H.R. 5667 — Introduced in House

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. .