in late May that it would stop accepting new applications for personal and business property insurance in California but added that the change does not apply to personal auto insurance or to existing home insurance policies.

State Farm’s action prompted an opinion piece by Steven Greenhut in the Orange County Register (May 31, page A-12) in which he placed the blame squarely on Proposition 103—or, at least, the current interpretation of it—which, “won’t let insurers price their products to reflect their actual risks.” Passed by California voters in November 1988, Proposition 103 required each insurer to "roll back" its rates 20 percent and to obtain the "prior approval" of California's Department of Insurance before implementing property and casualty insurance rates.

According to the nonprofit First Street Foundation, the number of California properties facing severe wildfire risk is expected to grow sixfold over the next thirty years.

In an interview with Jonathan Lansner, which appeared in the Orange County Register on May 21, 2023, Real Estate Analyst John Burns said that the nation is only 1.7 million homes short of what's needed--a mere fraction of what other "experts" claim. He explained that the others "haven't done their research" and "use back-ofthe-envelope calculations. We normally build X number of homes per decade and last decade we only built Y. So we must be short 5 million homes. But that's missing that we overbuilt the prior decade and we've got much less population growth. Most of those calculations have very little analysis behind them."

Burns founded John Burns Real Estate Consulting in 2001 because he saw a need for better analysis of the housing market. His firm is an independent research and consulting firm focused on the housing industry. Recently, Burns changed the firm’s name from John Burns Real Estate Consulting to John Burns Research and Consulting.

In 2004, Michael and Chantell Sackett purchased a $23,000 lot in a subdivision near Priest Lake, Idaho, where they planned to build a modest three-bedroom family home. After they had obtained the necessary local permits, Michael began backfilling the lot with dirt in preparation for construction.

The Environmental Protection Agency (EPA) informed the Sacketts that their property contained wetlands and that their backfilling violated the Clean Water Act, which prohibits discharging pollutants into “the waters of the United States,” and ordered the Sacketts to restore the site, threatening penalties of more than $40,000 a day. The Sacketts sued, alleging that their property was not “waters of the United States.” The District Court entered summary judgment for the EPA, and the Ninth Circuit affirmed.

But the Pacific Legal Foundation helped the Sacketts challenge that decision; and on May 25, in Sackett v. EPA, the Supreme Court found in favor of the Sacketts, which prompted Justice Elena Kagan to observe in her concurring opinion that the Court’s majority was “putting a thumb on the scale for property owners.”

The Supreme Court Rules in Favor of the Sacketts

Real Estate Analyst John Burns Says the Housing Shortage Is Overblown

Villa Real Estate Closes Its Doors

INTRODUCING YOUR NEW DIRECTORS FOR 2024–2026

The ballots have been cast and counted, and five REALTORS® have been elected to serve as members of the 2024–2026 Orange County REALTORS® Board of Directors.

By Sherri Butterfield WRITER AND EDITOR

Beginning on Monday, May 15, and concluding on Tuesday, May 30, REALTOR® members of Orange County REALTORS® voted to choose five from among eight candidates to fill three-year positions on the 2024–2026 OC REALTORS® Board of Directors.

The eight candidates (in alphabetical order by last name) were Chandy Andre, Matt Cortez, Caleb Gonzalez, Van Gordon, Laurie Johnson, Ed Molina, Pam Pedego, and Lynne Suzanski. Their photos, statements, and bullet-point résumés appeared on pages 20–21 in the May/June 2023 issue of OC REALTOR® .

Elected were Caleb Gonzalez, Van Gordon, Laurie Johnson, Ed Molina, and Lynne Suzanski.

Caleb Gonzalez is owner/broker of VonKeith Properties. While active in the Burbank Association of REALTORS®, he was chosen as REALTOR® of the Year in 2015 and served that Association as President in 2016. He was named by the Dana Point Chamber of Commerce as its Ambassador of the Year in 2022.

During 2022, Caleb was chair of the California Regional Multiple Listing Service (CRMLS). In that same year, he served as vice chair of the OC REALTORS® MLS Committee and is currently chair of this committee. He also represents OC REALTORS® as a Director for the California Association of REALTORS®.

In his candidate statement, Caleb said that he was honored to be considered for a position on the Orange County REALTORS® Board of Directors. He wrote, “I have a deep passion for promoting the interests of our members. I am committed to advancing the goals and objectives of Orange County REALTORS®.”

Van Gordon, who has been a member of Orange County REALTORS® for fifteen years, is a 2020 graduate of the OC REALTORS® Leadership Academy, secretary of the Vietnamese National Real Estate Professionals (VNREP), and chair of the OC REALTORS® Affiliate South Committee.

Van says, “The two greatest challenges REALTORS® face today are the policies that are set by local and federal governments over which we have little control and the lack of fundamental understanding of the real estate industry from the consumers.” One of Van’s goals is to help members educate consumers about the real estate industry so that, in turn, consumers will have a better understanding of the industry and will be more supportive of it.

Her vision for Orange County REALTORS® is that, through innovation, diversification, and inclusion, Association members can become even better at serving the industry and the consumers while supporting one another.

