{"id":51637,"date":"2013-12-10T05:33:56","date_gmt":"2013-12-10T12:33:56","guid":{"rendered":"https:\/\/www.biggerpockets.com\/renewsblog\/?p=51637"},"modified":"2024-06-10T04:04:18","modified_gmt":"2024-06-10T10:04:18","slug":"2013-12-10-dodd-frank-act-real-estate-business","status":"publish","type":"post","link":"https:\/\/www.biggerpockets.com\/blog\/2013-12-10-dodd-frank-act-real-estate-business","title":{"rendered":"How the Dodd Frank Act Will Impact Your Real Estate Business"},"content":{"rendered":"<p>Most real estate investors are somewhat familiar with the Dodd Frank Act that goes into effect at the first of the year.\u00a0 One thing that I know for sure is that a whole lot of folks aren\u2019t taking it seriously. The most frequent comment that I hear is, \u201cThe government will never enforce this Act\u201d.\u00a0 And to those folks that say that, I would have to agree.<\/p>\n<p>However, it is not the government that you will need to be concerned with in most cases&#8230; <strong>it will be your tenants.<\/strong> \u00a0Did you know that you might be faced with reimbursing your tenants up to 3 years of payments under certain circumstances? \u00a0Everyone needs to understand how the Dodd Frank Act has the potential to impact your business.<\/p>\n<h2>The Interview<\/h2>\n<p>I did an interview recently with my colleague and fellow <a href=\"https:\/\/www.biggerpockets.com\/real-estate-investing\" target=\"_blank\">real estate investor<\/a> Bill Walston who is expert on this subject.\u00a0 Some of the things we covered in this interview were:<\/p>\n<ul>\n<li>When the Dodd Frank Act goes into effect<\/li>\n<li>How it is different from the SAFE Act of 2008<\/li>\n<li>What effect it has on investors doing lease options<\/li>\n<li>The new requirement that the seller must verify the buyer\u2019s ability to repay the debt and the procedures they are required to follow<\/li>\n<li>Buyer remedies and the stiff penalties for real estate investors that don\u2019t comply with these requirements<\/li>\n<\/ul>\n<p>I hope you will take about 30 minutes and listen to this interview. It has the potential to impact just about every real estate investor\u2019s business, but there\u2019s no doubt that the ones that will be the most affected are those investors that use seller financing as an exit strategy.<\/p>\n<p><iframe loading=\"lazy\" title=\"Dodd Frank Act Explained - http:\/\/LouisvilleGalsRealEstateBlog.com\" width=\"640\" height=\"480\" src=\"https:\/\/www.youtube.com\/embed\/-379fUOAvn4?feature=oembed\" frameborder=\"0\" allow=\"accelerometer; autoplay; clipboard-write; encrypted-media; gyroscope; picture-in-picture; web-share\" referrerpolicy=\"strict-origin-when-cross-origin\" allowfullscreen><\/iframe><\/p>\n<blockquote>\n<p style=\"text-align: center;\">Are you familiar with the Dodd Frank Act and how it will potentially impact the way you do business?<\/p>\n<\/blockquote>\n<p>Photo: <a href=\"http:\/\/www.flickr.com\/photos\/mr_t_in_dc\/3756880888\/\" target=\"_blank\" rel=\"noopener\">Mr. T in DC<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Most real estate investors are somewhat familiar with the Dodd Frank Act that goes into effect at the first of the year.\u00a0 One thing that I know for sure is [&hellip;]<\/p>\n","protected":false},"author":661,"featured_media":169939,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[5528],"tags":[4953,4061,4954,59,79,3239],"class_list":["post-51637","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-real-estate-news","tag-dodd-frank-act","tag-investing-in-real-estate","tag-penalties-with-the-dodd-frank-act","tag-real-estate-investing","tag-real-estate-investor","tag-safe-act"],"acf":[],"comment_count":0,"_links":{"self":[{"href":"https:\/\/www.biggerpockets.com\/blog\/wp-json\/wp\/v2\/posts\/51637","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.biggerpockets.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.biggerpockets.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.biggerpockets.com\/blog\/wp-json\/wp\/v2\/users\/661"}],"replies":[{"embeddable":true,"href":"https:\/\/www.biggerpockets.com\/blog\/wp-json\/wp\/v2\/comments?post=51637"}],"version-history":[{"count":0,"href":"https:\/\/www.biggerpockets.com\/blog\/wp-json\/wp\/v2\/posts\/51637\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.biggerpockets.com\/blog\/wp-json\/wp\/v2\/media\/169939"}],"wp:attachment":[{"href":"https:\/\/www.biggerpockets.com\/blog\/wp-json\/wp\/v2\/media?parent=51637"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.biggerpockets.com\/blog\/wp-json\/wp\/v2\/categories?post=51637"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.biggerpockets.com\/blog\/wp-json\/wp\/v2\/tags?post=51637"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}