Banks In Real Estate   Last updated: 02/27/2009 10:08:35 PM

ISSUE: In early 2001 the Federal Reserve and the U.S. Department of the Treasury proposed to use their authority to increase the powers of national banks and financial holding company subsidiaries. They proposed allowing banking companies to engage in real estate brokerage and management, reclassifying these activities as financial in nature. NAR strongly opposes the proposal, arguing that the Bank Holding Act of 1956 and the Gramm-Leach-Bliley Act (“GLB Act”) of 1999 does not authorize banking firms to provide real estate brokerage and property management services which are non financial activities in nature. NAR strongly supports enactment of the Community Choice in Real Estate Act, H.R.111/S.98, which removes these real estate activities from consideration under the powers of the regulators.
NAR POSITION: NAR policy supports the separation of finance and commerce.

Keep Banks Out Of Real Estate - National Association Of REALTORS All the information about the issue

Banks In Real Estate: Worse Than Your Worst Nightmare by Walt McDonald, Realty Times, 2/18/2004

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