Laurie Johnson is a 2018 graduate of the Orange County REALTORS® Leadership Academy and is vice chair of OCR’s Political Affairs and Elections Committee. She sought a position on the Orange County REALTORS® Board of Directors because she believed that her corporate background and her decade of real estate experience would enable her to make a positive contribution to the Association and its members.

Since 2017, Laurie has been attending C.A.R. Legislative Day and Advocacy Meetings in Sacramento and has become, in her words, “keenly aware that political involvement is critical to ensuring that our industry thrives.” Now that she has been elected to the Board, she plans to use her position to advocate for homeowner rights and affordable housing.

Laurie looks forward to working with her colleagues on the Board, with the Executive Team, and with “OCR’s great staff that keeps everything running.”

Ed Molina obtained his real estate license in 1992 and, in that same year, joined Orange County REALTORS®. He explains that he is a humble servant to his profession and his community and that one reason he sought a position on the OC REALTORS® Board of Directors in 2020 was because “it was time to give back.”

Ed believes that the biggest challenge REALTORS® face today is “the three I’s—inventory, interest rates, and insurance.” He adds, “As real estate professionals, we must be diligent, patient, and be able to persevere. We must be informed and provide the best guidance to our sellers and buyers given current market conditions.”

As a Director, Ed hopes to increase communication and offer educational classes that cover all aspects of real estate, including artificial intelligence, the Code of Ethics, contract reviews, diversity, social media, and technology tools to help members of Orange County REALTORS® enhance their business.

Lynne Suzanski obtained her real estate license in 1997. She chose this career path because she thought she could do the job and still make time for her family. Her two children were in high school, and she believed that her flexible real estate work schedule would allow her to be involved in their sports activities. And because she was an avid golfer, she also wanted to ensure that she could carve out time now and then to play eighteen holes.

As soon as Lynne received her license, she joined Orange County REALTORS®. In 2020, she sought a position on the OC REALTORS® Board of Directors because she believed that being both a REALTOR® and an Affiliate would give her a unique perspective.

Lynne says, “As Directors, we must ensure that Orange County REALTORS® has effective communication channels in place to disseminate relevant industry information, provide essential market updates, and help REALTORS® stay informed and adapt to market changes.”

Commit Yourself to Excellence!

By Sabrina Blair DIRECTOR OF COMMUNICATIONS AND PROGRAMS

What is C2EX?

C2EX stands for Commitment to Excellence and was created by the National Association of REALTORS® to “empower REALTORS® to evaluate, enhance and showcase their highest levels of professionalism.” C2EX is a platform intended to help REALTORS® brush up on a variety of areas of real estate. It is online, self-paced, and mobile-friendly, with no additional cost to use.* Real estate is a fast-paced industry that is constantly evolving so it’s important for REALTORS® to be up to date on the latest laws, technologies, and best practices.

What does C2EX cover?

C2EX covers ten competencies (eleven for brokers) and starts with an assessment to gauge your existing knowledge and experience. From there you will take C2EX Action Steps, which are activities intended to broaden your community involvement. You will also be assigned C2EX Learning Prospects, which are educational segments created to hone your skills in a specific area of focus.

List of Competencies

Why should I take it?

Because you want to a better REALTOR®! C2EX is a “Commitment to Excellence,” a commitment to yourself and to your clients to be the best at customer service, the best at upholding Fair Housing laws, the best at utilizing technology for your business, the best at protecting client data … the best REALTOR® you can be. Bonus reason! C2EX is also a Code of Ethics Training equivalency, which means that, if you complete C2EX, then you do not need to complete a separate Code of Ethics course for this current cycle, 2022–2024.

Start your Commitment to Excellence journey today at www.C2EX.realtor!

11. Broker

By Melissa Dittmann Tracey

Melissa Dittmann Tracey is a contributing editor for REALTOR® Magazine, editor of the Styled, Staged & Sold blog, and produces a segment called "Hot or Not?" in home design that airs on NAR’s Real Estate Today radio show. Follow Melissa on Instagram and Twitter at @housingmuse

More households have pets than children, Census data show. Learn how to bring Americans’ love for their furry sidekicks into your marketing.

Real estate professionals are increasingly targeting pet owners in their marketing, hoping to capitalize on the growing share of buyers who are shopping for a home that meets their animals’ needs. Some agents are putting photos of themselves with their pets on business cards, online listings, and marketing materials, and they may even frequent dog parks to form new business connections.

As the number of families with children under 18 has steadily fallen over the past twenty years, pets have gained more influence in homebuying decisions. So, it makes good business sense to cater to this segment of the market. “Given the increased share of pets in households and the increased time and resources spent on pets, it is no surprise some home buyers consider their pets the most important factor when making homebuying decisions,” writes Jessica Lautz, deputy chief economist and vice president of research at the National Association of REALTORS®. “Factors such as proximity to the vet and outdoor space for pets is important for buyers.”

Real estate agent Adie Kriegstein of Compass in New York owns a white Labrador Retriever named Philbin, who has become her wingman when prospecting. “As a dog owner, the warmer months are a great time to get out there and meet other dog owners,” Kriegstein says. “I am always sharing my market knowledge of construction in the area, and I have business cards advertising that I am a ‘pet-friendly specialist’ here in the city.”

