Number: RS21104
Title: Should Banking Powers Expand into Real Estate Brokerage and Management?
Authors: Walter W. Eubanks, Government and Finance Division 
Abstract: In late 2000, the Federal Reserve and the Treasury proposed to increase banking powers. They proposed allowing banking companies to engage in real estate brokerage and management, as activities that are financial in nature. The substantiative issues are the respective nature of banking and of real estate activities and the potential impact on consumers. Procedural questions involve the intent of Congress in P.L. 106-102, which delegated authority to both agencies to issue new regulations. The reintroduced Community Choice in Real Estate Act, H.R. 111/S. 413, 110th Congress, would permanently remove these real estate activities from consideration under the marketadaptive powers of the regulators. In the mean time, Treasury spending bills have forestalled any such regulations for six fiscal years, most recently in P.L. 110-5.
Pages: 6
Date: April 24, 2007