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Code · BILL · 114th Congress · H.R. 1491 (Introduced in House) — To reform the housing finance system of the United States, and for other purposes. · Sec. 301

Sec. 301. Limitation on business

158 words·~1 min read·/bill/114/hr/1491/ih/section-301·

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The Director of the Government National Mortgage Association shall provide that, after the certification date— the enterprises may not issue, guarantee, or purchase any security backed by mortgages on 1- to 4-family residences except as specifically authorized by this Act; an enterprise may act as a participating aggregator of eligible mortgages for securitization pursuant to section 201 if such eligible mortgages are originated by originators whose volume of such business is insufficient to allow for such originators to aggregate and securitize such mortgages, until the earlier of— such time as the Director determines that any other qualified entity or entities provide sufficient market access to such originators under competitive rates and terms and requires the enterprises to cease such business; or the commencement of the receivership under section 304(a); and an enterprise may act as a reinsurer for a mortgage-backed security in accordance with the requirements under section 202(b) until the commencement of the receivership under section 304(a).
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