84R9765 CLG-F
By: RodrÃguez S.B. No. 1203
A BILL TO BE ENTITLED
AN ACT
relating to exemptions from the applicability of the Texas Secure
and Fair Enforcement for Mortgage Licensing Act of 2009.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Sections 180.003(a) and (c), Finance Code, are
amended to read as follows:
(a) The following persons are exempt from this chapter:
(1) a registered mortgage loan originator when acting
for an entity described by Section 180.002(16)(A)(i), (ii), or
(iii);
(2) an individual who offers or negotiates terms of a
residential mortgage loan with or on behalf of an immediate family
member of the individual;
(3) a licensed attorney who negotiates the terms of a
residential mortgage loan on behalf of a client as an ancillary
matter to the attorney's representation of the client, unless the
attorney:
(A) takes a residential mortgage loan
application; and
(B) offers or negotiates the terms of a
residential mortgage loan;
(4) an individual who offers or negotiates terms of a
residential mortgage loan secured by a dwelling that serves as the
individual's residence;
(5) a nonprofit organization providing self-help
housing that originates [zero interest] residential mortgage loans
for borrowers who have provided part of the labor to construct the
dwelling securing the loan;
(6) an owner of residential real estate who in any
12-consecutive-month period makes no more than five residential
mortgage loans to purchasers of the property for all or part of the
purchase price of the residential real estate against which the
mortgage is secured; and
(7) an owner of a dwelling who in any
12-consecutive-month period makes no more than five residential
mortgage loans to purchasers of the property for all or part of the
purchase price of the dwelling against which the mortgage or
security interest is secured.
(c) The finance commission shall [may] grant an exemption
from the licensing requirements of this chapter to a municipality,
county, community development corporation, or public or private
grant administrator to the extent the entity is administering the
Texas HOME Investment Partnerships program or a program of the
Texas Housing Trust Fund if the commission determines that granting
the exemption is not inconsistent with the intentions of the
federal Secure and Fair Enforcement for Mortgage Licensing Act of
2008 (Pub. L. No. 110-289).
SECTION 2. This Act takes effect September 1, 2015.