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A BILL TO BE ENTITLED
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AN ACT
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relating to the provision of certain information by a seller of |
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residential real property to a buyer of residential real estate. |
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BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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SECTION 1. Subchapter A, Chapter 5, Property Code is |
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amended by adding Section 5.208 to read as follows: |
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Sec. 5.208. TAX EXEMPTION INFORMATION FOR CERTAIN BUYERS. |
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(a) A seller of residential real property that consists of not more |
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than one dwelling unit located in this state shall give to the |
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purchaser of the property written notice that reads substantially |
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similar to the following: |
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NOTICE OF RESIDENCE HOMESTEAD EXEMPTION |
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As a purchaser of this parcel of real property you may be |
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eligible for certain residence homestead exemptions available |
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under Subchapter B, Chapter 11, Tax Code. |
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(b) The seller shall provide to the purchaser a copy of any |
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application form that may be used to apply for residence homestead |
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exemptions with an appraisal district in which the property is |
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included. |
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(c) The seller shall deliver the notice and application |
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required under Subsection (a) and (b) to the purchaser before the |
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effective date of an executory contract binding the purchaser to |
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purchase the property. The notice and application may be given |
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separately, as part of the contract during negotiations, or as part |
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of any other notice the seller delivers to the purchaser. If the |
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notice is included as part of the executory contract or another |
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notice, the title of the notice prescribed by this section, the |
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references to the street address and date in the notice, and the |
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purchaser's signature on the notice may be omitted. |
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(d) This section does not apply to the following transfers: |
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(1) under a court order or foreclosure sale; |
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(2) by a trustee in bankruptcy; |
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(3) to a mortgagee by a mortgagor or successor in |
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interest or to a beneficiary of a deed of trust by a trustor or |
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successor in interest; |
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(4) by a mortgagee or a beneficiary under a deed of |
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trust who has acquired the land at a sale under a deed of trust or a |
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sale under a court-ordered foreclosure or who has acquired the land |
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by a deed in lieu of foreclosure; |
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(5) by a fiduciary in the course of the administration |
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of a decedent's estate, guardianship, conservatorship, or trust; |
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(6) from one co-owner to another co-owner of an |
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undivided interest in the real property; |
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(7) to a spouse or a person in the lineal line of |
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consanguinity of the seller; |
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(8) to or from a governmental entity; |
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(9) of only a mineral interest, leasehold interest, or |
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security interest; or |
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(10) of a real property interest in a condominium. |
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(e) Failure to receive a notice required by this section |
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does not affect the validity of the appraisal of the property, the |
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imposition of any tax on the basis of the appraisal, the existence |
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of any tax lien, the deadline for filing an application for a |
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residence homestead exemption, or any proceeding instituted to |
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collect the tax. |
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SECTION 2. (a) The Texas Real Estate Commission shall |
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prescribe notice required by Section 5.208, Property Code, as added |
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by this Act, not later than December 1, 2015. |
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(b) Section 5.208, Property Code, as amended by this Act, |
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applies only to a transfer of property that occurs on or after |
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January 1, 2016. A transfer of property that occurs before that |
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date is governed by the law applicable to the transfer immediately |
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before that date, and the former law is continued in effect for that |
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purpose. For the purposes of this section, a transfer of property |
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occurs before the effective date of this Act if the contract binding |
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the purchaser to purchase the property is executed before that |
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date. |
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SECTION 3. This Act takes effect September 1, 2015. |