Texas lawmakers are taking significant steps to enhance consumer protections in real estate and financial transactions. During the Senate Committee on Business and Commerce meeting on May 15, 2025, two key bills were discussed that aim to improve transparency and accountability for homebuyers and annuity contract holders.

House Bill 2,468 seeks to strengthen consumer protections for homebuyers by mandating that sellers provide clear notice when properties are located within a public improvement district (PID). Currently, while sellers must disclose this information, there is no recourse for buyers if they do not receive the notice before signing a contract. The new legislation allows buyers to terminate their purchase contract within seven days of receiving the required PID notice, ensuring they are fully informed before finalizing their purchase. This bill, which applies only to contracts executed after its effective date, aims to prevent unexpected financial burdens on homebuyers and promote fairness in real estate transactions.

In addition, House Bill 4,386 focuses on improving the processing of annuity contract exchanges and surrenders. This bill introduces deadlines and penalties for insurers that delay these transactions, thereby protecting consumers from potential abuses. It requires insurers to send a formal exchange request notice to existing insurers and mandates that they confirm receipt within five business days. If the required information is not provided, the timeline for the transfer does not begin until all necessary data is received. The bill also establishes a penalty of 10% annual interest on any unpaid transfer amounts beyond the deadline, reinforcing accountability among insurers.

Both bills reflect a commitment to enhancing consumer rights and ensuring that individuals are better informed and protected in their financial and real estate dealings. As these measures move forward, they promise to create a more transparent and equitable marketplace for Texas residents.