She also finds dog training classes to be good venues to connect with others. It’s an opportune moment, Kriegstein says, to bond with like-minded people—and mention what you do for a living, too. This is an example of a “soft sell,” she adds.

Kriegstein’s dog—a certified psychiatric service dog that is trained to work with people who have mental illnesses or learning disabilities—also provides her an opportunity to give back to her community. Kriegstein volunteers with The Good Dog Foundation and brings Philbin to hospitals, nursing homes, and other facilities around town.

Photos by www.adobestock.com/ThamKC, grlvlna, and Valery

“People know my dog more than me,” she jokes.

Philbin even has his own Instagram page featuring pictures of the white lab at New York hot spots and in Kriegstein’s listings. One recent post shows Philbin sitting on a chair with a caption that reads: “There’s no reason why when picking out an apartment, your pet cannot live their best life, too!” The caption goes on to talk about the listing’s prime location and amenities, touting a rooftop dog run.

Kadee French, an agent with Keller Williams Central Oklahoma in Edmond, Oklahoma, has turned her beloved pet, Kiah, a Cavachon poodle, into the mascot for her real estate business. French creates funny social media memes featuring Kiah dressed up in costumes to coordinate with holidays.

Top Cities for Pet Owners

Nearly 70 percent of American households have a pet, according to the American Pet Products Association. That is up significantly from 56 percent in 1988.

But some areas of the country show more fondness for pets than others. Forbes Advisor recently compared ninety of the biggest cities in the U.S. to identify the most pet-friendly metros. For their rankings, they weighed factors like the area’s veterinary access, costs, and the number of petfriendly spaces and buildings.

Topping the list as the best cities in 2023 for pet owners:

AI Use in Real Estate

Comes with Copyright Concerns

By Christina Hoffmann SENIOR SPEECH WRITER, NATIONAL ASSOCIATION OF REALTORS®

Real estate professionals experimenting with content creation through artificial intelligence should keep the Code in mind as case law evolves.

Although copyright law is rooted in human authorship going back to a Supreme Court decision from the 1880s, various cases involving fast-moving artificial intelligence technology are challenging that rule of law today, Chloe Hecht, senior counsel at the National Association of REALTORS®, said at the Risk Management Issues Committee meeting during the REALTORS® Legislative Meetings in Washington, D.C. Hecht shared a few cases that illustrate the murky legal issues involving AI-generated works.

Plaintiff Stephen Thaler, for example, is suing the U.S. Copyright Office (in Thaler v. Perlmutter) because it denied him copyright for an image produced by his AI system, the Creativity Machine. He claims it was a work made for hire between himself and the AI generator. Despite various denials by the Copyright Office, “Thaler argues that human authorship isn’t required and, therefore, his work should be entitled to protection,” Hecht said.

Thaler has indicated he will appeal his case to the Supreme Court if necessary, she added.

In another case, an artist and author wrote text for a graphic novel and created images using AI. The Copyright Office granted her protection initially but limited the registration to the text and arrangement of the images when it learned they were AI-generated. “But the author maintains she didn’t just input a prompt,” Hecht elaborated. “She took the image and asked AI to change and tweak it until it reflected what she wanted.”

Finally, Hecht described a case involving stock image giant Getty Images, which this year sued an AI company, Stability AI Inc., for using 12 million Getty images and their accompanying metadata to “train” its system. “That’s a sticking point for creators,” Hecht said of the technology. “Someone developing AI uses others’ work to train their system, which lets AI generate new work based on those originals.”

The cases leave a lot of unanswered questions for real estate practitioners and others seeking to use this evolving technology. Nonetheless, the Code of Ethics offers guidance, Hecht said, citing Articles 2 and 12.

Christina Hoffmann has covered real estate and homeownership for two decades.

Article 2 holds that “REALTORS® shall avoid exaggeration, misrepresentation or concealment of pertinent facts relating to the property or the transaction.” Article 12 says, “REALTORS® shall be honest and truthful in their real estate communications and shall present a true picture in their advertising, marketing and other representations.”

As an example, Hecht noted, “using AI to remove a structural crack from a wall violates those two Articles, but removing a hose and bucket accidentally caught in a picture is different.”

In addition, she offered three takeaways for using AI as safely as possible:

1. Always review AI-generated content for accuracy.

2. Don’t use AI to create a work you want to be able to protect.

3. Don’t assume any third-party content was created by AI and, therefore, available for your use. Always get permission in writing for the way you want to use the work, and save that documentation.

Photos by www.adobestock.com/ Nataliia

Illustrations by www.adobestock.com/ NTPY, naum, and IconArt

By Michelle McCann MARKETING MANAGER

Artificial intelligence (AI) has become the new buzzword! It has captured the attention of various industries because of its potential to assist and transform several aspects of our lives, and the real estate industry is on board to embrace it! AI’s rapidly evolving technology can process and analyze data quickly, provide predictions and insights about market trends, and automate workflows—all of which can save time and allow REALTORS® to focus their attention on the client experience. But along with the curiosity and excitement, there are misconceptions about the impact AI may have on the real estate industry.

