QUESTION
Dear Mike, I attended last night and already received your followup 24hr.access email. The question I have is did Harry say if I use private lenders money to purchase say a REO,rehab it and use a properly licensed MLO to flip to an end buyer I am still in violation of safe act? Richard Baffuta
ANSWER
Dear Mike, I attended last night and already received your followup 24hr.access email.
The question I have is did Harry say
"if I use private lenders money to purchase say a REO",
This is in violation of the new laws
odds are, you can find attorney and title companies to do the closing; however, it is still a crime.
I agree this is absolutely outrageous, but our objective is to protect your butt, the title companies and the attorneys.
This is so dang serious, attorneys and title companies could lose their license to practice!
rehab it and use a properly licensed MLO to flip to an end buyer I am still in violation of safe act?
Good Luck Richard!
Mike Butler
Mike,Thank you for you quick response. If the Gov. claims we are in violation of the safe act how is it that they are allowing FHA sales to happen with the 20% rule? (HUD officials said a newly-introduced temporary policy will now extend government-backed mortgage insurance and allow for the immediate sale of vacant foreclosed properties. FHA regulations currently prohibit insuring a mortgage on a home owned by the seller for less than 90 days, a limitation designed to prevent property flipping activity.
FHA’s new policy will permit the immediate sale of foreclosed properties to legitimate borrowers wishing to use FHA-insured financing, HUD) I will be on a missionary trip to an African orphanage and will just be flying in when your seminar is taking place.
Richard
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I’m moving this to Harry for you Richard