On behalf of the Seller Finance Coalition, I want to share with you some good news! The Affordable Homeownership Access Act designed to increase the number of seller-financed deals an individual investor can do has been reintroduced in Congress by Congressman Vincente Gonzalez (D-TX) and is co-sponsored by Congressman Andy Barr (R-KY). I have been privileged to work alongside Bob Repass of NoteSchool on the drafting of this piece of legislation and its initial journey through the legislative process by conferring on several occasions with staff from Congressman Gonzalez’s office as they negotiated with the staff of the Financial Services Subcommittee.
This piece of legislation increases the number of seller-financed transactions an individual can do without regard to the price point. The goal of this bill is to take the current number from 3 and raise it to 24. The fact that this bill is a bipartisan piece of legislation introduced by a Democrat is encouraging.
To read a copy of this bill for yourself, you can CLICK HERE.
It is harder than ever for self-employed individuals to be able to buy a home. Many of these people need to have 3-4 years of business tax records and returns to begin to do the formal underwriting process required by a bank. These hard-working individuals who pay their taxes and many of whom have a substantial down payment are often blocked from buying a house because of the regular underwriting guidelines issued by mainstream lenders.
This is a gap and opportunity that seller financers can step into and fill by making affordable homeownership more available.