Are you aware of the changes in seller financing?
On May 31, 2010 a new Federal law went into effect that President Bush signed into law on July 30, 2008; the Secure and Fair Enforcement for Mortgage Licensing Act. If you are an investor that carries your own paper it is important that you are aware of how this law affects you.
If you offer seller financing for 1 to 4 family residential properties then you must be a licensed as a residential mortgage originator. The only exclusion to this is if you are carrying owner financing on the sale of your primary residence or you have sold the property to a family member. This law does not affect investors that offer seller financing for land or for commercial properties.
You can bypass this requirement altogether along with the headache of obtaining your mortgage license and handling servicing of the note by sending your buyers to us for financing. Then as an investor invest your profits into our security and spread your risk over all of the assets owned by the security.
Contact us for more details.
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