MI HB4688

Amends the Mortgage Brokers, Lenders, and Servicers Licensing Act (1987 PA 173) to update references to the Uniform Securities Act (2002) in addition to the 1964 version.

Maintains criminal penalties of up to $15,000 in fines and/or 1 year imprisonment for willfully engaging in mortgage business without proper licensing or acting as an unlicensed loan officer.

Prohibits transferring or assigning mortgage loans before 75% of loan proceeds are disbursed to borrower, with exceptions for land contracts, government-backed loans, construction loans, and loans with installment disbursement provisions.

Restricts transfers of mortgage loans to individual investors unless made through certain qualified broker-dealers, to investors meeting specific financial thresholds ($100,000+ net income or $1,000,000+ net worth), or when transferor/transferee are outside Michigan.

Criminalizes coercion of real estate appraisers to inflate property values through threats of non-selection or non-payment unless appraiser agrees to predetermined values in advance.