Realtors urge Cleveland Heights to shorten exterior-inspection cycle, expand outreach and rethink point-of-sale escrow

REALTORS AND CITY OFFICIALS MET: Members of the Cleveland Heights City Council Housing and Building Committee heard a presentation from local real estate professionals on Jan. 26 that outlined ways to keep the city—s older housing stock in good condition and to make homebuying easier for first-time and moderate-income buyers.

The presenters, led by Helen Hertz, a Cleveland Heights resident and retired RE/MAX broker, urged shortening the city—s systematic exterior-inspection cycle from five years to three, improving distribution of information about repair programs and considering elimination of the owner-occupied point-of-sale escrow requirement while maintaining stricter inspections for investor-owned properties. "We have to take care of what we've got and keep it strong and safe," Hertz said.

Why it matters: Committee members were told the city—s housing stock is old (presenters cited a median house age of about 91 years) and that exterior deterioration can depress neighboring property conditions and affect buyers— decisions. Presenters said clearer outreach and easier access to repair financing could help owners fix violations and help buyers close transactions in Cleveland Heights rather than look outside the city.

What presenters proposed and discussed: Helen Hertz and other real estate professionals described several recommendations: reduce the systematic exterior-inspection interval from five years to three (some peer cities inspect more frequently, and Rocky River was cited as inspecting some investment properties every two years); add a conspicuous printed insert or postcard to inspection reports directing homeowners to the city—s Housing Preservation Office and the Home Repair Resource Center; expand marketing of existing programs through local channels such as the City newsletter, Focus magazine, Heights Observer and neighborhood platforms; consider a city-run sidewalk and driveway apron repair program that contracts for volume pricing and offers homeowners an option to pay up front or have costs placed on property tax bills; and work with banks and lenders to publicize portfolio-loan and neighborhood-based closing-cost assistance programs.

Financing and programs discussed: Presenters identified several funding or assistance sources they said realtors and buyers should know about: First National Bank portfolio programs with advertised closing-cost assistance of up to $5,000 and purchase-rehab financing limits mentioned in a flyer (presenters cited up to about $766,550 for one product); Chase and Huntington Neighborhood/ZIP-code-based assistance programs that can provide funds for down payment or closing costs in qualifying areas; the city—s own first-time homebuyer assistance program (presenters said the city offers up to $10,000 but did not specify income limits); and a "Circle Living" program tied to University Circle that was described as providing up to about $30,000 in assistance that requires five years— occupancy.

Point-of-sale escrow debate: Presenters recommended the committee evaluate eliminating the owner-occupied point-of-sale escrow requirement, arguing buyers now obtain private home inspections, lender appraisals and insurer reviews, and that escrow requirements add up-front cash burdens that can block moderate-income buyers. They said Lakewood—s model, which removed point-of-sale escrow for owner-occupied sales while keeping inspections for investor properties, is worth studying. Panelists emphasized they were not recommending dropping investor inspections; several speakers said enforcement resources should focus on investor-owned units that are repeatedly noncompliant.

Sidewalks and tree impacts: The group recommended a coordinated sidewalk/apron repair program similar to programs in neighboring cities (Shaker Heights, Westlake, North Olmsted) that combine city forestry expertise with contractors to avoid unnecessary tree damage and to achieve volume pricing. Presenters said individual sidewalk blocks can cost up to about $1,000 and that a program could allow homeowners to finance costs through their property tax bills if they opt not to pay immediately.

Outreach and data use: Presenters said the city and partner organizations already have inspection and exterior-condition data (the Noble-area exterior inspection from 02/22 and a recent Western Reserve survey were cited) but that the information is underused. They recommended targeted outreach to homeowners with outstanding violations, and using printed postcards and widely read local outlets to reach older homeowners who may not use the internet. "People need to know that these things are available," Hertz said, urging more conspicuous placement of resource information in inspection reports.

No formal committee action: The meeting recorded discussion and recommendations but no formal vote or directive to staff was taken on the proposals. Committee members asked follow-up questions about the usability of the publicly posted survey and how homeowners can report inaccuracies; a speaker said she had emailed the mayor—s action center about making the survey more user-friendly.

Next steps noted in the meeting: Presenters encouraged the committee and city staff to examine peer-city approaches (Lakewood and Shaker Heights were repeatedly cited), to publicize existing repair and financing options to homeowners and realtors, and to consider pilot changes such as a shorter exterior-inspection cycle, a sidewalk/apron program and focused enforcement against noncompliant investor-owned properties. Committee members did not adopt any of these recommendations during the session.

Ending note: The committee thanked the presenters and adjourned at 5:58 p.m.