SEC. 3. EXCEPTION FOR SELLER FINANCERS WITH RE-
SPECT TO LOAN ORIGINATOR LICENSE OR 
REGISTRATION REQUIREMENTS. 
Section 1504 of the S.A.F.E. Mortgage Licensing Act 
of 2008 (12 U.S.C. 5103) is amended by adding at the 
end the following: 
‘‘(c) EXCEPTION FOR SELLER FINANCERS.—The re-
quirements of this title shall not apply to the following: 
‘‘(1) REAL
PROPERTY
SELLER
FINANCERS.— 
Any person (other than a depository institution) 
who, during any 12-month period— 
‘‘(A) originates no residential mortgage 
loan or extension of credit secured by real prop-
erty that (together with any improvements 
thereto) has a value of more than $200,000 (as 
calculated based on the principal amount of the 
loan or extension of credit and the amount of 
downpayment, if any); 
‘‘(B) originates not more than 20 residen-
tial mortgage loans or extensions of credit, 
where— 
‘‘(i) each such residential mortgage 
loan or extension of credit is secured by 
real property that (together with any im-
provements 
thereto) 
has 
a 
value 
of 
$200,000 or less (as calculated based on 
VerDate Sep 11 2014 
17:57 Jan 16, 2020
Jkt 099200
PO 00000
Frm 00003
Fmt 6652
Sfmt 6201
E:\BILLS\H5614.IH
H5614
pamtmann on DSKBC07HB2PROD with BILLS
the principal amount of the loan or exten-
sion of credit and the amount of downpay-
ment, if any); and 
‘‘(ii) at least one of such residential 
mortgage loans or extensions 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 the principal amount of the loan 
or extension of credit and the amount of 
downpayment, if any); 
‘‘(C) originates not more than 30 residen-
tial mortgage loans or extensions of credit, 
where each such residential mortgage loan or 
extension of credit is secured by real property 
that (together with any improvements thereto) 
has a value of $100,000 or less (as calculated 
based on principal amount of the loan or exten-
sion of credit and the amount of downpayment, 
if any); and 
‘‘(D) only originates residential mortgage 
loans or extensions of credit that are with re-
spect to property that is owned by such person. 
VerDate Sep 11 2014 
17:57 Jan 16, 2020
Jkt 099200
PO 00000
Frm 00004
Fmt 6652
Sfmt 6201
E:\BILLS\H5614.IH
H5614
pamtmann on DSKBC07HB2PROD with BILLS
‘‘(2) 
MANUFACTURED
HOME
SELLER 
FINANCERS.—Any person (other than a depository 
institution) who, during any 12-month period— 
‘‘(A) originates not more than 30 loans or 
extensions of credit that are primarily for per-
sonal, family, or household use and that are se-
cured by a security interest on a manufactured 
home (as defined under section 603 of the Na-
tional Manufactured Housing Construction and 
Safety Standards Act of 1974); and 
‘‘(B) only originates residential mortgage 
loans or extensions of credit that are with re-
spect to property that is owned by such per-
son.’’. 
SEC. 4. EXCEPTION FOR SELLER FINANCERS IN THE DEFI-
NITION OF MORTGAGE ORIGINATOR. 
Subparagraph (E) of section 103(dd)(2) of the Truth 
in Lending Act (15 U.S.C. 1602(dd)(2)) is amended— 
(1) by redesignating subparagraphs (F) and 
(G) as subparagraphs (G) and (H), respectively; 
(2) by amending subparagraph (E) to read as 
follows: 
‘‘(E) does not include, with respect to a 
residential mortgage sale, a person or entity 
(including a corporation, partnership, propri-
VerDate Sep 11 2014 
17:57 Jan 16, 2020
Jkt 099200
PO 00000
Frm 00005
Fmt 6652
Sfmt 6201
E:\BILLS\H5614.IH
H5614
pamtmann on DSKBC07HB2PROD with BILLS
etorship, association, cooperative, estate, or 
trust) if— 
‘‘(i) such a person or entity provides 
seller financing, in a 12-month period, for 
the sale of— 
‘‘(I) no property where the loan 
or extension of credit is secured by 
real property that (together with any 
improvements thereto) has a value of 
more than $200,000 (as calculated 
based on principal amount of the loan 
or extension of credit and the amount 
of downpayment, if any); 
‘‘(II) not more than 20 prop-
erties, where— 
‘‘(aa) each such loan or ex-
tension of credit is secured by 
real property that (together with 
any improvements thereto) has a 
value of $200,000 or less (as cal-
culated 
based 
on 
principal 
amount of the loan or extension 
of credit and the amount of 
downpayment, if any); and 
VerDate Sep 11 2014 
17:57 Jan 16, 2020
Jkt 099200
PO 00000
Frm 00006
Fmt 6652
Sfmt 6201
E:\BILLS\H5614.IH
H5614
pamtmann on DSKBC07HB2PROD with BILLS