Alert: Dodd-Frank Fed law coming

Jan 10 2014 the DF Consumer Protection Act is effective and it’s going to make some big changes in REI.

Beginning on that date we can no longer sell to our buyers on their notes as freely as we’ve been doing and all REIs need to find & read DF Law so as to stay compliant with law.

The new law contains such elements as restricted balloons on notes, checking buyer’s ability to pay and interest rate restrictions.

Sorry I don’t have the legal citation quickly at hand but Dodd Frank Consumer Protection Act ought to find it quickly on Google.

Law will be effective JAN 1 !!!


How many Deals can you do under Dodd-Frank?

John / Bill
I have been hearing conflicting information about what IS or IS NOT exempt under Dodd Frank as it relates to Selling a property and SELLER FINANCING that sale.

Some are saying you only have (1) ONE FREE PASS per year to seller finance a property? Others are saying these are the EXEMPTIONS ;

  • Selling your own personal residence with Seller financing - EXEMPT

*You CAN but are Limited to 5 transactions per Calendar year that you can Sell with SELLER FINANCING

*With 6+ Transactions involving Seller Financing you now must meet the status to achieve “QL” qualified loan status

*Mobile Homes are exempt - EXEMPT

Help me sort thru some of this?

Tom Swayne