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Bill > HF2394


IA HF2394

IA HF2394
A bill for an act relating to the wholesaling of residential property by a wholesaler, and providing civil penalties. (Formerly HSB 637.) Effective date: 07/01/2024.


summary

Introduced
02/08/2024
In Committee
Crossed Over
02/19/2024
Passed
04/10/2024
Dead
Signed/Enacted/Adopted
04/10/2024

Introduced Session

90th General Assembly

Bill Summary

AN ACT RELATING TO THE WHOLESALING OF RESIDENTIAL PROPERTY BY A WHOLESALER, AND PROVIDING CIVIL PENALTIES.

AI Summary

This bill establishes regulations for the wholesaling of residential properties in Iowa. It defines a "wholesaler" as a licensee or a person represented by a licensee who holds an equitable interest, but not legal title, in a residential property for the purpose of selling the equitable interest to a buyer. The bill requires wholesalers to be licensed as real estate brokers and disclose certain information to all parties involved in a wholesale transaction, including the legal identities of the parties and an explanation of the wholesaling process. If a wholesaler fails to comply with the disclosure requirements, the seller or buyer may cancel the contract without penalty. The bill also imposes civil penalties of up to $10,000 or 10% of the sale price for individuals engaged in wholesaling in violation of the law. The Real Estate Commission is tasked with adopting rules to implement and administer these provisions.

Sponsors (0)

No sponsors listed

Other Sponsors (1)

Commerce (House)

Last Action

Signed by Governor. H.J. 773. (on 04/10/2024)

bill text


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