Bill not drafted by TLC or Senate E&E.
Line and page numbers may not match official copy.
By Wolens H.B. No. 447
A BILL TO BE ENTITLED
1-1 AN ACT
1-2 relating to a voluntary consensual encumbrance on homestead
1-3 property for the purpose of an equity loan.
1-4 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
1-5 SECTION 1. Section 41.001(b), Property Code, is amended to
1-6 read as follows:
1-7 (b) Encumbrances may be properly fixed on homestead property
1-8 for:
1-9 (1) purchase money;
1-10 (2) taxes on the property;
1-11 (3) work and material used in constructing
1-12 improvements on the property if contracted for in writing as
1-13 provided by Sections 53.059(a), (b), and (c);
1-14 (4) an owelty of partition imposed against the
1-15 entirety of the property by a court order or by a written agreement
1-16 of the parties to the partition, including a debt of one spouse in
1-17 favor of the other spouse resulting from a division or an award of
1-18 a family homestead in a divorce proceeding; [or]
1-19 (5) the refinance of a lien against a homestead,
1-20 including a federal tax lien resulting from the tax debt of both
1-21 spouses, if the homestead is a family homestead, or from the tax
1-22 debt of the owner; or
1-23 (6) an equity loan as defined by and made in
1-24 compliance with Section 50, Article XVI, Texas Constitution.
2-1 SECTION 2. This Act takes effect on the date the
2-2 constitutional amendment proposed by H.J.R. No. 44, 75th
2-3 Legislature, Regular Session, 1997, takes effect. If that
2-4 amendment is not approved by the voters, this Act has no effect.
2-5 SECTION 3. The importance of this legislation and the
2-6 crowded condition of the calendars in both houses create an
2-7 emergency and an imperative public necessity that the
2-8 constitutional rule requiring bills to be read on three several
2-9 days in each house be suspended, and this rule is hereby suspended.