Short title

This Act may be cited as the

21st Century Housing Act

Investment in FHA infrastructure

(a)

Human resources and funding

Section 502(a) of the Housing Act of 1948 (12 U.S.C. 1701c(a)) is amended— (1)by striking The Secretary of Housing and Urban Development and inserting the following:

(1)

In general

Except as provided in paragraph (2), the Secretary of Housing and Urban Development

; and

(2)by adding at the end the following:

(2)

Administration of FHA programs

(A)

Office personnel

(i)

Appointment

In carrying out any program through the Federal Housing Administration (in this section referred to as the Administration), the Secretary may appoint and fix the compensation of such officers and employees of the Administration as the Secretary considers necessary. (ii)

Compensation

Any officer or employee appointed under clause (i) may be paid without regard to the provisions of chapter 51 and subchapter III of chapter 53 of title 5, United States Code, relating to classification and General Schedule pay rates. (B)

Comparability of compensation with Federal Banking agencies

In fixing and directing compensation under subparagraph (A), the Secretary shall consult with, and maintain comparability with the compensation of officers and employees of the Federal Deposit Insurance Corporation. (C)

Personnel of other Federal agencies

In carrying out the duties of the Administration, the Secretary may use information, services, staff, and facilities of any Federal executive agency, independent agency, or department on a reimbursable basis, with the consent of such agency or department. (D)

Outside experts and consultant

In carrying out the duties of the Administration, the Secretary may procure temporary and intermittent services under section 3109(b) of title 5, United States Code. (E)

Use of premium-generated income

To the extent that income derived in any fiscal year from premium fees charged under section 203(c) of the National Housing Act (12 U.S.C. 1709(c)) are in excess of the level of income estimated for that fiscal year for such premium fees and assumed in the baseline projection prepared by the Director of the Office of Management and Budget for inclusion in the President's annual budget request, not more than $82,000,000 of such excess amounts may be used from such amounts for the purpose of carrying out this paragraph.

(b)

Information technology investment

Section 502(a) of the Housing Act of 1948 (12 U.S.C. 1701c(a)), as amended by subsection (a), is amended by adding at the end the following:

(3)

Information technology

(A)

In general

In carrying out any program through the Administration, the Secretary may utilize such funds as are available under subparagraph (B) to ensure that an appropriate level of investment in information technology is maintained in order for the Secretary to upgrade its technology systems. (B)

Use of premium-generated income

To the extent that income derived from premium fees charged under section 203(c) of the National Housing Act (12 U.S.C. 1709(c)) are in excess of the level of income estimated for that fiscal year for such premium fees and assumed in the baseline projection prepared by the Director of the Office of Management and Budget for inclusion in the President's annual budget request, not more than $72,000,000 of such excess amounts may be used from such amounts for the purpose of carrying out this paragraph.

Extension of mortgage term authority

Section 203(b)(3) of the National Housing Act (12 U.S.C. 1709(b)(3)) is amended— (1)by striking thirty-five years and inserting 50 years; and (2)by striking (or thirty years if such mortgage is not approved for insurance prior to construction).

Downpayment flexibility

Section 203(b)(9) of the National Housing Act (12 U.S.C. 1709(b)(9)) is amended by striking (9) and all that follows through “Provided further, That for” and inserting the following:

(9)Be executed by a mortgagor who shall have paid on account of the property, in cash or its equivalent, an amount, if any, as the Secretary may determine, based on factors determined by the Secretary and commensurate with the likelihood of default. For

Mortgage insurance flexibility

Section 203(c)(2) of the National Housing Act (12 U.S.C. 1709(c)(2)) is amended— (1)in subparagraph (A)— (A)by striking the first sentence and inserting The Secretary shall establish and collect, at the time of insurance, a single premium payment, in such amount as the Secretary may determine, based on factors determined by the Secretary and commensurate with the likelihood of default of the homebuyer. Such premium payment shall be in an amount not to exceed 3 percent of the amount of the original insured principal obligation of the mortgage.; and (B)by striking the second sentence; and (2)in subparagraph (B), by striking 0.50 percent and inserting 1 percent.

Innovation for new projects

Section 203 of the National Housing Act (12 U.S.C. 1709) is amended by adding at the end the following:

(y)

Waiver for new product initiatives

(1)

In general

Notwithstanding any other provision of law, and subject to the limitation under paragraph (2), the Secretary may waive such requirements of this section as the Secretary determines appropriate for any new product initiative. (2)

Limitation

For all new product initiatives in any fiscal year, the Secretary may allocate an amount equal to not more than 10 percent of the amount necessary to carry out the insurance of mortgages under this section for the prior fiscal year.

Maximum mortgage amount limit for multifamily housing in high-cost areas

Sections 207(c)(3), 213(b)(2)(B)(i), 220(d)(3)(B)(iii)(III), 221(d)(3)(ii)(II), 221(d)(4)(ii)(II), 231(c)(2)(B), and 234(e)(3)(B) of the National Housing Act (12 U.S.C. 1713(c)(3), 1715e(b)(2)(B)(i), 1715k(d)(3)(B)(iii)(III), 1715l(d)(3)(ii)(II), 1715l(d)(4)(ii)(II), 1715v(c)(2)(B)), and 1715y(e)(3)(B)) are each amended— (1)by striking 140 percent each place that term appears and inserting 170 percent; and (2)by striking 170 percent each place that term appears and inserting 215 percent.

FHA single family housing maximum mortgage limit

Section 203(b)(2)(A) of the National Housing Act (12 U.S.C. 1709(b)(2)(A)) is amended— (1)in clause (i), by striking 95 percent and inserting 100 percent; (2)in clause (ii)— (A)by striking 87 percent and inserting 100 percent ; and (B)by striking for Fiscal Year and inserting a comma; and (3)by moving subparagraph (A), including clauses (i) and (ii) of such subparagraph, 2 ems to the right.

Increase in FHA financial integrity

Section 205(f)(2) of the National Housing Act (12 U.S.C. 1711(f)(2)) is amended by striking 2.0 percent and inserting 3.0 percent.

10.

Insurance of condominiums

(a)

In general

Section 234 of the National Housing Act (12 U.S.C. 1715y) is amended— (1)in subsection (c)— (A)in the first sentence— (i)by striking and before (2); and (ii)by inserting before the period at the end the following: , and (3) the project has a blanket mortgage insured by the Secretary under subsection (d); and (B)in clause (B) of the third sentence, by striking thirty-five years and inserting forty years; and (2)in subsection (g), by striking , except that and all that follows and inserting a period. (b)

Definition of mortgage

Section 201(a) of the National Housing Act (12 U.S.C. 1707(a)) is amended— (1)in clause (1), by striking or and inserting a comma; and (2)by inserting before the semicolon the following: , or (3) a first mortgage given to secure the unpaid purchase price of a fee interest in, or long-term leasehold interest in, a one-family unit in a multifamily project, including a project in which the dwelling units are attached, semi-detached, or detached, and an undivided interest in the common areas and facilities which serve the project.