mortgage broker: Does anyone understand this I sure don't? - 04/09/07 09:23 AM
New Down-payment Funding Idea Draws Regulators' Attention
RISMEDIA, April 4, 2007-(MarketWatch)- The pressure is on to close home sales, but some tactics are raising eyebrows of financial regulators and industry observers.
Take one recent home sale that nearly derailed when the potential buyer discovered a lien barred access of funds for the mortgage down payment. The sale did successfully close thanks to a program, known as "DpFunder."
DpFunder works this way: The potential home buyer signs on as an independent contractor with Global Direct Sales LLC, Gaithersburg, Md., a marketing company.
The person who wants to buy the home sells a membership in "Owners Alliance Inc." … (0 comments)