1. (a) In this chapter:

   1. (1) "Foreclosure consultant" means a person who makes a solicitation, representation, or offer to a homeowner to perform for compensation, or who for compensation performs, a service that the person represents will do any of the following:

      1. (A) prevent or postpone a foreclosure sale;

      2. (B) obtain a forbearance from:

         1. (i) a mortgagee;
         2. (ii) a beneficiary of a deed of trust; or
         3. (iii) another person who holds a lien secured by the residence in foreclosure;

      3. (C) assist the homeowner:

         1. (i) to cure the default giving rise to the foreclosure action; or
         2. (ii) to exercise the right of reinstatement of the homeowner's obligation secured by the residence in foreclosure;
      4. (D) obtain an extension of the period within which the homeowner may reinstate the homeowner's obligation secured by the residence in foreclosure;
      5. (E) obtain a waiver of an acceleration clause contained in a promissory note or contract secured by a deed of trust or mortgage on a residence in foreclosure or contained in the deed of trust or mortgage;
      6. (F) assist the homeowner to obtain a loan or advance of funds to prevent foreclosure;
      7. (G) avoid or ameliorate the impairment of the homeowner's credit resulting from the recording of a notice of default or the conduct of a foreclosure sale;
      8. (H) save the homeowner's residence from foreclosure; or
      9. (I) assist the homeowner in obtaining excess proceeds from a foreclosure sale of the homeowner's residence.
   2. (2) "Homeowner" means a person that holds record title to a residence in foreclosure at the time the foreclosure action has been commenced.
   3. (3) "Mortgage servicer" has the meaning assigned by Section 51.0001, Property Code.
   4. (4) "Residence in foreclosure" means residential real property consisting of not more than four single-family dwelling units, at least one of which is occupied as the property owner's principal place of residence, and against which a foreclosure action has been commenced.

2. (b) For purposes of Subsections (a)(2) and (4), a foreclosure action has been commenced if:

   1. (1) notice of sale has been filed under Section 51.002(b), Property Code; or
   2. (2) a judicial foreclosure action has been commenced.

Added by Acts 2011, 82nd Leg., R.S., Ch. 902 (S.B. 767), Sec. 1, eff. September 1, 2011.