The Government is Screwing Wholesalers and Flippers!!!

[Hooch]

I just heard that the government has set up some regulations on banks that will directly affect you flippers and wholesalers. I am not yet very clear on it but it has to do with how much you make on a flip or wholesale deal. Something to do with not allowing the banks to finance a deal to the buyer if if YOU are doubling your profit.

The banks are just now starting to ask for repair receipts, etc. They want to know that your double or more profit was based on actually DOING something to the house. Good thing for me that I am a landlord and I buy and hold. It's looking like the govt wants to hurt the wholesaling and flipping business.

Don't you love how the liberal controlled government is now interested in controlling how much you make? Now you liberal wholesalers or flippers, tell me again why you like the government to control you.

Anyone who knows more about this, I would love to hear.

[herbster]

Hooch, I couldn't agree with you more. Seems as though they think they are changing things for the better and never consider the repercushions.

[Hooch]

they think they are changing things for the better and never consider the repercushions.

Herbster, That is the difference between the way you are thinking about this and the way I am.

You feel that their intentions are good.

I feel that they know what they are doing therefore are intentionally harming the flipping and wholesaling business because they don't want people to get "taken advantage of" by a flipper or wholesaler making "too much" money on a deal. 

[herbster]

Yes, I was being way to nice. Herbster

[WholesaleKid]

government sucks!!! WAHAAHAHAH

[xpandergt]

Don't you love how the liberal controlled government is now interested in controlling how much you make? Now you liberal wholesalers or flippers, tell me again why you like the government to control you.

Anyone who knows more about this, I would love to hear.


[/quote]

Hell Hooch, my reia group here in Baltimore are still foaming mad over how the cap and crap bill will impact investors having to fix their properties up to government "green" standards in order to be able to sell them. I try not to get political on some things, but the government never intruded this much on investors trying to make a honest buck under the previous administration. These days it feels like anyone that dares try to create wealth is some sort of monster that needs to be dragged out on the street and beaten to within an inch of his or  her life. America is suppose to represent prosperity not "guilt  or alienation" of people trying to obtain it.

[Mr Investor]

This is what happens when idiots vote in a socialistic POS into office

[xpandergt]

This is what happens when idiots vote in a socialistic POS into office

I so agree 10000000% Mr. Investor. Save some of that wall for me

[Hooch]

LOL, The Cap and Crap Bill! 

The radical leftists seem to be pretty quiet on this real estate related screwing that the government is giving us investors. I am thinking they are now starting to have second thoughts on whether socialism was actually a good idea like they thought it was when they put the messiah in office.

Either that or they are now realizing that the main stream media "hoodwinked" and "bamboozled" them. 

[xpandergt]

Funny how the left has contempt for the very people that keeps the real estate market chugging along. It is investors that buy eye sore properties to rehab into first class condition to sell to home buyers. Investors are the ones that put these properties back on the market to start creating tax revenue of the cities and states. It is investors that are actually helping out the government and the  by buying up these foreclosed homes to renovate, lease out, lease option or sell. The government does none of this!! Frankly, the government should bow down and kiss the rear end of investors and say THANK YOU!!Entrepreneurs are the backbone of this country. There is no such thing as a socialist country with a thriving economy. The world right now is waiting for America to pull their countries out of this global recession. As long as the current administration is in charge, they are going to be waiting a long while. :

[Hooch]

It is investors that buy eye sore properties to rehab into first class condition to sell to home buyers. Investors are the ones that put these properties back on the market to start creating tax revenue of the cities and states. It is investors that are actually helping out the government and the  by buying up these foreclosed homes to renovate, lease out, lease option or sell.

And the smart decision is to hurt investors.

It's called liberal logic my friend. 

[JakeRodgers]

So does anyone actually have any more info on the topic of the original post?

[BIGTEX78]

If you are referring to HR 1728 which is the Mortgage Reform and Anti-Predatory Lending Act, here's some additional information pertaining to the bill http://www.govtrack.us/congress/bill.xpd?bill=h111-1728&tab=summary .  You may also google HR 1728 to obtain additional info.  The bill is very ambiguous so I would recommend that you meet with your attorney to discuss in advance. Could help you determine if you need to change you investment or business model before the storm approaches!

Take care

[robdedgar]

All Hail Emporer Obama

[Hooch]

BIGTEX78, That looks like it could be the bill.

Whatever it is, it's already passed. A hard money lender told me about it and said that he has already run into both wholesaler and flipper deals where the banks have made the people jump through extraordinary hoops proving that they put money into the place, etc to justify their profit.

Danger, danger, danger my friend. The Government Is Completely Out Of Control And The People Are Going Along With It. That is the worst part about this whole thing!  Brainwashed by the Government Controlled Mass Media.....