New laws

[Brad Barrington]

I had a report from the Roddy Roundup that new laws were going into effect would not allow wraps unless you have a brokers license. Is this true? Will it affect our use of that solution?

Thx. Brad.

[Steve Smegner]

Brad,
The situation is much more complex than that. Federal laws are a bit different than how Texas adopted them. There are a set of complex rules, requirements, exemptions and exclusions. The new laws as I understand it will not go into effect until August 31, 2010 and things could change between now and then. But there are solutions. It does not "kill" wrap mortgages or even seller finance but the process will be different. When you said 'broker' did you mean mortgage broker or real estate broker? There is even some discussion about how agents, using the TREC contract seller finance addendum, can even use that contract. So there are some unresolved issues. But there is nothing that should cause you think that double-wraps are dead. They are alive and kicking.
There is a lot of misinformation out there right now. Some of it is hype and intentional. The rest is due to the fact that there is so much scrambling to understand. We are using attorneys to analyize and interpret for us as well as making sure we are jumping all the right hurdles.
So I would keep working towards your real estate goals and stay tuned for any changes that may be necessary.