The limits allowed for one type of home loan will increase under a largely technical law signed May 8 by Gov. Tim Pawlenty.
The law raises the allowable “contract for deed” mortgage from $100,000 to $300,000. When a house is purchased under this system, the buyer gets the deed to the property only after the loan is paid off.
The law also provides penalties and remedies for a broker’s failure to comply with regulations. This section is effective May 9, 2008.
This new limit takes effect Jan. 1, 2009. The law is sponsored by Rep. Jim Davnie (DFL-Mpls) and Sen. Linda Scheid (DFL-Brooklyn Park).
HF3236/SF2881*/CH276
At Issue: The land trust model
A new way to help homeowners and their neighborhoods
(view full story)
Published 4/4/2008
At Issue: Bipartisan focus on foreclosures
House moves on to help with mortgage foreclosure crisis
(view full story)
Published 4/4/2008