ON May 19th, 2016 HR 5301: The Seller Finance Enhancement Act was introduced to the 114th US Congress by Congressman Roger Williams a Republican from Texas along with his co-sponsors
- Randy Neugebauer (R-TX-10)
- Bobby Rush (D-IL-1)
- Mick Mulvaney (R-SC-5)
- Henry Cueller (D-TX-28)
Initially announced by the Seller Finance Coalition at a Note School Event way back in 2013 by the one and only sponsor at the time Congress Roger Williams, it has gone through many draftings and discussions to create the final bill that was introduced and to add the initial co-sponsors listed.
When the SAFE Act and Dodd-Frank went into effect it virtually overnight stopped most real estate investors from offering seller financing and installment sales to home owners who could ill afford the blow. Seller Financing by is the primary source for financing for home buyers in the under $50,000 price range and those buying non-conventional housing, like mobile homes. Discouraging homeownership.
The Bill would simply exempt seller financers who originate not more than 24 mortgages in a 12-month period from mortgage lending rules under the SAFE Act and Dodd-Frank Act. Specifically the Loan Originator Licensing and Registration requirements of the SAFE Act and from the debt to income ratio restrictions of the Dodd-Frank Act.
Twenty four seller financed loans per year, including first mortgages, second mortgages and installment land contracts is enough for almost any small real estate investor to get back to improving our cities housing stock, providing clean, save housing for consumers to own, and making some long term interest on these transactions to help secure and stabilize our own financial futures.
Since first being introduced, the list of cosponsors have grown from the initial 4 cosponsors to a full 14 representatives on both sides of the aisle, including those listed above and below.
- Alan Grayson (D-FL-9)
- Jim Bridenstine (R-Al-1)
- Duncan Hunter (R-CA-5)0
- Bradley Byrne (R-AL-1)
- Brian Babin (R-TX-36)
- Kenny Marchant (R-TX-24)
- David Joyce (R-OH-14)
- Sam Graves (R-MO-6)
- Ken Calvert (R-CA-42)
What can you do to help as a property owner:
- Contact Your Congressman. National REIA has set up a quick way for you to reach out to your Congressman.
- Join the Seller Finance Coalition: Go to org and learn more about HR 5301 and join the Seller Finance Coalition. Memberships start at $100 per year and help to support the lobbying efforts. If you joined several years back, renew your membership.
- Spread the Word. You will find posts and social media links at the above sites that will allow you to spread the word.
- Share Videos: You can also share the following 3 Videos through your own online media:
PLEASE do not put this on your To Do list.
Do it NOW and put it on your To Done List.