TEXAS – One of the late-night vetoes signed by Gov. Greg Abbott included legislation aimed at cracking down on title theft and deed fraud across Texas.
Senate Bill 648, introduced by Dallas-area Sen. Royce West, sought to strengthen existing laws in Texas by making the following adjustments:
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- Documents to transfer property could only if an attorney, title agent, title company, or escrow company that offers closing, settlement, or similar transaction service related to the property files it with the county clerk
- If filed by someone other than the grantor, the legislation would have to be signed by the grantor, both the grantor and grantee would acknowledge or swear to the document in the presence of two or more witnesses
- The grantor, grantee, and each witness would have to acknowledge or swear to the document before and have it certified
The House made minor changes to the bill but it ultimately passed both chambers. If approved, it would have taken effect on Sept. 1.
The governor’s veto proclamation explained that the bill would have imposed barriers to low-income Texans, rural residents, and people handling family land without legal assistance.
“The bill would require property owners--but only those who have not retained an attorney or title agent--to jump through additional hoops, like producing every named heir to execute an affidavit of heirship,” Abbott wrote in the veto proclamation. “The ability to hire a professional may help individuals navigate legal rules more easily. But it should not entitle a person to different rules altogether.”
The governor added the issue to lawmakers’ list of issues to tackle during the special session, which is scheduled to start July 21.
KPRC 2 News has reached out to Sen. West’s office for a response to the governor’s veto.
Fraudulent deeds, real issues
Over the last year, KPRC 2 has highlighted various title theft and deed fraud issues that have meant some property owners have lost their homes on paper, and in some cases in reality, without ever knowing.
In August, Selia Ybarra found out in a phone call from an attorney and later KPRC 2 that a home that had been in her family for generations was fraudulently transferred to a complete stranger. The alleged fraudster later agreed to sign documents that ultimately transferred the property back to Ybarra.
Related: 2 Helps You: How Greater Houston area homeowners can protect their home from deed theft
In April, the Harris County Attorney’s Office sued Alba and Jarin Martinez, a couple accused of filing dozens of fraudulent documents, sometimes using a fake notary, to steal at least 37 properties. In many cases, the couple allegedly sold the properties to non-English speakers who didn’t fully understand the real estate transaction process. Neither have been held criminally responsible.
Last week, KPRC 2 interviewed the Kelley family, whose longtime Acres Homes house no longer exists because it was sold to a third party and bulldozed after allegedly being transferred fraudulently. They’ve obtained a civil judgement against a man who allegedly committed the fraud, but they’re asking for criminal charges to be filed.
