I 118th CONGRESS 1st Session H. R. 5837 IN THE HOUSE OF REPRESENTATIVES September 29, 2023 Mr. Garbarino (for himself and Mr. Vicente Gonzalez of Texas ) introduced the following bill; which was referred to the Committee on Financial Services A BILL To provide additional requirements for the purchase and sale of conventional mortgages by the enterprises, and for other purposes.

1. Short title This Act may be cited as the Protecting America's Property Rights Act . 2. Fannie Mae charter amendments (a) Purchase and sale of conventional mortgages Section 302(b)(2) of the Federal National Mortgage Association Charter Act ( 12 U.S.C. 1717(b)(2) ) is amended by inserting No such purchase of a conventional mortgage secured by a property comprising one- to four-family dwelling units shall be made unless the mortgage is secured by real property and the priority of the lien of the mortgage is insured by a title insurance company licensed and authorized to do business in the State, territory, or district in which the property securing the mortgage is located. after the first sentence. (b) Approval of new activities and risk Section 302(b)(6) of the Federal National Mortgage Association Charter Act ( 12 U.S.C. 1717(b)(6) ) is amended to read as follows: (6) Prior approval of Director and Secretary for new programs (A) In general The corporation may not implement any new program, activity, product, or type of risk unless the corporation first obtains the approval of the Director of the Federal Housing Finance Agency and the Secretary of the Treasury. (B) Hearings The Director of the Federal Housing Finance Agency shall appear before the Committee on Banking, Housing, and Urban Affairs of the Senate and the Committee on Financial Services of the House of Representatives on a semi-annual basis regarding any new program, activity, product, or type of risk approved under subparagraph (A). . (c) Secondary market operations Section 304(a) of the Federal National Mortgage Association Charter Act ( 12 U.S.C. 1719(a) ) is amended— (1) in paragraph (1), in the first sentence, by inserting and for which the priority of the lien of the mortgage is insured by a title insurance companies licensed and authorized to do business in the State, territory, or district in which the property securing the mortgage is located before the period at the end; and (2) in paragraph (2), in the second sentence, by striking or (B) to originate mortgage loans and inserting (B) to originate mortgage loans; or (C) to purchase mortgages for which the priority of the lien of the mortgage is insured by a title insurance company licensed and authorized to do business in the State, territory, or district in which the property securing the mortgage is located . 3. Freddie Mac charter amendments (a) Purchase and sale of conventional mortgages Section 305(a)(2) of the Federal Home Loan Corporation Act ( 12 U.S.C. 1454(a)(2) ) is amended by inserting The Corporation may not purchase a conventional mortgage secured by a property comprising one- to four-family dwelling units unless the mortgage is secured by real property and the priority of the lien of the mortgage is insured by a title insurance company licensed and authorized to do business in the State in which the property securing the mortgage is located. after the second sentence. (b) Approval of new activities and risk Section 305(c) of the Federal Home Loan Corporation Act ( 12 U.S.C. 1454(c) ) is amended to read as follows: (c) Prior approval of Director and Secretary for new programs (1) In general The Corporation may not implement any new program, activity, product, or type of risk unless the Corporation first obtains the approval of the Director of the Federal Housing Finance Agency and the Secretary of the Treasury. (2) Hearings The Director of the Federal Housing Finance Agency shall appear before the Committee on Banking, Housing, and Urban Affairs of the Senate and the Committee on Financial Services of the House of Representatives on a semi-annual basis regarding any new program, activity, product, or type of risk approved under paragraph (1). . (c) Secondary market operations Section 305(a) of the Federal Home Loan Corporation Act ( 12 U.S.C. 1454(a) ) is amended— (1) in paragraph (1), in the first sentence, by inserting for which the priority of the lien of the mortgage is insured by a title insurance companies licensed and authorized to do business in the State in which the property securing the mortgage is located before the period at the end; and (2) in paragraph (5), in the third sentence, by striking or (B) to originate mortgage loans and inserting (B) to originate mortgage loans; or (C) to purchase mortgages for which the priority of the lien of the mortgage is insured by a title insurance company licensed and authorized to do business in the State in which the property securing the mortgage is located . 4. Definition of conforming mortgage Section 1303(26) of the Federal Housing Enterprises Financial Safety and Soundness Act of 1992 ( 12 U.S.C. 4502(26) ) is amended— (1) by redesignating subparagraphs (A) and (B) as clauses (i) and (ii), respectively, and adjusting the margins accordingly; (2) by striking mortgage having and inserting mortgage— (A) having ; (3) in subparagraph (A)(ii), as so redesignated, by striking the period at the end and inserting ; and ; and (4) by adding at the end the following: (B) for which the priority of the lien of the mortgage is insured by a title insurance company licensed and authorized to do business in the State in which the property securing the mortgage is located. .