The rule sets forth the process for the exemption to the mortgage banker, broker or loan originator license when the property is held by a LLC.

Garage conversions and Attached ADUs are exempt.  

The only thing that really will need to change is your insurance and possibly taxes(if your area does homestead exemption), just make sure that you update those and you are good to go.Yes you do need to stay there for a year, but when you look at the costs both of the fees you paid on the original loan and the fees you will pay on the new loan you will probably find that getting that new home 3-4 months sooner will come at a huge expense compared to the benefit of a couple months of rent.

Going beyond the exemptions, if any in your state, and being classified as a dealer will mean compliance requirements.

If the property is high enough above the water level, it can be exempted by getting an elevation certificate.  

., once you are out of your first home for over 3 years you have lost the primary home exemption for it. 

@Pari Thiagasundaram  the dodd frank exemptions are state specific.. and that is lending with YOUR OWN MONEY..

I don't believe that attorney's fees are an automatically reimbursable foreclosure cost here in WA, so I'm wondering if there is an effective method for me to get my Attorneys fees reimbursed too.Gabe, in this instance would you have likely lost your investment if the homeowner had declared bankruptcy or claimed the home as his homestead exemption?  

Don't mess with unaccredited investors, even if there are vague loopholes in SEC regulations like those restricted / exempt securities and what-not.Good news is, that $10k is just for the first one you do as an Operator / Syndicator / Sponsor, because future projects you can do based off of the template of the first one, with just minor adjustments by your lawyer.Good luck!

If the debt-financing gained from hypothecating a note was invested into other notes, a Solo 401(k) would not be exempted and would have a UDFI tax liability.