Real Estate & Construction Updates

What Factors Establish The Lien Priority Of A Refinanced Loan?

The legal doctrine of "equitable subrogation" has recently become familiar to lenders who refinanced or will be refinancing existing loans secured by real property....more

FinCEN: Accountant and Elder Abuse

We have been keeping track of FinCEN's SAR Activity Review – Trends, Tips & Issues virtually from its inception. In its just issued May 2013 report, FinCEN provides new information regarding two areas of importance: 1)...more

Congress Reinstates Income Tax Advantages for Conservation Easements

Executive Summary: Congress has temporarily reinstated certain income tax advantages for donations of conservation easements. These advantageous provisions are scheduled to expire at the end of 2013....more

Second Circuit Agrees To Hear Interlocutory Appeal Of Key MBS Litigation Questions

On May 7, the U.S. Court of Appeals for the Second Circuit granted two petitions seeking interlocutory appeal of key questions related to pending mortgage backed securities (MBS) cases....more

CFPB Releases Plain Language Video Guides for New Mortgage Rules

In January 2013, the Consumer Financial Protection Bureau (CFPB) issued a series of new rules affecting the mortgage industry. These rules touch upon a wide variety of areas, including originations, appraisals, and servicing....more

TILA Ban on Mandatory Arbitration in Mortgage Loans Takes Effect June 1

The Truth in Lending Act (TILA) ban on mandatory arbitration provisions in certain mortgage loans becomes effective on June 1, 2013. Lenders now using mortgage loan documentation containing such provisions should take steps...more

Maryland Removes Potential Barrier To Refinance Transactions

On May 2, Maryland enacted SB 199, which authorizes a mortgagor to refinance the full balance of a loan secured by a first mortgage or deed of trust without the permission of the holder of a junior lien if (i) the principal...more

Magistrates to Handle Florida Residential Foreclosure Actions – Florida Supreme Court Amends Rule 1.490 and Significantly Changes...

It is no secret that Florida consistently ranks among the worst states in the union in regards to the mire of the residential mortgage foreclosure case backlog. From 2007 to 2013, approximately 1.5 million foreclosure cases...more

Keys To A Successful Luxury Real Estate Transaction: Part I

Part I: Have an Experienced Real Estate Attorney Review the Contract Mistakes in real estate contracts can cause major issues....more

Indiana Eliminates Provisions Binding Interested Parties Not Named In Foreclosure Actions

On May 7, Indiana enacted SB 279 to (i) eliminate a provision in current law that binds certain omitted parties...more

Federal Housing Finance Agency Proposes New Rules on Lender-Placed Insurance

On March 29, the Federal Housing Finance Agency (FHFA) proposed consideration of new regulation on lender-placed insurance. The FHFA specifically requested public input concerning sales commissions and reinsurance activities,...more

Consultants On Home Improvement Projects May Now Need A Contractor's License

It is common in the construction industry for residential owners to use consultants, including construction managers, to oversee and manage work performed by the direct contractor, subcontractors and material suppliers. The...more

Court Explicates Scope of Usury Exemption For Real Estate Brokers

Artistotle didn’t think much of the idea of paying interest: (“As this is so, usury is most reasonably hated, because its gain comes from money itself and not from that for the sake of which money was invented. For...more

Amendment to Rule 1.490 re Use of Magistrates in Residential Foreclosures

The Florida Supreme Court has amended Florida Rule of Civil Procedure 1.490, effective immediately, to streamline the use magistrates in residential mortgage foreclosures....more

FINRA Provides Guidance on Communications with the Public Concerning Unlisted Real Estate Investment Programs

The Financial Industry Regulatory Authority (FINRA) has issued Regulatory Notice 13-18 (Regulatory Notice) to provide guidance to member firms on communications with the public concerning real estate investment programs that...more

Federal Court Dismisses United States Action Against Countrywide In Part

On May 8, Judge Jed Rakoff of the United States District Court for the Southern District of New York dismissed claims by the United States for damages and civil penalties under the False Claims Act against Countrywide and...more

Former Owner Cannot Challenge Foreclosure Procedure In Forcible Detainer Action

In McDaniel v. HSBC Bank USA, NA, McDaniel appealed a trial court's granting a bank possession of real property purchased at a foreclosure sale. No. 05-11-00238-CV, 2013 Tex. App. LEXIS 1079 (Tex. App.—Dallas February 6,...more

D.C. Seeks to Finalize Rules Aimed at Preventing and Eliminating Lead Hazards

For several years, the District of Columbia has been working toward regulations designed to prevent and eliminate lead hazards. It came one step closer on April 26, 2013, when the District's Department of the Environment...more

New York AG Plans Suit Over Alleged Violations Of National Servicer Settlement

On May 6, New York Attorney General Eric Schneiderman announced his intent to sue two of the five mortgage servicers that entered the National Mortgage Settlement with 49 state attorneys general, the U.S. Department of...more

FHFA Limit on Fannie and Freddie Loan Purchases to Qualified Mortgages

On May 6, the FHFA announced that it is directing Fannie Mae and Freddie Mac to limit future mortgage acquisitions to loans that fall under the requirements for a qualified mortgage. Starting on January 10, 2014, Fannie and...more

Fannie Mae, Freddie Mac Directed To Purchase Only QM Loans

On May 6, the FHFA announced that Fannie Mae and Freddie Mac must limit their future mortgage acquisitions to loans that meet the requirements for qualified mortgages under the CFPB’s January 2013 ability-to-repay/qualified...more

Ventas' Debra Cafaro on why the Health Care asset class is well positioned in today's economy [Video]

John Corey, Founding Partner of Greentarget, interviews Debra Cafaro, Chairman and CEO of Ventas, on why the Health Care asset class is well positioned in today's economy. ...more

Senator Elizabeth Warren's May 14, 2013 letter to Ben Bernanke, Eric Holder, & Mary Jo White

Senator Elizabeth Warren's May 14, 2013 letter to The Board of Governors of the Federal Reserve System, U.S. Department of Justice...

Senator Elizabeth Warren Pushes Feds For Answer On Big Bank Enforcement WASHINGTON — Sen. Elizabeth Warren (D-Mass.) raised the stakes of her quest to find out why a single Wall Street bank has not been prosecuted in the...more

Real World - Spring 2013: Damages include fall in market

Two recent cases have highlighted circumstances in which damages for breach of contract may include loss caused by a fall in market values....more

Unsuccessful Law Suit By Condo Owner

In the case of Harvey v. Elgin Condominium Corporation No. 3 an unhappy condo owner sued the condominium corporation, claiming that the corporation undertook work that constituted a substantial change without proper...more