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Real estate laws in California

HomeCalifornia Real EstateReal estate laws in California

In California, state property and real estate laws include “homestead” protection to help small landowners; rules to protect landlords and tenants; and adverse possession to benefit people who significantly moves into and  improves the otherwise ignored property which is actually not their.

NOTE: California property and real estate laws also offer incentives for environmental-friendly and energy-efficient buildings.

  • Homestead” provides protection to elderly and disabled people against creditors. For instance; an individual who is 65 or disabled can claim for homestead protection worth $175,000. Maximum property value allowed for homestead varies from case to case.
  • For landlord and tenant agreements, the property and real estate laws says that if tenant still has the possession and landlord also accepts rent for it, then it will be assumed that both parties have renewed the lease with same conditions and for the same duration.
  • The laws also limits security deposit amount, i.e. a landlord can only take 2 months of rent as security deposit for unfurnished property and 3 months’ rent for furnished property.
  • For a valid Adverse Possession claim, there should be 4 elements:
    • Trespassing should be an honest mistake,
    • The trespasser should be actually there on the land, treating it as his/her own,
    • Trespassing act should not be a secret, and
    • The possession on the land should be exclusive to the trespasser only and continuous.

California Real Estate laws can be complicated to understand,  especially if it is about adverse possession. Hence it is always advised to hire an experienced real estate attorney in California to understand the laws and to know your rights.


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