Mortgage Financing in Oregon

Real Estate Agent with Chris Balmes Properties

I think everyone understands that mortgage loans are much harder to obtain these days.  Many of you currently have mortgages that are no longer available.  The State of Oregon is trying to make it even harder for Oregonians to obtain financing.  If our elected officials pass SB 1040 it will have a devastating effect on the value of our homes and economy.   

The grave reality is this bill is more about certain members of congress getting their name in lights than doing what is in the best interest of the people.  Don't allow them to negatively impact your net worth for their personal gain!

I urge you to contact your Senator and Representative today and tell them LOUD and CLEAR to vote NO!!

The good news is they go home in a couple of weeks and we can beat them at their own game.

Thank you in advance for participation in fighting a bad bill!


If you don't know who your State Senator or Representative is, go here:


Phone calls are great.  E-mail, faxes and letters are even better.  Please pass this on to everyone you know!!!!


I have included some highlights if you are interested.

We have another call to action on SB1090 that requires your participation.  We are asking you to get face to face with your Senator and your Representative.  This is particularly true if your state Senator or Representative is a member of the Oregon Legislature Joint Committee on Ways and Means, as identified later in this email.  Your participation is critical to our success as each of us can only visit our own legislators as constituents.


The present situation is as follows:


·         The bill is still alive.  SB1090 passed through the Oregon Senate Commerce and Labor Committee on Monday evening at around 7:45 PM on a 3-2 party line vote.  Due to a projected financial impact of around $500K - $600K for the remainder of the biennium, it was sent to the Joint Committee on Ways and Means.

·        It was the Dash 4 and Dash 9 amendments that were approved, and these amendments were handed out about 15 minutes into Monday's hearing.  No one had advance notice or time to prepare for these amendments.  The Dash 4 amendments require an elevated amount of mortgage lender and mortgage broker bonding at $100K (increased coverage) and the establishment of an Errors and Omissions coverage at $500K (new).  The Dash 9 amendment is a complete re-write of the original SB1090 and is essentially a new bill.

·         You are receiving this message after the OAMP Government Affairs Committee (GAC) has had time to review the content of the Dash 4 and Dash 9 amendments.  Significant issues with SB1090, as amended, remain.

·         The Joint Committee on Ways and Means is a committee comprised of 10 State Senators and 9 State Representatives.  Having been referred to this committee, the bill can:

o        Remain here for the remainder of the session (in other words, die).

o        Be amended by the members of the joint committee or maintain its present condition.  In either case, it can then be voted on by members of the committee.

o        Be approved, as amended, by a minimum of 6 Senate and 5 House member votes within the committee to make it to the respective floors for a vote.

·         The mortgage broker and mortgage lender community, in unison with the other members of the United Financial Lobby (UFL), needs to continue to bring forth our collective message to the legislative body.  Get in contact with your Senator and Representative in Salem and discuss the following talking points.  Do so in a very respectful manner - our combined testimony and discussion on this important topic has been very professional and it needs to remain so - we are committed to improving state oversight and regulation of the mortgage industry, but SB1090 in present form isn't the answer:

o        This is a rushed piece of legislation that affects a highly complex industry.  Unintended consequences could lead to a real estate finance related disaster in Oregon.

o        Subjectivity - SB1090, as amended, contains many subjective components which remain a cause for great concern, particularly with respect to the possibility of discrimination.

o        Unlevel playing field - Oregon businesses would be forced to operate at a distinct disadvantage to large, out of state competitors. 

o        SB1090 has a current financial impact to the state estimated at between $500K - $600K.  The regulated entities would end up picking up the tab via higher license fees.  (Note - to legislators, this means "higher taxes", which none of them want to be linked to).


If your State Senator or Representative is on the list below, please make it a priority to set an appointment (phone or in person) to meet with them this week!


Oregon Legislature

Joint Committee on Ways and Means



Kurt Schrader; Co-Chair(D):                  

Mary Nolan; Co-Chair(D):                     

Sen. Margaret Carter: Vice Chair(D):   

Rep. Nancy Nathanson, Vice Chair(D):

Sen. Alan Bates(D):                                
Sen. Avel Gordly(D):                              

Sen. Betsy Johnson(D):                          
Sen. Rod Monroe(D):                             
Sen. David Nelson(R):                            
Sen. Joanne Verger(D):                          
Sen. Doug Whitsett(R):                          
Sen. Jackie Winters(R):                          

Rep. David Edwards(D):                         

Rep. Larry Galizio(D):                             

Rep. Bruce Hanna(R):                             

Rep. Bob Jenson(R):                               

Rep. Susan Morgan(R):                          

Rep. Chip Shields(D):                             

Rep. Patti Smith(R):                               



Lisa Balmes PC, e-Pro

Chris Balmes Properties


Interested Consumer
It would be helpful to have a link to deeper analyses. The only information here that is specific is the higher bonding and insurance requirements. The problem with these increased fees are that they create a barrier to entry into the business and make it less attractive to small companies and viable for only larger companies. What is the rationale for this legislation? The other objections raised are too vague to understand what they are even about, let alone why they are raised. Point being - this is not enough info to take action on. If you want me to contact my representatives - give me something to get riled up about! Thanks and good luck.
Feb 20, 2008 10:33 AM