Realtors® just won the long fought battle to keep banks out of Real Estate. It certainly has been a no brainer to prove that banks just don't have what it takes to be in the people business after all the short sale fiascoes and foreclosures problems.
While I have no clue why this bill was placed in the H.R. 1105 Omnibus Appropriations Bill because it really has nothing to do with all the spending and I am totally against the massive spending- at least I can say that one good thing was in the bill!
Now large banks are PERMANENTLY banned from entering into the real estate business. The new law bans the Treasury and the Federal Reserve from creating or making any rules, passing on any orders or doing anything else that would open the door to allow the large banks from doing real estate.
NAR has fought for many years to get this passed since the banks lobbying to get this on the books. If you contribute to RPAC you can be happy that your money was well spent and as Realtors ® you have a victory in these economic times.
The reason that NAR was fighting to keep big banks out of the real estate business is because it could have created an anti competitive and anti consumer concentrations of power within the financial sector. This would increase the cost to buyers. Banks in real estate is inconsistent with the banking laws and is bad for consumers and bad for banking.
It is obvious that large banks in the real estate business would not be good for Realtors®, especially those that own and operate small indepenent companies. It gives the banks an unfair advantage over real estate companies because banks can get cheap capital from the Federal Home Banking System and from Federal Deposit Insurance.
It would create a conflict of interest for the consumer. Here is a post I wrote about what it may be like if you had to list your house with a bank!
I am sure that the complaints about how bad the banks handle short sales have something to do with getting this passed!
Contact Nestor Gasset and Katerina Gasset, CIPS, Realtors®, International Properties and Investments, Inc. Licensed Realtors® in Florida at 561-753-0135 to list your property for sale or to purchase a property in Wellington, Boynton Beach, Manalapan, Manalapan Point, Lake Worth, Hypoluxo Island, Lantana, West Palm Beach and the rest of Palm Beach County Florida and Port St Lucie Florida. We are accepting referrals.
To view all Florida short sales For Sale Click here and then click on Search For Homes We know Palm Beach County and Port St Lucie Florida and will help you get your home Sold if you need to Sell your home and help you buy your home in Palm Beach County Florida : Call us today.
Realtors ® Win! No Banks In Real Estate! was first published on South- Florida-Luxury-Living.com.