State of Washington just passed law on "Distressed Properties"

Nine Most feared words in the English Language

"I'm from the government and I'm hear to help" Ronald Regan

Bottom line - I have a bit of a libertarian streak within me and as a result I believe that there are very few things that the government can fix, as a matter of fact I believe that more often than not it tends to make things worse.

It seems that the State of Washington has proposed a new law that is intended to protect owners of homes that are considered "Distressed Properties"

The Washington Association of Realtors (WAR - I love that acronym) has some good information that they are passing to all of their agents.

What is the purpose of the law?

The Distressed Property Law was passed during the 2008 Legislative session and signed into law by the Governor on March 30 for the purpose of protecting vulnerable property owners from scam artists who seek to steal the property owner's equity.

What properties are considered to be “distressed homes?”

A distressed home is owned by a person who falls into any of the following categories:

1. the homeowner is at risk of losing the home due to nonpayment of taxes;


2. the homeowner is at least 30 days late on a mortgage payment;


3. the homeowner is in default of any mortgage term such that the lender could accelerate the balance owing; or


4. the homeowner believes they are likely to default on the mortgage within 4 months and tells this to, among others, a real estate agent.

A quick Google Search this morning found these related links:

Washington REALTORS®
The Distressed Property Law was passed during the 2008 Legislative session and ... The Washington REALTORS® is working with the Washington State Attorney ...www.warealtor.org/distressed_properties.asp - 23k

Real Estate Blog - Getting the word out of the classes gor new law ...
Distressed Property Law. A new law goes into effect June 12, ... The classes will be offered at no charge at locations across the state with the hope that ...activerain.com/blogsview/497518/Getting-the-word-out - 22 hours ago -

Real estate, mortgage and interest rate trends - UpDownRide.com
... short sales and distressed property in Washington State. The Distressed Property Law was passed during the 2008 Legislative session and signed into law ...updownride.com/feed.php?channel=72&iid=122074&y=2008&m=05&d=06 - 7 hours ago -

So, I'm curious...do you think this will help or hurt the process.

Got a question for Scott? Feel free to call him directly at 360.216.1762

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