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SECOND REGULAR SESSION
[TRULY AGREED TO AND FINALLY PASSED]
SENATE SUBSTITUTE FOR
SENATE BILL NO. 834
103RD GENERAL ASSEMBLY
2026
4894S.02T
AN ACT
To amend chapters 442 and 443, RSMo, by adding thereto seven new sections relating to mortgage
modifications, with penalty provisions and a severability clause.
Be it enacted by the General Assembly of the State of Missouri, as follows:
Section A. Chapters 442 and 443, RSMo, are amended by 1
adding thereto seven new sections, to be known as sections 2
442.920, 443.920, 443.921, 443.922, 443.923, 443.924, and 3
443.925, to read as follows:4
442.920. 1. This section shall be known and may be 1
cited as the "Missouri Residential Sale Leaseback Protection 2
Act". 3
2. For purposes of this section, the following terms 4
mean: 5
(1) "Buyer", any person or entity that acquires an 6
ownership interest in residential real estate in a sale 7
leaseback transaction; 8
(2) "Residential real estate", real property that is 9
improved by a building or other structure that has one to 10
four dwelling units; 11
(3) "Sale leaseback", a transaction or series of 12
transactions in which a seller sells residential real estate 13
that is or was the seller's residence to another party and, 14
as a condition of the sale, or as part of the same or a 15
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related transaction, enters into a lease or rental agreement 16
to remain in or re-occupy the property; 17
(4) "Seller", any natural person who transfers an 18
ownership interest in residential real estate in a sale 19
leaseback transaction. 20
3. (1) In any sale leaseback transaction, the buyer 21
shall provide the seller with the following disclosure on a 22
single page in a clear and conspicuous manner, printed in 23
boldface type: 24
25
26
27
28
If you sign a sale leaseback agreement, you
are entering into a contract to sell your
home. This means you will no longer own your
home.
29
30
You may be subject to eviction if you do not
follow the lease terms.
31 You may lose the right to buy back your home.
32
33
This may affect your credit, taxes, and legal
rights.
34 You are encouraged to speak with:
35 (1) An attorney;
36 (2) A real estate agent;
37 (3) A housing counselor;
38 (4) A tax advisor; and
39 (5) A real estate appraiser.
40
41
No sale leaseback can be closed for at least
thirty (30) days after signing an agreement.
42
43
Do not sign unless you fully understand the
terms.
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(2) The disclosure required by subdivision (1) of this 44
subsection shall be provided to the seller not less than 45
fourteen calendar days prior to execution of any sale 46
leaseback agreement, and the disclosures shall be signed by 47
both the seller and the buyer concurrently with the 48
execution of the sale leaseback agreement. 49
(3) A copy of the signed disclosure required by 50
subdivision (1) of this subsection shall be provided to the 51
seller within five days of the execution of the sale 52
leaseback agreement. 53
4. There shall be no delivery, recording, or other 54
transfer of title from seller to buyer until thirty days 55
after the execution of any sale leaseback agreement. 56
5. (1) Any violation of the provisions of this 57
section shall be subject to a civil penalty not to exceed 58
ten thousand dollars per violation. 59
(2) The attorney general may bring an action to 60
enforce this section, including actions for injunctive 61
relief, civil penalties, and restitution. 62
(3) Any seller harmed by a violation of this section 63
may bring a civil action to recover: 64
(a) Actual damages; 65
(b) Statutory damages of ten thousand dollars, which 66
shall be in addition to any actual damages proven; 67
(c) Attorneys' fees and costs; and 68
(d) Equitable or injunctive relief. 69
6. No provision of this section shall be modified or 70
waived by any agreement. Any portion of an agreement that 71
is executed, modified, or extended after the effective date 72
of this section that modifies or waives a duty or remedy 73
under this section is void ab initio and unenforceable. 74
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443.920. Sections 443.920 to 443.925 shall be known 1
and may be cited as the "Uniform Mortgage Modification Act". 2
443.921. For purposes of sections 443.920 to 443.925, 1
the following terms mean: 2
(1) "Electronic", relating to technology having 3
electrical, digital, magnetic, wireless, optical, 4
electromagnetic, or similar capabilities; 5
(2) "Financial covenant", an undertaking to 6
demonstrate an obligor's creditworthiness, or the adequacy 7
of security provided by an obligor; 8
(3) "Modification", includes any change, amendment, 9
revision, correction, addition, supplementation, 10
elimination, waiver, and restatement; 11
(4) "Mortgage": 12
(a) An agreement that creates a consensual interest in 13
real property to secure payment or performance of an 14
obligation, regardless of: 15
a. How the agreement is denominated, including a 16
mortgage, deed of trust, trust deed, security deed, 17
indenture, and deed to secure debt; and 18
b. Whether the agreement also creates a security 19
interest in personal property; and 20
(b) Does not include an agreement that creates a 21
consensual interest to secure a liability owed by a unit 22
owner to a condominium association, owners' association, or 23
cooperative housing association for association dues, fees, 24
or assessments; 25
(5) "Mortgage modification", modification of: 26
