Relating to closing costs for a debt secured by an interest in land

Sponsored by the House Commerce Committee

Topics:Business & economy Housing & property

Same legislation: HSB 125, SSB 1103, SF 398

Write your legislators about itWhat changed before it passed

Official bill page Lobbyist declarations One-pager to print

Where it is now

Done: IntroducedFebruary 5, 2025
Done: SubcommitteeFebruary 5, 2025
Done: House committeeFebruary 18, 2025
Done: Passes the HouseApril 17, 202593–0
Skipped: Senate committeeSkipped
Done: Passes the SenateMarch 26, 202547–0
Done: To the GovernorMay 6, 2025
Done: Signed into lawMay 6, 2025

SF 398 became law → The same legislation passed as SF 398, so this version was set aside. Go to SF 398 What’s a funnel?

What’s in it

AI summary Lenders who provide loans for land or homes can charge certain closing costs and discount points to lower a borrower's interest rate. These extra fees must be fair, reasonable, and not used to bypass existing consumer protection laws. Mortgage bankers must also follow specific federal limits on the total amount of points and fees they can charge.¹

Read the official explanation

This bill relates to closing costs for a debt secured by an interest in land.8(5). A creditor may also contract for and receive discount points for the purpose of reducing, and which result in a reduction of, the interest rate or time-price differential applicable to the loan, and points agreed upon by the creditor and borrower to offer a given interest rate.

Changed since by amendment H-1240; see Amendments.

Full bill text · What changed before it passed²