The bill amends the Finance Code to provide exemptions for certain property owners from regulatory requirements related to residential mortgage loan origination. Specifically, it modifies Section 156.2012(b) to clarify the eligibility criteria for registering as a financial services company, including the requirement for depository institutions to be exempt under a new provision. Additionally, it updates Section 156.202(a-1) to include new exemptions for property owners who make first lien mortgage loans to purchasers of their property, provided that the loan origination activities are conducted by a licensed mortgage loan originator.

Furthermore, the bill revises Section 180.003(a) to expand the list of individuals exempt from mortgage loan origination regulations, including those who make first lien mortgage loans under similar conditions as outlined in the previous section. The changes aim to streamline the process for certain property owners and ensure compliance with existing regulations while promoting homeownership opportunities. The bill is set to take effect on September 1, 2025.

Statutes affected:
Introduced: Finance Code 156.2012, Finance Code 180.003 (Finance Code 156, Finance Code 180)
House Committee Report: Finance Code 156.2012, Finance Code 180.003 (Finance Code 156, Finance Code 180)