I 

112TH CONGRESS 

2D SESSION H. R. 3849 

To amend the S.A.F.E. Mortgage Licensing Act of 2008 to provide an 

exception from the definition of loan originator for certain loans made 

with respect to manufactured homes, to amend the Truth in Lending 

Act to modify the definition of a high-cost mortgage, and for other 

purposes. 

IN THE HOUSE OF REPRESENTATIVES 

JANUARY 31, 2012 

Mr. FINCHER (for himself, Mr. DONNELLY of Indiana, and Mr. GARY G. MILLER of California) introduced the following bill; which was referred to the 

Committee on Financial Services 

A BILL 

To amend the S.A.F.E. Mortgage Licensing Act of 2008 

to provide an exception from the definition of loan originator for certain loans made with respect to manufactured homes, to amend the Truth in Lending Act to 

modify the definition of a high-cost mortgage, and for 

other purposes. 

1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled, 

3 SECTION 1. SHORT TITLE. 

4 This Act may be cited as the ‘‘Preserving Access to 

5 Manufactured Housing Act’’. 


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1 SEC. 2. MODIFICATIONS TO DEFINITIONS. 

2 (a) LOAN ORIGINATOR DEFINITION.—Section 

3 1503(4) of the S.A.F.E. Mortgage Licensing Act of 2008 

4 (12 U.S.C. 5102(4)) is amended— 

5 (1) in subparagraph (A)— 

6 (A) in clause (iii), by striking ‘‘and’’ at the 

7 end; 

8 (B) in clause (iv), by striking the period 

9 and inserting ‘‘; and’’; and 

10 (C) by adding at the end the following new 

11 clause: 

12 ‘‘(v) does not include an individual or 

13 entity that is a seller of manufactured 

14 homes unless such individual or entity is 

15 engaged in the business of a loan origi16 nator or receives compensation or gain for 

17 engaging in activities described under 

18 clause (i) that is in excess of any com19 pensation or gain received in a comparable 

20 cash transaction.’’; and 

21 (2) by adding at the end the following: 

22 ‘‘(E) ENGAGED IN THE BUSINESS OF A

23 LOAN ORIGINATOR.—For purposes of this para24 graph, the term ‘engaged in the business of a 

25 loan originator’ means to perform loan origi26 nator activities described under subparagraph 


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1 (A)(i) as a regular course of trade or business 

2 in exchange for compensation or gain paid sole3 ly for engaging in the sale or distribution of 

4 residential mortgage loans.’’. 

5 (b) HIGH-COST MORTGAGE DEFINITION.—Section 

6 103(bb)(1)(A)(i) of the Truth in Lending Act (15 U.S.C. 

7 1602(bb)(1)(A)(i)), as added by section 1431 of the Dodd8 Frank Wall Street Reform and Consumer Protection Act, 

9 is amended— 

10 (1) in subclause (I)— 

11 (A) by striking ‘‘(8.5 percentage points, if 

12 the dwelling is personal property and the trans13 action is for less than $50,000)’’; and 

14 (B) by striking ‘‘or’’ at the end; 

15 (2) in subclause (II), by adding ‘‘or’’ at the 

16 end; and 

17 (3) by adding at the end the following: 

18 ‘‘(III) by a first mortgage on a 

19 consumer’s principal dwelling that is 

20 considered personal property (or is a 

21 consumer credit transaction that does 

22 not include the purchase of real prop23 erty on which a dwelling is to be 

24 placed), the annual percentage rate at 

25 consummation of the transaction will 


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1 exceed the average prime offer rate, 

2 as defined in section 129C(b)(2)(B), 

3 for a comparable transaction, by more 

4 than— 

5 ‘‘(aa) 8.5 percentage points, 

6 in the case of a transaction in an 

7 amount of $50,000 or more, but 

8 less than $75,000 (as such 

9 amounts are adjusted by the Bu10 reau to reflect the change in the 

11 Consumer Price index); 

12 ‘‘(bb) 10.5 percentage 

13 points, in the case of a trans14 action in an amount of $30,000 

15 or more, but less than $50,000 

16 (as such amounts are adjusted by 

17 the Bureau to reflect the change 

18 in the Consumer Price index); or 

19 ‘‘(cc) such percentage 

20 points, above those described 

21 under item (bb), as the Bureau 

22 shall prescribe, in the case of a 

23 transaction that is in an amount 

24 of $30,000 or less (as such 

25 amount is adjusted by the BuVerDate Mar 15 2010 04:04 Feb 01, 2012 Jkt 019200 PO 00000 Frm 00004 Fmt 6652 Sfmt 6201 E:\BILLS\H3849.IH H3849

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1 reau to reflect the change in the 

2 Consumer Price Index);’’. 

Æ 


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