Georgia law states that any company "who directly or indirectly makes, originates, or purchases mortgage loans or who services mortgage loans" must be licensed.
Would this apply to my LLC if I did a wrap mortgage on a subject-to I purchased? Or could I make it work by using a servicer for the loan?
I think the onus is on the seller not the buyer... unless your then going to sell on a wrap.. and your the seller.. check for exemptions .. like most states allow a few year ... and or commercial purpose.
In Oregon does not matter any loan for any purpose on 1 to 4 needs MLO with the exception you can do 3 a year with your own money.. and no more than 7 in possession. so they have a carve out for private investors but anyone in the bizz needs license
Yes I'd be the seller. Individuals can be exempt, up to 5 a year, but not an LLC.
Well then there you go.. buy it in your name and not your LLC... and use the exemption..
Check and see if the LLC is exempt if it's a single-owner LLC.
@Kim Bayless we have spoken with both an attorney and the GA Dept. of Banking and Finance, and they report that a individual is no longer allowed the exemption with regard to purchasing a note, I am not certain on seller originated notes. We are going through the lengthy and expensive process to obtain a lender license currently...not fun.
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