Saturday, November 22, 2008

Some Hawaii Real Estate Agents Steer Clear From Homeowners With Delinquent Mortgages As New State Foreclosure Rescue Law Has Long Reach

In Honolulu, Hawaii, Pacific Business News reports:
  • Some [Hawaii] real estate agents are refusing to take listings from homeowners who are behind in their mortgage payments and trying to avoid foreclosure because of a state law that was intended to protect consumers from predatory mortgage lenders.

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  • The law(1) was intended to protect homeowners facing foreclosure from predatory “rescuers” looking to take advantage of their situation. Some real estate agents could fall under the definition of a “distressed property consultant,” which requires them to abide by a separate set of rules outlined in the law.

For more, see Anti-mortgage fraud law jams up Realtors.

(1) The Hawaii Mortgage Rescue Fraud Prevention Act, which took effect July 1, 2008.