‘‘(bb) at least one such loan 
or extension of credit is secured 
by real property that (together 
with any improvements thereto) 
has 
a 
value 
of 
more 
than 
$100,000 (as calculated based on 
principal amount of the loan or 
extension 
of 
credit 
and 
the 
amount of downpayment, if any); 
and 
‘‘(III) not more than 30 prop-
erties, where each such loan or exten-
sion of credit is secured by real prop-
erty that (together with any improve-
ments 
thereto) 
has 
a 
value 
of 
$100,000 or less (as calculated based 
on principal amount of the loan or ex-
tension of credit and the amount of 
downpayment, if any); and 
‘‘(ii) each piece of real property de-
scribed under clause (i) is owned by such 
a person or entity and serves as security 
for the loan or extension of credit, provided 
that such loan or extension of credit— 
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pamtmann on DSKBC07HB2PROD with BILLS
‘‘(I) is not made by a person or 
entity that has constructed, or acted 
as a general contractor for the con-
struction of, a residence on the prop-
erty in the ordinary course of business 
of such person, corporation, associa-
tion, estate, or trust; 
‘‘(II) is fully amortizing; 
‘‘(III) is with respect to a sale 
for which the seller determines in 
good faith and documents that the 
buyer has a reasonable ability to pay 
the seller; 
‘‘(IV) has a fixed rate or an ad-
justable rate that is adjustable after 5 
or more years, subject to reasonable 
annual and lifetime limitations on in-
terest rate increases; and 
‘‘(V) meets any other criteria the 
Bureau may prescribe;’’; and 
(3) by inserting after subparagraph (E) the fol-
lowing: 
‘‘(F) does not include, with respect to a 
residential mortgage loan or extension of credit, 
a person or entity (including a corporation, 
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pamtmann on DSKBC07HB2PROD with BILLS
partnership, proprietorship, association, cooper-
ative, estate, or trust) if— 
‘‘(i) the loan or extension of credit is 
seller financed and is a consumer loan or 
extension of credit secured by a security 
interest on a manufactured home (as de-
fined under section 603 of the National 
Manufactured Housing Construction and 
Safety Standards Act of 1974); and 
‘‘(ii) each home described under 
clause (i) is owned by such a person or en-
tity and serves as security for the loan or 
extension of credit, provided that such loan 
or extension of credit— 
‘‘(I) is not made by a person or 
entity that has manufactured the 
manufactured home; 
‘‘(II) is fully amortizing; 
‘‘(III) is with respect to a sale 
for which the seller determines in 
good faith and documents that the 
buyer has a reasonable ability to pay 
the seller; 
‘‘(IV) has a fixed rate or an ad-
justable rate that is adjustable after 5 
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pamtmann on DSKBC07HB2PROD with BILLS
or more years, subject to reasonable 
annual and lifetime limitations on in-
terest rate increases; and 
‘‘(V) meets any other criteria the 
Bureau may prescribe;’’. 
SEC. 5. REPORT ON SELLER FINANCING. 
(a) STUDY.—The Secretary of Housing and Urban 
Development and the Secretary of the Treasury shall 
jointly carry out a study on— 
(1) the number of homes bought for under 
$200,000 or 60 percent of the median home value 
in a given community, whichever is lower, in the 
United States by utilizing seller financing described 
under section 2; 
(2) the number of homes described under para-
graph (1) financed by licensed mortgage brokers or 
depository institutions; 
(3) the potential number of homes described 
under paragraph (1) which could be financed by li-
censed mortgage brokers or depository institutions 
but are not, because seller financiers are unwilling, 
or from a practical standpoint unable, to comply 
with mortgage broker rules; and 
(4) the potential benefit to home values, neigh-
borhood stabilization, and family wealth creation 
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pamtmann on DSKBC07HB2PROD with BILLS
through affordable homeownership if more homes 
are able to be sold utilizing seller financing. 
(b) REPORT.—Not later than the end of the 1-year 
period beginning on the date of the enactment of this Act, 
the Secretary of Housing and Urban Development and the 
Secretary of the Treasury shall jointly issue a report to 
the Committee on Financial Services of the House of Rep-
resentatives and the Committee on Banking, Housing, and 
Urban Affairs of the Senate containing— 
(1) all findings and determinations made in car-
rying out the study required under subsection (a); 
and 
(2) data on the number of transactions utilizing 
seller financing 20 years, 15 years, 10 years, and 5 
years prior to the date of the enactment of this Act. 
Æ 
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