This bill amends several sections of the Minnesota Statutes related to contracts for deed, specifically focusing on the definition of "investor seller" and the procedures surrounding contract terminations. Key changes include the modification of the definition of "investor seller" to exclude certain family members and to clarify the conditions under which an individual qualifies as an investor seller. The bill also introduces a new definition for "family member" and establishes rules regarding the disclosure of the purchase price paid by the investor seller when acquiring property. Additionally, it prohibits "churning," which is defined as the repeated execution and termination of contracts for deed by an investor seller within a specified timeframe.

The bill includes several technical changes, such as the removal of outdated language and the addition of new provisions to enhance clarity and enforceability. For instance, it specifies that contracts for deed executed by an investor seller must be terminated with a 90-day notice, and it outlines the conditions under which a contract can be reinstated or terminated. The effective dates for various sections are also included, with some provisions taking effect immediately upon final enactment and others set for August 1, 2025. Overall, the bill aims to provide better protections for purchasers and clarify the responsibilities of investor sellers in the real estate market.

Statutes affected:
Introduction: 272.12, 559.21, 559A.01, 559A.03, 559A.04
1st Engrossment: 272.12, 559.21, 559A.01, 559A.03, 559A.04