(a) A mortgage; 27
(b) An agreement that creates an obligation, including 28
a promissory note, loan agreement, or credit agreement; or 29
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(c) An agreement that creates other security or credit 30
enhancement for an obligation, including an assignment of 31
leases or rents or a guaranty; 32
(6) "Obligation", a debt, duty, or other liability, 33
secured by a mortgage; 34
(7) "Obligor", a person that: 35
(a) Owes payment or performance of an obligation; 36
(b) Signs a mortgage; or 37
(c) Is otherwise accountable, or whose property serves 38
as collateral, for payment or performance of an obligation; 39
(8) "Person", an individual, estate, business or 40
nonprofit entity, government or governmental subdivision, 41
agency, or instrumentality, or other legal entity; 42
(9) "Recognized index", an index to which changes in 43
the interest rate may be linked that is: 44
(a) Readily available to, and verifiable by, the 45
obligor; and 46
(b) Beyond the control of the person to whom the 47
obligation is owed; 48
(10) "Record", used as a noun, means information: 49
(a) Inscribed on a tangible medium; or 50
(b) Stored in an electronic or other medium and 51
retrievable in perceivable form; 52
(11) "Sign", with present intent to authenticate or 53
adopt a record: 54
(a) Execute or adopt a tangible symbol; or 55
(b) Attach to or logically associate with the record 56
an electronic symbol, sound, or process. 57
443.922. 1. Except as provided in subsection 3 of 1
this section, sections 443.920 to 443.925 apply to a 2
mortgage modification. 3
2. Sections 443.920 to 443.925 do not affect: 4
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(1) Laws governing the required content of a mortgage; 5
(2) A statute of limitations or other law governing 6
the expiration or termination of a right to enforce an 7
obligation or a mortgage; 8
(3) A recording statute; 9
(4) A statute governing the priority of a tax lien or 10
other governmental lien; 11
(5) A statute of frauds; or 12
(6) Except as provided in subdivision (8) of 13
subsection 2 of section 443.923, law governing the priority 14
of a future advance. 15
3. Sections 443.920 to 443.925 do not apply to any of 16
the following modifications: 17
(1) A release of, or addition to, property encumbered 18
by a mortgage; 19
(2) A release of, addition of, or other change in an 20
obligor; or 21
(3) An assignment or other transfer of a mortgage or 22
an obligation. 23
443.923. 1. For a mortgage modification described in 1
subsection 2 of this section: 2
(1) The mortgage continues to secure the obligation as 3
modified; 4
(2) The priority of the mortgage is not affected by 5
the modification; 6
(3) The mortgage retains its priority regardless of 7
whether a record of the mortgage modification is recorded in 8
the public land records; and 9
(4) The modification is not a novation. 10
2. Subsection 1 of this section applies to one or more 11
of the following mortgage modifications: 12
(1) An extension of the maturity date of an obligation; 13
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(2) A decrease in the interest rate of an obligation; 14
(3) If the change does not result in an increase in 15
the interest rate of an obligation as calculated on the date 16
the modification becomes effective: 17
(a) A change to a different index that is a recognized 18
index if the previous index to which changes in the interest 19
rate were linked is no longer available; 20
(b) A change in the differential between the index and 21
the interest rate; 22
(c) A change from a floating or adjustable rate to a 23
fixed rate; or 24
(d) A change from a fixed rate to a floating or 25
adjustable rate based on a recognized index; 26
(4) A capitalization of unpaid interest or other 27
unpaid monetary obligation; 28
(5) A forgiveness, forbearance, or other reduction of 29
principal, accrued interest, or other monetary obligation; 30
(6) A modification of a requirement for maintaining an 31
escrow or reserve account for payment of an obligation, 32
including taxes and insurance premiums; 33
(7) A modification of a requirement for acquiring or 34
maintaining insurance; 35
(8) A modification of an existing condition to advance 36
funds; 37
(9) A modification of a financial covenant; and 38
(10) A modification of the payment amount or schedule 39
resulting from another modification described in this 40
subsection. 41
3. The effect of a mortgage modification not described 42
in subsection 2 of this section is governed by other law. 43
443.924. Pursuant to the authority granted by the 1
federal Electronic Signatures in Global and National 2
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Commerce Act, 15 U.S.C. Section 7002, sections 443.920 to 3
443.925 modify, limit, or supersede such act, 15 U.S.C. 4
Section 7001, et seq., as amended, but do not modify, limit, 5
or supersede 15 U.S.C. Section 7001(c), or authorize 6
electronic delivery of any of the notices described in 15 7
U.S.C. Section 7003(b). 8
443.925. Sections 443.920 to 443.925 apply to a 1
mortgage modification made on or after the effective date of 2
such sections regardless of when the mortgage or the 3
obligation was created. 4
Section B. If any provision of section A of this act 1
or the application thereof to anyone or to any circumstance 2
is held invalid, the remainder of those sections and the 3
application of such provisions to others or other 4
circumstances shall not be affected thereby. 5