What is DRE? DRE is an acronym for the Department of Real Estate. An advocate of the homebuyer, DRE protects the homebuyer from misrepresentation, deceit and fraud in the sale or lease of subdivisions. Not all new homes are under the regulatory jurisdiction of DRE. (Please see Does my Project Need DRE Filing?)
Subdivisions that fall under DRE jurisdiction cannot be offered for sale or lease until appropriate documentation has been reviewed by DRE and a Conditional or Final Public Report is obtained for the subdivision. This report is intended to disclose any significant information about the subdivision. It is vital in processing your application, that your filing be handled by a qualified agent, knowledgeable of the regulations of the DRE.
About our DRE Department. Filing with DRE can be a long and difficult process. A skilled DRE Coordinator is essential in assuring there are no unnecessary delays obtaining your Conditional or Final Public Report. Orange Coast Title boasts a premier team of DRE Coordinators who can streamline this process for you.
How do I contact DRE? DRE has two offices; one in Southern California and one in Northern California. Although they are each primarily responsible for development within the regions they are located, some procedures are handled exclusively in Northern California. Their addresses and phone numbers are as follows:
|Department of Real Estate - South||Department of Real Estate - North|
|320 South West St., Suite 350||2201 Broadway|
|Los Angeles, CA 90013-1105||P.O. Box 187005|
|(213) 576 - 6983||Sacramento, CA. 95818-2500|
|(916) 227 - 0813|
Or you may email them at www.dre.ca.gov.
Does my Project Need DRE filing? In the State of California, not all subdivisions require a DRE filing. Please Click here for a short reference list of projects that do and do not require DRE.
When Should I Start my Filing? You are able to file with DRE as soon as you have an approved tentative tract map and conditions of approval.
What will I need for my filing? The documents needed for a complete DRE filing vary from project to project. Your DRE Coordinator will require copies of your Tentative or Recorded Map, Conditions of Approval, a preliminary title report and phasing schedule (if applicable) to get started. The Coordinator will then provide a list of other items needed for your submittal.
Types of Public Reports? There are three general "types" of Public Reports the DRE may issue. Although there is an additional cost for Preliminary and Conditional Public Reports (See DRE Fees) the timing of your marketing and sales efforts may warrant the expense (What are the DRE timeframes?). The purpose of each report is as follows:
Preliminary Public Report a.k.a. "Pink" report - Allows the subdivider to advertise the project and to take reservations and deposits. No Purchase contracts may be signed under this report and all deposits are refundable.
Conditional Public Report a.k.a "Yellow" report - Allows the subdivider to take reservations and deposits, enter into purchase contracts and open escrows. This report is intended for the subdivider who has submitted a complete DRE filing but is waiting for an event to happen before he may obtain his Final Public Report (such as the recordation of the map, approval of the budget by DRE, review and approval of the legal documents by DRE, etc.).
Final Public Report a.k.a. "White" report - Allows the subdivider to do all of the above AND close the escrows.
What are DRE's timeframes? The timeframes for Standard and Common Interest subdivisions are listed below. These timeframes do not reflect the time required by the developer to gather the information DRE requires. Times start from the date the information is filed with the DRE.
Approximately 30 days until the Deputy reviews the file for the first time. If a deficiency notice is issued at that time, DRE has another 20 days to review the deficiency items. Once the file has been "perfected", the DRE has 10 days to issue the Public Report.
Approximately 70 days until the Deputy reviews the file for the first time. If a deficiency notice is issued at that time, DRE has another 30 days to review the deficiency items. Once the file has been "perfected", the DRE has 15 days to issue the Public Report.
When estimating the timing of your project, it is safe to plan on four to five months for a Common Interest project and two to three months for a Standard project.
DRE fees and forms? A schedule of fees for filing with the Department of Real Estate can be obtained at the DRE website: www.dre.ca.gov. DRE forms can also be obtained from this site as a .pdf file and may be read by Acrobat Reader.
What is DRE? Orange Coast Title Company boasts one of the finest DRE departments in the industry. Please contact us:
Builder Services/Commercial Division
Phone: (909) 987-5433
Fax: (714) 415-7952