Dodd Frank

[Abel Vazquez]

what is the Dodd frank act in a nutshell?

[Bill Gulley]

Originally posted by @Rick Bassett:

5 pages of conflicting posts in that thread isn't really a 'nutshelll'.

This is my simplistic understanding of DF so far (jump in if I am wrong):

- If I offer an option to buy I am OK if I collect the full option fee upfront or at the closing BUT I can't allow a buyer to pay the option fee over time.

- Options should be separate from the lease and and shouldn't be assignable.

- I can't allow any portion of monthly rental payments to be applied towards the purchase of the property or the downpayment.

- I can't offer direct seller financing without going through a mortgage servicing company, which I assume does an in-depth screening (underwriting) to ensure that the buyer is 'qualified' for this financing arrangement -and- collects the monthly payments from the buyer and then distributes the 'mortgage payments' to me.

Very good! :)

Yes, pages of crap, one liner posts saying to ignore it, conflicting opinions by people who never did one ounce of loan compliance, people reading the word but having no clue what the intent of the word is or means, some suggesting ways around it, some suggesting you don't have to be concerned, newbies suggesting to follow some guru and several arguing due to personal issues simply to discredit someone rather than actually knowing anything. Only about 6 people on this site even know what they are talking about, none are just RE investors, in tax work, are Realtors, just note buyers or business managers, they are all in finance/banking and compliance.

Want to know, call the public information number for the CFPB or ask a question on their web site.

Seems too, you shouldn't be able to title a thread with the same title as another thread.

Yes, there is opportunity, not so much for investors but for finance types. Those who think they can go it alone or under some scamming guru, well, they are probably the same ones who would represent themselves in their own murder trial, the audacity on this site is unbelievable.

Beware of the gurus, they will be coming out of the woodwork with schemes and deceiving information, in fact some already have.

You're right, thanks to open forums, information here is a real mess. :)