House Bill 643 Passes on May 28th, 2008.  Foreclosure Fraud in Florida Law.  How will it change YOUR business?

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I’ve read through this law several times, and I’ve still got some MAJOR questions about its interpretation.  But here’s the one thing that is NOT open to interpretation:

It Already Passed!

It goes into effect October 1, 2008, so that gives us about 4 months to get our attorney’s to interpret it, advise us, and get our disclosures in order for transactions after that time.

If you haven’t read it yet, at the bottom of this box I’ve given you the link.  Read it and then keep your eye on my emails as I get updates for you.

Here’s some of the highlights
(I guess I should say Lowlights!):

1. A person in foreclosure on their primary residence will have 3 days to change their mind when selling their house.  This also means there will be new disclosures and new deadlines to keep track of on your transactions.  Also, many agents have listings they don’t know are in foreclosure…you may now be responsible to find out!

2. Some agents and investors will just choose not to help people in foreclosure because of all the extra potential liability.

3. It will limit the ability to collect any up front fees, which means some of the short sale negotiation companies that charge a fee to get started (and more of them are starting to), the seller will be restricted from paying them.

4. The way they wrote the “exclusions” is kind of weird, in one way it looks like real estate agents are exempt, but in another way it looks like they are not, so we will need to wait for some clarification.

5. It will eliminate “subject to” on a primary residence in foreclosure.
Keep watching as I keep you updated!

Click Here to read the new law.