Issue 89.16
Texas is grappling with a housing affordability crisis that threatens our prosperity – Glenn Hegar, Texas Comptroller
Director of Regulatory Affairs
Median home prices in Texas rose 40% between 2019 and 2023 according to the Texas Real Estate Research Center at Texas A&M. Despite being the number one state for new building permits every year since 2008, population growth and demand has outstripped supply during this period. Combined with rising mortgage interest rates, more Texas citizens are being priced out of homeownership. Lawmakers have attempted to lower property taxes and in some cases reduce the burden or ordinances or codes. But more work is needed.
Several bills are making progress this session to address affordability. This week we highlight HB4505 which was heard in House Intergovernmental Relations Committee last week.
Weekly Highlight
HB4505 The Texas Department of Housing and Community Affairs would administer a workforce housing capital investment fund. Created through grants, donations, legislative appropriations, and/or repayments of loans made from the fund. With the purpose of developing workforce housing in this state that benefits primarily households that earn between 30 and 80 percent of the area median income. As well as providing training opportunities to construction trade workforce members.
Funds would be disbursed primarily through zero-interest loans by a statewide non-profit that provides financial literacy education to low-income homebuyers and builds single-family residential homes. As well as supporting mortgage and housing training and mortgage services. Eligible programs must have carried out that purpose for not less than 15 years. And they would also need to work with home buyers who contribute to the construction of their home or the rehabilitation of another individual’s home.
To read the full text of any of these bills you can go to Texas Legislature Online. The designations you see for each bill represent HB – House Bill, SB – Senate Bill and HJR or SJR as House or Senate Joint Resolutions which relate to amendments to the Texas Constitution.
Bills on the Move
Pending Vote in second Chamber
SB 15 Bettencourt, Paul – Relating to size and density requirements for residential lots in certain municipalities; authorizing a fee. (Companion HB3919) Voted favorably House Land and Resource Management April 17th
Sent to the Second Chamber
SB 4 Bettencourt, Paul – Relating to an increase in the amount of the exemption of residence homesteads from ad valorem taxation by a school district and the protection of school districts against certain losses in local revenue. (Companions HB2611, SJR2) Referred to House Ways and Means March 25th
SB 17 Kolkhorst, Lois – Relating to the purchase of or acquisition of title to real property by certain aliens or foreign entities. Referred to House Homeland, Public Safety, Veterans April 9th
SB 38 Bettencourt, Paul – Relating to the eviction from real property of certain persons not entitled to enter, occupy, or remain in possession of the premises. Referred to House Judiciary and Civil Jurisprudence April 17th
SB 372 Campbell, Donna – (SB372 was previously filed in 88th Session as SB1568 it passed both chambers but was vetoed by the Governor.) Relating to the persons authorized or appointed to exercise the power of sale under the terms of a contract lien on real property. (Companion HB 576) Referred to House Trade, Workforce, Economic Development April 9th
SB 673 Hughes, Bryan – Relating to regulation of accessory dwelling units by political subdivisions. Received in the House April 14th
SB 693 West, Royce – Relating to creating a criminal offense for the use of a notary seal or counterfeit seal on a fraudulent document or instrument. Referred to House Judiciary and Civil Jurisprudence April 17th
SB 929 Johnson, Nathan – (SB929 was previously filed in 88th Session as HB4301 which passed the house but was not taken up in committee in the Senate, identical bills HB4308 and SB2113 both did not receive a hearing.) Relating to deadlines and time of inception for mechanic’s and materialman’s liens. (Companion HB4301, HB4308, SB2113) Referred to House Trade, Workforce, Economic Development April 9th
SB 1333 Hughes, Bryan – Relating to the unauthorized entry, occupancy, sale, rental, lease, advertisement for sale, rental, or lease, or conveyance of real property. (Companions HB414, HB1076, HB2454, HB3003) Referred to House Trade, Workforce, Economic Development April 17th
