Texas House Bill 1470 becomes effective September 1, 2017 and amends Texas Title 2, Business & Commerce Code by adding Chapter 22. The new section applies only to a public sale of residential real property conducted under a power of sale in a security instrument. Among other things, the new section:
- Contains definitions relating to the foreclosure process;
- Sets forth requirements for trustee contracts;
- Identifies required information from the winning bidder;
- Obligates the trustee or substitute trustee to provide the winning bidder with a receipt and deed; and
- Establishes the responsibility of the trustee or substitute trustee relative to the maintenance of the funds received at the sale.