Trump Palace

Industry Changes to Buyer Agent Commissions Feeling CATastrophic? 🙀
We get it. All these CLAWFUL NAR lawsuit settlement headlines have been more than a little hair-raising. Less "cool customer" like our listing agent here and more like our "freaked-out feline" friend on the right – RIGHT?
Here’s the thing... when you have the answers, the tools, the training, and the real breakdown of what this all means to you, your business, and your commissions and how to handle it all, you'll have a whole lot less stress and even a whole lot more confidence.
That’s where we come in. We’ve put together a powerful training session just for Buyer’s Agents on navigating all the nonsense and help you make sense of the change. We’re even making it available on demand because time right now is crazy, and agents want to learn whenever they can.
Why You Should Attend:
✅ A Legal Update: Learn what's changed, what's not, and most importantly, how that affects your ability to earn a commission as a buyer's agent.
✅ Boost Your Business: Adopt strategies that safeguard you from potential legal challenges and showcase your value to buyers in new and important ways.
✅ Transparency is the New Currency: Embrace a clear, concise, and honest approach that enhances trust and fosters long-term loyalty with your clients.
Here's what you will learn:
➡️ How to protect yourself from legal landmines in this new reality as a buyer's agent
➡️ The 3 top strategies to have buyers sign an agency agreement and appreciate its value
➡️ How to communicate true market conditions effectively and authentically
➡️ How to deliver a buyer presentation without memorized scripts
➡️ How to handle the two top buyer objections such as, "We don't want to overpay" and "We'll wait for the market to change."
➡️ How to push your buyer's offer to the top of the list
Don't get lost in the headline noise and lose sight of the new skills you need to know to compete and thrive no matter what the attorneys throw our way! You're essential to a buyer's success. Let's connect you with all the tools, strategies, and solutions you need to work more confidently with buyers in this crazy time.
There’s a whole new world of Paw-sibilities (lol) out there if you’re willing to lean in and learn the easier-than-you-think strategies for success in this time of change.
Oh, and we have crazy cool example collateral tools for you as well that we spotlight to help you show the 40 things you do as a buyer’s agent to earn your commission. These include a NAR lawsuit brochure to help answer all your buyer’s burning questions, presentations, flyers, postcards, letters—you name it, we’ve got it for you to help communicate value and serve clients with more ease.
This is a PAWsome (last one, we promise) opportunity to master the skills and solutions you need to attract more business, cultivate buyer loyalty, and navigate change like the rock-star agent you are.

By Angel Calzadilla, REALTOR
with ABR designation (Accredited Buyer Repressentative )
United Realty Group
(954) 632-3593

Send a message to learn more

https://g.page/r/CaV9Mk6-IzgEEBM/review

Angel Calzadilla, realtor at United Realty Group. would love your feedback Post a review to our profile on Google

Here is some general information for people who are concerned about huge special assessments
Here are some details on loans for special assessments in Florida ¹:
- The Condominium Special Assessment Program in Miami-Dade County offers loans to condominium owners to assist with special assessment requirements.
- The loans are up to $50,000, with a repayment term of 40 years.
- Low-income households will have a monthly payment of $50, while moderate-income households will have a monthly payment calculated at a 0.00% interest rate.
- The loan must be used for physical damage to the condominium.
- The homeowner must reside in the unit as their primary residence and homestead; investment owners are not eligible.
- Any cash assets exceeding $50,000 must be used for a down payment of up to 10% of the loan amount.
Miami-Dade Condominium Assessment Program.

Miami-Dade Condominium Assessment Program

Condominium Special Assessment Program Funding assistance to help qualifying condominium owners pay for special assessments that can arise from building recertifications.

I HAVE NO IDEA HOW ANY INTELLIGENT PERSON COULD VOTE FOR BIDEN!

Billionaire Rupert Murdoch is taking an L on a Manhattan penthouse, slashing the asking price nearly 40% to $38.5 million.

Everyone seems to be having a tough time in today’s housing market. Even billionaire media mogul and proprietor Rupert Murdoch is struggling—but just in a very different way from young aspiring home buyers who can’t afford to break into a housing market riddled with high mortgage rates and home prices.

