Protecting Consumers and Promoting Accountability
On October 6, 2025, Governor Gavin Newsom vetoed AB 1430, a bill that would have increased county recording fees on real estate documents across California to fund technology upgrades at recorder offices. In his veto letter to the State Assembly (page 1 of the Governor’s official notice), Newsom acknowledged the importance of efficiency and modernization but argued that raising fees on homebuyers and sellers was the wrong way to achieve it.
The Governor stated that while he supports efforts to improve California’s land title and recording systems, fee increases “will disincentivize efforts to think innovatively about how to deliver recording services at a lower cost, faster, and with better customer service.” Instead, he encouraged counties to find ways to achieve these goals without placing additional financial burdens on residents.
What AB 1430 Would Have Done
If signed, AB 1430 would have:
- Increased the recording and indexing fee for the first page of a document from $10 to $15, and to $4 for each additional page.
- Raised fees for property-related documents — including deeds, mortgage instruments, easements, and tax liens — from $1 to $3 per additional page.
- Applied these new fees to thousands of transactions processed daily by county recorders statewide.
For buyers and sellers, these incremental increases would have translated into higher closing costs — at a time when affordability pressures are already at historic highs across the state.
Cypress Escrow’s Response
“Governor Newsom’s veto of AB 1430 protects consumers from yet another hidden cost in the home-buying process,” said Chris Marquez, President of Cypress Escrow. “Escrow professionals see firsthand how every additional fee impacts working families struggling to close escrow. This veto keeps real estate transactions transparent and ensures government accountability in how public recording costs are managed.”
“Independent escrow companies are committed to modernization and efficiency, but those improvements must come through accountability and collaboration — not unchecked fee increases. We share the Governor’s belief that counties should explore technology solutions and process improvements before turning to consumers to fill funding gaps.”
Governor Newsom’s veto of AB 1430 prevents higher recording fees for homebuyers and underscores the importance of modernization through efficiency — not added costs.
Why This Matters for the Real Estate Industry
For agents, brokers, and escrow professionals, the Governor’s decision preserves predictability in closing costs and maintains California’s commitment to consumer protection in real estate transactions.
Escrow companies and recording offices share the same goals — accuracy, security, and timely processing — but achieving them shouldn’t come at the expense of homebuyers. By encouraging innovation and efficiency over fee increases, the state is signaling its support for modernization that works for everyone.
Cypress Escrow’s Commitment to Transparency
Cypress Escrow has long advocated for clear, up-front fees and efficient processes that benefit clients and partners alike. As a licensed independent escrow company serving Southern California, we support modernization through better technology, training, and collaboration — not through added costs to consumers.
Our team will continue to work closely with agents, brokers, and county partners to ensure a seamless recording process that reflects California’s high standards of integrity and service.
Next Steps
For agents and homebuyers who value transparency and fairness in their escrow process, partner with a team that shares those values.
Contact us to learn more about our escrow services.