SB 1379 Flores, Pete – Relating to increasing the criminal penalties for forgery. Received in the House March 27th
SB 1547 Zaffirini, Judith – Relating to fees charged by county clerks for certain property records. (Companion HB3733) Referred to House Subcommittee on County Government April 9th
SJR 2 Bettencourt, Paul – Proposing a constitutional amendment to increase the amount of the exemption of residence homesteads from ad valorem taxation by a school district. (Companions HB2611, SB4) Referred to House Ways and Means April 9th
First Chamber Floor Vote Scheduled
HB 2468 Harris, Cody – Relating to the right of a purchaser to terminate a contract of purchase and sale of real property for failure to provide notice that the property is located in a public improvement district. Set on the House Calendar April 22nd Voted favorably out of Huse Trade, Workforce & Economic Development April 2nd
SB 583 West, Royce – Relating to lists of public real property suitable for use or to be developed for use as affordable housing by certain municipalities and counties. Voted favorably out of Senate Local Government on March 18th. First placed on Intent Calendar for March 27th , now on calendar for April 8th
SB 1612 Johnson, Nathan – Relating to construction contract trust funds. Voted favorably out of committee April 10th in Senate Business and Commerce. Recommended for Local Uncontested Calendar for April 14th
SB 1643 Schwertner, Charles – Relating to prior approval of certain property and casualty insurance rate increases or decreases. Voted favorably out of Senate Business and Commerce April 8th. Placed on Senate Calendar for April 22nd
SB 1734 West, Royce – Relating to status of certain documents or instruments purporting to convey title to or an interest in real property. Voted favorably out of Senate Jurisprudence April 9th. Recommended for Local Uncontested Calendar for April 10th
Reported Favorably, Committee Approved
HB 32 Button, Angie Chen – Relating to the eviction from real property of certain persons not entitled to enter, occupy, or remain in possession of the premises. Voted favorably out of committee April 8th House Judiciary and Civil Jurisprudence
HB 1043 Bhojani, Salman – Relating to a study by the General Land Office on the establishment and implementation by the General Land Office of a distributed ledger-based title registry pilot program. Voted favorably out of committee April 14th House Delivery of Government Efficiency.
HB 3223 Leach, Jeff – Relating to statutes of limitation and repose for certain claims involving the construction or repair of an improvement to real property. Voted favorably out of committee April 15th House Judiciary and Civil Jurisprudence
HB 3250 Darby, Drew – Relating to the regulation of real estate appraisers and appraisal management companies. Voted favorably out of committee April 15th House Licensing and Administrative Procedures
HB 3287 Bell, Keith – Relating to construction contract trust funds. Voted favorably out of committee April 15th House Trade, Workforce, Economic Development
HB 3288 Bell, Keith – Relating to the application of funds under construction contracts. Voted favorably out of committee April 15th House Trade, Workforce, Economic Development
HB 3289 Bell, Keith – Relating to the payment of funds under construction contracts. Voted favorably out of committee April 15th House Trade, Workforce, Economic Development
HB 3290 Bell, Keith – Relating to the time period for which certain funds payable under a construction contract must be reserved for the benefit of mechanic’s lien claimants. Voted favorably out of committee April 15th House Trade, Workforce, Economic Development
HB 4063 Ordaz, Claudia – Relating to the filing and release of record of a unilateral memorandum of contract concerning residential property. Voted favorably out of committee April 15th House Trade, Workforce, Economic Development
SB 647 West, Royce – Relating to the filing or recording of documents or instruments conveying or purporting to convey an interest in real or personal property. Voted favorably out of committee April 16th Senate Business and Commerce
SB 648 West, Royce – Relating to recording requirements for certain instruments concerning real property. Voted favorably out of committee April 16th Senate Business and Commerce
SB 2117 Parker, Tan – Relating to the establishment of the Texas Committee on Foreign Investment to review certain transactions involving certain foreign entities. Voted favorably out of committee April 14th Senate State Affairs