Indeed, Murdoch’s Manhattan penthouse was listed at such a high price, that he and his agent have had to cut the price by nearly 40% from $62 million to $38.5 million.

“The revised price reflects current realities and is closer to where the market values the residence,” Kyle Blackmon, head of luxury sales at Compass, tells Fortune. Murdoch did not respond to requests for comment. The triplex was first listed by the News Corp. chairman emeritus for $62 million in 2022, and has since had multiple price cuts.
At the current list price, Murdoch will take a loss on the property, since he purchased it for $57.9 million in 2014, according to a Wall Street Journal report. For comparison, the average home price in Manhattan is about $1 million, according to Redfin’s most recent data. Murdoch (and his family) have an estimated net worth of nearly $21 billion, according to Forbes, having started a media empire that includes Fox News, The Times of London, and The Wall Street Journal. Murdoch stepped down as chairman in September 2023.

About Murdoch’s sky-high Manhattan mansion
The luxury triplex is roughly 7,000 square feet—more than twice the size of the average American home. It boasts 20-foot ceilings, “massive art walls,” and a 586-square foot terrace, which are features that “create true scarcity value,” Blackmon says.

While the penthouse, which sits at the pinnacle of One Madison in Manhattan, is undoubtedly one of a kind, the price of the property attracts a very niche set of interested buyers.

“Ultra-luxury property sales are challenging due to the limited buyer pool at these price points,” Noah Rosenblatt, co-founder of New York City-based real estate analytics company UrbanDigs, tells Fortune. “These unique trophy homes are more akin to the art market than the real estate market, with value determined mainly by a potential buyer's perception.”

Even Blackmon agrees that the property is so unique that it’ll likely sell to a very specific buyer.

“We will sell this residence, and the buyer, who will likely be an art collector, will secure an exceptional value for this important and rare offering,” Blackmon says. “This is the equivalent of a [Jean-Michel] Basquiat oil painting, an asset that can't be replicated in this location. Residences of this size and importance are selling for twice as much in several buildings in the city.”

While price cuts can sometimes signal that a property was overpriced to begin with, Rosenblatt says these changes are relatively normal in the luxury real estate market.

“Contrary to popular thinking, ultra-luxury listings are rarely overpriced,” Rosenblatt says. “Astronomical listing prices serve to affirm the property's luxury status and signal its availability, making the initial price a strategic tool rather than a straightforward market assessment—an invitation more than a statement.”

In other words, original list prices serve to mark properties as being ultra-luxury, and price cuts bring more buyers to the conversation of actually buying the property, Rosenblatt says.

“From the outside, it looks like the seller is chasing the market down, [but] these price reductions are more aptly described as trying to achieve market fit,” Rosenblatt says. “The challenges [with selling the property] highlight the ultra-luxury market's volatility, driven by unique buyer preferences rather than traditional market forces, and underscore the ever-evolving definition of 'trophy' properties in NYC's resilient ultra-luxury segment.”

