Transactional

By: Transactional Department

Pennsylvania’s new Mortgage Loan Industry Licensing and Consumer Protection Law, intended to provide better government control over mortgage lending practices, was amended in August 2009. The law requires that, in almost every instance, anyone issuing a loan primarily for personal, family or household use, which is secured by a mortgage on residential real estate, must be licensed by the Pennsylvania Department of Banking. The new law does not have an exception for builders, homeowners, or real estate holding companies, and so effectively negates the ability to provide short term swing loans or seller financing which is secured by a mortgage. There are, however, some options available which are described in more detail in this full article.

By: Denise C. Werkley

Effective September 4, 2009 Pennsylvania enacted amendments to the Real Estate Licensing and Registration Act which permit real estate agents to be paid under a qualified association, which could be a corporation, limited liability company or other entity. Click here for more information on the amendments to the Act.

For more information please contact Denise Werkley.