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New Law In Florida Coming

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I have heard there's legislation pending in Florida that will limit a lot of the way we and other investors in general are allowed to do business. :D

 

I am not sure exactly what it says.

 

Can somebody reference an article or maybe post the "Cliff Notes" on any bills floating through the House and Senate in the Sunshine State? :D

 

Thanks,

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Yes, it's plenty wet enough for me......but the grass is looking good out back ! :D

 

Anyway, on another board, I found this (and it is NOT the first time I've heard it):

Bad Legislation On The Horizon

 

Some Really Bad Legislation is About to Be Passed. Get Involved Now Before It's Too Late!

 

 

 

If you live in South Carolina, Maryland, Texas or Florida, you'd better watch out. Some really bad legislation is making it's way through the rule-making process and could soon become law. However, if you don't live in one of those states, don't get too comfortable because you're next (Arizona, your lawmakers are about ready to copy some of the bad stuff they're seeing in these other states)!

 

A few bad eggs in our industry have caused these state lawmakers to propose some far, overreaching regulation to "fix" the problem of those who "flip" properties for profit. However, problems are bound to occur whenever non-ethical people take what they've learned from a legitimate service business like ours and use their specialized knowledge to harm others.

 

Here's a very quick summary of at least 3 of the states lawmaker shortcomings;

 

Texas - Lease/options will be treated as land contracts, so forget trying to keep your tax benefits with a lease/option or extending your ownership for long-term capital gain rates. But worse, an investor won't be able to sell properties with either a lease/option or a land contract unless the properties are free and clear. And forget sandwich lease/options. They will be illegal too.

 

North Carolina - Subject-to deals will come under much greater scrutiny. In fact, no investor will be able to buy a property subject-to the underlying mortgage unless the seller gets express permission from his lender before transferring the property.

 

Maryland - Sellers of pre-foreclosed properties will have a 10-day right of rescission when selling to an investor. The law also restricts the amount of profit that you can make when you buy a pre-foreclosed property and immediately turn around and sell it. There's a bunch of other provisions all attempting to stop investors from picking up free deeds.

 

As you see the "poster" left off any mention of Florida. I have been searching for things on the web, but can't seem to zoom in on specifics and was wondering if anybody had a take on this for us down here in the "Sunshine" :D State.

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Haha...Sunshine State, my ass! I haven't needed a pair of :D since June rolled around! And the forecast for this weekend is another blast if you live in the Everglades...

As for new legislation specific to FL, I'm not aware of anything that might be pending. That's not to say there isn't any. There does seem to be a push in a few locations to protect the public for us "evil doers". I'll keep eyes wide open, and if I hear anything I'll let you know.

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I read in todays chicago newspaper that one state texas has clamped on tough legislation on rent to own scams.

 

In florida it states the the attorney general is investigating consumer complaints about lease option offered by a network of property companies operating along the golf coast.

any thoughts? hope this does not mean lease options are no longer a profit item dfor investors - tom

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You raised this same issue in another thread. And my answer remains the same: run an honest, above board business, and no one will be doing any jail time.

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