AS A POTENTIAL REAL ESTATE PROSPECT EITHER A SELLER OR BUYER ,I WANT TO HELP YOU PROTECT YOURSELF FROM SCAMMERS. THAT'S WHY YOU MUST CALL FIRST A REALTOR IN YOUR AREA.
Angel Calzadilla,Realtor (954)632-3593
Protecting Against AI Voice Scams
Voices created with artificial intelligence (AI) can be produced to sound human. To protect against associated scams, consumer advocates recommend taking precautionary steps.
NEW YORK –Think of a robot's voice. What does it sound like? Does it sound stilted and stuttering? Perhaps it sounds like Arnold Schwarzenegger from the popular Terminator robot movies?
Believe it or not, AI voices can replicate yours almost perfectly. It could mimic your inflections and intonations, making it nearly indistinguishable from your true voice.
Imagine if someone uses your voice to ask for money for an emergency. This is a real-life scenario spreading worldwide as AI voice scams become more prevalent.
Fortunately, you have ways to defend yourself against AI-powered schemes. Let's discuss the most recent methods. The 4 ways to protect yourself from AI voice scams:
Fact-check and verify.
Listen for unusual cues.
Avoid sharing your voice online.
Have a family password.
1. Fact-check and verify
NBC News reported that AI-powered voice calls discouraged New Hampshire citizens from voting in the upcoming presidential primary last January.
That is why CNBC reminded the public to fact-check and verify phone calls to ensure they aren't scams. For example, be skeptical if a high-ranking official calls you directly. The same goes if you get a call from a relative requesting a huge sum of money. Ask yourself if your loved one is truly in danger and if the emergency is real.
If you suspect something's wrong, drop the call and then reach your relative through their contact details. They might confirm that they weren't in immediate danger.
2. Listen for unusual cues
If you remember, the introduction says artificial intelligence can mimic your voice 'almost perfectly.' That's because AI voice calls may still leave subtle signs of artificial intelligence.
For example, you might notice robotic speech patterns, unnatural pauses or alterations in speaking tone. You might suspect something's off if the distressed person suddenly becomes monotone. Also, you may hear pronunciation errors, especially for non-English words.
These cues can be difficult to notice when you're panicked in response to someone in need. Nonetheless, watching out for these signs can help you avoid AI voice scams.
3. Avoid sharing your voice online
Reem Alattas, the Director of Value Advisory for Spend Management at the German tech firm SAP, posted on LinkedIn about avoiding AI voice scams. She warned people not to post videos or audio of their voices online as much as possible.
Strangers could take those samples and feed them to an AI voice generator to replicate your likeness. Of course, that can be difficult as we post videos of ourselves on social media for fun and work. That is why you should minimize the risk by restricting your profiles.
4. Have a family password
The Electronic Frontier Foundation is a nonprofit organization 'defending civil liberties in the digital world,' and it shared advice on avoiding AI voice-cloning scams, too.
It suggests having a family password. Discuss with your family a specific phrase or word that you can all remember. Agree that everyone should ask for that password whenever a family member is in an emergency.
You can get creative by turning it into a spy-thriller-like question-and-answer portion. The key is to make sure the family password is unique and easy to remember.
However, this method might not be advisable for the elderly because they may forget the secret code, especially in an emergency.

How Sellers Get Top Dollar for Their Homes
Sellers should not rely on the market alone to get their asking price. Instead, strategies including good staging and value-added improvements increase the chances for getting top dollar.

The process of buying and selling a home includes many movable parts. North America has experienced historic trends in the housing market in recent years. Most notably, record-high prices have dominated the real estate market over the last several years.

High prices are good news for sellers, who can probably anticipate receiving offers above listing price. In New Jersey, inventory is so low that 12.5% of homes in the Garden State sold above list price, according to data from Redfin. This is good news for sellers currently looking to make an excellent profit on their properties. Sellers who don't want to rely on the market alone to earn more for their homes can take various steps to get top dollar.

Stage your home
According to the 2023 Profile of Home Staging conducted by the National Association of Realtors®, 81% of buyers' agents said staging a home made it easier for the buyer to visualize the property as a future home. Focus your attention on the living room, owner's suite and kitchen. Hiring a staging professional can be an investment that turns a sizable profit.

Know your local market
A good way to price your home and gauge if it will sell quickly is to look at the average ‘days on the market’ for similar homes nearby. If homes are selling faster than the average DOM, that suggests high demand, which can work in your favor.

Make added-value improvements
Focus renovation dollars on the types of projects that will reap the highest return on investment. Remodeling magazine annually reports the projects that offer the best ROI. In 2023, the project that reaped the highest ROI was an HVAC Conversion/Electrification, which involved converting a fossil-fuel-burning furnace into an electric heat pump. The cost recouped was 103.5%.

Sell at the right time
Fewer people are shopping for homes in the dead of winter or during the middle of the school year, so putting your home on the market in spring typically brings out the largest number of interested parties, according to Opendoor. But this isn't the only time-related factor to consider. To sell for the most money, you want to list your home when you have enough equity to pay off your current mortgage, the costs of selling, and the costs of moving, says Bankrate.

