Iowa Real Estate Closing Agent Bond

IowaIowa State presented a new bill relating to real estate closing agents. The new bill is named SB 2348 and requires real estate closing agents to be licensed and also must acquire a $25,000 surety bond. The new bill authorizes the Superintendent of the Division of Banking to establish a larger surety bond quantity requirement. The surety bond would be conditioned on the cooperation with the applicable legislation and policy. SB 2348 implements suggestions the SFAA made regarding the surety bond quantity. A study edition of this bill would have called for a $250,000 surety bond. The SFAA suggested a $25,000 surety bond or a minimum quantity of $25,000 with the condition that a larger amount could be required through policy. The AIA local counsel and the local surety association brought the ideas to the bill sponsor and they were implemented in this new bill.