Re: Anyone Heard About Bank Restrictions on Non-MLS Sales?
From: Sharon Villines (
Date: Sat, 22 Dec 2012 07:06:16 -0800 (PST)
On Dec 21, 2012, at 8:28 AM, Dave and Diane <daveanddee [at]> wrote:

> She said that the banks have tightened lending standards and some  
> will not loan to properties that are not listed in the MLS. The bank  
> she is working with only allows one non-MLS property per development.  
> Anyone else heard of this situation?

I've never heard of this and find it as absurd as the National Rifle 
Associations pledge to develop gun response squads in all public schools.

MLS listings are businesses that list properties for sale for the convenience 
of real estate companies. To use a business listing as evidence of resale value 
is a criterion unrelated to the quality of property or to the ability of the 
purchaser to pay the mortgage. It's very close to saying that they will lend 
only for homes sold by real estate agents. This has to be in violation of some 
law about monopolies and bias. Freedom of religion?

Takoma Village has allegedly had a refinance refused when an assessor for the 
bank said that FHA wouldn't insure loans in cohousing. I have yet to see that 
on paper but the broker has refused to take an application on my unit on that 
basis. I've been asking to see it in writing but I'm not the owner and the 
mortgage broker isn't pushing getting it on paper. They are just going to a 
different bank. The problem with insidious rumors and vague criterion is that 
no one wants to push it. If it becomes public it will cause all kinds of 

We need a legal inquiry into this. Is anyone from CohousingUSA listening? 
Perhaps we need a national fundraising effort to hire a lawyer? Lawyers to 
donate their time?

Sharon Villines
Takoma Village Cohousing, Washington DC

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