Give curb appeal a boost
Make sure that buyers see your home in a positive light from the first moment they pull up for-a walk-through showing. According to Home & Garden, improving the landscaping can result in a value increase of up to 12%. Additional projects can include investing in a new front door and garage doors. Be sure that hedges are trimmed, there are fresh flowers growing, and that walkways and the driveway are clean and tidy.

Contact Angel Calzadilla, Realtor in the area with United Realty Group for your listing presentation.
Direct (954) 632-3593

Are you thinking of selling your condo in Trump Palace ? I will take the listing with a 4% commission. Just give me a call or text me to
(954) 632-3593
Angel Calzadilla,Realtor with United Group Realty.

IMPORTANT !

Realtor Advocacy Delivers Important 2024 Legislative Session Victories

Gia Arvin - President of Florida Realtors
8 Mar 2024, 15:21 (21 hours ago)
to me

Dear Realtors®,

Just a few minutes ago, the Florida Legislature ended its annual 60-day legislative session, bringing numerous victories for our profession, our customers, property owners and the communities where we live and work. At the center of our advocacy success was the Realtor voice, which not only helped move the needle on some of our key issues but also helped us achieve notable state budget wins for affordable housing and the environment.

One of our largest advocacy successes this year was $100 million to fund the Hometown Heroes Housing Program. Since 2021, this highly successful first-time homebuying program has helped more than 14,000 hard-working Floridians buy their first home. This additional funding will help thousands more when the money becomes available after July 1 of this year.

In addition to the Hometown Heroes Housing funding, we also achieved other significant legislative wins such as:

$408 million for state and local programs that increase affordable housing options for Floridians.
$1.2 billion for water quality and environmental projects to keep Florida clean and beautiful.
$230 million to help Floridians harden their homes and condominiums against storms while saving on insurance premiums.
Increased transparency and availability of condominium and HOA documentation.
A decrease in Floridians’ property insurance premiums.
The creation of a seller flood disclosure so buyers can make informed decisions and reduce post-closing disputes.
A streamlined process for sheriffs to remove squatters occupying residential property.
This was a tremendously successful legislative session, and I can’t thank all of you enough for lending your voice and your time to advocate on behalf of the Realtor® profession.

Below is a Realtor-focused review of the significant legislative highlights of Florida’s 2024 legislative session.

