Washington State distressed property/owner law
Anyone familiar with the Washington State distressed owner law? http://app.leg.wa.gov/rcw/default.aspx?cite=61.34&full=true
I have been purchasing trustee foreclosures for nearly 4 years. I have been thinking about pursuing the properties before they get to the auction. I already maintain a list of NTS and sheriff sales so I know who to contact. The only issue is how the above law will affect my operation. There seem to be a few ways out of the 80% law. One is when the owner doesn't actually live in the property. Another, and this may be just reading in to the definitions, is if the property is bought outright and the owner moves out of the property never to return.
See the excerpt from the law below:
(5) "Distressed home conveyance" means a transaction in which:
(a) A distressed homeowner transfers an interest in the distressed home to a distressed home purchaser;
(b) The distressed home purchaser allows the distressed homeowner to occupy the distressed home; and
(c) The distressed home purchaser or a person acting in participation with the distressed home purchaser conveys or promises to convey the distressed home to the distressed homeowner, provides the distressed homeowner with an option to purchase the distressed home at a later date, or promises the distressed homeowner an interest in, or portion of, the proceeds of any resale of the distressed home.
Is anyone familiar with this law? Who has bought properties in WA that were in foreclosure and what are your experiences?
Regards,
Scott