Tex. Fin. Code Section 156.202
Exemptions


(a)

In this section, “depository institution,” “dwelling,” and “federal banking agency” have the meanings assigned by Section 180.002 (Definitions).

(a-1)

The following entities are exempt from this chapter:

(1)

a nonprofit organization:

(A)

providing self-help housing that originates zero interest residential mortgage loans for borrowers who have provided part of the labor to construct the dwelling securing the loan; or

(B)

that has designation as a Section 501(c)(3) organization by the Internal Revenue Service and originates residential mortgage loans for borrowers who, through a self-help program, have provided at least 200 labor hours or 65 percent of the labor to construct the dwelling securing the loan;

(2)

a mortgage banker registered under Chapter 157 (Mortgage Bankers and Residential Mortgage Loan Originators);

(3)

subject to Subsection (b), any owner of residential real estate who in any 12-consecutive-month period makes no more than three residential mortgage loans to purchasers of the property for all or part of the purchase price of the residential real estate against which the mortgage is secured; and

(4)

an entity that is:

(A)

a depository institution;

(B)

a subsidiary of a depository institution that is:
(i)
owned and controlled by the depository institution; and
(ii)
regulated by a federal banking agency; or

(C)

an institution regulated by the Farm Credit Administration.

(a-2)

A person is not required to obtain a license or registration under this chapter to originate a loan subject to Chapter 342 (Consumer Loans) or a loan governed by Section 50(a)(6), Article XVI, Texas Constitution, if the person:

(1)

is enrolled in the Nationwide Mortgage Licensing System and Registry;

(2)

is licensed under Chapter 342; and

(3)

makes consumer loans subject to:

(A)

Subchapter G, Chapter 342; and

(B)

Subchapter E or F, Chapter 342 (Consumer Loans).

(b)

In determining eligibility for an exemption under Subsection (a-1)(3), two or more owners of residential real estate are considered a single owner for the purpose of computing the number of mortgage loans made within the period specified by that subdivision if any of the owners are an entity or an affiliate of an entity, including a general partnership, limited partnership, limited liability company, or corporation, as defined by Section 1.002 (Definitions), Business Organizations Code.

(c)

Repealed by Acts 2013, 83rd Leg., R.S., Ch. 160, Sec. 87(5), eff. September 1, 2013.
Added by Acts 1999, 76th Leg., ch. 1254, Sec. 2, eff. Sept. 1, 1999. Amended by Acts 2001, 77th Leg., ch. 5, Sec. 1, eff. Sept. 1, 2001; Acts 2003, 78th Leg., ch. 135, Sec. 1, eff. Sept. 1, 2003.
Amended by:
Acts 2005, 79th Leg., Ch. 1018 (H.B. 955), Sec. 6.05, eff. September 1, 2005.
Acts 2007, 80th Leg., R.S., Ch. 228 (H.B. 1716), Sec. 2, eff. September 1, 2007.
Acts 2007, 80th Leg., R.S., Ch. 905 (H.B. 2783), Sec. 4, eff. September 1, 2007.
Acts 2009, 81st Leg., R.S., Ch. 1317 (H.B. 2774), Sec. 6, eff. September 1, 2009.
Acts 2011, 82nd Leg., R.S., Ch. 655 (S.B. 1124), Sec. 14, eff. September 1, 2011.
Acts 2011, 82nd Leg., R.S., Ch. 655 (S.B. 1124), Sec. 65(a)(4), eff. September 1, 2011.
Acts 2013, 83rd Leg., R.S., Ch. 160 (S.B. 1004), Sec. 14, eff. September 1, 2013.
Acts 2013, 83rd Leg., R.S., Ch. 160 (S.B. 1004), Sec. 87(5), eff. September 1, 2013.
Acts 2015, 84th Leg., R.S., Ch. 258 (S.B. 1203), Sec. 1, eff. September 1, 2015.
Acts 2021, 87th Leg., R.S., Ch. 76 (S.B. 43), Sec. 1, eff. January 1, 2022.

Source: Section 156.202 — Exemptions, https://statutes.­capitol.­texas.­gov/Docs/FI/htm/FI.­156.­htm#156.­202 (accessed Mar. 23, 2024).

156.001
Short Title
156.002
Definitions
156.003
Secondary Market Transactions
156.004
Disclosure to Applicant
156.005
Affiliated Business Arrangements
156.101
Administration and Enforcement of Chapter
156.102
Rulemaking Authority
156.103
Powers of Commissioner
156.104
Mortgage Industry Advisory Committee
156.105
Standard Forms
156.201
Licenses Required
156.202
Exemptions
156.203
Application
156.206
Criminal and Other Background Checks
156.207
Issuance of License
156.208
Renewals
156.209
Denial of Applications and Renewals
156.210
Conditional License
156.211
Change of Address or Sponsorship
156.212
Maintenance and Location of Offices
156.213
Mortgage Call Report
156.301
Inspections
156.302
Administrative Penalty
156.303
Disciplinary Action
156.304
Fee Assessment and Disclosure
156.305
Restitution
156.401
Hearings and Judicial Review
156.402
Civil Actions and Injunctive Relief
156.403
Burden of Proof to Establish an Exemption
156.404
Reliance on Written Notices from Commissioner
156.406
Unlicensed Activity
156.501
Recovery Fund
156.502
Funding
156.503
Statute of Limitations
156.504
Procedure for Recovery
156.505
Recovery Limits
156.506
Revocation or Suspension of License for Payment from Recovery Fund
156.507
Subrogation
156.508
Failure to Comply with Subchapter or Rule Adopted by the Finance Commission
156.551
Mortgage Grant Fund
156.552
Funding
156.553
Management of Fund
156.554
Disbursement from Fund
156.555
Payment of Claims for Fraudulent Unlicensed Activity
156.556
Rules
156.2012
Registered Financial Services Company
156.2041
Qualifications and Requirements for License: Mortgage Company
156.2042
Qualifications and Requirements for License: Credit Union Subsidiary Organization
156.2043
Qualifications and Requirements for License: Auxiliary Mortgage Loan Activity Company
156.2044
Qualifications and Requirements for License: Independent Contractor Loan Processor or Underwriter Company
156.2046
Conviction of Offense
156.2081
Reinstatement After Expiration
156.3011
Issuance and Enforcement of Subpoena

Accessed:
Mar. 23, 2024

§ 156.202’s source at texas​.gov