A 2-1 buydown provides for a reduced interest rate for the first two years:
Year 1: Note rate minus 2% (6% - 2% = 4%)
Year 2: Note rate minus 1% (6% - 1% = 5%)
Years 3-30: Note rate (6%)
"In a 2-1 buydown, the interest rate is reduced by 2% the first year and 1% the second year. The third and subsequent years, the rate is the note rate."
- SAFE MLO National Test Study Guide; CFPB Mortgage Glossary
References:
CFPB, Buydowns
SAFE MLO National Test Study Guide

Section 8 of RESPA prohibits giving or accepting anything of value in exchange for referrals of settlement service business related to federally related mortgage loans. Renting office space at lower rates (or free) in exchange for referrals is specifically called out in RESPA guidance as an illegal kickback.
"Section 8(a) of RESPA prohibits giving or accepting any fee, kickback, or thing of value... for the referral of settlement service business. Examples of violations include... renting office space at above or below market rates based on the amount of business referred."
- 12 CFR § 1024.14; CFPB RESPA Section 8 Guidance
Hosting seminars, sponsoring uniforms, or donating to charity are generally permissible if not conditioned on referrals.
References:
CFPB, RESPA Section 8
SAFE MLO National Test Study Guide

Under HOEPA (Home Ownership and Equity Protection Act) rules for high-cost mortgages, a creditor may not refinance a high-cost mortgage into another high-cost mortgage within 12 months of the previous transaction unless the new loan is in the borrower's best interest. This is to prevent loan flipping and predatory lending.
"A creditor may not refinance a high-cost mortgage into another high-cost mortgage within one year unless the new loan is in the borrower's best interest."
- 12 CFR § 1026.34(a)(3)
Since the purpose here is a cash-out for a collector car (not generally a "best interest" purpose), the MLO should deny the loan unless a strong case can be made that it is in the borrower's best interest.
References:
CFPB, High-Cost Mortgages (HOEPA)
12 CFR § 1026.34(a)(3)

Under RESPA Section 8, if a mortgage loan originator has an ownership interest in or refers a customer to a settlement service provider (such as a real estate brokerage), an Affiliated Business Arrangement Disclosure must be provided to the consumer at or before the time of referral.
"A lender or real estate broker referring a consumer to an affiliated settlement service provider must give an Affiliated Business Arrangement Disclosure."
- 12 CFR § 1024.15(b), Regulation X (RESPA)
References:
CFPB, RESPA Affiliated Business Arrangement Disclosure
SAFE MLO National Test Study Guide