Misconceptions

1. AI will replace REALTORS®

One misconception is that AI will completely replace the REALTOR® someday. While AI can automate certain tasks like property searches and data analysis, the role of a REALTOR® goes well beyond the transaction. REALTORS® wear multiple hats and provide personalized guidance to both buyers and sellers. AI cannot duplicate the ability of a REALTOR® to negotiate, become an expert on local neighborhoods, build human relationships, and understand client reactions and responses when purchasing properties. AI can complement the role of a REALTOR®, but AI cannot replace the individualized attention that REALTORS® provide to their clients during each transaction. REALTORS® establish trust, read body language, sense emotions, and adapt their services accordingly—all of which are beyond the capability of AI.

2. AI will eliminate human bias in property transactions

Although AI may have the potential to reduce bias in the decision-making process, it is not capable of replacing the Code of Ethics to which REALTORS® adhere. The Code of Ethics is based on the fundamental principles of honesty, integrity, confidentiality, and fair treatment of all parties involved in a real estate transaction. AI technology lacks moral agency and cannot make ethical decisions. AI operates based on algorithms and data training. The vital role that REALTORS® play in upholding ethical standards in the real estate industry cannot be duplicated by AI technology.

Photos by www.adobestock.com/ Sternfahrer, Lynne Ann Mitchell, and Knssr

AI technology should be viewed as a tool, not as a super machine that can surpass human intelligence. Ultimately, humans remain in control of defining intentions and making decisions.

Possibilities

There is no question that AI is game-changing technology, and the possibilities are endless. What are some exciting future possibilities that we don’t currently have?

1. Advanced Virtual Property Tours

While virtual property tours are already cuttingedge technology, virtual reality (VR) could develop interactive experiences and allow buyers to explore properties with even more detail and convenience. AI algorithms might be able to generate textures, spatial sound, and lighting variations that will provide an even more realistic experience. AI may develop interactive tours where an AI guide will point out special features, answer questions, and make suggestions. AI could also advance to collaborative tours during which designers, buyers, sellers, and REALTORS® can interact with one another on the same tour.

2. Smart Contracts

3. AI will lead to super intelligent machines that will take over the world

While AI development should be approached with caution in some areas and with thoughtful ethical consideration, the idea that AI will take over the world stems from science fiction and could not be further from the truth. While AI is making progress in language processing, sentiment analysis, and personalized recommendations, AI can only analyze data to identify patterns and help REALTORS® with insights and decision making.

So, is the choice to adapt or be left behind?

What if AI could power smart contacts that manage the escrow process, predict transaction errors before they happen, and automatically execute some contract terms? AI could potentially verify and authenticate property documents, ensuring accuracy and security. AI may have the ability to streamline the process of transferring property titles by validating ownership records. The possibilities are endless and will be exciting to see in the years to come.

3. AI-Enabled Home Design

AI could assist REALTORS® in the process of analyzing and streamlining home design. Imagine if REALTORS® could automate space planning. AI could analyze preferences and budgets, predict future trends, and suggest design styles. AI could even create virtual renderings and represent the anticipated ambiance and functionality of the space to interested home buyers on the spot.

AI technology should be viewed as a tool, not as a super machine that can surpass human intelligence. Ultimately, humans remain in control of defining intentions and making decisions.

Photos by www.adobestock.com/ svetazi and VicenSanh

5 Tools to Save Time with AI

By Sydney Smythe MARKETING AND COMMUNICATIONS ASSISTANT

Flying cars, time travel, and artificial intelligence—all three were once grouped together in what seemed like unattainable pieces of technology for our lifetime. News flash: things have changed! Not only has the technology behind artificial intelligence greatly advanced, but it has also increased exponentially in everyday use. While Netflix took three and one-half years to gain its first million users, ChatGPT (a popular AI tool) was able to amass its first million users in a single day. As a result, AI is now incorporated into additional features and apps that will end up saving you hours of valuable time. To help you save time, we have compiled a list of five AI tools that you can use for your real estate business.

Create a colorful design ...

Chat GPT

chat.openai.com

It’s the million-dollar question: What exactly is ChatGPT? In short, ChatGPT is an AI chatbot designed to generate detailed, human-like responses to various prompts given by a user. All the user needs to do is type a question or prompt, and the chatbot will respond in seconds. Listed below are some examples of what ChatGPT can do for REALTORS®, saving you from completing an otherwise tedious task:

Provide professional responses to emails and messages from clients

Create a work/content schedule that works around your upcoming events

Write short-form content from your own keywords or ideas

Canva AI

www.canva.com/features

Canva has quickly become a design staple for the everyday person. This year, Canva has released multiple AI tools that can further transform your projects, giving you more time to focus on other tasks. These tools include Text to Image, Magic Write™, Magic Edit, Magic Design, and Translate. Here are a few ways to use some of these tools:

Generate an open house flyer designed with your branding by typing a prompt detailing your specifications into Magic Design

Cater to your non-English-speaking clients by creating copies of your content, written in different languages, using Translate

Create social media captions or brainstorm profile bios with Magic Write™

Lighten your workload and save time by using artificial intelligence.

