Photo credit: Governor Gavin NewsomCALIFORNIA – Governor Gavin Newsom issued an executive order, January 14, to protect firestorm victims in the Los Angeles area from predatory land speculators making unsolicited cash offers to purchase their property.
“I have heard first-hand from community members and victims who have received unsolicited and predatory offers from speculators offering cash far below market value — some while their homes were burning,” said Newsom.
Unsolicited offers unlawful for three months
According to Bloomberg, real estate investors are targeting the middle-class community of Altadena and other fire-affected areas of Los Angeles, seeking opportunities to profit as residents work to rebuild their homes and lives.
The state says the executive order will safeguard residents of hard-hit zip codes in Los Angeles County, including Altadena, from predatory practices.
The executive order:
- Makes unsolicited undervalued offers to purchase property from owners in specified zip codes of Los Angeles County unlawful for a period of three months from the date of the order.
- Tells the Department of Real Estate and other state agencies to let the public know their rights, where to get more information, and how to contact law enforcement, like the Attorney General’s Office and District Attorney, to enforce the rules.
Similar to order issued after Lahaina wildfires
The executive order is modeled on a similar order issued by Hawaii Governor Josh Green after wildfires destroyed the town of Lahaina and surrounding areas in August 2023, according to the news release.
California law makes it a misdemeanor to violate an executive order during a state of emergency. Violators can be prosecuted by the Attorney General or local district attorneys.
To read the full order visit https://www.gov.ca.gov/wp-content/uploads/2025/01/EO-N-7-25-_-Land-Speculation-1.14.25-bl-_GGN-Signed_.pdf
