Partnership to Strengthen Homeownership Act of 2014
A BILL
To reform the housing finance system of the United States, and for other purposes.
Sec. 2 Definitions
For purposes of this Act:
Banking definitions— The term “bank” and “savings association” have the meaning given those terms, respectively, under section 3 of the Federal Deposit Insurance Act (12 U.S.C. 1813).
Certification date— The term “certification date” means the earlier of—
the date on which Ginnie Mae makes the certification described under section 201(h); and
the date that is the end of the 2-year period beginning on the date of the enactment of this Act.
Charter Act— The term “charter Act” means—
with respect to the Federal National Mortgage Association, the Federal National Mortgage Association Charter Act (12 U.S.C. 1716 et seq.); and
with respect to the Federal Home Loan Mortgage Corporation, the Federal Home Loan Mortgage Corporation Act (12 U.S.C. 1451 et seq.).
Credit union— The term “credit union” means any “Federal credit union” or “State credit union”, as such terms are defined under section 101 of the Federal Credit Union Act (12 U.S.C. 1752).
Director— The term “Director” means the Director of Ginnie Mae, as such position is established pursuant to the amendments made by section 101(c)(1).
Eligible mortgage— The term “eligible mortgage”—
has the meaning given the term “qualified mortgage” under section 129C(b)(2)(A) of the Truth in Lending Act (15 U.S.C. 1639c), as such meaning may be adjusted by the Director if the Director determines such adjustment is appropriate; and
includes such other minimum standards as may be established by the Platform, to ensure the quality of mortgages used to collateralize mortgage-backed securities issued by the Platform.
Eligible multifamily mortgage loan— The term “eligible multifamily mortgage loan” means a commercial real estate loan—
secured by a property with—
5 or more residential units; or
2 or more residential units, if the requirement under clause (i) is waived by the Director for purposes of carrying out a demonstration or pilot program;
the primary source of repayment for which is expected to be derived from rental income generated by the property;
the term of which may not be less than 5 years but not more than 40 years;
that satisfies any additional underwriting criteria established by the Director to balance supporting access to capital with managing credit risk to the Fund, including—
a maximum loan-to-value ratio;
a minimum debt service coverage ratio; and
considerations for restrictive or special uses of a property, including non-residential uses, properties for seniors, manufactured housing, and affordability restrictions, and the impact of such uses on clauses (i) and (ii); and
that satisfies any additional underwriting criteria that may be established by the Director.
Enterprise— The term “enterprise” means—
the Federal National Mortgage Association and any affiliate thereof; and
the Federal Home Loan Mortgage Corporation and any affiliate thereof.
Fund— The term “Fund” means the insurance fund established under section 202(g).
Ginnie Mae— The term “Ginnie Mae” means the Government National Mortgage Association.
Market participant— The term “market participant” means any insurance company, bank, saving association, credit union, or real estate investment trust insuring or reinsuring any part of a security issued by the Platform.
Participating aggregator— The term “participating aggregator” means an aggregator of eligible mortgages that collateralize mortgage-backed securities issued by the Platform pursuant to title II.
Platform— The term “Platform” means the Issuing Platform established under section 201(a).
Real estate investment trust— The term “real estate investment trust” has the meaning given such term under section 856(a) of the Internal Revenue Code of 1986.