From the Seattle Times:

The state’s distressed-properties law has been in effect only six weeks, and already a real-estate industry group is trying to change it.

The law (HB 2791), which took effect June 12, is aimed at protecting distressed-property owners from scams.

It adds rules for transactions involving distressed residential property, places restrictions on foreclosure-rescue efforts and outlines damages for those who break the rules.

While some say the law benefits the real-estate industry by helping homeowners in trouble, others say it discourages deals involving distressed property because the law creates more paperwork, exposes agents to more potential lawsuits, and obligates buyers and their agents to act in the best interests of distressed homeowners rather than in their own best interests.

That’s a conflict of interest, says Dugald Allen, an agent with Windermere Real Estate’s Bellevue South office and the vice president of the Real Estate Association of Puget Sound (REAPS).

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