Zillow’s 3D Home App

www.zillow.com/z/3d-home

Zillow’s 3D Home app allows you to upload your own panoramic images of a home; and then, at the push of a button, the app combines the images to create a virtual home tour and interactive floor plan. Not only is this feature free, but according to Zillow.com, listings that utilize the 3D Home app get on average 68 percent more views than listings that do not. Ways to save time with your 3D Home Tour:

Post your new 3D tour to the MLS and other websites with a simple link (No need to reupload each image)

Share the interactive floor plan when giving details to buyers, saving yourself the hassle of creating your own

It’s time to stop spending too much of your precious time writing the perfect listing description. Listing. ai generates listing descriptions within seconds, with an average writing time of 5 minutes per description. Simply list your property details and click “generate” to see 3 different AI-generated listing descriptions. All that is left to do is choose your favorite, tweak anything you don’t like, and copy and paste the text wherever your description is needed! Listed below are some of the time-saving benefits:

AI-generated text is considered “unique” and will likely boost SEO. Consider including your own keywords to get your listing even higher search results

Post the generated shortened social media copy to your accounts for a cohesive description across all platforms

Tome tome.app

You’re out of school, yet you’re still giving presentations! Take the stress out of creating one by using Tome. Tome uses AI to create detailed and styled presentations based on your preferences. These presentations can include generated stories, outlines, text, and even 3D images. Here are some ways you can use Tome to save time creating content:

Create a listing presentation to show to potential clients or add to your website

Generate charts based on city housing data

Generate images to add to your newsletters that perfectly fit the subject, tone, and style of your writing

Leadership Academy Alumni

WHERE ARE THEY NOW?

By Sabrina Blair

DIRECTOR OF COMMUNICATIONS AND PROGRAMS

The Orange County REALTORS® Leadership Academy was launched in 2016 because 2015 President Rita Tayenaka and other Directors saw a need for new blood in leadership roles at the Association level and decided to form an academy to train, grow, and nurture leaders. Members of the current Leadership Academy, which is led by 2020 President Danielle Corliss, will graduate in July and join ninety-three graduates of previous Leadership Academies. To give readers a better idea about what the Academy can do for members, we are featuring graduates in OC REALTOR ®. To learn more about the Leadership Academy or to apply for the next class, visit www.ocrealtors.org/la

Have you always been a natural leader or interested in leadership roles?

No, I have never considered myself a leader. I looked up to leaders and hoped to be like them, but never had enough confidence in myself. I always enjoyed volunteering, but I never really liked the front row and the spotlight.

What was the biggest thing you gained from participating in the Academy?

Confidence, credibility, and self-assurance. The Leadership Academy exceeded my expectations. It showed me a much bigger picture of what real estate is and how it affects peoples’ lives. There is so much we can do to make a difference. And of course, it gave me a big boost of confidence and selfassurance, impacting greatly my professional performance and interaction with clients and colleagues. The program helped me discover my strengths and passions and made me a believer in my own abilities. Not everyone is born a leader, but each of us has potential and something unique to offer.

Where has your leadership journey taken you since graduation? What leadership roles have you obtained?

I continue to be involved as a member of various committees at the local and state level. This year I am also privileged to serve as a ViceChair of the Education Committee, and I am honored to represent Orange County REALTORS® at the state level as a C.A.R. Director. I am also thrilled to have been selected to be an advocate for the NAR C2EX program as a C2EX Ambassador for California. And I am serving on the Fathom Realty Marketing Advisory Committee.

What advice or words of encouragement would you give to someone considering applying for the Academy?

Leadership is an ongoing process. Stay curious and open to learning. Remember that leadership is not solely determined by our traits but can be cultivated through learning, experience, and self-belief. If you have a desire to be a better version of a unique you and enhance your career and your personal life, the Leadership Academy is for you. To be a leader, all you need is a desire; the resources and amazing support are here. You can do it. Allow the Leadership Academy to change your life.

If you have a desire to be a better version of a unique you and enhance your career and your personal life, the Leadership Academy is for you. To be a leader, all you need is a desire; the resources and amazing support are here. You can do it. Allow the Leadership Academy to change your life.

—Jola Cook

Definitely pursue enrollment because the Leadership Academy is a life changer! Guaranteed!!

—Mary Rampone

If you are willing to make the time commitment and take on the challenge, the Leadership Academy is a rewarding opportunity for both your personal growth and your career advancement.

—Catherine Miyoshi

What spurred you to apply for the Leadership Academy?

I have always been a proponent of self-improvement. I was new to the real estate industry, and I knew that if I could get into the Academy, I would gain some knowledge and skill sets that my real estate textbooks could not offer. I also knew that I would be interacting with superstar agents from whom I could learn.

What was the biggest thing you gained from participating in the Academy? Confidence to leave my comfort zone and put myself out there to achieve my goals.

Where has your leadership journey taken you since graduation? What leadership roles have you obtained?

My leadership journey has taken me to Orange County REALTORS® committee involvements, volunteer opportunities, and leadership opportunities in both OCR and my community. I am currently an Orange County REALTORS® Director, Government Affairs Vice Chair for the San Clemente Chamber of Commerce, Chamber of Commerce Ambassador, Homeowners’ Association Delegate, and Neighborhood Watch Captain. Also, I served as Local Government Relations South Chair for a couple of years and recently was honored by the San Clemente Chamber of Commerce as Ambassador of the Year and recognized as a Woman of Distinction.

