This bill amends various sections of the Minnesota Statutes related to contracts for deed, specifically focusing on the definition and regulations surrounding "investor sellers." Key changes include the modification of the definition of "investor seller" to exclude certain family members and individuals who have owned and occupied the property as their primary residence for at least 12 months prior to the contract execution. Additionally, the bill introduces a new definition for "family member" and establishes rules against "churning," which is defined as an investor seller repeatedly executing and terminating contracts for deed. The bill also specifies that investor sellers must provide disclosures regarding the purchase price and acquisition date of the property to the purchaser.

The bill includes several technical changes and clarifications, such as the requirement for notices related to contract terminations and the conditions under which contracts can be reinstated. It also sets forth the effective dates for various provisions, with some taking effect immediately upon final enactment and others set for August 1, 2025. Overall, the bill aims to enhance consumer protections in real estate transactions involving contracts for deed, particularly for vulnerable buyers dealing with investor sellers.

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