SB242 Summary

• Increases mortgage recording fees from $.15 to $.30 per $100 of indebtedness (or fraction thereof) for initial mortgages, deeds of trust, and contracts of conditional sale.

• Modifies the distribution of collected mortgage record taxes from a two-recipient system (one-third to county, two-thirds to state) to a four-recipient system allocating 5% to judges of probate, 25% to Alabama Housing Trust Fund, 33% to county treasurers, and 37% to the State Treasury.

• Applies the increased fee and new distribution to all mortgage and deed of trust recordings that secure debt and convey real or personal property in Alabama.

• Becomes effective on the first day of the third month following passage and approval by the Governor, or upon otherwise becoming law.