Florida Senate - 2017                                    SB 1298
       
       
        
       By Senator Garcia
       
       
       
       
       
       36-00321B-17                                          20171298__
    1                        A bill to be entitled                      
    2         An act relating to mortgage loans; amending s.
    3         494.001, F.S.; redefining the term “mortgage loan”;
    4         amending s. 494.00115, F.S.; requiring the Financial
    5         Services Commission to define the term “hold himself
    6         or herself out to the public as being in the mortgage
    7         lending business” by rule; providing an effective
    8         date.
    9          
   10  Be It Enacted by the Legislature of the State of Florida:
   11  
   12         Section 1. Subsection (24) of section 494.001, Florida
   13  Statutes, is amended to read:
   14         494.001 Definitions.—As used in this chapter, the term:
   15         (24) “Mortgage loan” means any:
   16         (a) Residential loan that primarily for personal, family,
   17  or household use which is secured by a mortgage, deed of trust,
   18  or other equivalent consensual security interest on a dwelling,
   19  as defined in s. 103(w) s. 103(v) of the federal Truth in
   20  Lending Act, or for the purchase of residential real estate upon
   21  which a dwelling is to be constructed;
   22         (b) Loan on commercial real property if the borrower is an
   23  individual or the lender is a noninstitutional investor; or
   24         (c) Loan on improved real property consisting of five or
   25  more dwelling units if the borrower is an individual or the
   26  lender is a noninstitutional investor.
   27         Section 2. Subsection (2) of section 494.00115, Florida
   28  Statutes, is amended to read:
   29         494.00115 Exemptions.—
   30         (2) The following persons are exempt from regulation under
   31  part III of this chapter:
   32         (a) A person acting in a fiduciary capacity conferred by
   33  the authority of a court.
   34         (b) A person who, as a seller of his or her own real
   35  property, receives one or more mortgages in a purchase money
   36  transaction.
   37         (c) A person who acts solely under contract and as an agent
   38  for federal, state, or municipal agencies for the purpose of
   39  servicing mortgage loans.
   40         (d) A person who makes only nonresidential mortgage loans
   41  and sells loans only to institutional investors.
   42         (e) An individual making or acquiring a mortgage loan using
   43  his or her own funds for his or her own investment, and who does
   44  not hold himself or herself out to the public as being in the
   45  mortgage lending business.
   46         (f) An individual selling a mortgage that was made or
   47  purchased with that individual’s funds for his or her own
   48  investment, and who does not hold himself or herself out to the
   49  public as being in the mortgage lending business.
   50  
   51  The commission shall define by rule the term “hold himself or
   52  herself out to the public as being in the mortgage lending
   53  business” as it is used in this subsection.
   54         Section 3. This act shall take effect January 1, 2018.