September 6, 2023
In This Issue:
- New Laws Took Effect Sept. 1 That Could Impact Our Industry, Your Business
- TDI Compliance Reminders for Agents: Three Upcoming Due Dates
- ICYMI: TREC News
- Replacing Title Insurance In the Mortgage Market Is a Slippery Slope
New Laws Took Effect Sept. 1 That Could Impact Our Industry, Your Business
TLTA | Sept. 6, 2023
Earlier this year the Texas Legislature passed nearly 800 bills that took effect Sept. 1.
To learn more about new laws that could impact our industry and your business, here are resources developed by TLTA's Advocacy Team:
TLTA's 88th Session Results Report includes bills passed this session that are relevant to our industry, some of which took effect on Sept. 1, including the following:
- Trust as Grantee Clarification SB 801
- PID Transparency SB 1916
- Pretended Sale Exception on Certain Rural Homesteads HB 207
- Release of Lien HB 219
- Insurer Electronic Communications HB 1040
- Electronic Audit Filing HB 1901
On-Demand Webinar: New Laws That Could Impact Title Industry
For a more comprehensive review of new laws that took effect Sept. 1 and other bills passed this year you should be aware of, the following webinar is available in TLTA's Online Learning Center:
2023 Texas Legislative Session: New Laws That Could Impact Title Industry.
Have questions about new laws effective Sept. 1 that could impact our industry?
Send us a note and we're happy to help.
TLTA Editor's Note: See TREC News blurb below for info on New Seller's Disclosure Notice in effect as of Sept. 1 as directed by passage of HB 697.
TDI Compliance Reminders for Agents: Three Upcoming Due Dates
TLTA | Sept. 6, 2023
1) TS-1 to be submitted by Sept. 30
Title Agent's Unencumbered Assets Certification
Form T-S1 must be submitted annually to the Department between September 1 and September 30 of each year.
Form TS-1 »
Please submit your TS-1 by the deadlines listed above to this
email address.
2) T-G1 and Fees Collected This Quarter due Nov. 1
Policy Guaranty Fee Remittance Form
Form T-G1 must be submitted to TDI on a quarterly basis. Next T-G1 due by Nov. 1.
Form T-G1 »
Please remit the form and funds directly to TTIGA as directed on the form.
3) TS-5 due Nov. 15
Title Agent Certification of Agent's Quarterly Tax Reports
Form TS-5 must be submitted to TDI on a quarterly basis. Next TS-5 due by Nov. 15.
Form TS-5 »
Please submit your TS-5 by the deadlines listed above to this
email address.
ICYMI: TREC News
TLTA | Aug. 31, 2023
New Seller’s Disclosure Notice form in effect on Sept. 1
HB 697, which was approved by the Texas Legislature during the 88th Regular Legislative Session earlier this year, updates the Seller's Disclosure Notice as explained in this blurb from the
Texas Real Estate Commission's site:
What changed?
Sellers must disclose the type of piping used for gas supply lines—black iron pipe, copper, or corrugated stainless steel tubing (CSST).
How will sellers know what type of piping they have?
They may not know and can indicate “unknown” on the notice. Inspectors have been required to note the type of fuel gas piping on their reports since 2022, so it may take time, but more people will have access to this information as more inspections are completed.
Where is the revised form?
The new version of the Seller’s Disclosure Notice is
available online and should be used for contracts executed on or after September 1, 2023.
New confidentiality requirements will impact access to some realtor info on TREC's License Holder Search
SB 510, which was which was approved by the Texas Legislature during the 88th Regular Legislative Session earlier this year, requires all licensing agencies to protect private information about applicants and current and past license holders, including the Texas Real Estate Commission.
Title agents searching for realtor license numbers, CE providers serving realtors, and title industry professionals accessing high value data sets on TREC's site may be impacted by these changes.
Learn more in this article from TREC »
Replacing Title Insurance In the Mortgage Market Is a Slippery Slope
Real Clear Markets | Aug. 31, 2023
The housing finance giants Fannie Mae and Freddie Mac represent 70% of the mortgage market. Most observers of the U.S. housing finance system would agree that Fannie Mae and Freddie Mac serve a vital role in providing liquidity to lenders, expanding credit, and improving market function. The primary role of the GSEs is to provide lending institutions with a mechanism to move loans out of their own portfolios, making dollars available to be lent to the next home purchaser. In serving this role, the GSEs have standards about what loans they will take out of the hands of lenders – they are limited in size, impose borrower credit qualifications, and have required that the home purchase includes title insurance, among others. These standards help to reduce risk in mortgage and housing markets and ensure that the Treasury is not exposed to a mass of bad mortgage debt as it was during the financial crisis.
The longstanding title insurance requirement for mortgages backed by the GSEs exists for good reason. Title insurance provides protection for buyers and lenders from financial loss that could result if there are problems with the transfer of a home’s title. Without title insurance, the buyer or lender could be exposed to liability from the previous owner’s back taxes, outstanding liens, fraudulent and disputed property claims, and any number of issues that arise with the legal transfer of title.
Read More »