Issue 88.3
Governor Greg Abbott and Lt. Gov. Dan Patrick were both inaugurated to their third terms on January 17th. Speeches made by both leaders laid out priorities they would like to accomplish during the current legislative session. The Governor focused on education, border security and reiterated previous promises to deliver the largest property tax cut in the history of Texas. One proposal increases the state’s homestead exemption from $40,000 to $70,000. Potential uses for the $32 billion surplus funds include bolstering our infrastructure, including roads, water, and improving the power grid. Specific priorities will be detailed in the Governor’s State of the State address in coming weeks and his list of Emergency Items. This list of emergency items will be the only things the Legislature can vote upon prior to March 10th.
Weekly Highlight
HB 1244 Shine, Hugh –(HB 1244 was previously filed in 87th Session as HB 991 but never received a Committee hearing.) Relating to the authority of the owner of a residence homestead to receive a discount for making an early payment of the ad valorem taxes on the homestead. A person is entitled to the discounts on real property that is the person’s residence homestead. If a taxing unit mails its tax bills on or before September 30, the following discounts apply: (1) three percent if the tax is paid in October or earlier; (2) two percent if the tax is paid in November; and (3) one percent if the tax is paid in December. If a taxing unit mails its tax bills after September 30, the same formula is applied during the next full calendar month following the date on which the tax bills were mailed. (As currently written this bill poses problematic timing issues for loan servicers and fails to address issues such as inadequate escrow balances.)
To read the full text of any of these bills you can go to Texas Legislature Online.
New Bills
HB 645 Toth, Steve – Relating to prohibiting financial institutions and other businesses from using value-based criteria.
HB 1244 Shine, Hugh – (HB 1244 was previously filed in 87th Session as HB 991 but never received a Committee hearing.) Relating to the authority of the owner of a residence homestead to receive a discount for making an early payment of the ad valorem taxes on the homestead.
Previously Reported Bills
HB 92 Landgraf, Brooks – Relating to the authority of a municipality, county, or property owners’ association to prohibit or regulate certain activities on residence homestead property.
HB 207 Murr, Andrew – Relating to the exclusion of certain conveyances from classification as sham or pretended sales.
HB 217 Murr, Andrew – (HB 217 was previously filed in 87th Session as HB 2621 but left pending in Committee without a vote.) Relating to the limitation on the amount of a subcontractor’s lien for labor or materials.
HB 219 Noble, Candy – (HB 219 was previously filed in 87th Session as HB 3278 but left pending in Committee without a vote.) Relating to the release of a deed of trust or other contract lien securing a home loan after payoff by mortgagor.
HB 264 Toth, Steve – Relating to requirements for the physical presence of a borrower for signing certain documents related to a home equity loan.
HB 287 Johnson, Julie – Relating to payment of the replacement cost of damaged property under a homeowner’s, renter’s, or condominium owner’s insurance policy.
HB 523 Vasut, Cody – Relating to the authority of an appraisal review board to direct changes in the appraisal roll and related appraisal records if a residence homestead is sold for less than the appraised value.
HB 697 Holland, Justin – Relating to seller’s disclosures regarding fuel gas piping in residential real property.
HB 709 Harris, Cody – Relating to prohibiting the use of certain credit scores, including environmental, social, or governance scores and social credit scores, by certain financial institutions and other lenders in this state.
HB 738 Gonzalez, Jessica – Relating to a right of first refusal applicable to the sale of housing developments that have received certain financial assistance administered by the Texas Department of Housing and Community Affairs.
HB 886 Shaheen, Matt – (HB 886 was previously filed in 87th Session as HB 3857 but left pending in Committee without a vote.) Relating to requirements to file a property owners’ association assessment lien.
HB 1056 Hinojosa, Gina – Relating to the registration of financial institutions and investment firms that lease residential real property.
HB 1057 Hinojosa, Gina – Relating to restrictions on the purchase of a single-family home by an investment firm.
HB 1195 Holland, Justin – Relating to the authority of a county to require photo Identification to file certain documents with the county clerk. This bill strikes the existing population threshold of 800,000 citizens and extends the existing authority to all Texas counties. (Companion to SB 319)
HJR 20 Toth, Steve – (HJR 20 was previously filed in 87th Session as HJR 104 it was approved in Committee and sent to Calendars.) Proposing a constitutional amendment authorizing the legislature to provide for exceptions to the requirement that a home equity loan be closed only at the office of the lender, an attorney at law, or a title company.
HJR 29 Schofield, Mike – (HJR 29 was previously filed in 87th Session as HJR 43 but left pending in Committee without a vote.) Proposing a constitutional amendment providing that a residence homestead is not subject to seizure or sale for delinquent ad valorem taxes.
SB 62 Zaffirini, Judith – Relating to posting certain documents and information related to certain real property sales on a county’s Internet website.
SB 147 Kolkhorst, Lois – Relating to the purchase of or acquisition of title to real property by certain aliens or foreign entities.
SB 319 Hall, Bob – Relating to the authority of a county to require photo Identification to file certain documents with the county clerk. This bill strikes the existing population threshold of 800,000 citizens and extends the existing authority to all Texas counties. (Companion to HB 1195)
If you have questions about these specific bills or the Texas legislative process in general, please reach out to Doug Foster or one of our our firm’s attorneys or representatives at: https://www.mortgagelaw.com/our-team/