HELP PASS C.A.R.-SPONSORED BILL TO STOP PRIVATE TRANSFER TAXESNAR FORECAST

HELP PASS C.A.R.-SPONSORED BILL TO STOP PRIVATE TRANSFER TAXESNAR FORECAST: TIGHTER LENDING STANDARDS WILL SLOW HOUSING RECOVERYPARTICIPATE IN A FOCUS GROUP AND HELP IMPROVE C.A.R. ONLINEMINNESOTA MAN ENJOINED FROM PERPETRATING DO-NOT-CALL SCHEMEFASTEST-GROWING METRO AREAS CONCENTRATED IN WEST AND SOUTHC.A.R. HOUSING AFFORDABILITY FUND GOLF CLASSIC ON JUNE 4SPF COMMITTEE READING RECOMMENDATIONS

HELP PASS C.A.R.-SPONSORED BILL TO STOP PRIVATE TRANSFER TAXES C.A.R. is sponsoring SB 670 (Correa), "Private Transfer Tax Prohibition," to prevent the imposition of point-of-sale private transfer taxes, which add to the cost of owning a home. Because of a loophole in existing law, developers legally can impose private transfer taxes on home buyers at the time of purchase, with no oversight from government, no accountability on how the money is spent, and no limit on who can impose the tax or how many private transfer taxes can be added to a home when it’s sold. While the developers currently employing this scheme try to define it as a mitigation fee, implying that the funds will always improve the property or the development, this is simply not the case. SB 670 is scheduled to be heard by the California Senate Transportation and Housing Committee on April 17.

On Monday, April 9, C.A.R. Governmental Affairs sent a "Red Alert" to REALTORS® who live in districts represented by the following state senators: Senator Ellen Corbett (Bay East, Santa Clara County AORs); Senator Joe Simitian (San Mateo County AOR); Senator Roy Ashburn (Bakersfield and Orange Belt AORs);Senator Gil Cedillo (Greater Los Angeles/Beverly Hills AOR); Senator Alan Lowenthal (Pacific West and Downey AORs); Senator Bob Dutton (Big Bear, East Valley and Inland Valleys AORs); Senator Christine Kehoe (San Diego AOR); Senator Jenny Oropeza (South Bay); and Senator Tom Torlakson (Contra Costa and West Contra Costa).

If you received the Red Alert or you live in one of these districts, please call (800) 961-3302 and enter your NRDS ID number. The simplest way to find your nine-digit NRDS ID is to log on to C.A.R. Online (www.car.org) and click on "Sign In," located at the top of the screen. The sign-in box that appears gives you the option to search for your member number by first and last name. If you still have trouble determining your unique ID, you also can look at the address label of your "California Real Estate" magazine; the nine digits located above your name make up your NRDS number. Once you have entered your NRDS ID number, follow the prompts to be connected to your state senator office and leave a message encouraging them to vote "yes" on SB 670.

NAR FORECAST: TIGHTER LENDING STANDARDS WILL SLOW HOUSING RECOVERY The push for higher loan standards may slow home sales in the coming months, while median prices will remain flat, according to NAR’s most recent forecast. "Tighter lending standards will dampen home sales a bit, but by less than a couple of percentage points from initial projections," said NAR Chief Economist David Lereah. Existing-home sales are projected to total 6.34 million nationwide in 2007, while new-home sales are forecasted at 904,000, down from 1.05 million in 2006. The national median existing-home price is expected to decline 0.7 percent this year to $220,300.

Changes in lending standards will lead to a healthier housing market, according to the report. "We want people to be able to stay in their homes with mortgage terms they understand and can handle," said Lereah. In California, C.A.R. is projecting existing-home sales to decrease 7 percent to 443,900 in 2007, down from 477,400 in 2006. Additionally, the median price of an existing single-family home is expected to drop 2 percent to $550,000 compared with $556,600 last year.

PARTICIPATE IN A FOCUS GROUP AND HELP IMPROVE C.A.R. ONLINE C.A.R. is looking for focus group participants who can provide valuable in-person feedback about the Association’s official Web site, C.A.R. Online (www.car.org), at the C.A.R. offices in Los Angeles or Sacramento. For more information or to submit your contact information, please take a moment to fill out C.A.R.’s online survey at http://www.surveymonkey.com/s.asp?u=667463443135.

