Bill
Bill > HB3412
TX HB3412
Relating to notice of and assistance in filing an application for a residence homestead exemption from ad valorem taxation provided to a home buyer by a title insurance company or title insurance agent in connection with the closing and settlement of certain transactions pertaining to residential real property; authorizing a fee; providing for the imposition of an administrative penalty.
summary
Introduced
02/26/2025
02/26/2025
In Committee
03/21/2025
03/21/2025
Crossed Over
Passed
Dead
Introduced Session
89th Legislature Regular Session
Bill Summary
AN ACT relating to notice of and assistance in filing an application for a residence homestead exemption from ad valorem taxation provided to a home buyer by a title insurance company or title insurance agent in connection with the closing and settlement of certain transactions pertaining to residential real property; authorizing a fee; providing for the imposition of an administrative penalty.
AI Summary
This bill introduces new requirements for title insurance companies during real estate transactions involving residential properties in Texas. Specifically, the bill mandates that title insurance companies must provide home buyers with a detailed notice about residence homestead exemptions, including eligibility criteria, filing deadlines, and application instructions. The companies are also required to assist buyers in applying for applicable homestead exemptions or apply on their behalf, unless the buyer chooses to waive this service. Title insurance companies may charge a reasonable fee for this assistance, which must be disclosed to the buyer, and they can face an administrative penalty of up to $500 for non-compliance. The new provisions will apply only to real property transactions contracted on or after September 1, 2025, and they aim to help homebuyers more easily understand and access property tax exemptions. The bill repeals certain existing provisions related to homestead exemption applications and establishes a clear framework for title insurance companies to support home buyers in obtaining potential tax benefits.
Committee Categories
Business and Industry
Sponsors (1)
Last Action
Referred to Insurance (on 03/21/2025)
bill text
bill summary
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bill summary
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bill summary
| Document Type | Source Location |
|---|---|
| State Bill Page | https://capitol.texas.gov/BillLookup/History.aspx?LegSess=89R&Bill=HB3412 |
| BillText | https://capitol.texas.gov/tlodocs/89R/billtext/html/HB03412I.htm |
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