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[Congressional Bills 112th Congress]
[From the U.S. Government Publishing Office]
[H.R. 2191 Introduced in House (IH)]

112th CONGRESS
  1st Session
                                H. R. 2191

  To require that any home inspection conducted in connection with a 
purchase of residential real property that involves a federally related 
mortgage loan be conducted by a State-licensed or State-certified home 
  inspector to determine the existence of structural, mechanical, and 
  electrical safety defects, and to require inclusion in the standard 
   settlement statement of information regarding any home inspection 
                conducted in connection with settlement.

_______________________________________________________________________

                    IN THE HOUSE OF REPRESENTATIVES

                             June 15, 2011

 Mr. Clay (for himself, Mr. Lynch, Mr. Connolly of Virginia, Mr. Davis 
 of Illinois, Mr. Braley of Iowa, Mr. Clarke of Michigan, Ms. Jackson 
Lee of Texas, Mr. Thompson of Mississippi, Mr. Richmond, Mr. Carson of 
 Indiana, Ms. Bass of California, Mr. Payne, Mr. Fattah, Mr. Rush, Mr. 
     Hastings of Florida, Mr. Cleaver, Mr. Butterfield, Ms. Lee of 
 California, and Ms. Wilson of Florida) introduced the following bill; 
       which was referred to the Committee on Financial Services

_______________________________________________________________________

                                 A BILL

 
  To require that any home inspection conducted in connection with a 
purchase of residential real property that involves a federally related 
mortgage loan be conducted by a State-licensed or State-certified home 
  inspector to determine the existence of structural, mechanical, and 
  electrical safety defects, and to require inclusion in the standard 
   settlement statement of information regarding any home inspection 
                conducted in connection with settlement.

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

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Home Inspection Act of 2011''.

SEC. 2. HOME INSPECTION REQUIREMENT.

    (a) Requirement.--The Bureau of Consumer Financial Protection of 
the Federal Reserve System, shall prescribe regulations to prohibit any 
lender from making any federally related mortgage loan (as such term is 
defined in section 3 of the Real Estate Settlement Procedures Act of 
1974 (12 U.S.C. 2602)) under which a home inspection is conducted in 
connection with settlement of the mortgage loan unless such inspection 
is conducted by a home inspector who is licensed, certified, approved, 
or otherwise regulated by the home State of the inspector or the State 
in which the real property is located.
    (b) Enforcement.--Compliance with the requirements imposed pursuant 
to subsection (a) of this section shall be enforced in the same manner 
as provided under section 108 of the Truth in Lending Act (15 U.S.C. 
1607) for enforcement of the requirements under such Act.

SEC. 3. INCLUSION OF HOME INSPECTION INFORMATION IN SETTLEMENT FORM.

    Effective on the designated transfer date under section 1062 of the 
Dodd-Frank Wall Street Reform and Consumer Protection Act (Public Law 
111-203; 124 Stat. 2039), subsection (a) of section 4 of the Real 
Estate Settlement Procedures Act of 1974 (12 U.S.C. 2603(a)), as 
amended by section 1098(2) of the Dodd-Frank Wall Street Reform and 
Consumer Protection Act (124 Stat. 2103), is further amended--
            (1) by inserting ``(1)'' after ``(a)''; and
            (2) by adding at the end the following new paragraph:
    ``(2) The Bureau shall include in the forms an item for identifying 
any home inspection conducted in connection with the settlement, when 
such inspection was or is to be completed, the cost of the inspection, 
whether the charge for such inspection is imposed on the borrower or 
the seller, and whether such charge has been paid before settlement and 
a copy of the receipt of payment for the inspection is included with 
the settlement documents. Such item shall be included in the forms at 
the place where items relating to additional settlement charges (such 
as pest inspection charges) are located.''.
                                 <all>
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