MINNESOTA MAN ENJOINED FROM PERPETRATING DO-NOT-CALL SCHEME
A federal district court recently ordered a Minnesota man to stop attempting to extract monetary settlements by threatening to sue for do-not-call violations. Ryan Swanberg of Minnesota has targeted California REALTORS® and other businesses for monetary settlements based upon a strained interpretation of the federal do-not-call rules. In this scheme, Swanberg contacts a real estate brokerage asking to be placed on its do-not-call list and for a copy of its written do-not-call policy, even though the brokerage has never contacted him before. If he does not receive the policy in five days, he threatens to sue the brokerage for violating the do-not-call rules but offers to settle the matter for about $5,000.

After being targeted by Swanberg, Re/Max Ideal Properties Inc. of Oregon filed a lawsuit seeking, among other things, for the court to declare that he had no private right of action under the do-not-call rules, and to permanently enjoin him from demanding money in this manner. The court granted this relief through a default judgment entered against Swanberg in March 2007 in the case Re/Max Ideal Properties, Inc. v. Swanberg.

This ruling does not guarantee that Swanberg will stop targeting REALTORS®. C.A.R. has published a legal article "Do-Not-Call, Do-Not-Fax, Do-Not-Email Laws Affecting REALTORS®," which includes a sample policy for maintaining a company-specific do-not-call list. Although the federal do-not-call rules do not specifically require delivery of a written do-not-call policy within five days, as Swanberg demanded, a prudent broker should, upon anyone’s request, provide a copy of its written policy within a reasonable time. To view the article, visit http://www.car.org/index.php?id=MzY3ODU.

FASTEST-GROWING METRO AREAS CONCENTRATED IN WEST AND SOUTH
All but two of the nation’s 50 fastest-growing metropolitan areas between April 1, 2000, and July 1, 2006, are located in West and South regions, according to a recent report from the U.S. Census Bureau. St. George, Utah, was the fastest-growing metro area in the U.S., experiencing nearly 40 percent growth during the six-year period, according to the report. In California, nine metro areas were among the top 50 list, including Riverside-San Bernardino-Ontario (23.7 percent), Stockton (19.4 percent), Madera (18.9 percent), Bakersfield (17.9), Merced (16.7 percent), Yuba City (16.3 percent), Sacramento-Arden-Roseville (15 percent), Modesto (14.6 percent), and Visalia-Porterville (14.1 percent).

With 13 million residents, the Los Angeles metropolitan continues to be the second most populous metro area in the nation, according to the report. The Los Angeles-Long Beach-Santa Ana region gained more than 584,500 people during the six-year period between April 1, 2000, and July 1, 2006.

C.A.R. HOUSING AFFORDABILITY FUND GOLF CLASSIC ON JUNE 4 The Second Annual C.A.R.H.A.F. Golf Classic will take place at Sacramento’s premier championship facility, Lincoln Hills Golf Club in Lincoln, Calif., on Monday, June 4. The event coincides with the C.A.R. Business Meetings, which begin at the Sacramento Convention Center the following day. The golf tournament is open to the public, and all proceeds will be contributed to C.A.R.H.A.F. The cost is $150 per golfer and includes 18 holes, a golf cart, lunch, extra golf challenge games, a dinner reception, and gifts. Sponsorship opportunities also are available for the event. For out-of-town golfers, a shuttle bus will be available to transport participants to and from the Hyatt Regency Hotel in Sacramento.

If you would like more information about C.A.R.H.A.F. or the Second Annual Golf Classic, please visit www.carhaf.org or contact Monica Rodriguez at (213) 739-8380 or monicar@car.org.

SPF COMMITTEE READING RECOMMENDATIONS Interested in thinking outside the box? Wondering what the future might hold? Ready to challenge your opinions? Visit the link below to preview a recommended reading list from C.A.R.’s Strategic Planning and Finance Committee.

