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Oklahoma Bans Wall Street Home Resale Fees

Oklahoma Governor Mary Fallin recently signed legislation to restrict Wall Street home resale fees, also known as ""private transfer fees.""


Sponsored by Reps. Steve Martin and Marion Cooksey and Sen. Brian Crain, the law places a ban on these fees. The ""Coalition to Stop Wall Street Home Resale Fees"":http://www.stophomeresalefees.com calls them ""a dangerous new financial scheme that steals home equity, lowers home resale values, and adds another layer of difficulty to selling a home.""

""These fees infringe on property rights and hurt Oklahoma consumers,"" said Rep. Martin. ""They have no place in the


Oklahoma real estate market. We've made sure that when a homeowner buys a new property, he or she owns that home free and clear.""

The fees require that a private third party receive a percentage of the final sale price of a home every time the property is sold, typically for 99 years.

""The governor and legislature stood up for homeowners by protecting consumers from these predatory fees,"" said Donna Schmulbach, president of ""Oklahoma Land Title Association"":http://oklahomalandtitle.com/. ""This bill is an important step in enhancing consumer protections, safeguarding the real estate market, and protecting our property rights system in Oklahoma.""

Oklahoma is the 30th state to restrict the use of these fees, joining Arizona, Arkansas, California, Delaware, Florida, Hawaii, Idaho, Illinois, Indiana, Iowa, Kansas, Louisiana, Maryland, Minnesota, Mississippi, Missouri, Montana, Nebraska, Nevada, New Jersey, North Carolina, North Dakota, Ohio, Oregon, South Dakota, Texas, Utah, Virginia, and Washington.

On the federal level, the ""Federal Housing Finance Agency"":http://www.fhfa.gov has issued a proposed rule that would prevent Fannie Mae and Freddie Mac from investing in mortgages with these fees.

About Author: Heather Cernoch


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