Senate Joint Resolution No. 79 proposes an amendment to the Texas Constitution aimed at increasing the amount of debt that can be secured by a homestead for refinancing, particularly for loans backed by the U.S. Department of Veterans Affairs. The amendment seeks to raise the maximum allowable debt from 80 percent of the home's fair market value to the full fair market value, thereby providing homeowners with greater access to their home equity. This change is intended to enhance financial flexibility for homeowners while ensuring that the refinancing process adheres to strict consumer protection guidelines.

The resolution includes several safeguards for homeowners, such as requiring voluntary consent from all property owners and their spouses, limiting fees, and establishing clear loan repayment terms. It also stipulates that loans must be non-recourse for personal liability unless fraud is involved, and that foreclosure can only occur with a court order. Additionally, lenders are mandated to provide clear disclosures regarding the nature of the loans and the associated consumer protections, ensuring that borrowers are well-informed of their rights, including provisions for non-English speakers. The proposed amendment is set to be voted on in the upcoming election on November 4, 2025.