What advice or words of encouragement would you give to someone considering applying for the Academy? Definitely pursue enrollment because the Leadership Academy is a life changer! Guaranteed!!

REALTOR®

What was the biggest thing you gained from participating in the Academy?

The Academy class has helped me realize my true potential and has given me the boost that I needed; but most of all, I have gained a network of amazing leaders from whom I continue to draw inspiration and support.

Where has your leadership journey taken you since graduation? What leadership roles have you obtained?

Last year, I took on leadership roles for special projects within my local community. I am currently working at a private company, managing a team.

What advice or words of encouragement would you give to someone considering applying for the Academy?

If you are willing to make the time commitment and take on the challenge, the Leadership Academy is a rewarding opportunity for both your personal growth and your career advancement.

Photo by

high mortgage rate has prevented many homeowners from putting their homes on the market.

By Steven Thomas REPORTSONHOUSING.COM

Steven Thomas has a degree in quantitative economics and decision sciences from the University of California, San Diego, and more than twenty years of experience in real estate. His bimonthly Orange County Housing Report is available by subscription and provides housing market analysis that is easy to understand and useful in setting the expectations of both buyers and sellers. His website is www.ReportsOnHousing.com.

The

Photo by www.AdobeStock.com/

Lazy_Bear, Avantgarde, and valterz

In the spring of 2020, life changed for everyone. Public schools, private schools, daycare centers, universities, dine-in restaurants, sporting events, concerts, movie theaters, trips to the mall, amusement parks, public swimming pools, beaches, and travel were all put on hold. The COVID “stay at home” order affected nearly every aspect of daily life, including real estate.

The California governor ordered the lockdown on March 19. The initial shock of a worldwide pandemic not only deterred buyers from purchasing but also prevented homeowners from selling their homes. In March 2020, there were 25 percent fewer sellers in Orange County than the three-year average before the pandemic (2017 to 2019). In April, that number rose to 49 percent. Then it dropped to 24 percent fewer in May and 11 percent fewer in June. By July, more sellers came on the market than the threeyear average. There were 4,389 missing sellers from March through June, 28 percent fewer.

Overall, in 2020, there were 1,795 missing sellers compared to the three-year average, down by only 5 percent. In 2021, it was down by 6 percent, or 2,297 sellers. In 2022, everything changed. COVID no longer had a grip on the country, yet the number of homeowners who decided to sell dropped substantially. An astonishing 22 percent fewer homeowners opted to sell, which resulted in 8,460 missing For Sale signs (see Figure 1).

The swift, unprecedented rise in long-term mortgage rates in 2022 prevented homeowners from selling. Rates climbed from 3.25 percent in January to 4 percent in February, 5 percent in April, and 6 percent in June, and then eclipsed 7 percent in October. By year’s end, rates had settled at 6.5 percent. Many homeowners elected not to sell. They were locked into incredibly low fixed mortgage rates. According to the Federal Housing Finance Agency’s National Mortgage Database, 89 percent of Californians with a mortgage have a rate of 5 percent or lower, 71 percent have a rate of 4 percent or lower, and 29 percent have a rate of 3 percent or lower.

Figure 1. Orange County–New Listings Monthly Because of the COVID lockdown, during 2020, there were 1,795 missing sellers compared to the three-year average, down by 5 percent. In 2021, the number was down by 6 percent, or 2,297 sellers.

By 2022, COVID no longer had a grip on the country, yet there were 8,460 missing For Sale signs as an astonishing 22 percent fewer homeowners opted to sell.

Comparing monthly payments at 7.37 percent (the highwater mark reached on October 20, 2022, according to Mortgage News Daily) to 3.25 percent at the start of 2020 is enlightening. The monthly principal-and-interest payment on a $700,000 mortgage shot up from $3,050 in January to more than $4,800 by the end of October, an additional $1,750 per month or $21,000 per year.

If homeowners had sold and decided to purchase a replacement property, they would have had a much higher payment and, most likely, much higher property taxes. Thus, they decided to stay put.

The “hunkering down” trend that started in 2022 only deepened in 2023. In January, there were 44 percent fewer sellers, or 1,358 missing For Sale signs. In February, there were another 981 missing signs, off by 44 percent. In March, the number rose to 1,792 absent signs, or 46 percent fewer. In April, it grew to 1,917 fewer sellers, down by 48 percent, similar to April 2020, the month with the most missing sellers during the initial COVID lockdown. In May, there were 1,879 missing sellers, or 45 percent fewer. From January through May of 2023, there have been an extraordinary 8,339 fewer sellers compared to the three-year average before the pandemic, 46 percent fewer (see Figure 2).

Based on the first five months of 2023, it is projected that there will be 17,900 missing sellers this year. Many homeowners would like to move for various reasons but are staying put and enjoying their low fixed monthly payments. Their home may not be exactly what they desire, but they love their current loan.

Many ask when more sellers will opt to place their homes on the market and finally sell. That will occur when mortgage rates drop to 5.5 percent or lower. The gap between many homeowners’ prevailing underlying fixed rates will eventually narrow enough to entice them to list their homes for sale. That is when the need to move will kick in—the need for a growing family to purchase a larger home, the need for empty nesters to downsize, the need to move closer to the kids. While some homeowners are already selling today, lower rates will bridge the gap, and the number of sellers will grow. Until then, the 2023 inventory will remain restricted.

