Great news to report regarding previous Dodd-Frank regulations affecting the manufactured home industry! The U.S. House of Representatives (House) has passed legislation clarifying that a manufactured housing retailer or seller is not inappropriately considered a mortgage "loan originator" simply because they provide a customer with some assistance in the mortgage loan process. The passage of this very important piece of legislation will bypass earlier restrictions to retailers in our industry, and enable more Americans achieve the dream of home ownership! Read the full announcement below:
MHI Secures Major Victory for Manufactured Housing Retailers and Sellers
Congress Passes Bill Giving IndustryRelief
from the Dodd-Frank Act
The U.S. House of Representatives (House) has passed legislation clarifying that a manufactured housing retailer or seller is not inappropriately considered a mortgage "loan originator" simply because they provide a customer with some assistance in the mortgage loan process. This provision was included in S. 2155, the "Economic Growth, Regulatory Relief, and Consumer Protection Act," a package of reforms intended to improve the national financial regulatory framework and promote economic growth. S. 2155 passed the House on Tuesday by a strong bipartisan vote of 228-159. With S. 2155 already passed by the U.S. Senate in March, this legislation is now headed to the President’s desk for signature.
The passage of S. 2155 by the House is a result of MHI’s ongoing efforts to protect manufactured housing retailers and sellers from liability under federal consumer protection mortgage rules for the loan portion of a consumer transaction. MHI has continually argued that if a retailer or seller does not receive compensation or gain related to the loan, they should not be considered a loan originator simply because they help borrowers identify potential lenders or provide minimal assistance during the loan process.
MHI’s government affairs team worked closely with both Congressional leadership on Capitol Hill and champions of manufactured housing to secure passage of this important provision. The grassroots outreach from MHI members and state executive directors – totaling more than 15,000 calls and emails – was instrumental in helping Members of Congress understand the importance of this provision to their constituents.
Upon passage of the bill, U.S. Representative Andy Barr (R-KY), long-time supporter of manufactured housing and author of the Preserving Access to Manufactured Housing Act (H.R. 1699), said, “Dodd-Frank’s one-size-fits-all ‘loan originator’ definition failed to account for the unique nature of the manufactured housing market. The result: hard-working, low and moderate income Americans have lost access to affordable manufactured housing. The Preserving Access to Manufactured Housing Act, included in S. 2155, fixes this problem and enables more Americans to achieve the American Dream of homeownership.” View Representative Barr’s remarks here.
During House debate, Representative French Hill (R-AR) highlighted the manufactured housing provision contained in S. 2155, arguing that the provision, “will help hundreds of Arkansans – hardworking families who need access to credit for manufactured housing in rural parts of the state.”
The inclusion of the manufactured housing provision in S. 2155 was made possible by MHI’s extensive and successful efforts over the last few years in getting a similar provision included in three previous House-passed bills (H.R. 1699, H.R. 10, and an FY 2018 appropriations bill), as well as a freestanding Senate manufactured housing bill (S. 1751). On March 14th, the Senate passed S. 2155 by a vote of 67 to 31.
If you have any questions, please contact MHI's Government Affairs Department at
(703) 229-6208 orMHIgov@mfghome.org.