12 U.S.C. § 1706f — Prohibition against kickbacks and un-

Page 532 TITLE 12—BANKS AND BANKING § 1706f new grants or loans to be made after Oct. 1, 1991, under this section, see section 12839(a)(5), (b)(1) of Title 42, The Public Health and Welfare. § 1706f. Prohibition against kickbacks and un- earned fees (a) In general Except as provided in subsection (b), the provi- sions of sections 2602, 2607, 2614, 2615, 2616, and 2617 of this title shall apply to each sale of a manufactured home financed with an FHA-in- sured loan or extension of credit, as well as to services rendered in connection with such trans- actions. (b) Authority of the Secretary The Secretary is authorized to determine the manner and extent to which the provisions of sections 2602, 2607, 2614, 2615, 2616, and 2617 of this title may reasonably be applied to the transactions described in subsection (a), and to grant such exemptions as may be necessary to achieve the purposes of this section. (c) Definitions For purposes of this section— (1) the term ‘‘federally related mortgage loan’’ as used in sections 2602, 2607, 2614, 2615, 2616, and 2617 of this title shall include an FHA-insured loan or extension of credit made to a borrower for the purpose of purchasing a manufactured home that the borrower intends to occupy as a personal residence; and (2) the term ‘‘real estate settlement service’’ as used in sections 2602, 2607, 2614, 2615, 2616, and 2617 of this title shall include any service rendered in connection with a loan or exten- sion of credit insured by the Federal Housing Administration for the purchase of a manufac- tured home. (d) Unfair and deceptive practices In connection with the purchase of a manufac- tured home financed with a loan or extension of credit insured by the Federal Housing Adminis- tration under this subchapter, the Secretary shall prohibit acts or practices in connection with loans or extensions of credit that the Sec- retary finds to be unfair, deceptive, or otherwise not in the interests of the borrower. (June 27, 1934, ch. 847, title I, § 10, as added Pub. L. 110–289, div. B, title I, § 2149, July 30, 2008, 122 Stat. 2847.) SUBCHAPTER II—MORTGAGE INSURANCE § 1707. Definitions As used in section 1709 of this title— (a) The term ‘‘mortgage’’ means (A) a first mortgage on real estate, in fee simple, (B) a first mortgage on a leasehold on real estate (i) under a lease for not less than ninety-nine years which is renewable, or (ii) under a lease having a pe- riod of not less than ten years to run beyond the maturity date of the mortgage, or (C) a first mortgage given to secure the unpaid purchase price of a fee interest in, or long-term leasehold interest in, real estate consisting of a one-fam- ily unit in a multifamily project, including a project in which the dwelling units are attached, or are manufactured housing units, semi-de- tached, or detached, and an undivided interest in the common areas and facilities which serve the project; and the term ‘‘first mortgage’’ means such classes of first liens as are com- monly given to secure advances on, or the un- paid purchase price of, real estate, under the laws of the State, in which the real estate is lo- cated, together with the credit instruments, if any, secured thereby. (b) The term ‘‘mortgagee’’ includes the origi- nal lender under a mortgage, and his successors and assigns approved by the Secretary; and the term ‘‘mortgagor’’ includes the original bor- rower under a mortgage and his successors and assigns. (c) The term ‘‘maturity date’’ means the date on which the mortgage indebtedness would be extinguished if paid in accordance with periodic payments provided for in the mortgage. (d) The term ‘‘State’’ includes the several States, and Puerto Rico, the District of Colum- bia, Guam, the Commonwealth of the Northern Mariana Islands, American Samoa, and the Vir- gin Islands. (e) The term ‘‘family member’’ means, with re- spect to a mortgagor under such section, a child, parent, or grandparent of the mortgagor (or the mortgagor’s spouse). In determining whether any of the relationships referred to in the pre- ceding sentence exist, a legally adopted son or daughter of an individual (and a child who is a member of an individual’s household, if placed with such individual by an authorized placement agency for legal adoption by such individual), and a foster child of an individual, shall be treated as a child of such individual by blood. (f) The term ‘‘child’’ means, with respect to a mortgagor under such section, a son, stepson, daughter, or stepdaughter of such mortgagor. (g) The term ‘‘real estate’’ means land and all natural resources and structures permanently affixed to the land, including residential build- ings and stationary manufactured housing. The Secretary may not require, for treatment of any land or other property as real estate for pur- poses of this subchapter, that such land or prop- erty be treated as real estate for purposes of State taxation. (June 27, 1934, ch. 847, title II, § 201, 48 Stat. 1247; Feb. 3, 1938, ch. 13, § 3, 52 Stat. 9; Mar. 28, 1941, ch. 31, § 4(a), 55 Stat. 61; Apr. 20, 1950, ch. 94, title I, § 122, 64 Stat. 59; July 14, 1952, ch. 723, § 10(a)(2), 66 Stat. 603; Pub. L. 86–70, § 10(a), June 25, 1959, 73 Stat. 142; Pub. L. 86–624, § 6, July 12, 1960, 74 Stat. 411; Pub. L. 90–19, § 1(a)(3), May 25, 1967, 81 Stat. 17; Pub. L. 91–152, title IV, § 403(c)(1), Dec. 24, 1969, 83 Stat. 395; Pub. L. 96–399, title III, § 306, Oct. 8, 1980, 94 Stat. 1640; Pub. L. 98–181, title I [title IV, § 407(b)], Nov. 30, 1983, 97 Stat. 1211; Pub. L. 104–204, title IV, § 425(b), Sept. 26, 1996, 110 Stat. 2928; Pub. L. 110–289, div. B, title I, §§ 2117(b), (c), 2120(c), July 30, 2008, 122 Stat. 2833, 2835.) Editorial Notes AMENDMENTS 2008—Subsec. (a). Pub. L. 110–289, § 2117(b), inserted ‘‘(A)’’ before ‘‘a first mortgage’’, substituted ‘‘(B) a first mortgage on a leasehold on real estate (i)’’ for ‘‘or on a leasehold (1)’’ and ‘‘, or (ii)’’ for ‘‘or (2)’’, and in-