Figure 2. Projected Missing Sellers in 2023 The “hunkering down” trend among homeowners that started in 2022 deepened in 2023. From January through May, there have been 8,339 fewer sellers than the three-year average before the pandemic. That is a reduction of 46 percent

DRE often receives complaints from consumers who were involved in a real estate or related transaction and claim that either a required disclosure was not made or later discover a material issue after closing. Many of these complaints share the same features:

The salesperson or broker was helpful up to the time escrow was opened; afterward, however, the salesperson stopped communicating.

Disclosures and documents were sent electronically.

The client did not read the disclosures and documents.

The client signed documents on a cell phone or tablet.

The salesperson or broker did not review or explain the disclosures and documents for the client.

While many things in real estate practice have changed over the years, a broker’s responsibility— and by extension the responsibility of an affiliated salesperson or broker-associate—has not changed.

As an agent, a broker has legal and fiduciary duties to their client. These duties include exercising the utmost care, integrity, honesty, and loyalty, and “explaining” what should be disclosed, as well as the significance and consequences of disclosures. The agent must also “counsel” their client, including either conducting or recommending any required inquiries, so that the client can make an informed and considered decision to buy, sell, lease, exchange, borrow, or lend.

California law also imposes duties on the agent with respect to the other principal in the transaction. For example, there are certain duties that the seller’s agent owes to a buyer and the buyer’s agent owes to a seller. These duties include, but are not limited to, the exercise of reasonable skill and care, the obligation to act honestly and fairly and in good faith, and the duty to disclose to the broker all facts that are either known or should be known and that materially affect the value, desirability, or, implicitly, the intended use of the property. Please note that additional duties arise if someone is acting as a dual agent for both the buyer and seller.

It's important that licensees remember their fiduciary duties to their clients and their duties to the other parties involved in any real estate and related transactions. Taking the time with your client to review and explain each step in the process, as well as the required disclosures and other relevant paperwork, can help make the process go more smoothly for everyone involved.

This article was originally printed on page 8 in the Winter Bulletin published by the California Department of Real Estate (DRE) and is being reprinted here with the Department’s permission.

Photo by www.AdobeStock.com/ ARRMY PICCA and imfrom

2023 Tournament Winners

Closest to the Pin - Men: Tim Beans

Closest to the Pin - Women: Lynne Suzanski

Longest Drive - Men: John Lancia

Longest Drive - Women: Monica Victorino

Putting Contest: Taylor Trinkwon

1st Place Mixed Team: Monica Victorino, Matthew Flamenco, Marcos Sanchez, and Anthony Beale

1st Place Men's Team: Ola Strandqvist, Tim Beans, Stuart Thomas, and Arne Dewitt

Photos

Orange County REALTORS® recognizes and congratulates the following members for hitting these milestones of continuous membership with us in 2023. We appreciate their commitment!

20 Years (Continued)

Patricia Fry has been a member of our Association and its predecessor boards for 50 years. We want to express our appreciation to her for many years of dedication to real estate. After attending California State University Long Beach majoring in psychology, Pat decided she wanted a career in a real estate. In 1973 she obtained her real estate license and joined Tarbell Realtors in San Juan Capistrano where she developed a strong work ethic and face-to-face marketing skills. After Tarbell, Pat was asked to managed a Katella Realty office in Dana Point. In 1978 she got her Brokers license and opened Wall Street Real Estate with offices in Dana Point and San Juan Capistrano.

Today Pat remains dedicated to the field of real estate and is appreciative of the skills she has acquired while being a member of Orange County Realtors. She is involved in her community and actively manages her own real estate. Pat states, "My career in real estate has been very rewarding. You must work hard and keep up to date with new technology. People work with agents they like and trust."

By Sherri Butterfield WRITER AND EDITOR

In 1944, Smokey Bear became an American campaign and advertising icon of the U.S. Forest Service. His first message was, “Smokey Says—Care Will Prevent 9 out of 10 Forest Fires.” Three years later, his slogan was changed to “Remember—Only YOU Can Prevent Forest Fires.” For more than five decades, that message was associated with Smokey; but in April 2001, in response to a massive outbreak of wildfires in natural areas other than forests, Smokey’s message was officially updated to “Only You Can Prevent Wildfires.” With these words, protecting both forests and other natural areas became a shared responsibility.

Similarly, the prevention of drowning is a shared responsibility, meaning that all of us must do what we can to prevent this tragedy.

Drowning Is Frequent

Drowning is suffocation by submersion. It can occur in as little as twenty seconds and will occur within three minutes. The Centers for Disease Control and Prevention (CDC) reports that, in the United States, there are an estimated 4,000 fatal unintentional drownings every year. That is an average of eleven drownings deaths per day.

According to the Orange County Fire Authority, drowning is the leading cause of accidental death among children under the age of five, and the second leading cause of accidental death in children under the age of fourteen. But adults fifty years old and older account for more than half of the drownings each year.

Drowning Is Silent

Most drownings of young children occur in home swimming pools when, lured by the water and unaware of the danger, a child enters a pool unnoticed or attempts to swim unsupervised. Young children can quickly get into trouble in water that is chest deep. In situations of this kind, they may lose their footing and be unable to hold their head above water long enough to draw a breath and cry out. Thus, their brief struggle to regain their balance may go unnoticed until it is too late, and they drown without a sound.

