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What are some new real estate laws in California?

by | Jun 22, 2022 | Commercial Real Estate, Real Estate Law, Real Estate Law

Each year, there are changes to real estate laws. Some years, the changes are rather minor, but if you are going to sell or buy real estate, it is a good idea to stay on top of the laws.

The San Diego Union-Tribune explains 2021 brought about a range of new laws pertaining to real estate that will impact renters, buyers and landlords.

Fire areas

When selling a home, you must make potential buyers aware if the home is in a high-risk fire area. You must make the buyer aware of the specific areas of the home that are most vulnerable to fire, including landscaping. The focus is on homes built before regulations tightened on the fireproofing homes in 2010.

HOA rules

New guidelines require homeowner associations to no longer limit the percentage of rental properties within their control to less than 25%. It also prevents them from requiring owners to own property for a certain time before they can rent it. However, short-term rental control is still something an HOA can ban or limit as it sees fit.


A new law allows tenants to have the first right to buy their homes before a foreclosure auction sale. As a renter, you would have up to 15 days after the auction to make your decision. The rule applies if the person buying the property does not plan to live there.

In addition, anyone who wishes to live in the home can buy it away from an investor if they offer more than the investor bid. They would have 45 days from the auction to make this offer.

Bankruptcy protection

In an effort to allow you to keep your home if you file bankruptcy, the law now protects $300,000 to $600,000 of your home’s equity from creditors.

These are only a small part of the various changes that took place with real estate laws. Generally, legislatures are trying to help protect homes and keep people in housing.