Sincerely,





Gia Arvin
2024 President
Florida Realtors®

2024 Florida Realtors® Legislative Highlights

More Money for the Hometown Heroes Housing Program: Senate Bill 328, injects an additional $100 million into the successful Hometown Heroes Housing Program (HHHP), a first-time homebuyer program for hard-working Floridians. It also builds on the policies created in last year’s Live Local Act that spur private investment in affordable housing, and it clarifies changes to local zoning, height and density regulations to ensure counties and cities have the guidance they need to create more affordable housing options in their areas. Effective upon becoming law with HHHP funding effective July 1, 2024.
$408 Million for State and Local Affordable Housing Programs: Lawmakers allocated $408 million in the 2024-2025 fiscal year budget (House Bill 5001) to the State and Local Government Housing Trust Funds. Included is $174 million for the State Housing Initiatives Partnership (SHIP) for downpayment and closing cost assistance programs, and $234 million for the State Apartment Incentive Loan program (SAIL) which helps build affordable rental housing. Please note that the SAIL funding includes $150 million in recurring funding as specified in the 2023 Live Local Act. Effective: July 1, 2024.
My Safe Florida Home Program Gets More Funding: Senate Bill 7028 includes $200 million for the My Safe Florida Home Program (MSFH) so more Floridians can protect their homes against storms and reduce their insurance premiums. The bill also allows homeowners to receive inspections without having to apply for a grant, lets low-income homeowners receive up to $10,000 without having to match the amount, and mandates the program administrator to streamline the grant process while prioritizing reviews based on income and age, among other things. Effective July 1, 2024.
New My Safe Florida Condominium Pilot Program Created: House Bill 1029 expands the My Safe Florida Home Program to include condominiums. This expansion would allocate $30 million to help condominiums within 15 miles of the coast harden roofs and openings against storms. Effective July 1, 2024.
Property Insurance Cost Reductions for Floridians: Florida imposes a 1.75% tax on most Florida insurance premiums. House Bill 7073 requires insurers to give homestead property owners a deduction on their residential property insurance premiums in the amount of 1.75% of the policyholder’s total premium. It applies to policies with coverage for 12 months that take effect after October 1, 2024, and before September 30, 2025. Effective July 1, 2024.
Increased Transparency of Condominium Documents: House Bill 1021 requires an association managing a condominium with 25 (previously 150) or more units to post digital copies of official condominium documents on its website. These documents include condominium bylaws and rules, articles of incorporation, declaration of condominium, annual financial statements and budget, the FAQ sheet, building inspection reports, and reserve studies. Effective July 1, 2024.
Increased Transparency of HOA Documents: Two bills passed this year that significantly increase the transparency and availability of homeowner’s association (HOA) documents. House Bill 1203 requires that by January 1, 2025, homeowners’ associations with 100 or more parcels must maintain official records on their website or an app. Additionally, House Bill 59 requires homeowners’ associations to deliver a physical or digital copy of their rules and covenants to all members and new members. Effective July 1, 2024.
Over $1.2 Billion for the Everglades and Water Quality: The Florida Legislature continues to allocate significant funding for projects that improve Florida’s water quality. The 2024-2025 fiscal year budget (House Bill 5001) includes money for Everglades restoration ($581 million), the C-51 Reservoir ($100 million), Biscayne Bay ($20 million), the Indian River Lagoon ($75 million), the Caloosahatchee River & St. Lucie Estuaries ($25 million), harmful algal blooms ($30 million), springs restoration ($55 million), beach management funding assistance ($50 million), total maximum daily loads ($25 million), the Wastewater Grant Program ($135 million), Resilient Florida Grant Program ($125 million) and Alternative Water Supply ($55 million). Effective: July 1, 2024.
Seller Flood Disclosure: House Bill 1049 requires a seller to disclose in writing certain flood information to a prospective purchaser at or before executing a contract for the sale of residential property. This disclosure will help buyers make more informed decisions about a property and reduce the number of post-closing disputes that occur. Effective October 1, 2024.
Protecting Private Property Rights: House Bill 621 addresses issues with unauthorized squatters who occupy private property. The bill aims to quickly restore possession of such property to the lawful owner by allowing the property owner or their agent to request the immediate removal of unlawfully occupying persons from a residential dwelling. Effective July 1, 2024.
Preventing Unlicensed Real Estate Activity: The 2024-2025 fiscal year budget (HB 5001) allocates up to $500,000 to combat unlicensed real estate activity. Effective: July 1, 2024.
Evaluating the Impact of Lookback Periods: The 2024-2025 fiscal year budget (HB 5001) includes $500,000 for the Department of Financial Services to study the benefits and long-term effects of Lookback periods. When established by local governments, Lookback periods apply to properties located in special flood zones. When owners of these homes seek to remodel, renovate or repair the home, the costs cannot equal or exceed 50% of the home’s depreciated market value within the applicable Lookback period without having to be brought up to current flood zone standards. Effective: July 1, 2024.
For a full recap of the 2024 Legislative Session, including other bills of interest and bills that did not pass, visit our 2024 Legislative Final Report. If you have any additional questions, please do not hesitate to contact the Florida Realtors® public policy team at [email protected].

Brought to your attention by Angel Calzadilla, your Realtor in the area with United Realty Group (954) 632-3593.
Thanks for reading.

There are only 16 units for sale currently in Trump Palace as per February 2024.
The listing prices are current but may vary in the course of the days. In the chart is reflected also the living area in square feet, number of beds and baths as well number of deeded parking spaces in the garage.
For your Real Estate needs in the building either sale or purchase, showings and purchase or listing contrac, contact me Angel Calzadilla,Realtor at (954) 632-3593
Please hire a Realtor, please select my services.
Thanks.

