Plain English Breakdown
The official text does not define the specific age or criteria for 'retirement age', leaving that detail open until further regulation or definition is provided.
Study of Housing Downsizing for Seniors and Mortgage Transfer Rules
This law requires the Department of Housing and Community Development to study why seniors aged 60 or older want smaller homes, if funding is provided, and allows borrowers who have reached retirement age to move their current mortgage interest rate and remaining loan term to a new home.
What This Bill Does
- Requires the Department of Housing and Community Development to study the need and desire among seniors aged 60 or older to downsize their homes if the Legislature provides funding.
- Requires the department to submit a report on this study to the Legislature within one year after receiving funding.
- Allows borrowers who have reached retirement age to transfer their current interest rate and remaining loan term from an existing mortgage to a new principal residence.
- Ends all rules created by this bill automatically on January 1, 2032.
Who It Names or Affects
- Seniors who are 60 years of age or older regarding the study on downsizing needs.
- Borrowers who have reached retirement age and wish to transfer their mortgage terms to a new home.
- The Department of Housing and Community Development, which must conduct the study if funded.
Terms To Know
- Downsize
- To move from a larger home to a smaller one.
- Appropriation
- Money that the Legislature officially sets aside for a specific purpose, such as funding this study.
- Principal residence
- The main house where a person lives most of the time.
Limits and Unknowns
- The study only happens if the Legislature provides money for it.
- The bill does not define exactly what age counts as 'retirement age' in this text.
- All changes made by this law end on January 1, 2032.