Seller Finance Regulation Reduction Act

Bill: 113-hr-5667
Sponsor: full_name: Rep. Williams, Roger [R-TX-25]
Introduced: 2014-09-18
Policy area: Housing and Community Development
Subjects: Banking and financial institutions regulation

Credit and credit markets

Housing finance and home ownership

Licensing and registrations

Real estate business
Latest action: action_date: 2014-09-18
text: Referred to the House Committee on Financial Services.

Summaries:
action_date: 2014-09-18
action_desc: Introduced in House
text: <p>Seller Finance Regulation Reduction Act - Amends the S.A.F.E. Mortgage Licensing Act of 2008 to exempt from certain licensing and registration requirements any person (other than a depository institution) who: (1) has less than $25 million in assets; and (2) only originates residential mortgage loans with respect to property owed by the person, and in an amount of $150,000 or less.</p> <p>Amends the Truth in Lending Act, with respect to minimum standards for residential mortgage loans, to prohibit, in determining whether a residential mortgage loan is a qualified mortgage, from applying to loans originated by such a person certain guidelines and regulations relating to ratios of total monthly debt to monthly income.</p>

tv_txt: I 113th CONGRESS 2d Session H. R. 5667 IN THE HOUSE OF REPRESENTATIVES September 18, 2014 Mr. Williams introduced the following bill; which was referred to the Committee on Financial Services A BILL To exempt small mortgage originators from certain licensing requirements and debt-to-income requirements for qualified mortgages.

1. Short title This Act may be cited as the Seller Finance Regulation Reduction Act . 2. Exemptions for seller financers (a) 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 requirements of this title shall not apply to any person (other than a depository institution) who— (1) has less than $25,000,000 in assets; and (2) only originates residential mortgage loans that— (A) are with respect to property that is owned by such person; and (B) are in an amount of $150,000 or less. . (b) Debt-to-Income ratios under qualified mortgages Section 129C(b)(2)(A) of the Truth in Lending Act ( 15 U.S.C. 1639c(b)(2)(A) ) is amended by inserting at the end the following flush-left text: In determining whether a residential mortgage loan is a qualified mortgage, guidelines and regulations issued pursuant to clause (vi) shall not apply to a loan originated by a person (other than a depository institution (as defined under section 3 of the Federal Deposit Insurance Act) or a credit union) who has less than $25,000,000 in assets and where such loan is with respect to property that is owned by such person and such loan is in an amount of $150,000 or less. .