Act 137 Amended!

- Hawaii Real Estate Brokers and Salespersons can Now Help their Clients with Mortgage Problems
Now your most trusted real estate advisors, Realtors and Realtor-Associates, can help you if you are having problems with your mortage.

That is good news for people that need help. Many clients were experiencing problems and needed to do a short sale. According to the old law, Hawaii Real Estate Brokers and Salespeople were not able to advise or help their clients talk to the lenders. That was bad because you have a regular laymen trying to deal with lenders and the regular person is unfamiliar with the entire process.

According the Hawaii Association of Realtors:

Governor Signs Bill Amending the Mortgage Rescue Fraud Prevention Act (Act 137)
May 21, 2009

On Wednesday, May 20, Governor Linda Lingle signed Senate Bill 34 into law, which exempts licensed real estate brokers and salespersons who act within the scope of their license from the definition of “distressed property consultant” under the Mortgage Rescue Fraud Prevention Act.

The bill also prohibits a licensed real estate broker or salesperson from acquiring an ownership interest in the distressed property, directly or indirectly, within 365 days after a listing agreement for the same distressed property has expired, or is terminated.

The new law will become Act 66 of the 2009 Legislative Session and takes effect immediately.