Mortgage Demand Ticks Upward to Start the Year
The MBA’s deputy chief economist and vice president calls the increase a “promising to start the year.”
Mortgage applications rebounded the week ending Jan. 5, 2024, seeing a 9.9% increase compared to the previous week, according to data from the Mortgage Bankers Association’s (MBA) seasonally adjusted index. The results included an adjustment for the New Year’s holiday.
On an unadjusted basis, the index increased 45% compared to the previous week. The holiday-adjusted refinance index increased 19% from the previous week and was 30% higher than the same week one year ago. The unadjusted refinance index increased 53% from the previous week and was 17% higher than the same week one year ago.
“Despite an uptick in mortgage rates to start 2024, applications increased after adjusting for the holiday,” said Joel Kan, MBA’s vice president and deputy chief economist. “The increase in purchase and refinance applications for both conventional and government loans is promising to start the year but was likely due to some catch-up in activity after the holiday season and year-end rate declines. Mortgage rates and applications have been volatile in recent weeks and overall activity remains low.”
The seasonally adjusted purchase index increased 6% from one week earlier. The unadjusted purchase index increased 40% compared with the previous week and was 16% lower than the same week one year ago.
Other details from the MBA’s index:
The refinance share of mortgage activity increased to 38.3% of total applications from 36.3% the previous week. The adjustable-rate mortgage (ARM) share of activity decreased to 5.4% of total applications.
The FHA share of total applications decreased to 14.4% from 14.5% the week prior. The VA share of total applications increased to 16.3% from 14.6% the week prior. The USDA share of total applications decreased to 0.4% from 0.5% the week prior.
The average contract interest rate for 30-year fixed-rate mortgages with conforming loan balances ($726,200 or less) increased to 6.81% from 6.76%, with points remaining unchanged at 0.61 (including the origination fee) for 80% loan-to-value ratio (LTV) loans. The effective rate increased from last week.
The average contract interest rate for 30-year fixed-rate mortgages with jumbo loan balances (greater than $726,200) increased to 6.98% from 6.86%, with points increasing to 0.43 from 0.41 (including the origination fee) for 80% LTV loans. The effective rate increased from last week.
The average contract interest rate for 30-year fixed-rate mortgages backed by the FHA increased to 6.56% from 6.51%, with points decreasing to 0.84 from 0.86 (including the origination fee) for 80 percent LTV loans. The effective rate increased from last week.
The average contract interest rate for 15-year fixed-rate mortgages increased to 6.41% from 6.26%, with points decreasing to 0.55 from 0.73 (including the origination fee) for 80 percent LTV loans. The effective rate increased from last week.
The average contract interest rate for 5/1 ARMs increased to 6.17% from 5.71%, with points decreasing to 0.56 from 0.59 (including the origination fee) for 80% LTV loans. The effective rate increased from last week.
The survey covers over 75% of all U.S. retail residential mortgage applications and has been conducted weekly since 1990. Respondents include mortgage bankers, commercial banks and thrifts. Base period and value for all indexes is March 16, 1990=100.

