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On April 24, 2018, NAR sent a letter (attached) to Representatives Pearce (R-NM) and Heck (D-WA) for introducing H.R. 5287, the "Preserving Access to Rural Installment Transactions for Years (PARITY) Act of 2018."
The legislation amends the Truth in Lending Act to exempt from the definition of loan originator a seller providing financing for the sale of five or fewer properties in a 12-month period, of which the property is owned by the seller and used as security for the loan. Qualifying sellers include persons as well as entities, such as corporations, partnerships, proprietorships, associations, cooperatives, estates, and trusts.
By raising the number of seller financing transactions from 3 to 5 that an individual can participate in without having to register as a mortgage loan originator, H.R. 5287 would increase housing opportunities to moderate and low-income families, as well as first time homebuyers, without removing any safeguards that protect consumers against abusive lending practices.