table rights accruing to the Secretary in connec-
tion with the payment of such insurance, includ-
ing unpaid insurance premiums owed in connec-
tion with insurance made available by this title. 
‘‘(2) ADVERTISEMENTS
FOR
PROPOSALS.—Sec-
tion 3709 of the Revised Statutes shall not be con-
strued to apply to any contract of hazard insurance 
or to any purchase or contract for services or supplies 
on account of such property if the amount thereof does 
not exceed $25,000. 
‘‘(3) DELEGATION OF AUTHORITY.—The power to 
convey and to execute in the name of the Secretary, 
deeds of conveyance, deeds of release, assignments and 
satisfactions of mortgages, and any other written in-
strument relating to real or personal property or any 
interest therein heretofore or hereafter acquired by the 
Secretary pursuant to the provisions of this title may 
be exercised by an officer appointed by the Secretary 
without the execution of any express delegation of 
power or power of attorney. Nothing in this sub-
section shall be construed to prevent the Secretary 
from delegating such power by order or by power of 
attorney, in the Secretary’s discretion, to any officer 
or agent the Secretary may appoint.’’.
SEC. 148. REVISION OF UNDERWRITING CRITERIA. 
(a) IN GENERAL.—Subsection (b) of section 2 of the 
National Housing Act (12 U.S.C. 1703(b)), as amended by 
the preceding provisions of this title, is further amended 
by adding at the end the following new paragraph: 
‘‘(10) FINANCIAL SOUNDNESS OF MANUFACTURED 
HOUSING
PROGRAM.—The Secretary shall establish 
such underwriting criteria for loans and advances of 
credit in connection with a manufactured home or a 
lot on which to place a manufactured home (or both), 
including such loans and advances represented by ob-
ligations purchased by financial institutions, as may 
be necessary to ensure that the program under this 
title for insurance for financial institutions against 
losses from such loans, advances of credit, and pur-
chases is financially sound.’’. 
(b) TIMING.—Not later than the expiration of the 6-
month period beginning on the date of the enactment of this 
title, the Secretary of Housing and Urban Development 
shall revise the existing underwriting criteria for the pro-
gram referred to in paragraph (10) of section 2(b) of the 
National Housing Act (as added by subsection (a) of this 
section) in accordance with the requirements of such para-
graph.
SEC. 149. PROHIBITION AGAINST KICKBACKS AND UN-
EARNED FEES. 
Title I of the National Housing Act is amended by 
adding at the end of section 9 the following new section: 
‘‘SEC. 10. PROHIBITION AGAINST KICKBACKS AND UN-
EARNED FEES. 
‘‘(a) IN GENERAL.—Except as provided in subsection 
(b), the provisions of sections 3, 8, 16, 17, 18, and 19 of 
the Real Estate Settlement Procedures Act of 1974 (12 
U.S.C. 2601 et seq.) shall apply to each sale of a manufac-
tured home financed with an FHA-insured loan or exten-
sion of credit, as well as to services rendered in connection 
with such transactions. 
‘‘(b) AUTHORITY OF THE SECRETARY.—The Secretary 
is authorized to determine the manner and extent to which 
the provisions of sections 3, 8, 16, 17, 18, and 19 of the 
Real Estate Settlement Procedures Act of 1974 (12 U.S.C. 
2601 et seq.) may reasonably be applied to the transactions 
described in subsection (a), and to grant such exemptions 
as may be necessary to achieve the purposes of this section. 
‘‘(c) DEFINITIONS.—For purposes of this section—
‘‘(1) the term ‘federally related mortgage loan’ as 
used in sections 3, 8, 16, 17, 18, and 19 of the Real 
Estate Settlement Procedures Act of 1974 (12 U.S.C. 
2601 et seq.) shall include an FHA-insured loan or 
extension of credit made to a borrower for the purpose
of purchasing a manufactured home that the borrower 
intends to occupy as a personal residence; and 
‘‘(2) the term ‘real estate settlement service’ as 
used in sections 3, 8, 16, 17, 18, and 19 of the Real 
Estate Settlement Procedures Act of 1974 (12 U.S.C. 
2601 et seq.) shall include any service rendered in 
connection with a loan or extension of credit insured 
by the Federal Housing Administration for the pur-
chase of a manufactured home. 
‘‘(d) UNFAIR AND DECEPTIVE PRACTICES.—In connec-
tion with the purchase of a manufactured home financed 
with a loan or extension of credit insured by the Federal 
Housing Administration under this title, the Secretary 
shall prohibit acts or practices in connection with loans or 
extensions of credit that the Secretary finds to be unfair, 
deceptive, or otherwise not in the interests of the borrower.’’. 
SEC. 150. LEASEHOLD REQUIREMENTS. 
Subsection (b) of section 2 of the National Housing 
Act (12 U.S.C. 1703(b)), as amended by the preceding pro-
visions of this title, is further amended by adding at the 
end the following new paragraph: 
‘‘(11) LEASEHOLD REQUIREMENTS.—No insur-
ance shall be granted under this section to any such 
financial institution with respect to any obligation 
representing any such loan, advance of credit, or pur-