New Jersey legislation · 2026-2027 Regular Session
New Jersey S1420: Secondary mortgage loan payments-concerns requirements
Status: Passed both chambers, October 29, 2026
Exempts reverse mortgage transaction from requirement that secondary mortgage loan payments be made in equal amounts and payment periods.
What the bill says
An Act concerning requirements pertaining to secondary mortgages and reverse mortgages and amending P.L.2009, c.53.
From the introduced text, January 13, 2026:
An Act concerning requirements pertaining to secondary mortgages and reverse mortgages and amending P.L.2009, c.53. Be It Enacted by the Senate and General Assembly of the State of New Jersey: 1. Section 28 of P.L.2009, c.53 (C.17:11C-78) is amended to read as follows: 28. An instrument evidencing a secondary mortgage loan shall: a. Be in the form of a promissory note for a closed-end loan, and in the form of a loan agreement for an open-end loan, and shall be identifiable by the use of the words "Secondary Mortgage Loan" printed prominently, in 14-point bold type or larger, centered and at the top of the promissory note or loan agreement. b. [Provide] [ADDED: Except for a reverse mortgage transaction as defined by 15 U.S.C. s.1602, provide] for the payment, in full, of the total amount of the secondary mortgage loan in substantially equal payment periods, measured in terms of weeks or months, and, except as otherwise permitted, substantially equal installment payment amounts, except that the initial payment period may be deferred for 60 days, and, provided further, when appropriate for the purpose of facilitating payment in accordance with the borrower's intermittent income, a promissory note or loan agreement may provide an installment schedule which reduces or omits payments over any period of time during which the borrower's income is reduced …
Sponsors
- Joseph A. Lagana (D, 38) · primary sponsor
- Robert W. Singer (R, 30) · primary sponsor
- Sterley S. Stanley (D, 18) · primary sponsor
- Roy Freiman (D, 16) · primary sponsor
- Gordon M. Johnson (D, 37)
Latest actions
- : PA PBH (76-0-0)
- : SUB FOR A5389
- : REP 2RA
- : R/A REF AHO
- : PS (35-0)
- : REP 2RS
- : INT 1RS REF SCM
Votes
- 3RDG FINAL PASSAGE - Secondary mortgage loan payments-concerns requirements (October 29, 2026): 76 yea, 0 nay, passed
- Assembly Housing Committee: Reported favorably (October 5, 2026): 7 yea, 0 nay, passed
- 3RDG FINAL PASSAGE - Secondary mortgage loan payments-concerns requirements (May 28, 2026): 35 yea, 0 nay, passed
- Senate Commerce Committee: Reported favorably (May 18, 2026): 5 yea, 0 nay, passed
Subjects: HOUSING - FINANCE
Common questions
- What is S1420?
- S1420 is a bill in the New Jersey Legislature (2026-2027 Regular Session): Secondary mortgage loan payments-concerns requirements.
- What does S1420 do?
- In its own words: An Act concerning requirements pertaining to secondary mortgages and reverse mortgages and amending P.L.2009, c.53.
- What is the status of S1420?
- Passed both chambers as of October 29, 2026. Latest action: PA PBH (76-0-0) (October 29, 2026).
- Who sponsored S1420?
- Joseph A. Lagana (D, 38), with 4 co-sponsors.
- Where is the official record for S1420?
- On the New Jersey Legislature website: https://www.njleg.state.nj.us/bill-search/2026/S1420
Source: official New Jersey record. Tracked by Delilah, AI for legislation across all 50 states and Congress.