What Small Businesses Need to Know About 2024 Regulations.
Small businesses should register with the Financial Crimes Enforcement Network and understand Florida’s minimum wage increase, among other things.
Regulations are a double-edged sword. They’re created to improve business dealings, discourage unfair or illegal business activity, and protect workers. But, for small business owners, they often mean more red tape, higher costs and possible penalties for failing to comply.
″For a small business, you have a higher cost per employee when it comes to complying with regulations than your larger business competitors,” said Tom Sullivan, vice president of small business policy for the U.S. Chamber of Commerce.
Heading into 2024, there are several regulations that should be on small business owners’ radar:
Registering with FinCEN
Small businesses will need to register with an agency called the Financial Crimes Enforcement Network (FinCEN) in 2024, as part of an act passed in 2021 called the Corporate Transparency Act.
The act was intended to get a look inside shell companies and crack down on attempts by “criminals, organized crime rings, and other illicit actors to hide their identities and launder their money through the financial system,” Treasury Secretary Janet Yellen said in 2022.
Businesses with more than 20 employees and more than $5 million in sales can qualify for exemptions. But that leaves an estimated 32 million small businesses that aren’t exempt. The owners and part-owners of those businesses must register personal information with FinCEN, such as a photo ID and home address.
Despite legal challenges, the regulation is set to take effect in 2024. Deadlines have been extended, however. The deadline for existing businesses has been changed to Jan. 1, 2025, from Jan. 1, 2024.
Businesses that are created after Jan. 1 will have only 90 days to comply, extended from 30. The cost of not complying could be steep: Penalties can run as high as $10,000.
A reprieve from reporting digital transactions over $600 to IRS
In November, the Internal Revenue Service again delayed a requirement that payments of over $600 via third-party providers, like payment apps such as Venmo and Zelle and online marketplaces, have to be reported.
The requirement, part of the American Rescue Act, was delayed last year but set to take effect for the 2023 tax year. Now, the IRS says businesses won’t have to report that revenue for 2023, either. They’re planning a threshold of $5,000 for the tax year 2024 as part of a phase-in to eventually implement the $600 reporting threshold.
The move was made after feedback from the tax community and other third parties and “prevents unnecessary confusion,” said IRS Commissioner Danny Werfel.
New reporting requirement for small business loans
It’s notoriously difficult for small businesses to secure loans because they often don’t have the profit or track record needed to assure banks of their ability to pay back the money. Women and minority-owned businesses especially find it difficult to get loans.
In an effort to have less discrimination and more transparency around the loan process, the Consumer Financial Protection Bureau (CFPB) this year said it would require banks to start reporting demographics and income of small business loan applicants.
The aim is to create a database similar to what the mortgage industry has. Bank regulators have for decades collected data on residential mortgage applicants — including race, geography, whether the loan was approved and the interest rate — under a 1970s era law known as the Home Mortgage Disclosure Act. The data collected under HMDA has long been used by regulators and the public to look for potential signs of banks discriminating against borrowers, also known as redlining.
But small business advocacy organizations say these requirements will slow down the loan process and could make it even more difficult for small businesses to get loans, not easier.
The regulations will “bury small businesses and financial institutions with costly and time-consuming paperwork, expose small-business borrowers and lenders to increased litigation and privacy risks, drive more small banks out of business, and limit competition in the financial lending space,” said Small Business & Entrepreneurship Council president and CEO Karen Kerrigan.
Due to ongoing litigation, the CFPB has stayed deadlines for compliance with the small business lending rule for the moment. Still, it’s something to keep an eye on in 2024.
National Labor Relations Board joint-employer rule
In October, the National Labor Relations Board issued a revised joint employer rule, expanding the definition of a “joint employer.” This means that two companies that are both responsible for some decisions about employees – such as a franchiser and franchisee, although the rule goes beyond franchises – can both be held liable for unfair labor practices. The rule only applies to labor relations. It applies to every business that falls under the National Labor Relations Act, which is most private-sector businesses.
Unions and workers’ groups say the new rule will benefit and help protect workers. But small business advocacy groups say it’s unfairly burdensome to small businesses.
The rule was scheduled to go into effect on Dec. 26, but pending Congressional and legal challenges, the National Labor Relations Board extended the effective date of the new joint-employer rule to Feb. 26, 2024.
Wages and overtime
More than 20 states will have minimum wage increases in 2024. For example, Nebraska’s minimum wage will rise by $1.50 to $12 on Jan. 1, and Florida’s will go up by $1 to $13 on Sept. 30.
Also worth keeping on the radar: The Department of Labor in August announced a proposed rule that would let 3.6 million more workers qualify for overtime. The proposed regulation would require employers to pay overtime to salaried workers who are in executive, administrative and professional roles but make less than $1,059 a week, or $55,068 a year for full-time employees. That salary threshold is up from $35,568.
Kerrigan of the SBE Council said she expects when the final rule is out it will face legal challenges, because raising the threshold would have a big impact on so many businesses. The comment period closed on Nov. 7 so the Labor Department could issue the final rule any time in 2024.
“That’s going to have a lot of disruption for small businesses in terms of cost, but also the models they may use in their workplace in terms of career growth models, compensation models, etc.,” she said.
Angel Calzadilla, your Realtor in the area.
(954) 632-3593