Fast Facts

• Calif. median home price – February 07: $564,700 (Source: C.A.R.)
• Calif. highest median home price by C.A.R. region February 07: Santa Barbara So. Coast $1,000,000 (Source: C.A.R.)
• Calif. lowest median home price by C.A.R. region February 07: High Desert $319,860 (Source: C.A.R.)
• Calif. First-time Buyer Affordability Index – Fourth Quarter 06: 25 percent (Source: C.A.R.)
• Mortgage rates – week ending 4/5: 30-yr. fixed: 6.17%; Fees/points: 0.4% 15-yr. fixed: 5.87%; Fees/points: 0.5% 1-yr. adjustable: 5.44%; Fees/points: 0.6% (Source: Freddie Mac)

C.A.R. Newsline is published by the CALIFORNIA ASSOCIATION OF REALTORS®, a trade association representing more than 200,000 REALTORS® statewide.

Edited by Mark Giberson, markg@car.org
and Amanda Hopkins, amandah@car.org

Executive offices:
525 South Virgil Ave., Los Angeles CA 90020
phone (213) 739-8200; fax (213) 480-7724

Legislative offices:
980 Ninth Street #1430, Sacramento CA 95814
phone (916) 492-5200; fax 916-444-2033

PRESS RELEASE

PRESS RELEASE
For Immediate Release
January 8, 2007

HITS is proud to announce Shoot 4 the Moon Properties, Inc as a sponsor for the 2007 HITS Thermal Circuit

THERMAL, CA (January 8, 2007 ) — HITS is pleased to announce that Shoot 4 the Moon Properties, Inc. will be the title sponsor of the $10,000 Shoot 4 the Moon Jr. A/O Jumper High Classic for Weeks I, II, III, IV, and V of the 2007 HITS Thermal Circuit that begins on January 23.

“Shoot 4 the Moon Properties is proud to be associated with HITS,” said broker/owner Katie Moon. “We feel that we have some of the finest properties for sale and lease in the California Desert and are eager to show them off to the HITS clientele.”

Over the last several years, Shoot 4 The Moon Properties has been a leader in local land sales. Specializing in commercial and residential properties, Shoot 4 The Moon Properties services its client’s needs from the acquisition of raw land through the sale or lease of the finished residential or commercial product throughout all of Southern California. Moon, as an avid jumper competitor herself, is proud to say that each of her five team members are not only professional real estate agents, but are involved in many competitive horse disciplines, “As fellow horse owners, our real estate team truly understands the needs and demands of the horse show clientele,” said Moon.

“We truly appreciate Shoot 4 the Moon Properties’ sponsorship of our horse shows,” said Tom Struzzieri, President of HITS, “We are looking forward to enjoying a successful year together.”

Visitors to HITS Thermal are encouraged to visit Shoot 4 the Moon Properties’ on site sales office throughout the entirety of the 2007 HITS Thermal Circuit where they can preview some of the best properties Southern California has to offer. For the past 15 years, HITS has produced a six-week winter horse show circuit just five miles away at the intersection of Monroe Street and Avenue 52 in Indio, California. The 2007 season of show jumping kicks off at the HITS Desert Circuit on January 23, 2007. For more information on the 2007 Thermal Desert Circuit please visit http://www.hitsshows.com/. HITS, Inc. is a special events management company primarily focused on producing hunter/jumper horse shows. Based in upstate New York in the village of Saugerties, HITS produced its first horse show circuit in Gainesville, Florida in 1982. Since that time, HITS has grown into a nationwide company with world-class Hunter/Jumper circuits in California, Florida, Arizona, New York, and Virginia.

The 2007 HITS Desert Circuit will be held at the new, state-of-the-art equestrian facility in Thermal, California. The new facility will be the largest Hunter/Jumper horse show venue in the United States and will encompass more than $10,000,000 in improvements, including stabling for more than 3,000 horses and 12 competition rings. HITS Thermal will also feature the new state-of-the-art footing provided by Footing Authority.™

In January 2006 HITS entered into a private equity arrangement with Leonard Green & Partners, L.P. in Los Angeles. As a result, HITS, Inc. is able to develop and execute exciting operational and strategic initiatives that both solidify its well-established position as the leader in horse show management and allow for new growth opportunities including the construction of HITS Desert Horse Park. HITS generates significant economic impact in each of its five venues in California, Arizona, Florida, Virginia and New York.

2007 HITS Thermal Horse Show Dates
Desert Circuit I
January 23-28
Desert Circuit II
January 30 – February 4
Desert Circuit III
February 6-11 Off Week February 12-18 Desert Circuit IV
February 20-25
Desert Circuit V
February 27 – March 4
Desert Circuit VI
March 6-11