3.01: Affidavit of Nonforeign Status

UPDATE! Public Law 110-289, titled the Housing and Economic Recovery Act of 2008 and effective July 30, 2008, is a massive housing bill that will provide mortgage relief to approximately 400,000 homeowners in danger of losing their homes to foreclosure and allows the U.S. Treasury to temporarily lend money to Fannie Mae and Freddie Mac.

Section 3024 (69k) of this Act amended the Foreign Investment in Real Property Tax Act (FIRPTA) exactly as suggested in the course. Sellers may now provide the Affidavit together with their social security numbers to a "qualified substitute," such as a title or escrow company, rather than to the buyers. The "qualified substitute" in turn must then furnish the buyers with a statement stating that the substitute has the Affidavit in its possession.

3.02: Fair Lending Practices

3.03: Form-Based Zoning

3.04: Global Warming

3.05: Green Buildings

3.06: HUD Downpayment Assistance Standards

UPDATE! Prior to the effective date of HUD’s final rule, a federal court granted an injunction preventing HUD from enforcing the rule until the court had an opportunity to rule on its merits. In February 2008, this same court set aside the rule and ordered HUD to reopen the rule-making process. In June 2008, HUD resubmitted for comment the same proposed rule, but this time cited additional statistics and reasoning. We’ll never know what the results would have been.

Public Law 110-289, titled the Housing and Economic Recovery Act of 2008 and effective July 30, 2008, is a massive housing bill that will provide mortgage relief to approximately 400,000 homeowners in danger of losing their homes to foreclosure and allows the U.S. Treasury to temporarily lend money to Fannie Mae and Freddie Mac.

Section 2113 (58k) of this Act codified the proposed HUD rule to prohibit downpayment assistance by (1) the seller, (2) any other person or entity that financially benefits from the transaction, and (3) any third party or entity that’s reimbursed, directly or indirectly, by the seller or by any other person or entity that financially benefits from the transaction. This prohibition will become effective on October 1, 2008.

3.07: Meth Lab Registry

UPDATE! The text notes that the National Association of REALTORS® has voiced concern that there are currently no specific rules for how properties are to be listed on the Registry, how listings can be appealed, and how properties will be removed from the Registry.

Public Law 110-143 (33k), enacted in late December 2007, requires the Environmental Protection Agency to develop model, voluntary, health-based cleanup guidelines for use by states and localities. When approving this bill, both House and Senate Committees urged the Drug Enforcement Agency to develop a set of transparent procedures for both listing and de-listing properties on the DEA’s Registry.

3.08: Private Transfer Taxes

3.09: Rental Property Cycles

3.10: Short Sales

UPDATE! Public Law 110-142 (44k), enacted in December 2007 and titled the Mortgage Forgiveness Debt Relief Act of 2007, excludes discharges of up to $2 million of indebtedness from taxation if the debt is secured by a principal residence and if it was incurred in the acquisition, construction or substantial improvement of the structure. This exclusion is temporary and applies retroactively to discharges from January 1, 2007 through December 31, 2009.

In the case of a refinanced mortgage or home equity loan, only the debt used to improve the home qualifies for the exclusion; monies that went for other purchases or to pay off credit card debt don't qualify. Also, forgiveness of debt on vacation or other second homes must still be treated as income.

Qualified homeowners whose mortgage debt was partly or entirely forgiven during 2007 may claim the exclusion by filing the newly-revised Form 982 (264k) and attaching it to their 2007 federal income tax return. In most cases, they need to complete only a few lines—specifically lines 1e, 2 and 10b.

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