Drowning Is Tragic

Nearly half of all drowning incidents are fatal. And although most victims of nonfatal drowning eventually recover, some are left with long-term neurologic deficits, especially when the submersion was longer than six minutes or there was a lack of early bystander-initiated cardiopulmonary resuscitation (CPR).

Drowning Is Preventable

The three ways to prevent children from drowning are to teach them to swim, to supervise them while they are in water, and to prevent them from gaining unnoticed access to water in situations where they will be unsupervised.

Teach children to swim. The CDC says that participation in formal swimming lessons can reduce the likelihood of a childhood drowning death by 88 percent.

Supervise youngsters while they are in water. Do not rely on either swimming lessons or flotation devices to make any child “water safe.” When swim time is over, be diligent about ensuring that no child reenters the water unnoticed, unaccompanied, or unsupervised.

Keep your eyes on your own child. Do not allow children to play unsupervised in the pool or spa area of a hotel, motel, or club and do not assume that the lifeguard on duty at either a private club or a public pool is watching your child.

Prevent youngsters from gaining unnoticed access to water. Since 1998, California state law has required that new or remodeled pools and spas have at least one safety feature, such as a fence, a cover, or an alarm. In October 2017, Governor Jerry Brown signed into law the Pool Safety Act This law amended the Health and Safety Code to provide that, when a building permit is issued for construction of a new swimming pool or spa or remodeling of an existing pool or spa at a private single-family home, the pool or spa must be equipped with at least two of the following safety features: enclosure, mesh fencing, safety cover, door exit alarms, self-latching device, alarm in the pool or spa, or other equally effective means of protection.

Photo by www.AdobeStock.com/ kosmos111

Prepare Your Pool

Mount a lifesaving ring, a shepherd’s hook, and a CPR sign near your pool. And keep a working phone close by to summon help quickly in an emergency.

Paint pool rules on a sturdy piece of posterboard and mount it near the entry to the pool as a reminder. For example, your rules might include some or all of the following:

Pool Rules

Never swim alone.

Do not run on the sidewalk or deck. Do not push anyone into the water.

Do not hold anyone under water. Always leave the pool area promptly when you are asked to do so.

Install at least two safety features as required by the Pool Safety Act. For example, to prevent a small child from entering your pool unnoticed, install an unclimbable, five-foot fence between your residence and the pool. Install a self-closing and self-latching device with a release mechanism at least 54 inches above the floor on the door of your home that leads directly to the pool. And place in your pool a motion-sensing alarm that will sound in the event of accidental or unauthorized entry.

Purchase the Safety Devices You Need

In the six years since the passage of the Pool Safety Act, several companies have developed, refined, and marketed devices that make it convenient to comply with this Act and are offered across a wide range of prices. You can see pictures and descriptions, and read reviews of these various pool fences, safety alarms, and swimming pool covers on the internet or find them for sale in local pool supply stores.

Pool Safety Alarms. Pool safety alarms range in price from about $80 to $400, depending on the features they offer. They can be mounted to the pool wall or allowed to float in the water with a tether connecting them to the pool edge. In general, they are set off if something that weighs about 15 to 20 pounds enters the water; however, many alarms have adjustable sensitivity levels so that you can control both the amount of weight to which they respond and the volume at which they sound. This latter quality is important because, for an alarm to be effective, you must be able to hear it from inside your house, but you do not want it to be so frequent or so loud that it is a constant source of irritation for your neighbors.

Some pool alarms float on the surface of the water and others rest below the water’s surface and respond to subsurface motion. If an alarm can be triggered by waves on the water’s surface, strong winds can cause false alarms. To avoid this problem, consider a pool alarm that sits below the water’s surface and responds only to subsurface motion.

Two of the best-known pool alarms are the Lifebuoy Pool Alarm System and the Pool Patrol PA-30 Pool Alarm. The Lifebuoy floats on the water’s surface and uses motion detectors to sound an alarm when a person or pet falls into the water. What sets it apart from other similar alarms is a comprehensive app that enables you to set up and control the alarm from your phone or another Bluetooth-enabled device. You can use this app to adjust both the sensitivity and volume of the alarm.

Swimming Pool Covers. Swimming pool covers range in price from about $30 to $500, depending on their size and thickness, and what they are designed to do. Solar pool covers can heat your pool’s water by up to 15 degrees, thereby reducing your pool heating costs by 50 to 70 percent and extending your swimming season. Winter pool covers are designed to protect your pool from leaves and debris, prevent algae and bacteria growth, and offer thermal protection. Safety pool covers come in both mesh and solid designs. Mesh covers allow water to drain through while keeping leaves and other debris on the pool surface for easy removal.

Always Watch the Water!

Although this is the age of artificial intelligence (AI), electronic devices are no substitute for human intelligence, discernment, and—when needed— intervention. Gross negligence is not necessary for a child to drown. Instead, all that is required is momentary inattention. Brush up on your swimming strokes, learn how to perform cardiopulmonary resuscitation, never swim alone, and no matter where you go, always watch the water!