Goldstein & Levy, P.A., General Counsel Legal Bulletin December 8, 2014 | Alert! Email Wire Fraud Scams on the Rise We have been alerted to a growing variety of email wire fraud scams throughout the country, and in our locality. The most recent involved an email sent allegedly from the Realtor®’s brokerage stating that their…
Effective Monday, August 18, 2014, the Maryland Real Estate Commission has adopted a new regulation requiring all agents who recommend a service provider in the course of a real estate transaction to VERIFY that the service provider is licensed with the state of Maryland. This applies to the recommendation of a home inspector, plumber, electrician,…
CFPB Finalizes “Know Before You Owe” Mortgage Forms The Consumer Financial Protection Bureau (CFPB) is issuing its final rule today (November 20, 2014) requiring the use of new mortgage disclosure forms that will replace the existing federal disclosures and are intended to make it easier for consumers to understand their loan options, select loan terms…
How Will the New “Qualified Mortgage” Regulations Affect Your Transactions? The final rules and regulations implementing portions of the federally enacted Dodd-Frank Act will become mandatory on January 10, 2014. These rules require creditors to make a reasonable, good faith determination of a consumer’s ability to repay any consumer credit transaction secured by a dwelling…
Maryland’s New “Automatic Subordination” of Junior Mortgages Law Takes Effect on 10-1-2013 Maryland has enacted a new “Automatic Subordination for Junior Mortgages” statute will take effect on October 1, 2013. The statute (SB 199, Chapter 205 of the 2013 Laws of Maryland) provides that a mortgage or deed of trust (collectively “mortgage”) on residential property…
Goldstein & Levy, P.A., General Counsel Legal Bulletin January 18, 2013 | Shore Sale Debt Relief Extended Through 2013 Thankfully, Congress has acted to extend the Mortgage Debt Forgiveness Act through 2013, providing a sigh of relief to thousands of underwater homeowners who would have otherwise faced the prospect of paying income taxes on the…
Tax Break For Distressed Homeowners Is Scheduled To Expire Federal tax law generally requires that a taxpayer who has indebtedness that is forgiven by a lender is required to claim and pay taxes on the amount of the forgiven indebtedness, which is classified as “income”. As a result, prior to 2007 homeowners whose homes were…
Hurricane Sandy May Delay Your Closing Many (if not most) mortgage lenders will require that homes in FEMA declared “disaster areas” (that includes Maryland and DC) be re-inspected prior to closing. If the home sustained substantial damage lenders may require repairs be completed prior to closing and, in some cases, another appraisal be completed. IF…
You Better Think Before Your Hit The Send Button On Your Next Email! We are all familiar with the requirement that a contract for the sale of real estate must be in writing to be enforceable. This requirement arises from a law called the “Statute of Frauds” which has been enacted in most states, in…
“Phantom” Liability for Condominium and Homeowner’s Association Dues and Assessments Provide Another Reason for Distressed Sellers to Short-Sell Their Homes Last April we distributed a legal memo (“Surprised Owners Find That Personal Liability Looms for Unpaid HOA And Condo Fees”) which explained that many owners of condominium units and homes which are subject to the…