Committee Hearings Scheduled or Left Pending Vote
HB 17 Hefner, Cole – Relating to the purchase of or acquisition of title to real property by certain aliens or foreign entities. (Companions HB1849, HB2536) Heard April 2nd left pending House Homeland, Public Safety, Veterans
HB 21 Gates, Gary – Relating to housing finance corporations. (Companion SB867) Heard March 18th left pending House Intergovernmental Affair
HB 329 Bell, Cecil – (HB329 was previously filed in 88th Session as HB5133 it was left pending in Committee without a vote.) Relating to a requirement that an appraisal review board rely on an appraisal of residential real property prepared by an appraiser and submitted to the board by the property owner. Voted favorably out of committee April 8th House Subcommittee on Property Tax Appraisals
HB 360 Vasut, Cody – (HB360 was previously filed in 88th Session as HB523 it was left pending in Committee without a hearing.) 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. (Companions HB523, HB4399) Heard March 20th in House Subcommittee on Property Tax Appraisals, returned to full committee
HB 576 Shaheen, Matt – Relating to the persons authorized or appointed to exercise the power of sale under the terms of a contract lien on real property. Heard April 9th left pending House Trade, Workforce, Economic Development
HB 851 Schofield, Mike – Relating to the determination and reporting of the number of residence homesteads of certain property owners for which the owner is receiving certain ad valorem tax benefits. Hearing set for April 21st in House Ways and Means
HB 1243 Guillen, Ryan – Relating to the authority of spouses who occupy separate properties as their principal residences to each qualify the property in which they reside as their residence homestead for ad valorem tax purposes. Heard March 17th left pending House Ways and Means
HB 2025 Tepper, Carl – Relating to the filing for record of a plat, replat, or amended plat or replat of a subdivision of real property or a condominium. Hearing set for April 24th in House Land and Resource Management
HB 3311 Swanson, Valoree – Relating to priority of payments for claims against a decedent’s estate. Heard March 31st in House Subcommittee on Family and Fiduciary
HB 3900 Guillen, Ryan – Relating to investment of local governments’ money in banks located in this state. Heard April 14th left pending House Pensions/Investments/Financial Services
HB 3919 Gates, Gary – Relating to size and density requirements for residential lots in certain municipalities. Heard April 3rd left pending House Land and Resource Management
HB 4166 Guillen, Ryan – Relating to an exemption for certain property owners from regulatory requirements for residential mortgage loan originators. Heard April 14th left pending House Pensions/Investments/Financial Services
HB 4350 Capriglione, Giovanni – Relating to the omission or redaction of certain personal information from certain real property records. Hearing set for April 21st in House Subcommittee on County Government
HB 4505 Bell, Cecil – Relating to the establishment of the workforce housing capital investment fund program to fund the development of workforce housing in this state. Heard April 15th left pending House Intergovernmental Affairs
HB 4531 Bhojani, Salman – Relating to status of certain documents or instruments purporting to convey title to or an interest in real property. Hearing set for April 23rd in House Trade, Workforce, Economic Development
HB 4984 Lujan, John – Relating to certain deadlines and other timing factors affecting mechanic’s, contractor’s, or materialman’s liens. Heard April 15th left pending House Trade, Workforce, Economic Development
SB 867 Bettencourt, Paul – Relating to housing finance corporations. Heard April 14th left pending Senate Local Government
SB 2221 Parker, Tan – Relating to the filing of a fraudulent financing statement in relation to certain secured transactions. Heard April 15th left pending Senate Business and Commerce
SB 2610 Blanco, Cesar – Relating to civil liability of business entities in connection with a breach of system security. Hearing set for April 22nd in Senate Business and Commerce
SB 2611 West, Royce – Relating to the status of certain documents or instruments concerning real or personal property. Hearing set for April 22nd in Senate Criminal Justice
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 firm’s attorneys or representatives at: https://www.mortgagelaw.com/our-team/